Untitled Texas Attorney General Opinion

- I TamAm- G- OF TEXAS Aue~m 1% TEZXAS PRICEDANIEL AlTORNeYGENERAL October 9, I.951 Eon. J. W. Edgar, Coriunlssloner .i Texas Education Agency Austin, Texee opinion ?io~~k-l308 'he: Lleblllty of &m&all Independent School Ms*rlct for paving assessments for streets Dear Sir: adjolnlxg its property. Your request for an oplnlon'relates to the llablllty of the Marshall Independent School Dl&rlct, a munlclpally controlled district, for the.pavj+g of streets adjolnfng the school district% property. YOUl' f8Ctld pW%.le'ptRti~ ii3 '88 fOllOWI : *me Marshali Independent School Mstrlct Is munlclpally controlled Zn that the mm- bepa of the Board of Education a&e appointed by the City Gcmmlesim except when ttu?Ce Is a reslgnatlon of a board member before the expiration of his appointed term of office, in which case lt Ls the prerogaflve of ths school board to appoint a member to complete the term of office. ‘f. . . "The title for.property owned.by the Mar- shall Independent School Dlstrlct is vested in the Board of Education. 18 . . . "The Marshall School Board as authorized through the City Charter, may contract, be contracted with, sue, be sued, pleaa, be Impleaded, may receive gifts, grants, con- veyances, rloru7tlon8, and devises . . . pro- vided, however, the sale of any property for a value of<$ZtOOO or more isfirst ep- proved and affirmed by the Commission ~of the City of Marshall. .. Hon. J.'W, Edgar, Page 2 (V-1308) "On February 23, 1951, Prendergast & Prendergest, Attorneys, WEII'SbEtll, TeXaS, enclosed with 8 letter of explanation an InVo'Lce for proposed street paving of Lots 1.3-23,i;l.ock2, College Heights Addition, frontln~ 240 feet on DniVer- city Avenue. The invoice was billed to the Marshal.1 School Doard for worlc to be dOne by H. R. Henderson Company for the City pf MarslX311. "On the basis of the fact5 stated above, we subnit the following questlOn8: “1. 18 the MarhsalL' Independent School District obligated to pay for the pavlng.of streets adjoining its property? . "2. If your aIMW& tb the first question la ln the negative, does the ‘toard of trustees have the authorltg; to voluntarily pay for such pavQ@ You have inform& us that the property On account of which the asseasrrent was made.%8 Used as e public achoo;l site. Article XI,'Section 9, of the Constitution of Texas 18 as follows: 'ITheproperty of countlea, cttles and.towns, owned and held Only for public such as.publlr hulldlng5 and ~~"%% therefor.isiC]' 3.2’8 E%l&Il88 alla the. furniture thereoi, &XI all property used, or intended for extln@sh~ flre8, public grounds ano all other property de- Voted exclusively to the use and benefit of the pubI& shall be exempt from forced sale and frdm taxation, provided, notbm herein 5h511,prevent the etiorcement of the vendors lien, the mechanics or bul$d- ers lien, or other lien5 now exfstiq. In Dower Colorado River Authorit: TidChemL- cal B8nk & %USt CO.,. 144 T 326 190 S W 4u ng45] the COUFt tieId thate~~OPeriY Of the bder Colore~o River Authority used in the execution Hon. J. W. Edgar, Page 3 (V-1308) of the purposes for which the agency was created was exempt from taxation by virtue of Section 9 of Ar- ticle XI. The court stated: "It thus appears from the provisions of our Constitution and legislative enact- ments thereunder, as they have been con- strued by;!ourcourts, that LCRA is a gov- ernmental ,a$encyserving a public purpose in controlling and storing the flood waters of the Colorado River and that all benefits derived from its efforts are public bene- fits. Hence, its property is public prop- erty devoted~exclusively to public use and is exempt from taxation under Art. XI, Sec. 9, of the Constitution; and the proviso contained in Sec. 48, Art. 7150, supra, re- quiring payments 'ii1lieu of ta~xes,'is void because contrary to the Constitution." Prom this