Texas Senate Bill 2038 · Statewide
The city controls your land. Texas law lets you take it back — while you still can.
If your property sits in a Texas city's ETJ, that city caps how you build, subdivide, and develop it — sometimes to as little as 20% of your own land. SB 2038 gives you the right to walk away from those rules. We handle the entire release for you.
Real SCORE client win · Austin ETJ
Two clients went from 20% buildable to no cap at all.
Austin capped their development at ~20% of the land. We got them released under SB 2038 — that cap is gone.
If your land is in a city's ETJ
You don't fully control your own property.
The ETJ is the unincorporated ring outside city limits. You can't vote in that city, you don't get its services — but it still regulates your land. Here's what that costs you.
Most of your land, frozen
City watershed and impervious-cover rules can limit you to a fraction — in Austin's case, around 20% — of your own acreage.
A double layer of red tape
City platting, permits, fees, tree ordinances, and inspections stacked on top of everything the county already requires.
Annexation creeping toward you
The ETJ is the city's annexation pipeline. You're in line to be pulled in — and taxed — whether you want it or not.
Value you can't unlock
Capped development means a tract that can't reach its highest and best use — so it's worth far less than it should be.
Rules you can't vote on
You're governed by a city council you have no vote in, and it can tighten ETJ rules whenever it likes.
A window that's closing
Cities are suing to kill SB 2038 and lobbying to narrow it. The right exists today — not necessarily tomorrow.
The fix — SB 2038
Texas law forces the city to let you out.
Senate Bill 2038 (effective September 1, 2023) added a process to the Texas Local Government Code that lets a property owner petition out of a city's ETJ. If the petition is valid, the city has no choice.
One owner is enough
You can petition to release just your own tract — no neighborhood vote required.
Days, then you're out
The city must release you or it happens automatically by operation of law.
City discretion
A valid petition is mandatory to grant. There's no council vote that can deny it.
What it's worth
Same dirt. Up to ~5× the buildable land.
Two SCORE clients owned land in Austin's ETJ, capped near 20% by the City's watershed rules. We got them released — and the cap disappeared.
Austin ETJ · Watershed development cap
From ~20% buildable to no citywide cap.
In Austin's ETJ over the Barton Springs watershed, impervious-cover limits can restrict you to roughly 20% of your property. Released from the ETJ, the land follows county rules with no such citywide cap — so nearly the entire tract becomes usable. Because developable area drives land value, that one change can multiply what the property is worth, without adding an acre.
Illustrative, based on SCORE client outcomes; exact buildable area depends on county setbacks and site conditions. Not a guarantee of results.
Done for you
We run the entire release — start to finish.
You don't decode the statute, draw the map, or argue with the city. We do all of it, for one flat fee.
ETJ Release — Done-For-You
Eligibility-first guarantee. We confirm your property qualifies — and clears every exclusion — before you commit. If it doesn't qualify, you pay nothing. And because we check the exclusions up front, your release is built to stand up.
Examples: 12 acres = $800 · 30 acres = $1,160 · 100 acres = $2,560
Owners who got out
What the release actually did for them
We were stuck at 20% of our own land under Austin's rules. Steven got us released from the ETJ — now there's no cap on what we can develop. It changed what the property is worth.
He handled everything — the map, the paperwork, the filing with the city. We just signed. The fact that he checked eligibility first gave us real confidence it would hold.
Why "while you still can"
This right is open today — but it's under attack.
SB 2038 is the law right now, and a valid petition still forces a release. But cities are fighting hard to claw the power back — and Austin just showed how far they'll go.
Happening now · Austin
Austin is clawing releases back
In March 2026, Austin sent letters voiding the ETJ release of ~170 Travis County properties it had already let go — citing the 5-mile military-base exception tied to the Bee Cave armory. Owners sued in June 2026. Even a granted release can be contested — which is exactly why the exclusion check matters.
In the courts
20+ cities are suing the State
A coalition of Texas cities (Grand Prairie and others v. State of Texas) is challenging SB 2038 as unconstitutional. In 2025 the Texas Supreme Court sidestepped the constitutional question — leaving the door open for a future fight.
