HomeMy WebLinkAbout2026-018 Expired Non-Annexation Agreements February 6,2026 Report No. 2026-018
INFORMAL STAFF REPORT
TO MAYOR AND CITY COUNCIL
SUBJECT:
Expired Non-Annexation Agreements
SUMMARY:
In 2024, City staff began reengaging owners of properties who have expired Non-Annexation
Agreements ("NAA"s) in an attempt to have those properties come into compliance by signing a
new agreement with an updated expiration date, similar to what was done with other Non-
Annexation Agreements in 2020. 11 properties still have not signed new NAA's and based on
prior City Council direction, staff will begin bringing forward cases over the next several months
to City Council for those properties to be annexed.
BACKGROUND:
In accordance with State Law, non-annexation agreements (NAAs) were initially offered to
property owners between 2010 and 2016 when the City was in the process of annexing land area
within the Extra-Territorial Jurisdiction (ETJ). Texas Local Government Code Section 43.016
requires municipalities to offer NAA agreements to property owners of land area the City is
interested in annexing if that land area is appraised for tax purposes as having agricultural,wildlife
management, or timber use. In addition, the City also offered NAAs to properties used as single-
family residences.NAAs entered into during this initial time period had an original expiration date
of August 2020. In 2020, City Council directed staff to offer extensions of the NAAs to August
2040. In accordance with State Law, the total duration of the NAA shall not exceed 45 years.
The general requirements of the NAAS are as follows:
• The property may only be used for single-family residential, agricultural,wildlife, timber,
or related uses.
• City of Denton regulations apply to proposed development.
• Development applications and building permits must be submitted and approved through
the City of Denton.
• Land may be subdivided into smaller parcels via plating,provided the minimum lot size is
at least 5 acres.
• Notification must be provided to the City if the property is sold.
• Properties with agriculture, wildlife management, or timberland exemptions are required
to provide notice to the City if there is a change in exemption status.
• If the property owner does not abide by these requirements,or if the NAA expires,the City
may proceed with annexation of the property.
Following Council direction in 2020, staff began engaging with property owners with expired
NAAs in an effort to enter into new agreements with 2040 expiration dates. Between 2020 and
2021 a majority of property owners with expired NAAs entered into new agreements; however,
18 NAAs remained expired.
February 6,2026 Report No. 2026-018
In 2024, staff revisited the topic of expired NAAs with City Council. Direction was given to
contact the property owners of the 18 expired agreements to extend the NAAs and pursue
annexation for any remaining expired NAAs. Initial letters offering NAA extensions were mailed
in May 2024 with follow-up letters in June prior to the initial response deadline of June 21, 2024.
Additional letters were mailed in September 2024. Currently, 7 of the 18 property owners with
expired NAAs have entered into new agreements with the City. 11 NAAs remain expired and the
City has begun the process of annexing these areas. There was a delay in bringing these annexation
cases forward because there was a significant number of bills submitted during the 89th Legislative
Session, which may have impacted annexation law.
Over the next several months, City Council can expect to see annexation cases on agendas related
to the expired NAAs. Prior to scheduling properties for annexation, staff will mail one final letter
to property owners offering an extension of the NAA to 2040. If the owner does not respond, the
annexation process will begin. If at any point during the annexation process the property owner
indicates a desire to reenter into a NAA rather than be annexed into the City, staff will work with
the owner to receive an updated agreement and suspend the annexation proceedings. Given the
number of expired NAAs, staff will bring forward the annexation cases in groups based on parcel
size, beginning with the smallest parcels. The first three of these items will be considered by City
Council on February 17, 2026.
ATTACHMENTS:
STAFF CONTACT:
Angie Manglaris, AICP
Assistant Planning Director, Development Services
an ig'e.man lg aris(acityofdenton.com
REQUESTOR: Staff Initiated
STAFF TIME TO COMPLETE REPORT: 1 hour
PARTICIPATING DEPARTMENTS: Development Services Department