case, we conclude that the exemp- tion accorded by this constitutional provision ex- tends to the property of any governmental agency which is devoted exclusively to the public use. An independent school district is a political subdivi- sion of the State, and property used for the siteof a public schoolsbuilding is devoted exclusively to the use and benefit of the public. =%Y&i;+;, School Trustees of Willacy County, 33 S. . civ. App. 1.933,error ref.); Daugherty v. Thompson, 71 Tex. 192, 9 S.W. 99 (1888). The conclusion that the exemption extends.!.to the property of an independ- ent school district is eupported~also by the decision in State v. City of San Antonio, 147 Tex. 1, 209 S.W. 2d m$),which held that this provision exempted from taxation property boughtin by the City of San Antonio and the San Antonio Inuependent School Dis- trict on foreclosure for delinquent city and school district taxes. In Harris County v. Boyd, 73 Tex. 237, 7 S.W. 71.3 (1888j, it was held that the exemption in Article XI, Section 9, included special assessments for street improvements. The court said: Ifn P . there is no apparent reason why the exernpiionfin the.constitution should not be taken in the ordinary and more comprehensive sense, so as to include rion.J. ‘ir. Ed,,yar, P,lge11 (v-1338) ~71.1.taxation, special.as well as gen- eral. The purposes of the exemption obtain equa~!.ly ezainst special.asess- me xt s 5 5 a ‘~1 rv ;i. nst general taxation. T!ke inhibit:f~on zgalnst sa1.ewould.seem to negative the power to assess. . . . “The court ho1.d.s ‘chatthe sction of the city authorities in essessing the tax qsinst the courthouse site, 2nd in attempting to hind.the county 2s the owner, 11~s inhibited :I? section 9, ert. II.,of the constitution of the state. It wes without authority as well. as rgalnst the count;r2s azzinst the prop- er4.g.” In v5.e~of tk foregoing aut??or?.tle~,:.t;.s t the City of IkrslWl.1. our opinion tliz ,?oesn,>t!.k?r-c to l.evyan essessment 2,Ta~l.net t5.e?utliGr;.t:‘r :i7n?ert:,: Llser;~ ?.Sa puLJ1.I.c site unless the fart th7t t!: sc~~.ool. Marshi21.1. Independent School District is a munici?:!1,:: control.I.ed c?istrictca~l.1~ for the ,appl.Lcation of r c’ifferentrule. On June 31, 1.$&g,:the City of Ker- adopteti;Icharter amendment provi6i.n~y sh.71.1. t~l?.,? t t.-me improvement of :itsstreets sh0ul.dtie,govemefiby t;:e 7rov3.sion.5 of p,rtic!.e 1.1.351d, V.C.E. This ctrtutk ,-uthorizesthe governi.nzboclyof tlk city to prov:i),:- trar- tees are incorporated ,-ndmF.de3,b0d.ycorpor$te in 12~ un:?erWe neme of “Marshall.School.i3oar(l,.” Sy $:ct!.on1.05,the Pbsolute tit1.ean~1.1. ri+ts to ,:l.!. nro2erty for school.purposes ere vestei;:intij.e i:orr;o? trustees. , Ron. J. W. Edgar, Page 5 (v-1308) * These charter provisions are consistent with the general.sta~tutes&verning municipally control.l.ed’ school.districts. Article,2772, V.C.S., provid,es: “In every city .or town in this State which has or may a~ssumethe exclusive con- trol.and management of public freeY’school.s ?7ithin.itsl3.mlts,and which has or may tieterminetha,tsuch excl.usivecontrol a,nd m2 mm‘ement sh~1.1.be in a board of trustees, c-r,9or;:anizedunder an Act of the Sixteenth ; approved.April 3, 1.879,and, Lter~Isl.a.ture,. Acts cmenda, tory thereto, the tit1.eto al.1 houses, lands and other property~owned, held, set apart, or in any way dedicated to the use and benefit of the pubI.icfree schoo1.s of such c%ty or town, including property heretofore acquired as well.as that which may hereafter be acquired, shall be vested in the :,oa~r3~of trustees and thefr succes- sors in office, in trust for the use and benefit of the public free schools in such c1tg or town; and such board.of trustees shall.have and ,exercise the exclusFve con- trol and management of such school.prop- erty, and sha.l.1 have a.nd~ exercise the ex- cl.usive‘1possession thereof for the purpose a~foresa.lcl;. . .I’ Lrkewise, ArtLcle 2780, V.C.S., states that the trustees “shall have the exclusive power to man- age and f’overnsaid sclio~!.s, and all.ri&its and titles to property for school purposes hsretofore vested in the r?L?