Untitled Texas Attorney General Opinion

. The Honorable Bob Bullock Opinion No. H-1068 Comptroller of Public Accounts L.B.J. Building Re: Constitutionality of Austin, Texas 787-74 article 1118x, V.T.C.S. Dear,&. l+lloc+: You have asked several questions regarding article,ll18x, V.T.C.S., which was recently amended by Acts 1977, 65th Legis- lature, -chapter 863, at 2168. The legislation authorizes creation of metropolitan'rapid transit'authorities and in most respects is identical to Acts 1973, 63ra Legislature, chapter 141, ,at'302 which was the subject of Attorney General Opinion- H7119 0q73.1. "_' '.. Your first.question is: .a.- : Is section 11B of Tex. Rev. Civ. Stat. Ann. art. 1118x which creates a.local sales and use tax void pursuant to Tex. . Const. art. III 5 35 since the title (caption) of H.B. 657 contains no men- tion of.the creation of a tax? Article 3, section 35 of the Texas Constitution requires that the subject~of a bill be expressed in its title. The title of the legislation which forms the basis of your inquiry is: An Act relating to the creation, ad- i' ministration,and powers of metropoli- tan rapid transit authorities; amending Sections 1 through 17A of, and adding Sections 6C and 11B to, Chapter 141, Acts of the 63ra Legislature, Regular Session, 1973, as amended (Article 1118x, Vernon's Texas Civil Statutes). It is well established that article 3, section 35 does not require every detail of a bill to be recited in its caption. It is sufficient if the general object is'expressed and the provisions of the bill are related or germane to the p. 4576 The Honorable Bob Bullock - Page 2 (~-1068) general object expressed in the caption. xqr, Robinson v. H&, 507'S.W.2d 521 (Tex. 1974); --- State v. Spartan's Industries, Inc., 447 S.W.2d 407 (Te%. 1969) app eal dismissed 397 U.S. 590 (1970); King v. Carlton ,Independent School Dist., 295 S.W.2d 408 (Tex. 1956). Here the title gives notice that the bill relates to the powers of 'a 'metropolitan rapid transit authority which we believe is more than sufficient under the constitutional te\st to include powers of taxation.- Another question you pose is: :Does H.B. 657 violate Tex. Const. art. III S56?. ..(, ‘. ; ‘. ~. Article '3,,section 56 of the T&as Constitution prohibits the enactment of certain local and special laws. -. This question was.discusied in great detail in Attorney General.Dpinion'H-119 (1973) where it was determined that the Act involved there was not a local or special.law. The present statute is identical to'the one considered in Attorneys General Opinion H-119 except,that the population classification in the 1977 statute is substantially broader than the one in the 1973 Act.:? Accordingly, we believe Attorney General.Opinion H-119 requires a finding that this.statute is not a prohibited local or special law. ., You,also~ask: : :-Does Section &.of H.B. $57 violate Tex. Const, art. .I.S 28, art. II S 1, art.. III S 1 since the section reenacts Section -.13.of.Tex. Rev. Civ. .Stat. Ann.. art. 1118x which Tex. Att'y Gen. Op. No. H-119 (1973) declared unconstitutional? The provision you challenge here permits the authority to promulgate rules and-regulations and to.make violation of those rules and regulations punishable by fine or imprison- ment. The language oE.this provision is identical to that found in section 13'of the statute considered in Attorney General Opinion H-119. The provision was found to be uncon- stitutional in that opinion, and since the same language appears in the 1977 Act.we believe it is invalid here as well. We.note, however, that you pose your question in terms of the constitutionality of section 1 of Acts 1977, 65th Legislature, chapter 863, at 2168 (House Bill 657) and suggest that the entire section .is invalid. Section 1 contains and incorporates quoted sections 1 through 17A of article 1118x, V.T.C.S.