Decoy was off U.S. Highway 59 near the site later called Fern Lake, six miles south of Nacogdoches in southern Nacogdoches County. It began around 1900 as a flag station on the Houston, East and West Texas Railway and was known variously as Fern and Decoy. When a post office was established there in 1901, the name Decoy was chosen. By 1914 the community had the railway station, a general store, and a school. The settlement apparently declined after World War I, and by the 1930s it no longer appeared on highway maps. In the early 1990s only a few scattered houses remained in the area.
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