LOCAL GOVERNMENT CODE
CHAPTER 117. DEPOSITORIES FOR CERTAIN TRUST FUNDS AND COURT
REGISTRY FUNDS
SUBCHAPTER A. GENERAL PROVISIONS
§ 117.001. DEFINITIONS. In this chapter:
(1) "Bank" means a banking corporation or association,
an individual banker, or a state or federal savings and loan
association or savings bank.
(2) "Clerk" means a county clerk, a district clerk, or
a county and district clerk.
(3) "Registry funds" means funds tendered to the clerk
for deposit into the registry of the court.
(4) "Separate account" means funds transferred from a
special account into a separate interest-bearing account.
(5) "Special account" means an account in a depository
in which registry funds are placed.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1995, 74th Leg., ch. 552, § 1, eff. Sept. 1, 1995; Acts
1997, 75th Leg., ch. 505, § 1, eff. Sept. 1, 1997.
§ 117.002. TRANSFER OF UNCLAIMED FUNDS TO
COMPTROLLER. Any funds deposited under this chapter, except cash
bail bonds, that are presumed abandoned under Chapter 72, 73, or 75,
Property Code, shall be reported and delivered by the county or
district clerk to the comptroller without further action by any
court. The dormancy period for funds deposited under this chapter
begins on the later of:
(1) the date of entry of final judgment or order of
dismissal in the action in which the funds were deposited;
(2) the 18th birthday of the minor for whom the funds
were deposited; or
(3) a reasonable date established by rule by the
comptroller to promote the public interest in disposing of
unclaimed funds.
Added by Acts 1991, 72nd Leg., ch. 153, § 26, eff. Sept. 1, 1991.
Amended by Acts 1997, 75th Leg., ch. 329, § 2, eff. May 26, 1997;
Acts 1997, 75th Leg., ch. 505, § 2, eff. Sept. 1, 1997; Acts
1997, 75th Leg., ch. 1037, § 2, eff. Sept. 1, 1997; Acts 1997,
75th Leg., ch. 1423, § 13.01, eff. Sept. 1, 1997.
§ 117.003. COMPLIANCE WITH FEDERAL TAX LAW FOR FUNDS
HELD UNDER THIS CHAPTER. (a) If any funds deposited under this
chapter are placed into an interest-bearing account, any person
with a taxable interest in funds deposited to such account must
submit appropriate tax forms and provide correct information to the
district or county clerk so that the interest earned on such funds
can be timely and appropriately reported to the Internal Revenue
Service. The information and forms provided to the district or
county clerk under this section are not subject to public
disclosure except to the extent necessary to effectuate compliance
with federal tax law requirements.
(b) The district or county clerk is authorized to pay any or
all of the interest earned on funds deposited under this chapter,
without court order, to the Internal Revenue Service to satisfy tax
withholding requirements.
Added by Acts 1997, 75th Leg., ch. 505, § 3, eff. Sept. 1, 1997.
SUBCHAPTER B. ESTABLISHMENT OF DEPOSITORY
§ 117.021. APPLICATIONS. (a) The commissioners court
of a county at its May regular term after a general election for
state and county officers shall receive an application from a
federally insured bank or banks in the county to be the depository
for a special account held by the county clerk and the district
clerks. The county shall contract with a federally insured bank or
banks under this section for a two-year or four-year contract term.
The contract may, on request by the clerk and approval of the
commissioners court, include a provision that the funds in a
special account earn interest. A request from the clerk that an
account earn interest must be made, in writing, to the
commissioners court not later than the 30th day before the date the
county gives notice under Section 117.022 and shall be entered in
the minutes of the court.
(b) If the contract is for a four-year term, the contract
shall allow the bank to establish, on the basis of negotiations with
the county, new interest rates and financial terms of the contract
that will take effect during the final two years of the four-year
contract if:
(1) the new financial terms do not increase the prices
to the county by more than 10 percent; and
(2) the county has the option to choose to use the
initial variable interest rate option or to change to the new fixed
or variable interest rate options proposed by the bank.