At the Legislature
Cities are lobbying to narrow it
Municipal groups keep pressing lawmakers to amend or restrict the opt-out. The rules that exist today may not exist after the next session. Owners who move first — and file correctly — are the ones who lock it in.
Before & after
In the ETJ vs. released
While you're in the ETJ
After SB 2038 release
The process
Four steps. We do the heavy lifting.
You bring the property. We handle the rest.
Confirm eligibility
We verify your property is in a city's ETJ and clears every exclusion, then map the exact tract to release.
Prepare the petition
We assemble the SB 2038 petition with the required map and metes-and-bounds (or lot-and-block) description and your signature.
File with the city
We submit to the city secretary, who verifies the signatures and area. The 45-day clock starts.
You're released
The city releases your land — or, if it does nothing in 45 days, you're released by operation of law.
The 45-day clock — to scale
From the day your petition is filedThe city must either release your property or notify you the petition is invalid within 45 days. If it takes no action, the area is released automatically.
Do you qualify?
Who can use SB 2038
You're likely a good fit if…
Worth knowing first — we're upfront
- Land within 5 miles of a military base with active training is excluded (this is the rule Austin used to claw releases back).
- Under Texas HB 2512 (2025), the petition path covers tracts of 12 acres or more; single lots under 12 acres, and a single lot inside a platted subdivision of 25+ lots, are excluded.
- Release removes city ETJ authority — it does not remove you from emergency services districts, water CCNs, MUDs, or existing development agreements.
- Outside the ETJ, your land follows county subdivision and development rules.
- Every property is different. We confirm the specifics before filing anything.
Free · No obligation
Get your Trapped-Value & Eligibility Report
Tell us about your property. We'll confirm whether it's in a city's ETJ, whether it qualifies under SB 2038, what the city is capping — and what releasing it could mean for you.
Got it — your report is on the way.
Thanks there. Steven will personally review your property against the city's ETJ boundary and SB 2038 eligibility, then send your Trapped-Value & Eligibility Report with whether it qualifies and what the path looks like.
Want to talk it through now?
Prefer to call? Reach Steven at 512-921-5220.
Questions
Frequently asked
Can a single property owner do this, or do I need my neighbors?+
A petition can be signed by the owner(s) of a majority in value of the area described in the petition. Because you define the area as your own tract, an individual owner can petition to release just their own property — you don't need a whole neighborhood to agree.
How much does it cost?+
Simple, transparent pricing: $800 minimum per property (covers up to 12 acres), plus $20 per acre over 12. So a 12-acre tract is $800; a 30-acre tract is $800 + (18 × $20) = $1,160. No hourly surprises. We confirm your property qualifies first — if it doesn't, you pay nothing. Note: under Texas HB 2512 (2025), the petition path applies to tracts of 12 acres or more.
Is SCORE a law firm?+
No. We're a commercial real estate and land specialist that handles the SB 2038 release process end to end — eligibility review, mapping, petition preparation, and filing. We are not attorneys and don't provide legal advice; we coordinate with licensed counsel when a matter calls for it.
Is this risky — will the release actually hold?+
A valid petition triggers a mandatory release. The risk you've seen in the news (Austin's clawback) came from the 5-mile military-base exclusion — so we verify every exclusion before filing, which is exactly how you keep a release from being challenged. We confirm eligibility before you commit.
How long does it take?+
Once the petition is filed, the city has 45 days to release the property or notify you that the petition is invalid. If the city takes no action within 45 days, your land is released by operation of law.
What changes after my property is released?+
Your land is no longer subject to that city's ETJ regulations — subdivision, platting, and development control shift to the county, which is generally lighter. Release does not remove your property from emergency services districts, water CCNs, MUDs, or development agreements you already signed.
Take the first step
Find out what your land is worth out of the ETJ.
Get your free Trapped-Value & Eligibility Report. We'll confirm whether your property qualifies, what the city is capping, and what releasing it could mean — at no cost, no obligation.
Get my free property report →
