Untitled Texas Attorney General Opinion

THEAYTOFCNEY GENERAE. QF TEXAS Honorable H.R. Nieman, dr. Executive Director State Buildins Commission Sam Houston S%ate Office Building Austin 1, Texas Opinion No. C- 78 Re: Whether the State Building Comais- sion may enter into certain con- tracts with other state agencies and have certain funds appropriated to such agencies transferred to the Building Commission for payment of services under such contract. Dear Mr. Nieman: The question posed by your opinion request is as fol- lows : ?The State Building Commission in the conduct of work and program advancement must know whether it may enter into contracts with other State agen- cies and departments whereby the State Building Commission performs certain services including fur- ther contractual obligations for the agency or de- partment and have funds appropriated to the agency or department transferred to the State Building Commission in payment for the, services and work un- der contract .I’ Your letter also outlines a specific problem as an ex- ample.. The Department of Public Welfare is one of the agencies which will be’housed in the John H. Reagan State Office Building when the building is completed. Recently the Department of F'ub- lit Welfare has purchased an IBM machine which they desire to have installed in the new building. This machine was not included in the original plans and specifications of the building and the building is almost completed at the present time. In order to in- stall this equipment and have it function properly, it is neces- sary to augment the air conditioning within the designated room location and furnish an additional source of electrical power supply. The cost of this work including fees, amounts to $17,- 306.95. The Department of Public Welfare has stated that they -379- Hon. H. R. Nieman, Jr;, page.2 (C- 78) have the appropriated fundsto cover the installation in the amount stipulated. Suf.ficient contingency funds originally appropriated to the State Building Commission for the structure do not remain to cover the installation of this newly acquired and unforeseen IBM machine requirement. It is timely and advan- tageous to the State to complete the necessary installation dur- ing construction of the building and have the designated space available for agency occupancy at the time the structure is ac- cepted on behalf of the State of Texas. Air conditioning serv- ice supply ducts, piping, and electrical service systems will have to be shut off, disrupted, and generally altered ultimately to install the IBM machines at a greater cost after the building is occupied and at a great inconvenience to all other agencies in the building. The State Building Commission was created by Article 678111,Vernon’s Civil Statutes, a part of which provides as fol- ‘lows : Wet. 5. The Coamlsslon is authorized to take any action and enter into any contracts necessary to provide for the obtaining of sites and the planning, designing and construction of the buildings and memorials provided for. . . .‘I In Attorney General’s Opinion No. NW-1120 (1961) this office held that the provisions of Article would cons Eitute 678111 sufficient authority for the State Building Comlssion to obtain the services of and enter into contracts with other &ate agen- ties. Section 3 of Article %13(32), Vernon’s Civil Statutes, reads in part as follows: ‘#Any State agency may enter into and perform a written agreement or contract with other agen- cies of the State for furnishing necessary and au- thorised suec&;L or j&q&&Cal erviw including the services of emulovees. thess8rviceg of lnater- ials, or the services-of equipment. The actual cost of rendering the services, or the nearest es- timate of the cost that is practicable shall be reimbursed, except in the case of ser vi ce rendered in the fields of national defence or disaster re- lief, or in cooperative efforts proposed by the Governor, to promote the economic development of the State. . . .‘I (Emphasis added). -380- :Ion. H. R. Piema::, Jy., page 3 ..(C-78) Section 6 of Article 4413(32), Vernon's Civil~Statutes, reads as follows: "Payments for such services by a receiving agency shall be made from the ap~propriation items or accounts of the receiving agency from -~ 3. which like SXp8nditUrSS would normally be made, based upon vOUCh8rS drawn for this purpose by ," the receiving agency payable to the furnishing agency. . . .'I It is the opinion of this office that the State Build- ing Commission has the power and authority:md.er. Section.3.of Article %13(32) to enter into agreements or contracts with other State agencies whereby the Commission performs services for the other agency. The services rendered by the State Building Commis- sion would be flspecial" or l%echnical servicestm wit%io the meaning of Article.%l3(32). In regard to the specific problem of the installation of the IBM machine, the Building Commission and the Department of Public Welfare may enter into a contract whereby the Building Com- mission will draw the plans and Sp8CifiCStiOnS for the installa- tion and oversee the actual Installation. The Building Cormisslon could subcontract the actual installation work since this building Is still under the control and management of the Commission. Th8 contract would be subject to the limitations on interagency con- tracts and agreements contained in Article %13(32), and pa ment would have to be made in accord with Section 6 of Article 4L3 (32) as quoted above. . Under Article &13(32), Vernon's Civil Statutes the State Building Commission may enter into contrac 4 s with other state agencies and have funds appropriated to such agencies transferred to the Building Commis- sion for payment of services under such contract. Yours very truly, WAGGONER CARR Attorney General yk44.A s’caup/sL By Jack G. Norwood JGN:wb Assistant Ron. H. R. Nieman, Jr., pag‘e 4 (C- 78) APPROVXD: OPINIONCOMMITTEE W. V. Geppert, Chairman John ReeV8S Samuel Pharr J. C. Davis Joseph Trimble APPROVEDFOR THE ATTORNEY GENERAL BY: Stanton Stone -382-