Tex. Gov't Code § 2257.041 · Subchapter C. CUSTODIAN; PERMITTED INSTITUTION
DEPOSIT OF SECURITIES WITH CUSTODIAN.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) In addition to other authority granted by law, a depository for a public entity other than a state agency may deposit with a custodian a security pledged to secure a deposit of public funds.
(b) At the request of the public entity, a depository for a public entity other than a state agency shall deposit with a custodian a security pledged to secure a deposit of public funds.
(c) A depository for a state agency shall deposit with a custodian a security pledged to secure a deposit of public funds. The custodian and the state agency shall agree in writing on the terms and conditions for securing a deposit of public funds.
(d) A custodian must be approved by the public entity and be:
(1) a state or national bank that:
(A) is designated by the comptroller as a state depository;
(B) has its main office or a branch office in this state; and
(C) has a capital stock and permanent surplus of $5 million or more;
(2) the Texas Treasury Safekeeping Trust Company;
(3) a Federal Reserve Bank or a branch of a Federal Reserve Bank;
(4) a federal home loan bank; or
(5) a financial institution authorized to exercise fiduciary powers that is designated by the comptroller as a custodian pursuant to Section 404.031(e).
(e) A custodian holds in trust the securities to secure the deposit of public funds of the public entity in the depository pledging the securities.
Notes and commentary — not statutory text
History
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993. Amended by Acts 1995, 74th Leg., ch. 1010, Sec. 1, eff. June 17, 1995; Acts 1997, 75th Leg., ch. 891, Sec. 3.17, eff. Sept. 1, 1997; Acts 1999, 76th Leg., ch. 344, Sec. 5.007, eff. Sept. 1, 1999.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 486 (S.B. 638), Sec. 3, eff. September 1, 2009.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2257.htm
- Text hash
- sha256 889cab8ba4b793282fc221ddf93b82d8746f766736b2fff955975472ee53885d
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Cited by 5 provisions
Provisions in this library whose text cites Tex. Gov't Code § 2257.041. Each shows the citation as that text prints it.
Government Code
- Tex. Gov't Code § 2256.009AUTHORIZED INVESTMENTS: OBLIGATIONS OF, OR GUARANTEED BY GOVERNMENTAL ENTITIES.Printed as Section 2257.041(d)
- Tex. Gov't Code § 2256.010AUTHORIZED INVESTMENTS: CERTIFICATES OF DEPOSIT AND SHARE CERTIFICATES.Printed as Section 2257.041(d)
- Tex. Gov't Code § 2257.002DEFINITIONS.Printed as Section 2257.041
- Tex. Gov't Code § 2257.042DEPOSIT OF SECURITIES WITH PERMITTED INSTITUTION.Printed as Section 2257.041
- Tex. Gov't Code § 2257.104COLLATERAL REQUIRED; CUSTODIAN TRUSTEE.Printed as Section 2257.041
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.