TX MUD public official bonds.
$100 flat.

Before a municipal utility district (MUD) director starts the job, Texas requires a $10,000 bond conditioned on faithful performance of the office. Ours is $100 flat — issued instantly, the price you see is the checkout price. The bond issues the moment you pay — no credit review of any kind, not even a soft pull.

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Required of a MUD director before taking office under Water Code §49.055

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Conditioned on the faithful performance of the director's duties and payable to the district

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$100 flat — the same number for every director, issued instantly

A-ratedA.M. Best carriersInstantunderwriting process1–3 yrterms available

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How it works

Three steps. One sitting.

Public official bonds are the simplest thing in surety. Here's the entire process:

NOW · ONLINE

Apply online

Your details, the district, and an effective date. No credit section in this application, no financials, no follow-up scavenger hunt.

MINUTES, USUALLY

Pay & e-sign

Small fixed official bonds like this are among the bond types that issue right after purchase. At most, 1–2 business days.

SAME DAY

File with the district

Your executed bond and power of attorney arrive by email, ready to file with the district along with your oath of office. Wet-ink original mailed on request.

About this bond

What it is and who needs it.

What the official bond actually guarantees

A Texas municipal utility district is a political subdivision that finances and operates water, sewer, and drainage systems. Its directors are public officials, and before one begins the duties of office, Water Code §49.055 requires a bond — payable to the district and conditioned on the faithful performance of that director's duties.

The amount the statute names for a director is $10,000. It is a three-party arrangement: the director (the principal), the surety, and the district (the obligee). If a director breaches the duties of office and the district is harmed, the district can recover against the bond.

A separate provision (Water Code §49.057) covers officers, employees, and consultants who handle district funds, in an amount the board sets. This page is the $10,000 director bond — the district may pay the premium out of its funds. If the surety pays a claim, the director repays the surety.

Tex. Water Code §49.055 (director bond)Texas Water Code §49.055 requires each director of a water district — including a municipal utility district — to execute a bond for $10,000, payable to the district and conditioned on the faithful performance of the director's duties, before beginning to perform those duties. A related fund-handling bond under §49.057 applies to officers, employees, and consultants in an amount the board sets. Confirm the amount your district requires.

You need this bond if you're

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A newly elected or appointed MUD director filing the bond before taking office

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Re-qualifying for office at the start of a new term

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A director of another water district subject to the same §49.055 bond requirement

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Completing your oath-of-office packet where the bond is filed alongside the oath

One application, issued instantly.

These are the actual issuing fields — no credit section, because this application doesn't have one.

Start the application →

FAQ

Common questions.

How much is the Texas MUD public official bond?The premium is $100 flat, the same for every director — set by our carrier's rate book for this specific bond, not a percentage of the $10,000 amount. The $10,000 is set by Water Code §49.055, so there is no quote process.

Do I pay the $10,000?No. You pay $100 — and your district may reimburse the premium out of district funds. The $10,000 is the surety's maximum liability if you breach the duties of office; it's not a deposit.

What does the bond guarantee?The faithful performance of your duties as a district director. If you breach those duties and the district is harmed, it can recover against the bond — and if the surety pays, you repay the surety.

Is this the same as the fund-handling bond?No. This is the $10,000 director bond under §49.055. The fund-handling bond under §49.057 applies to officers, employees, and consultants who routinely handle district money, in an amount the board sets. Tell us which you need and we will issue it.

Is there a credit check?The application collects no credit information — there's no credit section for a bond this size. Most applications approve instantly.

Related bonds

Other Texas bonds.

File before you take office.

$100 flat, no credit review, bond often issued in the same sitting. Free until issued.

Start application

Your price$100

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