Tex. Health & Safety Code Section 775.021
Exclusion of Territory Located Within Other Taxing Authority


(a)

This section applies only to a district located in whole or in part in a county that:

(1)

borders the Gulf of Mexico; and

(2)

has a population of less than 1.5 million.

(b)

The board of a district may exclude from the district the territory located within the boundaries of another taxing authority if the other taxing authority provides the same services to the territory as those provided by the district.

(c)

The board, at its discretion, may hold a hearing to consider the exclusion of the territory.

(d)

The board shall hold a hearing to consider the exclusion of the territory if the board receives a petition requesting a hearing on the issue that is signed by at least five percent of the qualified voters who own taxable real property in the district. A petition submitted under this subsection must describe the proposed new boundaries of the district or describe the boundaries of the territory to be excluded from the district.

(e)

The board shall issue a notice of a hearing to be held under Subsection (c) or (d). The provisions of Section 775.015 (Filing of Petition and Notice of Hearing) relating to the procedure for issuing notice of a hearing to create the district apply to the notice for the hearing under this section. The notice must state:

(1)

the proposed new boundaries of the district or of the territory to be excluded;

(2)

the time and place of the hearing; and

(3)

that each person who has an interest in the exclusion or nonexclusion of the territory may attend the hearing and present the person’s opinion for or against the exclusion of the territory.

(f)

After the hearing the board either may order an election on the question of the exclusion of the territory or may declare by resolution the territory excluded from the district. However, the board may not declare the territory as excluded if the owners of at least three percent of the property located in the district protest the exclusion.

(g)

If the board excludes the territory by resolution, the board shall state in the resolution the new boundaries of the district. The board shall file a copy of the resolution in the office of the county clerk of each county in which the district is located. The county clerk of each affected county shall record the resolution in the county records. After the resolution is recorded, the excluded territory is no longer a part of the district.

(h)

The board shall order an election on the question of exclusion if:

(1)

the owners of at least three percent of the property located in the district protest the exclusion; or

(2)

the board:

(A)

despite the lack of a protest, refuses to exclude the territory; and

(B)

after refusing to exclude the territory, receives a petition requesting an election that is signed by a majority of the qualified voters who own taxable real property in the territory proposed to be excluded.

(i)

Except as otherwise required by the Election Code, the election notice, the manner and time of giving the notice, and the manner of holding the election are governed by the applicable provisions of this chapter relating to the original election to create the district.

(j)

If a majority of the voters voting in the election favor excluding the territory from the district, the board shall enter an order declaring the territory excluded from the district and stating the new boundaries of the district. The board shall file a copy of the order in the office of the county clerk of each county in which the district is located. The county clerk of each affected county shall record the order in the county records. After the order is recorded, the excluded territory is no longer a part of the district.

(k)

If a majority of the voters voting in the election do not favor excluding the territory, the board may not act on a petition to exclude all or part of the territory until the first anniversary of the date of the most recent election to exclude the territory from the district.

(l)

The exclusion of territory under this section does not diminish or impair the rights of the holders of any outstanding and unpaid bonds, warrants, or other obligations of the district.

(m)

Territory excluded under this section is not released from the payment of its pro rata share of the district’s indebtedness. The district shall continue to levy taxes each year on the excluded territory at the same rate levied on territory in the district until the taxes collected from the excluded territory equal its pro rata share of the indebtedness of the district at the time the territory was excluded. The taxes collected under this subsection shall be applied exclusively to the payment of the excluded territory’s pro rata share of the indebtedness. The owner of all or part of the excluded territory may pay in full, at any time, the owner’s share of the pro rata share of the district’s indebtedness.
Added by Acts 1991, 72nd Leg., ch. 14, Sec. 271, eff. Sept. 1, 1991.

Source: Section 775.021 — Exclusion of Territory Located Within Other Taxing Authority, https://statutes.­capitol.­texas.­gov/Docs/HS/htm/HS.­775.­htm#775.­021 (accessed Mar. 23, 2024).

