Texas HB3975 authorizes credit unions to act as school district depositories.

Texas HB3975 amends the Education Code to authorize credit unions to act as school district depositories. It allows school districts to select a depository bank or credit union through competitive bidding or requests for proposals. The board of trustees determines the amount of funds to be deposited and the account services offered. Credit unions must be insured by the National Credit Union Share Insurance Fund to qualify. The bill also outlines procedures for extending depository contracts and managing conflicts of interest.

Texas HB3975 authorizes credit unions to act as school district depositories.

Texas HB3975 amends the Education Code to authorize credit unions to act as school district depositories. It allows school districts to select a depository bank or credit union through competitive bidding or requests for proposals. The board of trustees determines the amount of funds to be deposited and the account services offered. Credit unions must be insured by the National Credit Union Share Insurance Fund to qualify. The bill also outlines procedures for extending depository contracts and managing conflicts of interest.