(c) A bank must file its application on or before 10 a.m. on
the first day of the term. The application must be accompanied by a
certified check or cashier's check for at least one-half of one
percent of the average daily balance of the registry funds held by
the county clerk and the district clerk during the preceding
calendar year, as determined by the county clerk and the district
clerk on or before the 10th day before the date the application is
required to be filed. A certified check or cashier's check that
complies with this section is a good-faith guarantee on the part of
the applicant that if its application is accepted it will execute
the bond required under this subchapter. If the bank selected as
depository does not provide the bond, the county shall retain the
amount of the check as liquidated damages and the county shall
select another depository as provided by this subchapter.
(d) If for any reason a county depository is not selected
under Subsection (a), the commissioners court, at any subsequent
time after 20 days' notice, may select, by the process described by
Section 117.023 or by negotiated bid, one or more depositories in
the same manner as at the regular term.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1991, 72nd Leg., ch. 326, § 2, eff. June 5, 1991; Acts 1991, 72nd
Leg., ch. 527, § 8, eff. Sept. 1, 1991; Acts 1995, 74th Leg., ch.
65, § 3, eff. Aug. 28. 1995; Acts 1997, 75th Leg., ch. 505, §
4, eff. Sept. 1, 1997.
§ 117.022. NOTICE. A county shall advertise or give
notice that the county will accept applications to be the
depository for registry funds held by the county clerk and the
district clerk in the same manner as notice is required under
Section 116.022.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1997, 75th Leg., ch. 505, § 5, eff. Sept. 1, 1997.
§ 117.023. SELECTION OF DEPOSITORY. (a) At 10 a.m. on
the first day of each term at which the commissioners court is
required to receive applications to serve as the depository for
registry funds held by the county clerk and the district clerk, the
commissioners court shall enter the applications in the minutes of
the court and select a depository.
(b) After a depository is selected, the commissioners court
shall return the certified checks of the applicants that were not
selected. The commissioners court shall return the check of the
selected applicant only after the applicant files a bond that is
approved by the commissioners court.
(c) The conflict of interests provisions of Section 131.903
apply to the selection of the depository.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1993, 73rd Leg., ch. 268, § 30, eff. Sept. 1, 1993; Acts
1997, 75th Leg., ch. 505, § 6, eff. Sept. 1, 1997.
§ 117.024. QUALIFICATION AS DEPOSITORY. Within 30 days
after the date a bank is selected as a depository under this
subchapter, the bank must qualify to serve as the depository in the
same manner as is required for the qualification of county
depositories under Chapter 116.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989.
§ 117.025. DESIGNATION OF DEPOSITORY. (a) After a
bank selected to be a depository under this subchapter qualifies
under Section 117.024 and is selected by the commissioners court,
the commissioners court shall by an order entered in its minutes
designate the bank or banks as the depository for the registry
funds.
(b) A designation under Subsection (a) is effective until
the designation and qualification of a successor depository or
until April 15 following the term in which a depository must be
selected under this subchapter, whichever is earlier. If the term
of a depository ends before the designation and qualification of a
successor, the depository shall pay to the clerk in whose name the
account is carried all registry funds due or on deposit.
(c) A designated depository shall provide security for the
funds deposited into the registry fund accounts in the same manner
as Subchapter C, Chapter 116.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 7, eff. Sept. 1, 1997.
§ 117.026. ADVERTISEMENT FOR AND SELECTION OF DEPOSITORY
OUTSIDE THE COUNTY. (a) The commissioners court may select a
federally insured bank or banks located outside the county to serve
as the depository under this subchapter if:
(1) for any reason no bank located in the county
applies to be designated as the depository;
(2) an application is not made for the entire amount of
the registry funds;
(3) the commissioners court rejects all the
applications submitted;
(4) a depository selected by the commissioners court
fails to qualify;
(5) a depository becomes insolvent; or
(6) a new depository is selected because of the
failure of the regular depository to execute a new bond under
Section 117.057.
(b) Before selecting a depository under Subsection (a), the
commissioners court shall advertise for applications from banks
located in this state by publishing a notice of the selection once a
week for two consecutive weeks in a newspaper of general
circulation published in the county. If such a newspaper is not
published in the county, the commissioners court shall post the
notice at the courthouse for two weeks. The commissioners court may
also publish the notice in any newspaper outside the county for the
same length of time.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 8, eff. Sept. 1, 1997.
