Texhoma is on U.S. Highway 54 and the Texas-Oklahoma state line, in northeastern Sherman County. It was a stop on the Chicago, Rock Island and Mexico Railway in 1901. The community that developed there was platted and dedicated in 1906. In 1910 it had a school, a boarding house, a bank, three churches, at least one grain elevator, stores, and a population of 300. Until the introduction of steam tractors, wagonyards provided the mainstay of the town's income. A. Y. Ingham's short-lived post office, on the Texas side, lasted only from December 11, 1909, to April 30, 1910. Now the banks, the post office, and most of the business section and grain elevators are on the Oklahoma side. This resulted from a 1932 survey which moved the state line about 465 feet south of the original State Line Road. Ranching and grain production remain the leading industry in Texhoma; there is also significant production of natural gas. The town is incorporated and reported 358 persons in Texas and 1,142 in Oklahoma in 1984. In 1990 the Texas figure was 291, and in 2000 it was 371.