“OP . city councils. or school.trustees . . . sha:I.i be GesteI’in said board of trustees and the3.r s:~c~~‘::~~ys in office.I’ In Temple Independent School. DLs:!;o 7.; I Pr:0~t,or 97 s.w.2cl7047,-1.p. ToTi” error ref. I, the. court held that this statute z~+~lie3 to all.trustees of independent districts, “whether appointed by the city council.or elected by popular vote .‘I T’ne court further sta,tedthat the statutes relating to municipal.1.g controlled school. districts manifest a clear legisl.ativeintent that where a board of trustees has control of such schools the3rTontrol.is to be exclusive. ‘. Hon. J. W. Edgar, Page 6 (V-1308) Thus, by the charter provisions as well as by the general statutes, the title to the property of the Marshall public schools has been vested in the board of trustees. The City of Marshall as a municipal corporation levies and collects the taxes by which its school system,& operated, but the management and disposition of these funds are under the control of the school board. Under these facts, it is our conclusion that the City of MarEhall has no power, in its municipal capacity, to levy an as- sessmen: against the property of the school district, Passing to your second question, it is our opinion, based upon the holding in a letter addressed to Hon. Gibb Gilchrist dated May 15, l.951, that the Marshall Independent School District may voluntarily pay for such paving if the board of trustees deter- mine 9, in the exercise of its sound discretion, that the paving is necessary in the conduct of the public schools. In the opinion above referred to, it was statedi "It is our opinion that the answer to the question which you present is controlled by the statements found in a letter opinion from the Attorney Gen- eral to the County Attorney of Mont- gomery County, dated March 1, 1940, and attached hereto. There the question under discussion was whether the Conroe Independent School District could use its local school funds to pay for con- crete sidewalks built on property ad- jacent to school property but owned by a private individual in which the School District had no character of interest, the sidewalks to be used by pupils going to and from school. The statute in- volved in that opinion is Section 2 of Article 2827, Vernon's Civil Statutes, which provides in parts "-he public free school.funds shall not be expended except for the following pur ww3s I "'2. Local school funds from district taxes, tuition fees of pupils not entitled to free tuition and other local sources . . lion.J. W. Edgar, Page 7 (v-1308) ‘\ “\ may be used for the purposes enumerated for state and county funds and for pur- chasing appliances and supplies, for the payment of insurance premiums, janitors and other employees, for buying school sites, buying, bui;.dinSand repairing and renting school houses, and for.other purposes necessary in the conduct of t)?e ublic schools to be determined by th oard of Trustees . . .' (Emphasis adied.) "Based upon this statute it was held that the Board of Trustees was authorized to use local funds forthe necessary pav- ing." SUMMARY The Marshall Independent School Dis- trictis not obli.Satedfor the paving of streets~adjoining a school site: however, the board of tru of the district may voluntarily ay for the paving if the board finds that the paving is neces- sary in the conduct of the public schools. APPROVED: Very truly yours, J. C. Davis, Jr. PRICE DARIEL County Affairs Division Attorney General. Jesse P. Luton, Jr. Reviewing Assistant Everett Hutchinson / Executive Assistant rna;yic:W& Mary K. Wall. BW:MKW:awo Assistants