Tex. Nat. Resources Code Section 111.053
Bond of Public Utility

(a)

Before engaging in business as a public utility, a person, association, or corporation that is to engage in business as a public utility shall file a bond in an amount not to exceed $25,000 that is properly executed and made payable to the State of Texas with the amount of the bond and the sureties on the bond subject to the approval of the commission.

(b)

In lieu of a bond as required by Subsection (a), a person, association, or corporation may deposit with the commission:

(1)

bonds of the United States;

(2)

certificates of indebtedness issued by the United States secretary of the treasury;

(3)

bonds of this state or a county, municipality, or school district of this state; or

(4)

shares or share accounts of savings and loan associations organized under the laws of this state or federal savings and loan associations domiciled in this state, if the shares or share accounts are insured by the Federal Deposit Insurance Corporation.

(c)

The bond or securities in lieu of the bond as provided by Subsection (b) shall be approved by the commission before the bond is filed or the securities deposited.

(d)

After proper notice and hearing as provided by law, the amount of the bond may be changed from time to time by order of the commission, according to the volume of business done or to be done by the public utility.

(e)

The bond shall be conditioned that the public utility will observe the applicable provisions of this subchapter and chapter and the rules of the commission insofar as its business is regulated and controlled by the commission and that the public utility will exercise ordinary care in the storage, preservation, handling, and delivery of petroleum products entrusted to it and shall guarantee the classification, measurements, and grades made by it under its authority and in conformity herewith.

(f)

The bond shall be for the benefit of the patrons of the public utility and their assignees as though they were named obligees in the bond and they shall severally have the right of suit on the bond.
Acts 1977, 65th Leg., p. 2582, ch. 871, art. I, Sec. 1, eff. Sept. 1, 1977. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 8.107, eff. Sept. 1, 2001.

Source: Section 111.053 — Bond of Public Utility, https://statutes.­capitol.­texas.­gov/Docs/NR/htm/NR.­111.­htm#111.­053 (accessed Jun. 5, 2024).

111.001
Definitions 111.002
Common Carriers Under Chapter 111.003
Applicability of Chapter 111.004
General Restriction on Transportation of Oil 111.011
Regulation in Public Interest 111.012
General Jurisdiction of Commission 111.013
Control of Pipelines 111.014
Publication of Tariffs 111.015
Transportation Without Discrimination 111.016
Discrimination Between Shippers 111.017
Equal Compensation for Like Service 111.018
Effect of Commission Order 111.019
Right of Eminent Domain 111.020
Pipeline on Public Stream or Highway 111.021
Pipeline Under Railroad, Street Railroad, or Canal 111.022
Right to Use Street or Alley in City or Town 111.023
Exchange of Facilities 111.024
Limit on Amount of Oil Carried 111.025
Abandoning Connections 111.051
Applicability of Statute to Public Utilities 111.052
Discrimination by Public Utility 111.053
Bond of Public Utility 111.054
Lien for Storage Charges 111.081
Definition of Common Purchaser 111.082
Purpose for Including Certain Entities Under Regulation as Common Purchasers 111.083
Duty of Certain Common Purchasers 111.084
Operation of Gathering Systems for Crude Petroleum 111.085
Applicability of Rate Provisions to Certain Common Purchasers 111.086
Discrimination Between Persons and Fields 111.087
Conditions in Taking Production 111.088
Commission Relief 111.089
Discrimination as to Royalty Oil 111.090
Compliance by Common Purchasers 111.091
Prevention of Discrimination 111.092
Injunction to Prevent Discrimination 111.093
Forfeiture of Charter of Domestic Corporation 111.094
Forfeiture of Charter of Foreign Corporation 111.095
Action for Damages 111.096
Duties and Responsibilities of Common Purchasers, Purchasers, Gatherers, and Transporters 111.097
Antitrust Laws Unaffected 111.131
Commission Rules for Common Carriers 111.132
Commission Rules for Public Utilities 111.133
Enforcement by Commission 111.134
Notice and Hearing 111.135
Validity of Commission Orders 111.136
Review of Orders 111.137
Enlargement and Extension of Facilities 111.138
Books and Records 111.139
Reports 111.140
Filing Monthly Statements 111.141
Grades of Oil 111.142
Equitable Apportionment of Excessive Amount of Crude Petroleum 111.181
Establishing and Promulgating Rates 111.182
Items Included in Rates 111.183
Basis for Rate 111.184
Discretion of Commission 111.185
Temporary Rates 111.186
Reparation and Reimbursement 111.187
Reimbursement of Excess Charges 111.188
Annual Rate Hearing 111.189
Hearing and Determination of Rates 111.190
Hearings to Adjust Rates 111.0191
Costs of Relocation of Property 111.0192
Limitations on the Powers of Eminent Domain in Certain Situations 111.0193
Restoration of Property 111.0194
Pipeline Easements 111.221
Complaints 111.222
Application for Receivership 111.223
Appointment of Receiver 111.224
Duties and Responsibilities of Receiver 111.225
Motion to Dissolve Receivership 111.226
Bond 111.227
Provisions Applicable to Enforcement 111.261
Penalty Recoverable by State 111.262
Penalty Recoverable by Aggrieved Party 111.263
Penalty Recoverable by State and Aggrieved Party 111.301
Certificate Required 111.302
Commission Authority to Issue Certificates 111.303
Certification Procedure 111.304
Transportation Contract 111.305
Other Agencies 111.401
Definition 111.402
Creation of Well Wastewater Corporation 111.403
Corporation Powers 111.404
Condemnation 111.405
Service to Well Wastewater Producers 111.406
Ownership of Stock
Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 111.053’s source at texas​.gov