NO BONDING COMPANIES WANT SYLVIA GARZA-PEREZ BIZ

By Juan Montoya
What do do the local bonding companies and their parent insurance companies know that we don't?
Apparently, they know enough that Cameron County cannot find one that will put up the elected official's bond for incoming Cameron County Clerk-elect Sylvia Garza-Perez.
Insiders tell us that county officials they have run out of possibilites to have Ms. Garza-Perez bonded because local insurers won't (or can't?) issue the bond necessary for her to take office.
Now the state statutes covering the bonding of the county clerk is pretty specific in Texas.
In the case that the county cannot find a bonding company, the county can self-insure the officials and be responsible for any loosses incurred during the term of office.
The Texas Association of Counties outlines the requirements for this bond.
County Clerk
Bond Requirements: Before beginning to perform the duties of office, the county clerk must execute a bond either with four or more good and sufficient sureties or with a surety company authorized to do business in the state as a surety. In lieu of the bond, the county may self-insure against losses that would have been covered by the bond.
The bond must be approved by commissioners court, made payable to the county, conditioned that the clerk will faithfully perform the duties of office, and in an amount equal to at least 20 percent of the maximum amount of fees collected in any year during the term of office preceding the term for which the bond is to be given, but not less than $5000.00 nor more than $500,000.00. If a bond is required the taking of the official oath must be endorsed on the bond. The bond oath shall be recorded in the county clerk’s office and deposited in the office of the clerk of the district court. TEX. LOC. GOV. CODE, §82.001.
Additional coverage: The county clerk is additionally required to obtain an insurance policy or similar coverage from a governmental pool operating under Chapter 119 15 covering the clerk and each deputy clerk against liability incurred through errors and omissions in the performance of their official duties. TEX. LOC. GOV. CODE, §82.003(a). The policy or other coverage must be in an amount equal to the maximum amount of fees collected in any year during the term of office preceding the term for which the policy is to be obtained. TEX. LOC. GOV. CODE, §82.003(b). However, the policy or other coverage document must be in an amount of at least $10,000 but is not required to exceed $500,000. If the policy or other coverage document provides coverage for other
county officials, the policy or other coverage document must be in an amount of at least $1,000,000. TEX. LOC. GOV. CODE, 82.003(b). The commissioners court may establish a contingency fund to provide the coverage required if it is determined by the county clerk that insurance coverage is unavailable at a reasonable cost. TEX. LOC. GOV. CODE, §82.003(c). An additional filing fee, not to exceed $5, may be established to pay into the fund. TEX. LOC. GOV. CODE, §82.003(c). When the fund reaches an amount equal to the coverage required, the clerk shall stop collecting the fee. TEX. LOC. GOV. CODE, 82.003(c).
It's too bad that the insurance companies whch have declined the business of insuring Ms. Perez-Garza aren't saying why they son't want any part of the business. Maybe Erin Garcia's brother can give her a little assistance in this matter.