§ 117.027. FAILURE TO SELECT DEPOSITORY. If the
commissioners court has not selected a depository under this
subchapter, a clerk holding money, an evidence of debt, an
instrument of writing, or any other article deposited into the
registry of the court pending the result of a legal proceeding shall
seal the article in a secure package and deposit the package in an
iron safe or a bank vault.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 9, eff. Sept. 1, 1997.
§ 117.028. APPLICATION OF COUNTY DEPOSITORY
LAW. Except as otherwise expressly stated, the provisions of
Chapter 116 relating to county depositories also apply to a
depository selected under this chapter.
Added by Acts 1997, 75th Leg., ch. 505, § 10, eff. Sept. 1, 1997.
SUBCHAPTER C. DEPOSITORY ACCOUNTS
§ 117.052. DEPOSITS OF REGISTRY FUNDS BY COUNTY AND
DISTRICT CLERKS. (a) If a depository has been selected under
Subchapter B, a county clerk or a district clerk who is to have for
more than three days legal custody of money deposited in the
registry of the court pending the result of a legal proceeding shall
deposit the money in the depository.
(b) The funds deposited shall be carried at the depository
selected under this chapter as a special account in the name of the
clerk making the deposit.
(c) A clerk is responsible for funds deposited into the
registry fund from the following sources:
(1) funds of minors or incapacitated persons;
(2) funds tendered in an interpleader action;
(3) funds paid in satisfaction of a judgment;
(4) child support funds held for more than three days;
(5) cash bonds;
(6) cash bail bonds;
(7) funds in an eminent domain proceeding; and
(8) any other funds tendered to the clerk for deposit
into the registry of the court.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 11, eff. Sept. 1, 1997; Acts 2001,
77th Leg., ch. 292, § 1, eff. May 23, 2001.
§ 117.0521. CUSTODIANSHIP. A clerk shall act only in a
custodial capacity in relation to a registry fund, a special
account, or a separate account. A clerk is not a trustee for the
beneficial owner and does not assume the duties, obligations, or
liabilities of a trustee for a beneficial owner.
Added by Acts 1997, 75th Leg., ch. 505, § 12, eff. Sept. 1, 1997.
§ 117.053. WITHDRAWAL OF FUNDS. (a) If a
commissioners court selects a new depository under Subchapter B,
when the depository qualifies, the county clerk and the district
clerk shall transfer the funds in a special account from the old
depository to the new depository, and the clerks may draw checks on
the accounts for this purpose.
(b) Except as provided by Subsection (a), a clerk may not
draw a check on special account funds held by a depository except to
pay a person entitled to the funds. The payment must be made under
an order of the court of proper jurisdiction in which the funds were
deposited except that an appeal bond shall be paid without a written
order of the court on receipt of mandate or dismissal and funds
deposited under Section 887, Texas Probate Code, may be paid
without a written order of the court. The clerk shall place on the
check the style and number of the proceeding in which the money was
deposited with the clerk.
(c) The clerk shall transfer any registry funds into a
separate account when directed to by a written order of a court of
proper jurisdiction or when the clerk is required to under Section
887, Texas Probate Code. The clerk shall transfer the funds into a
separate account in:
(1) interest-bearing deposits in a financial
institution doing business in this state that is insured by the
Federal Deposit Insurance Corporation;
(2) United States treasury bills;
(3) an eligible interlocal investment pool that meets
the requirements of Sections 2256.016, 2256.017, and 2256.019,
Government Code; or
(4) a no-load money market mutual fund, if the fund:
(A) is regulated by the Securities and Exchange
Commission;
(B) has a dollar weighted average stated maturity
of 90 days or fewer; and
(C) includes in its investment objectives the
maintenance of a stable net asset value of $1 for each share.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 13, eff. Sept. 1, 1997.
§ 117.054. COUNTY EXPENSES PAID FROM INTEREST. (a) If
a special or separate account earns interest, the clerk, at the time
of withdrawal, shall pay in a manner directed by a court with proper
jurisdiction the original amount deposited into the registry of the
court and any interest credited to the account in the manner
calculated in Subsection (b).
