Oklahoma 2025 2025 Regular Session

Oklahoma House Bill HB1166 Comm Sub / Bill

Filed 03/05/2025

                     
 
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STATE OF OKLAHOMA 
 
1st Session of the 60th Legislature (2025) 
 
COMMITTEE SUBSTITUTE 
FOR 
HOUSE BILL NO. 1166 	By: Kelley 
 
 
 
 
 
COMMITTEE SUBSTITUTE 
 
An Act relating to cities and towns; amending 11 O.S. 
2021, Section 21-103, which relates to procedur es for 
annexation; modifying procedure for annexation of 
territory without the consent of majority of owners; 
and providing an effective date. 
 
 
 
 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: 
SECTION 1.     AMENDATORY    11 O.S. 2021, Section 21-103, is 
amended to read as follows: 
Section 21-103.  A.  Before the governing body of a city or town 
may annex any territory adjacent or contiguous to the city or town, 
it must obtain the written consent of the owners of at least a 
majority of the acres to be annexed to the municipality and provide 
for notice and a public hearing on the proposed annexation of the 
territory in the manner provided in subsection B of this section.  
The annexation of land by a connecting strip serving no municipal 
purpose other than to establish statutory contiguity or 
adjacentness, or to capture territory within the area to be annexed,   
 
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constitutes an impermissible exercise of state -delegated authority 
by a municipality and shall be prohibited.  Municip alities with a 
population of twelve thousand (12,000) or less may only annex up to 
eight (8) square miles in one area at any one time provided the 
municipality obtains the written consent of the owners of at least 
sixty-five percent (65%) of the acres to b e annexed and twenty-five 
percent (25%) of the population to be annexed. 
B.  The governing body shall provide the notice and public 
hearing required in subsection A of this section in the following 
manner: 
1.  The governing body of the municipality shall d irect that 
notice of the proposed annexation of the territory be published in a 
legally qualified newspaper of general circulation in the territory 
and shall describe the boundaries of the territory proposed to be 
annexed by reference to a map, geographica l locations, legal or 
physical description or other reasonable designation.  The notice 
shall state the date, time, and place the governing body shall 
conduct a public hearing on the question of annexing the territory.  
The notice shall be published in a l egal newspaper of general 
circulation in the territory sought to be annexed within fourteen 
(14) days following the date the governing body directed the notice 
to be published; 
2.  A copy of the notice of annexation shall be mailed by first -
class mail to all owners of property to be annexed as shown by the   
 
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current year's ownership rolls in the office of the county treasurer 
and to all owners of property abutting any public right -of-way that 
forms the boundary of the territory proposed to be annexed and to 
the Sales and Use Tax Division of the Oklahoma Tax Commission; 
provided that the notice of annexation shall be mailed by certified 
mail to every person who owns a parcel of land of five (5) acres or 
more used for agricultural purposes; and 
3.  The public hearing of such annexation shall be held no 
earlier than fourteen (14) days nor more than thirty (30) days 
following the publication and mailing of the notice. 
C.  Unless otherwise provided by law, a roadway or road right -
of–way that is adjacent or contiguou s to the territory to be annexed 
shall be considered a part and parcel to the territory to be 
annexed. 
D.  Before any territory is annexed to a municipality , without 
the written consent of the owners of at least a majority of the 
acres to be annexed to the municipality in accordance with 
subsection A of this section, the governing body of the municipality 
shall direct that notice of the proposed annexation of the territory 
be published in a legally qualified newspaper of general circulation 
in the territory and shall hold a public hearing on the proposed 
annexation.  Prior and prior to the publication of notice pursuant 
to subsection B of this section, the municipality shall prepare a 
plan to extend municipal services including, but not limited to,   
 
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water, sewer, fire protection, law enforcement and the cost of such 
services appropriate to the proposed annexed territory.  The plan 
shall be included in the notices published and mailed pursuant to 
subsection B of this section.  The plan shall provide that the 
municipality complete the implementation of the plan in accordance 
with any existing capital improvement plan applicable to the portion 
of the municipality adjacent to the territory proposed to be 
annexed.  If no such capital improvement plan has been adopte d, the 
municipality shall complete the service plan within one hundred 
twenty (120) months from the date of annexation unless a different 
time is determined by consensus between property owners and the 
municipality at the hearing.  The time for completion of the service 
plan shall be set forth in the ordinance annexing the territory.  If 
municipality services are not substantially complete within the 
prescribed time, then the territory shall immediately be detached by 
from the governing body as provided in Section 21-110 of this title 
upon expiration of the one hundred twenty (120) months .  For 
purposes of this subsection, services may be provided by any method 
or means available to the municipality to extend municipal services 
to any other area of the city or town.  Such notice, hearing and 
plan shall be subject to the following provisions: 
1.  The notice shall describe the boundaries of the territory 
proposed to be annexed by reference to a map, geographical 
locations, legal or physical description or other reasonable   
 
