An Interlocal contract must be authorized by the governing body of the local government when required by law. The local government must provide some proof that the governing body approved entering into an agreement. This proof is usually in the form of an Ordinance or Resolution, and it must be incorporated into the Interlocal Agreement by reference and be attached.

The exception is an Interlocal contract with a municipally owned electric utility, in which the governing body may establish procedures for entering into an Interlocal contract that does not exceed $100,000 without requiring the approval of the governing body. Tex. Gov’t Code §791.011(d)(1).