Texas Statutes
Subchapter C. Certificate of Obligation Act
Section 271.051. Certificates as Investments or as Security for Deposits

Sec. 271.051. CERTIFICATES AS INVESTMENTS OR AS SECURITY FOR DEPOSITS. (a) Certificates approved by the attorney general are legal and authorized investments for:
(1) banks, savings banks, trust companies, and savings and loan associations;
(2) insurance companies;
(3) fiduciaries, trustees, and guardians; and
(4) sinking funds of municipalities, counties, school districts, or other political corporations or subdivisions of the state.
(b) Certificates approved by the attorney general are eligible to secure deposits of public funds of the state or a municipality, county, school district, or other political corporation or subdivision of the state. The certificates are sufficient security for the deposits to the extent of the face value of the certificates, if accompanied by any appurtenant unmatured interest coupons.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.

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Structure Texas Statutes

Texas Statutes

Local Government Code

Title 8 - Acquisition, Sale, or Lease of Property

Subtitle C - Acquisition, Sale, or Lease Provisions Applying to More Than One Type of Local Government

Chapter 271 - Purchasing and Contracting Authority of Municipalities, Counties, and Certain Other Local Governments

Subchapter C. Certificate of Obligation Act

Section 271.041. Short Title

Section 271.042. Purpose; Conflict

Section 271.043. Definitions