HOUSTON — The Houston City Council on Wednesday delayed a vote on a proposed $50 million agreement that would commit the city not to annex The Woodlands in exchange for payments from a joint city-township fund over three years.
Council Member Edward Pollard tagged the measure, postponing the vote for one week to allow for further discussion. The Woodlands Township was scheduled to consider its portion of the agreement Wednesday afternoon.
Under the proposed agreement, Houston would affirm that it has “no intention to annex” The Woodlands, a master-planned community with more than 110,000 residents.
Pollard said he wanted to ensure the agreement serves the city’s interests before the council votes.
“You just want to make sure it’s the best deal,” Pollard told reporters.
Mayor John Whitmire described the agreement as a “win-win for Houston and one of its neighbors.” Woodlands Township Chairman Brad Bailey also supported the proposal, saying it would provide Houston with short-term financial relief and allow The Woodlands to resolve the annexation issue.
The agreement would limit Houston’s access to potential tax revenue from The Woodlands. The township projects nearly $51 million in property tax revenue and nearly $43 million in sales tax revenue for 2027.
Houston annexed Kingwood in 1996 despite opposition from residents. In 2017, the Texas Legislature ended forced annexation, requiring residents in areas proposed for annexation to approve the move.
The Houston City Council’s budget and fiscal affairs committee is scheduled to discuss the agreement Tuesday before the council’s expected vote the following week.
