OklahomaHB 1166Oklahoma 2026 Regular SessionHouseWALLET

Cities and towns; annexation; procedures; annexation of territory without consent of majority of owners; effective date.

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Bill Overview

Analyzed Economic Effects

7 provisions identified: 5 benefits, 1 costs, 1 mixed.

Cities must plan and deliver annexation services

Beginning Nov 1, 2025, a city must prepare a service plan before giving annexation notice. The plan shows how water, sewer, fire, and police will be provided and what they will cost. Services must be substantially complete within 120 months (10 years), unless a different schedule is agreed at the hearing. If the city falls short, owners can petition to detach with signatures from a majority of owners or ask a court to enforce the plan. A court can order detachment if the city fails to perform.

Farm parcels get city-rule exemptions

Beginning Nov 1, 2025, some farm parcels are exempt from city land-use and building rules. Parcels of 5+ acres annexed on or after July 1, 2003 qualify when used for agriculture. Parcels of 40+ acres that were in farm use before annexation and stayed in farm use also qualify. If no residence is within 50 feet of the parcel boundary, some city conduct rules do not apply. If the property discharges to city water, wastewater, or sewer, it must still meet environmental rules.

Prevailing owners recover annexation legal fees

Beginning Nov 1, 2025, if you win an annexation case, you can recover court costs and reasonable attorney fees. You can recover fees even if the city withdraws or revokes the annexation before a final judgment.

Rules for annexation without owner consent

Beginning Nov 1, 2025, a city cannot annex more than the larger of 10% of its land or 8 square miles at one time, unless 65% of the acres and 25% of the people in the area consent in writing. If consent is not met, the city can ask a court to annex an area that borders the city by at least 50%. The city must prove annexation benefits all owners more than exclusion and that services will arrive within 120 months. Owners get at least 30 days to present a defense, and the city may try this for the same area no more than once each year. If the land belongs to a state beneficiary public trust (or was owned by one), the trust and its transferees must give written consent.

No property tax for old city debts

Beginning Nov 1, 2025, if your area is annexed, the city cannot levy property taxes in the annexed area to pay a court judgment that existed before annexation.

Annexation sales-tax notices to vendors

Beginning Nov 1, 2025, before an annexation takes effect, the city must mail a map and plat to the state Sales and Use Tax Division. The Tax Commission must notify known sales-tax vendors in the annexed area. This helps businesses collect the right local sales tax.

10-year wait to rejoin after detachment

Beginning Nov 1, 2025, if your land is detached from a city, you cannot petition to be annexed back to that same city for 10 years after the detachment date.

Sponsors & Cosponsors

Sponsor

Mike Kelley
Republican • House

Cosponsors

David Bullard
Republican • Senate
Brent Howard
Republican • Senate
Nicole Miller
Republican • House
Casey Murdock
Republican • Senate
Kendal Sacchieri
Republican • Senate
Jay Steagall
Republican • House

Roll Call Votes

All Roll Calls

Yes: 280 • No: 25

House vote • 5/28/2025

FOURTH READING

Yes: 87 • No: 2

Senate vote • 5/28/2025

FOURTH READING

Yes: 44 • No: 2

Senate vote • 5/7/2025

THIRD READING

Yes: 44 • No: 1

Senate vote • 4/15/2025

Committee vote: Judiciary

Yes: 6 • No: 2

House vote • 3/24/2025

THIRD READING

Yes: 76 • No: 18

House vote • 3/4/2025

DO PASS

Yes: 17 • No: 0

House vote • 2/19/2025