(b) The interest earned on a special account or a separate
account shall be paid in the following amounts:
(1) 10 percent of the interest shall be paid to the
general fund of the county to compensate the county for the
accounting and administrative expenses of maintaining the account;
and
(2) 90 percent of the interest shall be credited to the
special or separate account.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1997, 75th Leg., ch. 505, § 14, eff. Sept. 1, 1997.
§ 117.055. COUNTY EXPENSES PAID FROM FEES. (a) To
compensate the county for the accounting and administrative
expenses incurred in handling the registry funds that have not
earned interest, including funds in a special or separate account,
the clerk shall, at the time of withdrawal, deduct from the amount
of the withdrawal a fee in an amount equal to five percent of the
withdrawal but that may not exceed $50. Withdrawal of funds
generated from a case arising under the Family Code is exempt from
the fee deduction provided by this section.
(b) A fee collected under this section shall be deposited in
the general fund of the county.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 16(a), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 15, eff. Sept. 1, 1997; Acts 1999,
76th Leg., ch. 119, § 1, eff. Sept. 1, 1999.
§ 117.056. OBLIGATIONS PAYABLE AT COUNTY SEAT. (a) A
depository selected under Subchapter B shall pay a check drawn by a
county or district clerk against funds deposited in the clerk's
name on presentment of the check at the county seat if the funds
subject to the check are in the possession of the depository.
(b) If the depository is not located at the county seat, the
depository shall file a statement with the county clerk of the
county designating a place at the county seat where, and a person by
whom, deposits by the clerks will be received and checks drawn on
the depository will be paid. The depository shall pay a check on
presentment at the designated place if the depository has
sufficient funds credited to the applicable account.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989.
§ 117.057. NEW BOND. (a) A commissioners court may
require a depository selected under Subchapter B to execute a new
bond whenever the commissioners court considers it necessary for
the protection of the county clerk's and the district clerk's
registry funds.
(b) If a depository does not file a new bond required by an
order of the commissioners court within five days after the date a
copy of the order is served on the depository, the commissioners
court may select another depository in the manner provided by
Subchapter B.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 16, eff. Sept. 1, 1997.
§ 117.058. ACCOUNTING FOR AND DISBURSING REGISTRY FUNDS
IN COUNTIES WITH POPULATION OF 190,000 OR MORE. (a) This section
applies to a county with a population of 190,000 or more.
(b) If the commissioners court of a county provides a
depository for the registry funds of the county clerk or the
district clerk, those officers shall make reports under oath to the
county auditor to properly reflect all registry funds received and
disbursed by the officer, including all money remaining on hand at
the time of the report. The county auditor shall prescribe the form
and frequency of the report.
(c) Each check issued for the disbursement of the funds must
be issued in accordance with the laws providing for registry fund
depositories. Each check must be signed according to procedure
established by the county auditor before delivery or payment.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1997, 75th Leg., ch. 505, § 17, eff. Sept. 1, 1997.
SUBCHAPTER D. LIABILITIES AND PENALTIES
§ 117.081. LIABILITY OF COUNTY AND DISTRICT
CLERKS. (a) A county clerk or a district clerk is not responsible
for a loss of registry funds resulting from the failure or
negligence of a depository.
(b) This section does not release a county clerk or a
district clerk from:
(1) liability for a loss of registry funds resulting
from the clerk's official misconduct, negligence, or
misappropriation of the funds; or
(2) responsibility for keeping the registry funds safe
until the clerk deposits them in a depository selected under
Subchapter B.
(c) After a county clerk or a district clerk deposits in a
depository selected under Subchapter B the registry funds held by
the clerk, the clerk is relieved of the responsibility for keeping
the funds secure.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 18, eff. Sept. 1, 1997.
§ 117.083. LOSS OF REGISTRY FUNDS. If registry funds
held by a county clerk or a district clerk and deposited by the
county with a depository selected under Subchapter B are lost for
any reason, including a loss due to the insolvency of the
depository, the county is liable to the rightful owner of the funds
for the full amount of the funds due the owner.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 19, eff. Sept. 1, 1997.
§ 117.084. DEPOSITORY TO PAY CHECK ON PRESENTMENT. A
depository selected under Subchapter B shall pay a check drawn
against funds deposited with the depository in a special or
separate account on presentation of the check if the funds that are
subject to the check are in the possession of the depository.
