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Annexation Policies

Introduction Annexation Plan Contents Annexation Review Program Contents Annexation Policies Current Annexations

SAN MARCOS TOMORROW: ANNEXATION Introduction Annexation is the process by which a city extends its municipal services, regulations, voting privileges and taxing authority to new territory. Cities annex territory to provide urbanizing areas with municipal services and to exercise regulatory authority necessary to protect public health, safety and welfare. Annexation is also a means of ensuring that residents and businesses outside a city's corporate limits who benefit from access to the city's facilities and services share the tax burden associated with constructing and maintaining those facilities and services. Annexation may also be used as a technique to manage growth. A city can only annex land within its extra-territorial jurisdiction (ETJ). The ETJ of a city is the contiguous unincorporated land adjacent to its corporate limits that is not within another city's ETJ. The size of a city's ETJ varies according to its population, ranging from one-half mile for communities with less than 5,000 persons, to five miles for cities greater than 100,000 in population. San Marcos currently has a two-mile ETJ. When San Marcos reaches 50,000, the ETJ will expand to three and a half miles. From an annexation perspective, a city's ETJ serves two functions. First, there is a statutory prohibition against a municipality annexing into another's ETJ. This provides a city with land that it alone can potentially annex. Second, cities are authorized to enforce their subdivision regulations within their ETJ, which is a means of ensuring that cities will not have to assume maintenance responsibilities for substandard infrastructure upon annexation. Annexation is critical to the long-term well being of San Marcos and needs to be carried out in accordance with established policies and not on an ad hoc basis. As part of San Marcos Horizons, the planning area is comprised of land within the current city limits and the extra-territorial jurisdiction. To obtain and protect these areas, strategic annexations are deemed advisable to bring some of the ETJ into the city limits. The annexation of properties listed in the Annexation Plan and the Annexation Review Program, described below, will allow implementation of the Future Land Use Plan through the application of the zoning and subdivision ordinances. Because of the fiscal implications of annexation, the costs of providing municipal services must to be estimated and weighed against the anticipated revenues of areas proposed for annexation. Performing a fiscal impact analysis does not mean that only areas with positive cash flow should be annexed. There will be instances when health, safety, environmental or other factors will override fiscal considerations and an area may need to be annexed despite its fiscal impact. Other areas may have short-term financial impacts, but may be in the long-range best financial interest of the city. A major revision to Texas annexation law took effect on September 1, 1999. Under the revised statute, all Texas cities are required to formally adopt an "annexation plan" by December 31, 1999. The annexation plan must include the proposed annexations of populated areas (those areas that include 100 or more tracts of land, each having at least one dwelling unit on them). All proposed annexations shown in a city’s annexation plan must follow a detailed process prescribed by State law and may not be annexed before the third anniversary date of their inclusion in the annexation plan. Many other annexations, however, are exempt from the requirements to be included in the Annexation Plan. These "exempted annexations" include areas that have less than 100 tracts, areas that are being annexed at the request of the property owners and certain other annexations that are specifically exempted under the new State law. San Marcos believes it is important to systematically look at these areas in order to stay ahead of growth. Therefore, an Annexation Review Program is adopted to include those properties that are specifically exempted from the requirement to be included in the Annexation Plan, yet are properties the city will review and consider for possible annexation over the next five years. Both the Annexation Plan and the Annexation Review Program are tied to the city’s Capital Improvements Program in order to coordinate utility improvements with the growth of the city. Back to top

Annexation Plan Contents The Annexation Plan for San Marcos describes all annexations that include 100 or more tracts of land on which one or more dwelling units are located on each tract. Properties included in the annexation plan may not be annexed prior to the third anniversary of their inclusion in the plan. An inventory of facilities and services existing within the annexed area must be prepared in accordance with the provisions of State law. Other procedural provisions of State law must be followed in annexing properties required to be listed in the city’s adopted annexation plan. No annexations meeting the requirements set forth in State law are currently proposed for inclusion in the San Marcos Annexation Plan. Back to top

Annexation Review Program Contents The Annexation Review Program describes all annexations that are specifically exempted under State law from inclusion in the Annexation Plan. The Annexation Review Program provides a recommended timetable for determining when areas of land should be evaluated for possible annexation into the City of San Marcos. The listing of an area on the Annexation Review Program does not mean it will be annexed that year. It does indicate, however, that the city will do a cost / benefit study to determine the feasibility of annexation. The Annexation Review Program will be revised and updated annually. The Annexation Review Program categorizes proposed annexation areas by the year they will be considered for annexation. The Annexation Review Program is presented on the following page. Areas proposed for inclusion in the Annexation Review Program are shown on the map labeled "City of San Marcos Annexation Review Program."  Back to top

Annexation Policies A-1. General Annexation: Policy A-1.1: The City shall pursue an annexation program that adds to the economic stability of the city, protects and enhances its quality of life, and protects its environmental resources. Policy A-1.2: The City shall use annexation as a tool for the protection of valuable natural resources such as the San Marcos and Blanco rivers and the Edwards Aquifer Recharge Zone. Policy A-1.3: The City shall adopt a proactive position in utilizing the tool of annexation, prior to development, to control the type, quality, and location of development in areas currently outside the city limits. Policy A-1.4: The City shall pursue a systematic annexation process to promote orderly growth and the provision of municipal services and to preserve the city's fiscal position. Policy A-1.5: The City shall use development policies such as utility extension policies and impact fees to encourage growth consistent with the City's ability to effectively manage such growth. Policy A-1.6: The City shall annually update the three-year Annexation Plan and the five-year Annexation Review Program. Policy A-1.7: The City shall perform a fiscal impact analysis and provide a service plan for all areas proposed for annexation. Policy A-1.8: The City shall consider annexation of an area that would provide an economic advantage to the City. Policy A-1.9: The City shall consider annexation of an area to protect environmentally sensitive areas and to better regulate the quality of the development in the area. Policy A-1.10: The City shall consider annexation of areas before development occurs. Policy A-1.11: The City shall consider annexation of an area in the immediate path of growth to prevent undesirable development patterns. Policy A-1.12: The City shall consider annexation as a means of managing growth and providing zoning controls. Policy A-1.13: The City shall consider annexation of an area to increase the quality of life, upgrade utility facilities, and provide the necessary services to meet the specific needs of the residents in the extra-territorial jurisdiction. Policy A-1.14: The City shall oppose the creation of new municipalities, special purpose districts and water or wastewater utilities and municipal utility districts within the extra-territorial jurisdiction unless the City determines it cannot provide the necessary services. Policy A-1.15: The City shall guide the growth in the extra-territorial jurisdiction by focusing infrastructure spending in less environmentally sensitive areas and into "preferred growth corridors." Policy A-1.16: The City shall adopt an administrative site plan review process for the purpose of making sure that proposed developments in the extra-territorial jurisdiction are consistent with the policies of the Master Plan, the Capital Improvements Program, and all applicable ordinances.