If you are required to have food grading and inspection services at your facility in Texas, you are required under Cooperative Agreement 12-25-A-4852 dated February 4, 1992, between the Agricultural Marketing Service of the United States Department of Agriculture, and the Texas Department of Agriculture to file a Texas Cooperative Inspection Program Bond as a condition of licensure.
A surety bond protects the party requesting the bond, the Obligee, against any financial losses as a result of poor financial decisions, damages, unethical decisions, or a failure to follow state and local laws on the part of you, the Principal. The Texas Cooperative Inspection Program Bond holds you accountable for your business decisions.
By possessing a Texas Cooperative Inspection Program Bond, you are telling your Obligee that you can be trusted as a Principal and that you stand behind your business decisions.