Acts 1987, 70th Leg., ch. 149, § 1, eff. Sept. 1, 1987. Amended
by Acts 1989, 71st Leg., ch. 1, § 17(d), eff. Aug. 28, 1989; Acts
1997, 75th Leg., ch. 505, § 20, eff. Sept. 1, 1997.
SUBCHAPTER E. SPECIAL PROVISIONS APPLYING TO FUNDS PAID INTO COURT
REGISTRY IN COUNTY WITH POPULATION OF MORE THAN 2.4 MILLION
§ 117.111. SUBCHAPTER APPLICABLE TO COUNTY WITH
POPULATION OF 2.4 MILLION OR MORE. This subchapter applies only to
a county with a population of 2.4 million or more.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.112. MONEY AFFECTED. This subchapter applies to
the following kinds of money paid into the registry of any court for
which a clerk is or may become responsible:
(1) funds of minors or incapacitated persons;
(2) funds tendered in connection with a bill in
interpleader; or
(3) any other funds.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989. Amended by Acts 1999, 76th Leg., ch. 196, § 1, eff. Aug.
30, 1999; Acts 2001, 77th Leg., ch. 292, § 2, eff. May 23, 2001.
§ 117.113. DEPOSITORY CONTRACT. The commissioners
court of the county collecting the funds may contract with one or
more banks in the county for the deposit of the funds in a special
account to be called the "registry fund."
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.114. NOTICE. Once each week for at least three
consecutive weeks before the date the contract will be awarded, the
county judge shall place over the judge's name in a newspaper
published in the county a notice that the commissioners court
intends to make the contract. A notice shall also be posted at the
courthouse door of the county.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.115. APPLICATIONS. A bank in the county that
wants to be a special depository for the registry fund is subject to
the same application provisions as those prescribed by Section
116.023 for the applicants for the county depository contract.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.116. SELECTION OF DEPOSITORY. At the time and
place stated in the notice, the commissioners court shall select a
special depository for the registry fund in accordance with the
same provisions as those prescribed by Section 116.024 for the
selection of a county depository.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.117. QUALIFICATION AS DEPOSITORY. A bank
selected as a special depository for the registry fund must qualify
as the depository in accordance with the same provisions as those
prescribed by Subchapter C, Chapter 116, for the qualification as a
county depository.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989.
§ 117.118. APPLICATION OF COUNTY DEPOSITORY
LAW. Matters regarding special depositories for the registry fund
are subject to the same provisions as those prescribed by Chapter
116 regarding county depositories.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989. Amended by Acts 1991, 72nd Leg., ch. 752, § 1, eff. Aug.
26, 1991.
§ 117.119. DEPOSIT OF FUNDS. Money paid into the
registry of the court shall be deposited by a clerk into the
registry fund at the special depository.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989. Amended by Acts 1991, 72nd Leg., ch. 752, § 1, eff. Aug.
26, 1991; Acts 1999, 76th Leg., ch. 196, § 2, eff. Aug. 30, 1999.
§ 117.120. CUSTODIANSHIP. A clerk shall act only in a
custodial capacity regarding the registry fund, is not considered
to be a trustee for the beneficial owner, and is not considered to
have assumed the duties, obligations, or liabilities of a trustee
for the beneficial owner.
Added by Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28,
1989. Amended by Acts 1999, 76th Leg., ch. 196, § 3, eff. Aug.
30, 1999.
§ 117.121. DISBURSEMENT OF FUNDS. (a) Money may be
paid from the registry fund only on checks or drafts signed by a
clerk on the written order of the court with proper jurisdiction,
except that the clerk may make a payment without court order for
unpaid court costs from a cash bond deposited in connection with an
appeal after the appellate court issues its mandate in the appeal if
the costs remain unpaid for 45 days after the mandate is issued.
(b) All checks or drafts issued for the disbursement of the
registry fund must be submitted to the county auditor for the
auditor's countersignature before delivery or payment. The county
auditor may countersign the checks only on written evidence of the
order of the judge of the court in which the funds have been
deposited, authorizing the disbursement of the funds.
