Assembly Bill 885 aims to amend the regulations governing the extraterritorial subdivision authority of incorporated municipalities in Wisconsin. The bill specifies that these municipalities cannot deny approval for land subdivision in their extraterritorial jurisdiction based on four specific criteria: the proposed use of the land, specifications for public improvements, land division design standards, or any agreements related to annexation. This change is intended to streamline the approval process for subdivisions and limit the reasons municipalities can use to deny such approvals.

Additionally, the bill introduces a provision that allows towns to recover reasonable attorney fees if they prevail in legal actions enforcing these new regulations. This is designed to provide towns with a financial incentive to challenge any denials by incorporated municipalities that do not comply with the new limitations on subdivision approvals. Overall, the bill seeks to clarify and enhance the rights of towns in the subdivision approval process while reducing the regulatory power of incorporated municipalities in these matters.