Texas Local Government Code - LOC GOV'T § 105.034. Conditions to Acting as Depository

(1) keep the municipal funds covered by the depository services contract;

(2) perform all duties and obligations imposed on the depository by law and under the depository services contract;

(3) pay on presentation all checks drawn and properly payable on a demand deposit account with the depository;

(4) pay all transfers properly payable as directed by a designated officer;

(5) provide and maintain security at the level required by the provisions of Chapter 2257,  1 Government Code;  and

(6) account for the municipal funds as required by law.