(c) Notwithstanding Subsections (a) and (b), a disbursement
under an order of a court in which registry funds have been
deposited may be made by electronic transfer if:
(1) the designated recipient of the money submits to a
clerk a written request for the transfer;
(2) the clerk gives written approval for the transfer;
and
(3) a county auditor countersigns the approval.
(d) A clerk may charge a reasonable fee, subject to the
approval of the recipient of the money, for an electronic transfer
of a disbursement from a registry fund.
Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28, 1989.
Renumbered from § 117.122 by Acts 1991, 72nd Leg., ch. 752, §
2, eff. Aug. 26, 1991; Acts 1997, 75th Leg., ch. 505, § 21, eff.
Sept. 1, 1997. Amended by Acts 1999, 76th Leg., ch. 196, § 4,
eff. Aug. 30, 1999.
§ 117.122. INTEREST. (a) The interest derived from
money on deposit in the registry fund shall be paid as earned as
follows:
(1) a sum equal to 10 percent of the interest shall be
paid into the general fund of the county to reimburse the county for
the expenses of maintaining the registry fund; and
(2) the remaining 90 percent of the interest shall be
credited to the registry fund.
(b) For each withdrawal, a clerk shall pay out the original
amount deposited in the registry of the court and 90 percent of the
interest earned on that amount at the time and in the manner
directed by the court with proper jurisdiction.
Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28, 1989.
Renumbered from § 117.123 and amended by Acts 1991, 72nd Leg.,
ch. 752, § 3, eff. Aug. 26, 1991. Amended by Acts 1999, 76th
Leg., ch. 196, § 5, eff. Aug. 30, 1999.
§ 117.123. AUDIT. (a) In addition to the regular
auditing procedures of the county auditor, the registry funds shall
be audited at the end of each county fiscal year by an independent
certified public accountant or a firm of independent certified
public accountants of recognized integrity and ability selected by
the commissioners court.
(b) A written report of the audit shall be delivered to the
county judge, each county commissioner, and a clerk within 90 days
after the last day of the fiscal year. A copy of the audit shall be
kept at the clerk's office and shall be open to inspection by any
interested person during normal office hours. The cost of the audit
shall be paid by the county.
Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28, 1989.
Renumbered from § 117.124 and amended by Acts 1991, 72nd Leg.,
ch. 752, § 4, eff. Aug. 26, 1991. Amended by Acts 1999, 76th
Leg., ch. 196, § 6, eff. Aug. 30, 1999.
§ 117.124. LIABILITY OF CLERK. (a) A clerk is not
responsible for:
(1) a loss of funds resulting from the failure or
negligence of a depository; or
(2) the safety of funds after deposit in a depository
selected under this subchapter.
(b) A clerk is responsible for:
(1) a loss of funds resulting from the clerk's official
misconduct, negligence, or misappropriation of the funds; and
(2) the safety of funds before deposit in a depository
selected under this subchapter.
Acts 1989, 71st Leg., ch. 1, § 17(b), eff. Aug. 28, 1989.
Renumbered from § 117.126 and amended by Acts 1991, 72nd Leg.,
ch. 752, § 5, eff. Aug. 26, 1991. Amended by Acts 1999, 76th
Leg., ch. 196, § 7, eff. Aug. 30, 1999.
§ 117.125. TRANSFER OF MONEY. (a) In the absence of a
contrary order from a court having jurisdiction over the registry
fund, a clerk may transfer money deposited in the fund into a
separate account.
(b) A clerk shall transfer all money deposited in a registry
fund under Section 887, Texas Probate Code, into a separate
account.
(c) Money transferred into a separate account under this
section must be:
(1) transferred into an account authorized for
investment under Chapter 2256, Government Code, by a local
government or investment pool; and
(2) invested according to the investment officer
designated under Section 2256.005, Government Code, by the
investing entity of which the county is a member.
(d) A transfer of money into a separate account under this
section is exempt from the requirements prescribed by Section
117.121 for disbursements from registry funds.
(e) An investment of money transferred from a registry fund
under this section is subject to the limitations, policies, and
standards of care provided by Chapter 2256, Government Code.
Added by Acts 1999, 76th Leg., ch. 196, § 8, eff. Aug. 30, 1999.
