Any incorporated city, town or village in the State of Texas which is authorized by law to procure a contract insuring its respective employees or any class or classes thereof under a policy or policies of group insurance covering one or more risks may pay all or any portion of the premiums on such policy or policies from the local funds of such city, town or village.
Tex. INSURANCE CODE NOT CODIFIED tit. 1, ch. 3, subch. E, art. 3.51-1