I‘HE A-O-Y GENERAL OF TEXAS Au- 11. - PRICE DANIEL ATTORNW GEWBRAL October 11, 1949 Haa, Claude Isbell Opinion No. V-931. Executive Secretary Board of Regents Re8 Use of proeeeds 6f bonds State Teachers College6 iseuedunder Art. VIZ, Austin, Texas Sec. 17 of Texas Conati- tutiono Dear Sir, Ye refer to your inquiry rrom which we quotet ‘lo. At the least Texas State Teaohers College, Commerce, Texas, in a bulLding heretofore oonetructed and ocoupied by the Department of Journalism and designated a8 Dealey- Ball, space was provided for a Col- lege Printing Shop. Question. Would-the College be authorl,eed to purchase $50,000 worth of printing equlpment out~of the pro- ceeds mentioned In Article 7; Seotlon 17, of the Constitution of Texas, to be placed in such building? "2. Could any pdrtionof the funds provided for by Article 7 Section 17 of the Constitution of the State of Texas be used by any Collegefor the purposes or oloarlng, grading, drainage or other surface improves Bents on a certain portion of the campus, anticipating subsequent ereotion of build- lnge thereon? “3.’ Could funds provided for by Arti- cle 7 Section 17 of the Constitution of the State of Texas be used by any College ior the purpose of converting a gymnasium for the exclusive use of Women’s Department of Physical F&cation?” With respect to your first question, thlr o?- fice is further informed by official8 of the college that the building, Dealey Hall, was acquired while Arti- cle VII, Section 17 of the Constitution ~8s in Utlgatiou Eon. Claude Isbell, page 2 (V-931) 214 S,W,2d 844 (Tex, 01~; App. ’ It WM acqUlMd with funds other than those provided by that Constitutional Amendment. Title in fee simple rests in the State for the use and benefit of the college, Space in Dealey Hall was set aside for a college prlntlng shop (to be operated in connection with the Department of Jouvnallsm). Suoh space has never been equipped, lnltlally or otherwise, fork that purpose0 Section 17, Article VII, of the Constitution of Texas, the College Building Amendment, provides in parts ” there 1s hereby levied a State’ai Galorem tax on property oh iiGe cents (5#) 1 i . for the purpose of acqulr- lng, constructing and lnltlally equlpplng bulldings or other permanent improvements at the designated InStltUtlons of higher 1earnlng;~and the governing board of eaoh of such institutions of higher learning is fully authorized to pledge all or any part of said funds allotted to suoh lnetltutlon as hereinafter provided, to 8eouPe bonds or notes Issued for the purpose of acqUlr- lng, constructing ana lnltlally equipping such buildings or other permanent l.mp*ove~ ments at said respective lnstitUthm3r . * ” e and all such designated instl- tutlona’o). higher learning which partlcl- pate in e , . such funds shall not there- after’receive any other state funds for the acquiring or constructing of bu%lU a or other pemnanent Improvements . . .” ercw la case of calamity). In our oplnlon No, V-848, outlining the his- tory of the amendment, we held It was Intended by the Legislature and the people to provide primarily for the construction or acquisition of buildings, and the construction or acquisition of other permanent improve- ments and that there is no provision therein.fcur the repair of existing buildings with such funds; The question for declsl.on here la whether that amendment a8.n be construed to authorite the use of the funds provided therein for “lnltlally equipping” a Hon. Claude Isbell, page 3 (V-931) building for college printing shop purposes which was acquired after the amendment became effectlve~from~eourc- es other than thoee provided in the ain’endment. It 3.6 our Interpretation that Article VII, Section 17 was Intended to provide for the construction or acqulslkon of buildings and other permanent Improve- ments and for the lnltlally equipping of or permanent improvements. There Is no amendment for “Initially equlpplng” existing buildings or buildings acquired from sources other t+ those pro- vided In the amendment, Nor do the express provisions of that amendment warrant such a construction by lmpl$- cati on. It vi11 be noted also that the amendment does not say “for the purpose of acqtirl~, constructing s lnltlally 6qulapiaE; build+ 8 . . . It uses the con- Jun$tlve word and rater &han the disjunctive word The woti “a.nd”.as used herein when considered ai$ with the spIrIt and context of’the amendment, pre- cludes,‘we believe, construction thereof as being lnter- changeable with “or.” 2 Sutherland’s Statutory Construc- tlon (3rd Ed. 1943) 450, Sec. 4923, Accordingly, Dsaley Hall not having been ac- quired or constructed wlth~ConstitutIona1 Amendment building funds (Tex. Const., Art. VII, Sec. 17), those funds may not be used for initially equipping this builaiag, Cacernlng your seuond question, the amendment authorizes the governing board of the college to pledge the tax funds to be provided to secure bond0 or note8 Ia- sued for the purpose of conatruoting bulldlngs or other ) permanent improvements at the respective InstItutIonsi You state that’ the college (pursuant to and lntialpatIng subsequent erection of a new bulldlng) desires nov to use a portbn~or its amendment funds for clearing, grad- ing, drainage, and other surface Improvement8 on that part of the campus on which the building Is to be oon- strutted. We think that such Improvements may properly be considered either as “other permanent improvements” or as necessarily incidental to the construction of a new building on the campus. The funds provided and to be allotted under the amendment may be expended by then governing beard bf the college for the p\urposes stated. For WYBP to your thlPd question, we quote from Opinion HO; v-848 as follower Hon. Claude Isbell, page 4 (V-931) “It 1s conceivable that the shell of a building could be so completely remade and altered that the college would be conslder- ed as thereby ‘acquiring’ or ~constructing t a new bulldlng or Improvement . o . We have no particular fact8 before ‘us and vi11 not attempt to lay down any hard and fast line as to when there la an ‘acquirlngr or (con- structlon~ and when thePe Is a repairing or alteration. The matter rests in the first Instance wlthln the sound discretion of the governing boapds of the various lnstltutlone. The responslbllltg MS placed there by the people ln the adoption of the amendment, The good faith and sound judgment of such governing boards will be given due respect by the courts should their decisions be questioned.” Fw?ther, Opinion Xo. V-848 among other matters held that money received from college amendment bonds nmy not be used to make ~epalrs to existing buildings. Only those buildingsolr other pernaracnt improvements acquired OP constructed with Constitutional Amendment buLlding funds %x0 Cons& Art. VIS, Sea* 17) may be initial L equipped at the expense of Chat fund. Those funds may be used f a purposes of cleqMng, @ad&kg, Winage, OF other SW@- race dmprovements on a portion of IBat Texas State Teachers College campus, enticlpat subsequent erectionof buildings thereanw9’ th college amendmentfunds. 4 Yours very truly, ATTORRE’OFSERAL Y OF TXXAS - Chester 2. Oll.isoo Aasleknt