quote:
City of Houston doesn't even want to annex most MUDs. MUDs have lots of debt that the city has to assume if they annex. It doesn't make any financial sense to annex a MUD which has a tax rate higher than the city tax rate, because it's a net negative to their coffers.
So unless you're a very mature MUD with a sub 0.7% tax rate, you aren't at much risk anyway.
That's what I assumed, but I don't think that's true.
The MUD I live in was annexed by the City of Pearland, and I don't believe Pearland assumed the debt. I pay all of the city taxes as well as the MUD, and an extra monthly fee on my water bill to boot.