THE A~ORNEY GENERAL
om-T~xAs
Honorable C. HI Cavness Opinion Wld-209
St ate hait or,
4Qx3Cln, Texas Ret Would it be illegal for a
Collage Cafeteria to buy
mills from a member of the
Legislature who owns a
Dear Mrr Cavness: Dairy?
You have asked this office for an opinion in response
to the following question:
I’Would it be illegal for a College Cafeteria
to buy milk from a member of the Legislature who
owns a dairy?”
In your letter you state that the cafeteria is oper-
ated as an auxiliary enterprise at the hollegei that all state
college auxiliary enterprises handle their cash receipts and
disbursements in a local bank account, and not through the State
Treasury; and further that the contemplated buying of milk would
be on a strictly competitive basis.
Since no articular institution is named in your let-
ter, this opinion wP11 be directed toward all of the state in-
et itutions of higher learning.
State colle es have always maintained some type of
kitchen f
or dining ha1 for the use and benefit of the students.
The authority for operating a dining hall derives from the gen-
eral authority to operate the bollegeb There are many stat-
utes setting forth the duties and powers of the governing boards
of the various colleges. Without quoting all of them, one ex-
ample is found in Article 2647, Vernon’s Civil Statutes, which
reads in part as follows:
“11. .The Board of R,egents bf the State Teach-
ers’ Colleges is charged with the responsibility of
the’general control and management of all State
Teachers’ Colleges for white persons, . 1 ,
"7.'. . said Board shall have power to form-
ulate and estiblish such rules for the general con-
trol and management of the State normal schools for
Honorable C. H. Cavness, page 2 odw-209)
white teachers. for the auditinn and auorovins
of accounts, and for the issuance of vouchers-
and warrants as in their opinion may be neces-
sary for the efficient administration of such
schools.”
Another example
^ -- (Article 2643b, Vernon’s Civil Stat-
utes) reads in part as I~OUQWS:
“Sec. 7. The Directors . . . shall enact
such by-laws, rules and regulations as may be
deemed necessary for the successful management
and government of the institution. . . .‘I
Prior to 1933 the governing boards of the several
state colleges apparent I y were permitted to disburse all of
their local income as they saw fit, within the limits of their
authority. The 43rd Legislature, however, took over control of
all the student fees, and required such fees to be deposited in
the State Treasury, but permitted the colleges to continue to
operate their own auxiliary enterprises.
.4rticle 2654d, Vernon’s Civil Statutes, enacted in
1933 by the 43rd Legislature, reads in part as follows:
“Section 1. The governing boards of . . .
Lyhe various state’colleged may retain control
. . . of . . . money collected at each of said
several institutions in carrying out the func-
tions of an educational institution, such as
. . . receipts from meals, cafes and cafeterias;
. . .
“Sec. 2. The governing boards of the re-
spective institutions named in Section One above
are authorized to select depository banks as
places of deposit of all funds of the kind and
character named in Section One, . . .‘I (Brackets
ours).
The general appropriation to, the various, colleges
does not take into account the receipts and expenditures from
college cafeterias, since auxiliary enterprises are self-support-
ing . The governing boards of the several state colleges are au-
thorized to Il. . . construct or acquire through funds or loans
. . without cost to-the State of Texas, . . . kitchens and
dining halls, . . . Lanu are further authorized to fix fees
and charges for the use of the buildings. . . .I’ ilrticle 2603c,
Vernon’s Civil Statutes. (Brackets ours).
Honorable C. H. Cavness,~page 3 (W&209)
The governing boards are also authorized to issue
revenue bonds for the construction of such buildings, and to
pay for such buildings and retire the bonds from out of the
revenue obtained~ in operating such buildings.
Section 1.8.of Article 1x1, Constitution of Texas,
reads in part as. follows:
t e term for wh heshall
$!$%Q.t: (Emphasis ou%.
Is a contract for the purchase of milk by a college
cafeteria under competitive bid one that has Been “authorized
by’.any law passed during the, term for which La present member
of the 55th Legislatura/ shall have been elected?”
In the appropriation to each of the several colleges,
(Appropriations Act, House Bill No, 133, Acts 55th Legislature,
Regular Session, 1957, article V. j Tncies of Higher~ Eduoa-
tion, pp. 1098 to 1143, inclusive there is appropriated from
out of the general revenue a certain grand total, and from this
sum there is deducted the estimated other educational and gen-
eral income, leaving a net general revenue ,appropriation. The
estimated other educational and general income is composed
largely of student fees. No part of the appropriation to any
state colle?e i.ncludes the revenue: from the auxiliary enter-
prises, such as cafeterias,
In Attarney General’s Opinion No. O-1519 (1939) this
office held that a member of the Legislature could not se i 1
livestock to the Texas Prison System through the Board of Con-
trol; but the authority for the purchase of livestock by the
Prison System was a line item in the app,r.opriation act, which
was passed at a term of the Legislature of which such Legisla-
tor was a member.
It follows then, that any money spent for the pur-
c’hase of milk by a state college cafeteria comes from out of
the revenues of such cafeteria, and does not involve tax money,
student fees which must be deposited in the State Treasury, or
any appropriated funds.
Honorable C. H. Cavness, page ,4: (WW-209)
It 1s legal for a state college cafeteria
to buy milk from a member of the Legislature,
such cafeteria being a self-supporting, auxil-
iary enterprise of the college, not operated
out of appropriated funds if the contract was
not authorized by a statute passed during his
term, and the contract for the purchase of milk
being let on competitive bid.
Yours very truly,
WILL WILSON
Attorney General of Texas
BY
Ri!c$E*ii!ic~
BEF':pfrwb Assistant
APPROVED:
OPINION COMMITTEE
H. Grady Chandler, Chairman
J. C. Davis, Jr.
Fred Werkenthin
Grundy Williams
BEVIGWEDr'OR THE ATTORNEYGENBRAL
BY: Geo. P. Blackburn