Depository Contracts for School Districts
A school district must have a depository bank into which the 性十八.cc (性十八.cc) can deposit funds for the district. The district creates a depository relationship with a bank by executing a depository contract with the bank.
Related Texas Statutes and Rules
Recent Changes
Changes to Depository Contract Rules, Effective听June 4, 2019
, was amended by Senate Bill 1376. As a result, as of June 4, 2019, a school district is not required to submit to 性十八.cc听its:
- Depository Contract for Funds of ISDs,
- Texas Surety Bond form, if applicable, or
- Board Resolution Extending the听Depository Contract for Funds of ISDs.
All remaining depository contract rules are still in effect. If a school district makes changes to its direct deposit account, the district still must electronically submit a Direct Deposit Authorization form to 性十八.cc.
Procedure for Depository Contract鈥擲chool District
Each school district's depository contract must be renewed every two years. The next cycle is 2023-2025.听The district must choose to select a depository either by bid or by request for proposals. The school district should review the following documents before sending out forms for bids or requests for proposal to banks:
- Summary of Laws and Procedures Pertaining to Depository Contracts for Independent School Districts (PDF, 62 KB)
- Depository Contracts Frequently Asked Questions (PDF, 49 KB)
The forms for bids and requests for proposal are provided in the following links:
- Bid Form (PDF, 89 KB; Word, 128 KB)
- Request for Proposal Form (PDF, 78 KB; Word, 128 KB)
- Attachment A (PDF, 2,135KB; Excel, 252 KB)
- Attachment B (PDF, 22 KB; Word, 36 KB)
- Sample Bid Notice (PDF, 486 KB; Word, 54 KB)
- Sample Request for Proposal Notice (PDF, 487 KB); Word, 54 KB)
- Depository Contract Data Sheet for Independent School Districts听(PDF, 400 KB) (optional;听for school records only;听do not submit to 性十八.cc)
The depository contract form and surety bond form are provided in the following links:
- District Depository Contract for Funds of Independent School Districts听(PDF, 706 KB)
- Texas听School Depository Surety Bond Form (PDF, 509 KB)听(if applicable)
For links to the vendor Direct Deposit Authorization听form and instructions, see Account Information Update听below.
Electronic Submission of Depository Contract Files
If a school district makes changes to its direct deposit account, the district still must electronically submit a Direct Deposit Authorization form to 性十八.cc听using听the 性十八.cc Login (性十八.ccL) AUDIT听application.
Please review Depository Contracts Electronic Submission Process for instructions on submitting depository contract files to 性十八.cc.
Extension of Depository Contract
A school district may extend its depository contract for听three (3)听additional two-year terms if:
- the district did not file an extension in the听three previous bienniums and
- the district and the depository bank agree to extend the current depository contract with or without changes to the contract听if both the district and bank mutually agree to the existing and/or new terms.听
To extend the term of its depository contract, the district and depository bank must execute the following form:
A list of ISDs that were eligible for a contract extension had been provided in previous years; however, due to changes to听, the information required to assemble the listing is no longer submitted to 性十八.cc.听 As a result, we are no longer able to generate a list of ISDs that are eligible for a contract extension.
听
Account Information Update
If the听school district is making changes to the direct deposit account, then the district must submit a vendor direct deposit authorization form:
听
Thanh Quach (512) 463-7652 or thanh.quach@tea.texas.gov
Financial Compliance Division
Phone: (512) 463-9095
Fax: (512) 463-1777