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How much does a child and adult care food program bond cost in Texas?
Non-government organizations applying for status as sponsoring organizations in Texas must post child and adult care food program performance surety bonds. Bond amounts are determined by the organization’s anticipated enrollment and the sum of each meal type claimed by the organization. The following formula is used to determine your required bond amount:
(Total enrollment) x (Current Tier I Reimbursement Rate for Meal Type) x 90
Applicants should verify their required bond amount with the state prior to bonding.
These bonds are subject to underwriting consideration, so the price you’ll pay depends on a review of your personal credit report. The best way to find out exactly how much you’ll pay is to request your free bond quote now!
Why do I need this bond?
By posting a Texas child and adult care food program performance bond, the principal (non-government organization) promises to use all public funds acquired exclusively for the benefit of the program and to make all financial records available to the Texas Department of Agriculture upon their request.
If the principal fails to comply with these terms, the bond protects the state from resulting financial loss up to the full amount of the bond. The principal must reimburse the surety for all sums paid out.
Ready to purchase your Texas CACFP bond? Get started now.
What is the fine print?
CACFP bonds in Texas expire one year after the effective date unless a continuation certificate is obtained from the surety. During the one-year term, bonds remain in full force unless otherwise canceled. If the surety chooses to cancel the bond, it must mail a written cancellation notice to the Department of Agriculture 60 days prior to the effective termination date.
How to become a Child and Adult Care Food Program contractor in Texas
To determine if you’re eligible to become a Child and Adult Care Food Program contractor, visit the CACFP section of the Texas Department of Agriculture’s website.
The CACFP policy and handbook can be accessed here.
More licensing information can be accessed from the "Additional Resources" section of this page.
Take the first step toward becoming licensed in Texas by purchasing the surety bond you need. Our experts make the bonding process fast and easy.