(a) The board, by order or resolution, shall designate one or more banks or savings associations within the state to serve as the depository for the funds of the district. The board shall not be required to advertise or solicit bids in selecting its depositories.
(b) To the extent that funds in the depository banks or savings associations are not insured by the Federal Deposit Insurance Corporation, they shall be secured in the manner provided by law for the security of funds by Chapter 2257, Government Code (Public Funds Collateral Act).

Terms Used In Texas Water Code 49.156

  • Board: means the governing body of a district. See Texas Water Code 49.001
  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • District: means any district or authority created by authority of either Sections Texas Water Code 49.001

(c) The board may authorize a designated representative to supervise the substitution of securities pledged to secure the district’s funds.

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