Policy · July 28, 2026 · Steven Owen

ETJ release in Texas: the window is narrowing — who still qualifies in 2026

The SB 2038 petition still works in 2026 — and the Texas Supreme Court has pointed landowners straight at it. But the trend line matters: the Legislature has already tightened eligibility once (HB 2512, effective September 1, 2025, excluded standalone lots under 12 acres and single lots in 25+ lot subdivisions), more than 20 cities joined a lawsuit seeking to overturn the law, and the next legislative session convenes January 2027 — the next realistic opening for further exclusions. Every change so far has been prospective: petitions filed under today’s rules are judged by today’s rules. If your tract qualifies now, waiting is the only move with no upside.

The rules have moved once already — in one direction

When SB 2038 took effect in September 2023, the petition path was nearly wide open: essentially any owner outside a five-mile military-base buffer could petition out of a city’s extraterritorial jurisdiction, and the city had no discretion to refuse. Two years later the Legislature narrowed it. That’s not speculation about what cities might do — it’s what they already did:

How the SB 2038 petition path has narrowed, 2023–2027
DateWhat happenedEffect on eligibility
Sept 1, 2023SB 2038 effective (88th Legislature)Petition path opens; essentially one exclusion (5-mile military buffer)
Oct 2023Grand Prairie-led constitutional challenge filed; 20+ cities joinSome cities slow-walk or contest petitions while suing
2025Texas Supreme Court, Elliott v. City of College StationLandowners directed to the petition process; statute treated as presumptively constitutional
Sept 1, 2025HB 2512 effective (89th Legislature)Standalone lots <12 acres excluded (unless bundled); single lots in 25+ lot subdivisions excluded; Fort Worth-area development-agreement carve-out
Jan 202790th Legislature convenesNext opportunity for city interests to push further exclusions

Note the pattern in HB 2512: it applied only to petitions filed on or after September 1, 2025. The Legislature didn’t claw back releases already completed or petitions already filed — changes have been prospective. That’s exactly why timing matters: a petition filed under current law locks in current eligibility, whatever the 2027 session does.

Who still qualifies today

As of July 2026, the petition path (Texas Local Government Code §42.101 et seq.) is open to you if:

Several of the exclusions aren’t visible on a map — plat status, subdivision lot counts, and development-agreement encumbrances take an actual records check. That eligibility review is the first thing we run, before anyone drafts a boundary description.

The opposition is organized, not hypothetical

Cities did not shrug at SB 2038. A coalition led by Grand Prairie — ultimately more than 20 cities — sued to have the law declared unconstitutional, and some cities declined to process petitions while the litigation ran. The judicial front has largely gone the landowners’ way: in Elliott v. City of College Station, the Texas Supreme Court directed landowners to use the new petition process and treated the statute as presumptively constitutional. Cities that ignore valid petitions have been losing.

But the legislative front is where the ground actually shifted — HB 2512 was the product of exactly this pressure, and it passed. The realistic read for a landowner: the law is durable, your tract’s eligibility may not be. The 2027 session is the next test, and the last one added an acreage floor that disqualified thousands of standalone parcels overnight.

What filing now actually costs you: nothing

The petition process runs about 45 days from filing, plus preparation time for the eligibility review, boundary description, and map. Release removes the city’s subdivision and land-use control over the tract and shifts platting to the county — it does not change your utility arrangements or your taxes by itself (the ETJ never taxed you). If you own qualifying land and city rules are constraining what you can do with it — or you simply want the optionality — there is no advantage to waiting, and a demonstrated legislative trend against you. Whether release actually helps your specific plan is a separate question, and an honest review sometimes says no; we cover that analysis in the full ETJ release guide.

How SCORE helps

SCORE Property Group runs the ETJ release as a done-for-you process: the eligibility and exclusion review against the current statute, the petition package with boundary description and map, bundled-petition coordination for sub-12-acre owners and their neighbors, and a straight answer on whether release serves your development goals at all. We are a commercial real estate and land specialist — not a law firm — and we coordinate with licensed counsel where a matter calls for it.

Find out if your land qualifies — under today’s rules

Send us the property. We’ll check it against the current SB 2038 / HB 2512 eligibility rules and tell you honestly whether filing makes sense — and whether it’s worth doing before the next session.

See the ETJ release service Check my property

Current as of July 2026. SB 2038 (88th Legislature, effective 9/1/2023) and HB 2512 (89th Legislature, effective 9/1/2025) amend Texas Local Government Code Chapter 42; litigation described is public record. This is general information, not legal advice; SCORE Property Group is not a law firm. Eligibility and exclusions are fact-specific — confirm with qualified counsel before filing. Related: ETJ Release service · How ETJ release works · Development Land.