Untitled Texas Attorney General Opinion

HonorableWard W. Markley Opinion No. M- 350 Jasper County Attorney County Courthouse Re: Whether a state agency may Jasper, Texas sell surplus property di- rectly to a county under provisions of Article 666, Vernon’s Civil Statutes, or Article 1722a, Vernon's Dear Mr. Markley: Penal Code. By recent letter, you have requested an opinion from this office regarding the above stated matter. We quote, In part, from your letter as follows: "The Parks and Wildlife Agency has a surplus boat in our County which they would like to sell to the County if at all possible, and I have been asked to obtain an opinion In this connection. "I find that under Article 666, Vernon's Annotated Civil Statutes Section 4(a) One State Agency may transfer or negotiatewith another State 'Agencyfor the transfer of any surplus property. . . . "I am unable to find where a State Agency may negotiate directly with a County for the sale of surplus property without first seeking competitivebids. If there is some way, or some other Statute by which this can be done, I will appreciate very much your opinion in this con- nection." Subsequent to your letter requesting an opinion quoted, in part, above, we have received another letter from YOU, which we quote, in part, as follows: -1738- . Hon. Ward W. MarkleY, Page 2 (M-350) 'In my request for an opinion on the disposal of surplus property by the Qame and Fish Commission to the County, by letter dated February 5th, I am wondering If there is a possibility that this transfer of this boat could be made under the Water Safety Act?" Article 666, Vernon's Civil Statutes, controls the disposition of surplus or salvage state property. Section 4 of Article 666 Is quoted, In part, as follows: "Sec. 4. (a) All state agencies which determine that they have surplus property shall Inform the Board /the Board of Control7 of the kind, number, loFatlon, condition, a-d original cost or value and date of acquisition of the property. The Board may inform other state agencies of Ehe existence, kind, number, location and condition of any surplus property. Any state agency when so informed may negotiate a1 ret W agency transfer of the property but shall inform the Board of its Interest In order that the property will not be sold or disposed of before a transfer may be made. If a transfer of surplus property is made the agencies taking part in the transfer shall mutually agree on the value of the transferredproperty and shall report the value to the Comptroller. The Comptroller shall credit and debit their respective appropriationsand ad- just the state Inventoryrecords to show the transfer if inventoriedproperty is transferred. Transfers of surplus property shall be reported to the Board but the consent of the Board shall not be required for any transfer. After surplus property is reported to the Board it shall not be sold by the reporting agency unless written authority to sell is given by the Board. "(b) If no state agency desires to receive any property reported as surplus the Board shall dispose of the property and recover for the state the maximum money value possible. The Board may by rules and regulationsestablish proceduresfor the sale and dispositionof surplus property,buk shall always seek competitivebids in all sales. (Emphasis added.) -1739- Hon. Ward W. Markley, page 3 (M-350) We agree with your analysis of the above quoted section to the effect that a county Is not empowered therein to negotiate directly wZth or purchase state surplus property from a state agency. Your second question necessitate5an analysis of Article 1722a, Vernon's Penal code, referred to as the "Water Safety Act." Section 4 of Article 1722s Is the only provision of the Act which may relate to the question at hand. This sec- tion concerns the necessity of owners of motorboats to acquire a registrationnumber from the Texas Highway Department before operating upon waters of this State. However, the boat in question Is exempt from the provisions of registrationunder Section 4 by Subsection (3) of Section 8 of Article 1722a, Vernon's Penal Code. Sub- section (3) of Section 8 Is quoted as follows: "Section8. A motorboat shall not be re- quired to be numbered under the Act if it is: "(1) . . , "(2) . . . "(3) A motorboat whose owner is the United States, a state or subdivisionthereof." (Emphasisadded,) The Supreme Court of Texas In City of Stamford v. Ba;lard, 162 Tex. 22, 344 S.W.2d 861 (1961), stated at page : "Section 4 of the Water Safety Act, Article 1722a, Sec. 4, Vernon's Ann.Pen.Code is a regls- tration statute and provides for numbering of motorboats, registration thereof and the issuance to the owner of the boat of a Certificateof Number stating the number awarded to the motor- boat and the name and address of the owner. In the event of the sale of the boat, provision is made for the transfer of the Certificateof Num- ber to the new owner." Based upon a review of Article 1722a, Vernon's Penal Code, and the above cited case, it I.5 our opinion that Article -1740- . Hon. Ward W. Markley, page 4 (M-350) 1722a does not authorize transfer of the boat in question by the Parks and Wildlife Department to your county. We find no other statute or authority by which a state agency may negotiate or sell state surplus property directly to a county other than through competitivebids pursuant to Section 4(b), Article 666. SUMMARY Article 666, Vernon’s Civil Statutes, doe8 not authorize a state agency to negotiate or sell state surplus property directly to a county, but such property may only be sold by competitive bids under Article 666, Sec. 4(b). The "Water Safety Act," Article 1722a, Ver- non's Penal Code, does not authorize a state agency to transfer surplus state property to a county. Prepared by James C. McCoy Assistant Attorney General APPROVED: OPINION COMMITTEE Kerns Taylor, Chairman George Kelton, Vice-Chairman Joseph H. Sharpley Fielding Early Charles Parrett Arthur Sandlin W. V. GEPPERT Staff Legal Assistant -1741-