Financial Guarantee In Lieu of Bond

Sec. 232.0045. FINANCIAL GUARANTEE IN LIEU OF BOND. (a) In lieu of the bond an owner may deposit cash, a letter of credit issued by a federally insured financial institution, or other acceptable financial guarantee. (b) If a letter of credit is used, it must: (1) list as the sole beneficiary the county judge of the county in which the subdivision is located; and (2) be conditioned that the owner of the tract of land to be subdivided will construct any roads or streets in the subdivision: (A) in accordance with the specifications adopted by the commissioners court; and (B) within a reasonable time set by the court. Added by Acts 1989, 71st Leg., ch. 1, Sec. 54(b), eff. Aug. 28, 1989.