775.001
Definitions
775.002
Liberal Construction
775.003
Authorization
775.011
Petition for Creation of District Located Wholly in One County
775.012
Petition for Creation of District Located in More than One County
775.013
Contents of Petition
775.014
Creation of District that Includes Municipal Territory
775.015
Filing of Petition and Notice of Hearing
775.016
Hearing
775.017
Petition Approval
775.018
Election
775.019
Election Result and Commissioners Court Order
775.020
Overlapping Districts Located Wholly in Populous County
775.021
Exclusion of Territory Located Within Other Taxing Authority
775.022
Removal of Territory by Municipality
775.024
Consolidation of Emergency Services Districts
775.025
Exclusion of Certain Territory Subject to Assessments
775.026
Conversion of Rural Fire Prevention Districts to Emergency Services Districts
775.031
District Powers
775.032
Certain Businesses Not Subject to Ad Valorem Tax or District Powers
775.033
Liability of District
775.034
Appointment of Board in District Located Wholly in One County
775.035
Election of Board in District Located in More than One County
775.036
Powers and Duties of Board
775.037
Officers of Board
775.038
Compensation
775.039
Differential Pay and Benefits for Employees of Emergency Services Districts
775.040
Fees for Providing Services
775.041
Fee Payment and Collection
775.042
Removal of Board Member by Board
775.043
Exemption from Investment Training
775.044
Vacancy on Board of District Located in More than One County
775.045
Applicability of Certain Laws
775.051
Expansion of District Territory
775.052
Petition for Dissolution
775.053
Hearing
775.054
Election to Confirm Dissolution
775.055
Administration of Property, Debts, and Assets After Dissolution
775.056
Transfer of Territory Between Districts
775.071
Limitation on Indebtedness
775.072
Depositories
775.073
Expenditures
775.074
Ad Valorem Tax
775.075
Reduction of Ad Valorem Tax Rate
775.076
Bonds and Notes Authorized
775.077
Election to Approve Bonds and Notes
775.078
Bond Anticipation Notes
775.082
Audit of District in Less Populous Counties
775.083
Annual Report
775.084
Competitive Bids
775.085
Loan for Real Property or Emergency Services Equipment
775.101
Creation
775.102
Term
775.103
Bond
775.104
Conflict of Interest
775.105
Administrative Support
775.106
Jurisdiction
775.107
Transfer of Jurisdiction
775.108
General Powers and Duties
775.109
Investigations
775.110
Inspection
775.111
Inspection for Fire Hazards
775.112
Records
775.113
Additional Investigation Powers
775.114
Insurance
775.115
Cooperation with Other Fire Marshals
775.116
Enforcement
775.117
Service of Process
775.118
Criminal Penalty
775.119
Criminal Penalty
775.151
Definitions
775.152
Hazardous Materials Service
775.153
Fee for Providing Hazardous Materials Service
775.154
Exemption for Governmental Entities
775.201
Definition
775.202
Agreement on Boundaries with Property Owners in Planned Community
775.203
Notice of Hearing
775.204
Adoption of Agreement and Approval of Exclusion
775.0205
Overlapping Districts
775.205
Effect of Adoption of Agreement and Approval of Exclusion
775.206
No Effect on Outstanding Obligations
775.0221
Arbitration Regarding Removed Territory
775.221
Authority to Divide District
775.222
Petition for Division
775.223
Hearing on Division of District
775.224
Appeal
775.225
Election to Confirm Division
775.226
Division Order
775.227
Administration of Districts After Division
775.228
Taxation for Outstanding Bonded Debt
775.229
Further Division Prohibited
775.0235
Removal of Certain Territory on Request of Municipality
775.0241
Taxes for Consolidated District
775.251
Sale and Disposition of Surplus or Salvage Property
775.301
Definition
775.302
Applicability
775.303
Delegation or Waiver by Commissioners Court
775.304
Powers Relating to District Property, Facilities, and Equipment
775.305
Budget
775.306
Business Participation
775.0315
Legal Representation
775.0341
Appointment of Board in Certain Districts Located in More than One County
775.0345
Election of Board in Certain Counties
775.0355
Disqualification of Emergency Services Commissioners in Certain Counties
775.0362
Limit on Regulation of Fireworks
775.0363
Regulation of Fireworks
775.0365
Board Training
775.0366
Service Contracts
775.0422
Removal of Appointed Board Member by Commissioners Court
775.0423
Removal of Elected Board Member
775.0445
Vacancy on Board of District Located in Certain Counties
775.0735
Disposition of Property
775.0745
Election to Increase Tax Rate
775.0751
Sales and Use Tax
775.0752
Sales and Use Tax Election Procedures
775.0753
Sales and Use Tax Effective Date
775.0754
Sales and Use Tax Agreement with Municipality After Annexation
775.0821
Alternative to Audit of District in Less Populous Counties
775.0825
Audit of District in Certain Populous Counties

Accessed:
Mar. 23, 2024

§ 775.021’s source at texas​.gov