Tex. Loc. Gov't Code § 116.055 · Subchapter C. SECURITY FOR FUNDS HELD BY DEPOSITORY
FIRST MORTGAGES ON IMPROVED REAL PROPERTY.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) If approved by the commissioners court, closed first mortgages on improved and unencumbered real property located in this state that are assigned to the county judge in a duly acknowledged instrument qualify as security under this subchapter.
(b) Before approving a mortgage as security, the commissioners court shall require:
(1) a written opinion by an attorney selected by the commissioners court showing that the lien is superior to any other claim to or right in the real property; and
(2) insurance approved by the county judge covering the improvements on each tract of pledged real property and providing that a loss is payable to the county judge.
(c) An insurance policy required under Subsection (b) must be issued by a stock fire insurance company or mutual fire insurance company that has a $100,000 surplus in excess of all legal reserves and other liabilities.
(d) A mortgage accepted as security under this section shall immediately be recorded in each county in which part of the real property is located.
Notes and commentary — not statutory text
History
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/LG/htm/LG.116.htm
- Text hash
- sha256 fbe55d1264a23334e3ed741f668f4ef37a9163056ae0af195234046c0c43e17c
- 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
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.