- The section includes all of the substantive provisions of the bill, and if it is unconstitutional, the entire bill is invalid. The quoted section 13, which is the portion of &he legislation found unconstitutional in Attorney General Opinion H-119, is. The Honorable Bob Bullock. -: Page 3 (D&1668) .: only a small part of the statute'and does not affect the 1 basic powers and responsibilities of the authority. The Legislature has specifically provided that all statutes are severable and.that an unconstitutional portion of a statute will not affect theremainder qf.the Act. _ V.T.C.S..art. lla. Here, it is our opinion the quoted section 13 of section 1 of the Act is invalid, butits invalidity-does not affect any of the remainder of-the Act or the basic powers or responsi- gilities of-*the rapid transit authority. YOU ask: -Does the creation of the local sales and,, use-tax for the purpose of funding metro-. politan rapid transitauthorities violate 'Tex. Const. art.:VIII S 3 %ince.it is a ..: 1tax for reveiure.purposes.iinlike:the .'emission taxiwhich-Tex .Att'y Gen. Op.. -. -No. ET119 (1973) found to beregulatory . in,:nature? ' :.. Article 8, section a3 of the Texas;Con&t&ion provi&s:.~' Taxes-shall be.levied and.collected:by .general laws+and for publitzpurposes only. . .. : The issue~presented in Attorney GeneralDpinion H-119 was whether the emissions.tax suffered the same constitutional defect under article 8, section 3 of the Texas Constitution as aid the *wheel tax" in County of Harris v. Shepperd, 291 S.W.2d 721 (Tex.,l956)r The Supreme Court found that-tax to ~: be unconstitutional sincethe Act was a local law and the'fee aufhorized:by the statute was a tax:rather than a regulatory device. If.either the statute had been a general law or the fee had.been a regulatory measure, the requirements of article 8, section.3 would have been satisfied. .Although either find- ing would have,been sufficient to save the statute, neither finding.was:possible in County of Harris'v.,Shepperd. In Attorney General Opinionpgs Were made. Since we have determined that article 1118x is a general law, it is irrelevant that the sales and use tax is.a revenue rather than a regulatory measure. We note that the.zjistinction between revenue .measures and regulatory measures..has been important in.the context of con- stitutional provisions.relating to ad valorem taxes, Atkins V. State Highway Dep't, 201 S-W. 226 (Tex. Civ. App; -- Austin i918, no writ), but since your question involves a sales tax rather than a property tax we need not consider those provisions. p. 4578 _. i . . The Honorable Bob.Bullock.' .:..iPage 4 '(H'&lO68j You.also ask:: ..' *Does .the".Legi'slature.havethe' constitu-:.. tional'authority to create 'a metropolitan rapid transitauthority with taxing power .s.inc&:,sucha%r.eation is not*specifically constitutionally authorized'as are other special .districts such as hospital~dis- tricts Tex. Const: art: IX 9,>9, navigation " districts Tex. Const. art. XVI 9 59, and road districts Tex. Const; a~rt. III 9 52?., .. ~;'. :;, The Supreme Court of Texas has &ecifically rejected arguments that.only.those'bodies .politic.authorised:in the constitution.maybe created:.Davis 'v. City,..of. Lubbock, 326. S.W.2d 699 (Tex...l959)::-TexasTurnpike Authority vI Shepperd, 279 S.W.2d 302 (Tex.L:1955),. Unlike.the federal constitution, the state constitution.is a 'limitation rather .than.a:.grantof power. An act of.the.Legislature-is valid unless a'.specific provision of the constitution prohibits it:"Shepperd v. San Jacinto Junior College Dist., 363 S.W.2d 742 (Tex. 1962). In San Jacinto Junior College District;~theSupreme.Court said: :. It'follows that.if.there be no limita- tion found in-the Constitution, the legis- lature would be fully empowered to create ..;orauthorize the creation of ;~ ;~ -*districts : and:authorize.them to levy .an ad:valorem ' ,tax; .: ._ Id. .at-*743;-'ThecoGrt:uitimately'deciaed the.case on a'dif-9 ferentground since it'.foundindependent.constitutional.author- ity.for the~'creation of: junior college districtswith the power to levyian -ad valorem tax. -'However,~the arguments presented as potentially limiting.the Legislature'spower.all related to ad valorentaxation and are not relevant hereywhere a salesand use tax is.involved. :Tex; Const. 'art. 8, S 17;'American Transfer and Storage.Co,. v.' Bullock; ,525 S.W.2d.918 .(Te~.:Civ::App. .&- Austin 1975,.writ ref:'.d);> ~. .. .~ S%IJ M &A D Y " Article 1.118x, V.T.C.S., as amended by Acts.1977, 65th Legislature, chapfer.863, at 2168 is constitutional with the ex- ception of:section 13 which permits the rapid transit authority to establish penalties for violation of itsrules'anh regulations. p. 4579 : The'H&&&ie Bob Bull& - Page S (H-1068) Very truly yours; Attorney General of Texas Opinion.Conmitt&e Opinion.Conmittee jst' p. 4580