What do I need to do if I don't want to proceed with my military husbands petition for divorce from his home state?

The proper way to contest personal jurisdiction in the divorce suit is for you to file what is called a Special Appearance.   In it you can claim that you do not have sufficient contacts with Texas for the State to exercise jurisdiction over you.  There are exceptions.   For example, if you were a resident of Texas when you were married and then moved out of state in conjunction with your husband's orders, then Texas considers you to remain a Texas resident for divorce purposes.   One other point:  Your husband's claim that you will get nothing in Texas is simply wrong.   Among other things, you will be entitled to a pro-rata portion of his military retirement (assuming that he makes it to 20 years).  In addition, Texas values assets like retirement as of the date of divorce whereas California values them as of the date of separation.   Therefore, you would be entitled to slightly more retired pay if you divorce in Texas.