HE.Li-!I-l-ORNEY GENERAL
OFTEXA~
Honorable Raymond W. Vowel1
Acting Executive Director
Texas State Hospitals and
Special Schools
Austin, Texas
Opinion No. WW-331
Re: Can the Hog Farm Revolving
Fund be reimbursed to the
extent of the value of any
pork furnished to other
Institutions under the
supervision of the Board
for Texas State Hospitals
Dear Mr. Vowell: and Special Schools?
You have requested our opinion on whether or not the
Hog Farm Revolving Fund may be credited with receipts from
other Institutions under the supervision of the Board for Texas
State Hospitals and Special Schools to the extent of the value
of the meat furnished the various Institutions.
The Hog Farm Revolving Fund was provided for in House
Bill 133, Acts 55th Legislature, Regular Session, 1957, Chapter
385, page 906, which reads as follows:
"For the Years Ending
August 31, August 31,
1958 1959
"HOG FARM:
"Out of Central Supply
Revolving Fund:
"There is hereby approprl-
ated from any balance
remaining in the Central
Supply Service Revolving
Fur&as of August 31;
1957, for the establlsh-
ment of a Hog Famn'Revolving
Fund to be used In the
Honorable Raymond W. Vowell, Page 2 (WW-331)
"For the Years Ending
August 31, August 31,
1958 1959
operation of a Hog Farm
at Leander, Texas, the
sum of, or so much
. thereof as may be
available . . . . . . . . $20,000 U.B.
"This Farm shall be
operated on a relmburs-
able basis to serve
Institutions under
such rules and regula-
tions as may be estab-
lished by the Hospital
Board. This fund,~
together with all
receipts deposited to
Its credit, may be used
to pay salaries, pur-
chase supplies and
equipment, and to pay
such other expenses as
may be necessary for
the efficient operation
of the Hog Farm."
In the above section of the appropriation bill, the
Legislature clearly expressed its Intent to establish a Hog
Farm Revolving Fund, which fund was to be continually replenished
by receipts from the several institutions under supervision of
the Board for Texas State Hospitals and Special Schools to the
extent of any meat used by said schools and hospitals.
In Attorney General's Opinion No. WW-320, It was
stated that the Hog Farm was part of the Texas State HospltaIs
and Special Schools and any sum of money appropriated to the Hog
Farm was appropriated to the central office of the Board for
Texas State Hospitals and Special Schools, and the money so
appropriated was to be expended by that branch for the purpose
Indicated In the appropriation bill.
The Hog Farm Revolving Fund which was set up by the
55th Legislature, clearly provided that the Hog Farm was to be
operated on a reimbursable basis to provide meat for institutions
under such rules and regulations as may be established by the
Hospital Board. The funds in the Hog Farm Revolving Fund could
be expended only for the purpose of operating the Hog Farm by
the Hospital Board for the benefit of various Institutions In
Honorable Raymond W. Vowell, Page 3 (WW-331)
administering the Revolving Fund.
It Is our opinion that the provisions of House Bill
133, set out above, clearly express the intent of the Leglsla-
ture that the Hog Farm Is to be supported out of a Revolving
Fund, which fund Is to be reimbursed by the several Institutions
to the extent of any meat used by said lnstltutlons. Further,
the above provision of House Bill 133 specifically provides for
this accounting procedure.
It is further our opinion that the supplying of meat
to these institutions does not Involve a purchase or sale, but
instead, Is merely a self-supporting supply procedure for which
each Institution under the State Board for Hospitals and
Special Schools Is to pay its proportionate share of the expense
Involved In maintaining the perpetual supply of fresh meat.
SUMMARY
The Hog Farm Revolving Fund Is
to be administered by the State
Board for Texas State Hospitals
and Special Schools for the
benefit of the various lnstltu-
tlons under said Board. Therefore,
the intent of the Legislature, as
expressed In the appropriation bill
which provided for reimbursement to
the Revolving Fund by the using
Institution and the accounting
procedure therefor, does not
involve such a transfer or sale as
was prohibited under any existing
statute. Further, the Revolving
Fund may be credited with receipts
from other Institutions to the
Honorable Raymond W. Vowell, Page 4 (WW-331)
extent of any meat furnished said
Institution.
Yours very truly,
WILL WILSON
Attorney General of Texas
0 0
B)4$rnmAAh
Llnward Shivers
Assistant
a.&w
-Y
Galloway7 alhoun, Jr.
Assistant
LS:GC:pf:jl
APPROVED:
OPINION COMMITTEE
Geo. P. Blackburn, Chairman
J. C. Davis, Jr.
John Reeves
W. V. Geppert
Leonard Passmore
REVIEWED FOR THE ATTORNEY GENERAL
BY: James N. Ludlum