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designation and shall state that the proposed service plan is 
available for inspection at a specified location.  The notice shall 
state the date, time, and place when the governing body shall 
conduct a public hearing on the question of annexing the territory.  
The notice shall be published in a legal newspaper of general 
circulation in the territory sought to be annexed within fourteen 
(14) days following the date the governing body directed the notice 
to be published.  A copy of the notice of a nnexation shall be mailed 
by first-class mail to all owners of property to be annexed as shown 
by the current year's ownership rolls in the office of the county 
treasurer and to the Department of Transportation for purposes of 
clarifying any road maintenan ce responsibilities; provided that the 
notice of annexation shall be mailed by certified mail to every 
person who owns parcel of land of five (5) acres or more used for 
agricultural purposes and to the board of county commissioners of 
the respective county where the proposed annexation is located.  If 
the territory to be annexed encroaches upon any adjacent county, a 
copy of the notice of annexation shall be mailed by first -class mail 
to the board of county commissioners of the adjacent county and of 
the county where the proposed annexation is located; 
2.  The public hearing of such annexation shall be held no 
earlier than fourteen (14) days nor more than thirty (30) days 
following the publication and mailing of the notice; and   
 
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3.  The proposed service plan shall be available for inspection 
and be explained to the property owners of the territory to be 
annexed at the public hearing.  The plan may be amended through 
negotiation at the hearing.  The final service plan shall be 
incorporated into and made part of the ordinance annexing the 
territory. 
E. In any situation where the territory to be annexed by any 
city or town includes land owned by a state beneficiary public trust 
or that was previously owned and conveyed by a state beneficiary 
public trust, annexat ion shall not be carried out under the 
provisions of subsection D of this section, but instead shall 
require the written consent of all of said trust and transferees of 
said trust. 
F. E.  The prevailing property owner in an annexation dispute 
shall be entitled to court costs and reasonable attorney fees, 
including, but not limited to, when a municipality withdraws, 
revokes or otherwise reverses the ordinance at issue in response to 
litigation before issuance of a final judgment. 
G. F.  As used in this secti on: 
1.  "Airport" means any facility owned by any legal entity or by 
a county, a municipality or a public trust having at least one 
county or municipality as its beneficiary which is used primarily 
for the purpose of providing air transportation of persons or goods   
 
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or both by aircraft powered through the use of propellers, 
turboprops, jets or similar propulsion systems; 
2.  "Military installation" means those facilities constituting 
the active or formerly active bases owned by the Department of 
Defense or other applicable entity of the United States government 
or by any entity of local government after transfer of title to such 
installation; and 
3.  "Spaceport" means any area as defined pursuant to Section 
5202 of Title 74 of the Oklahoma Statutes. 
H. G.  Except for ordinances enacted pursuant to Section 43 -
101.1 of this title, parcels of land five (5) acres or more used for 
agricultural purposes annexed into the municipal limits on or after 
July 1, 2003, or parcels of land forty (40) acres or more used for 
agricultural purposes prior to annexation and have continued in 
uninterrupted agriculture use annexed into the municipal limits 
shall be exempt from ordinances restricting land use and building 
construction to the extent such land use or construction is rel ated 
to agricultural purposes.  Where there is no residence within fifty 
(50) feet of the boundaries of such a parcel of land, the property 
shall not be subject to ordinances regulating conduct that would not 
be an offense under state law; provided, that a ny such property that 
discharges into the municipal water, wastewater, or sewer system 
shall be subject to any ordinances or regulations related to 
compliance with environmental standards for that system.   
 
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I. H.  Parcels of land situated within an area that is or may be 
subject to any form of land use or other regulatory control as a 
result of proximity to an airport, spaceport or military 
installation shall not be exempt from municipal ordinances or other 
laws regulating property for the purpose of operatio ns necessary for 
the use of an airport, spaceport or military installation and such 
parcels of land shall be subject to all ordinances enacted pursuant 
to Section 43-101.1 of this title. 
J. I.  If territory is annexed pursuant to this section, the 
annexing governing body shall provide notice by first -class mail 
together with a map and plat of the annexed territory to the Sales 
and Use Tax Division of the Oklahoma Tax Commission prior to the 
effective date of such annexation.  The Tax Commission shall notify 
the known sales tax vendors within the boundaries of the annexed 
territory as provided by Section 119 of Title 68 of the Oklahoma 
Statutes. 
SECTION 2.  This act shall become effective November 1, 2025. 
 
60-1-13158 MJ 03/04/25