Untitled Texas Attorney General Opinion

See State v. University AUSTIN 11.TEXAW of Houston 19% CCA Houston 264 SW 2d 153 NRE Hon. T. M. Trimble Opinion No. O-7038 First Assistant Re: Whether Dayton Independent State Superintendent School District is subject to Department of Education State and county taxes on a roy- Austin, Texas alty interest owned by the .dis- trict under the facts stated. Dear Sir: We are in receipt of your request for opinion as to whether Dayton Independent School District is subject to State and county taxes on a royalty interest owned by the dis- trict. We quote from the facts given us by you as follows: "The Dayton Independent School District is being assessed for State and County taxes on some royalty interest owned by this district. The revenue from this royalty interest amounts to about $70.00 an- nually, and it is used to help educate the children of this district. Said royalty Interest is not lo- cated on the school grounds, but is some royalty acquired in exchange for some land on which was located one of our outlying schools." Article 8 Section 2, of our State Constitution3 pro- vides in part as foilows: "0 . . the Legislature may, by general laws, ex- empt from taxation . . . all buildings used exclu- sively and owned by persons or associations of persons for school purposes, and the necessary fur- niture of all schools and property used exclusively and reasonably necessary In conducting any associa- tion engaged in promoting the religious, educa- tional and physical development of boys, girls, young men or young women, operating under a State or National organization of like character; also the endowment funds of such institutions of learn- ing and religion not used with a view to profit, . . ." Article 7150, Vernon's Annotated Texas Civil Statutes, reads in part as follows: Hon. T. M. Trimble, page 2 "The following property shall be exempt from taxation, towit: "1. Schools and churches--Public school houses. . . all public colleges, public academies, and all endowment funds of institutions of learn- ing and religion not used with a view to profit, and when the same are invested in bonds or mort- gages, and all such buildings used exclusively and owned by persons or associations of persons for school purposes; . . .I' Article 8, Section 1, of our State Constitution, provides that taxation shall be equal and uniform; and, in Article 8, Section 2, of our State Constitution, it is fur- ther provided that all laws exempting property from taxation other than the property mentioned in said article and sec- tion shall be null and void. Under the facts stated it is our opinion that nei- ther Article 8, Section 2, Constitution of Texas, nor Article 7150, V.A.C.S., supra, exempt from taxation the royalty in- terest described by you. Your question is therefore answered in the affirma- tive. Very truly yours, ATTORNEY GENERAL OF TEXAS By /s/ Wm. J. Fanning Wm. J. Fanning, Assistant APPROVED JAN. 30, 1946 /s/ Carlos C. Ashley FIRST ASSISTANT ATTORNEY GENERAL APPROVED: OPINION COMMITTEE BY: BWB, Chairman WJF:AMM:wb