(a) This section applies only to a municipality that:(1) has extraterritorial jurisdiction over the entire area in which the district is located; and(2) has made a strategic partnership agreement with the district.(b) The district and the municipality may agree to provide for the:(1) annexation, including limited purpose annexation, by the municipality of all or a part of the territory of the district; and(2) allocation, following annexation of all or part of the district by the municipality, of taxes imposed on real property in the district between the district and the municipality.(c) Notwithstanding the limitations otherwise imposed by Subchapter J, Chapter 54, Water Code, the district is granted the powers under that subchapter for the purpose of:(1) defining a particular area to be taxed; and(2) entering a tax allocation agreement as provided by this chapter.(d) This chapter does not eliminate any right granted to a municipality under general law to annex all or part of the district. The powers granted to the district and a municipality under this chapter are cumulative of powers granted

e any right granted to a municipality under general law to annex all or part of the district. The powers granted to the district and a municipality under this chapter are cumulative of powers granted under other law. Added by Acts 2007, 80th Leg., R.S., Ch. 591 (S.B. 2042), Sec. 1, eff. June 16, 2007.