OFFICE OF THE ATI’ORNEY GENERAL OF -
AUSTIN
or. Gw J. Gtraoar, Director
Qao Utila.i.eeDivision
Bailroad Conmloeion or Terss
MrJtsn, %aa8
Dear sir:
,
b yootlr iettcrr 0r
oat0 your requeet ror
eale to the CLtp 0r Palaoloe,
Texas should the City 0r Palaaloe aaqulre a
dfetr~butlonsyetem to eerve itiarerlidimte.
“The above deskbed bperations were begun
about Deosmber Xl, 1940, an8 rrlnaethat time
several bemade have been made ot Paltef Oil
aa G.56C0111pan~ to file with the Raimaa Com-
mlsslon or Texae the quarterly reports required
ot gae pipe llno operators by article 6080, Be-
ylfied Cltil Dtatutea, 1985.
.cPi;.>
t I&. Gue J. Strauee, page Z
! ..'
".
“The Railroad Codraion or Rxaa haa pre-
: roribea a form o? annual report for suoh oparatwa,
a8 provided ror in Artiole 6056, liwised Civil
Statuter, 1926, ma d6Wna8 hate been made of -
thi8 oompany to rii6 suab anaaal report8 rtth
the Gow&3e~00.
Vhe C0mpan.Jooatenao that it i8 not a utlllt~
and that It 18 beyond the power or tbm Leglrlatare
0r Texar to olaerlry it aa rush; aad it haa, there-
tore, reXuse to ffle the report8 requfred by drti-
ole 6060 and the order of th8 .CoPniaaioa 6ntcrea
und& Article 6056, It baa ale0 refueed to per
the &rose reoelpta tax68 $evled by article 6060. "* **
You pmpouad the question:
"'Plea86adds6 u8 at pur earliest oonveniencs
(1) whether or not it 18 your opinion that Paltsr
Oil ah6 Oar company is a gai utility a.8defined
by Artiale 6060, (fi) ii it i8 anbject to t&e re-
port8 tuia tare8 preecrlbe(l by Artlola 6060, et16(3)
ha8 the CoarnlSEiiOn authori.ty
to require the Oompany
to rile the imaual raport ptisori,bea by the COIDIP~~-
sion under Artiole 60567"
We have asoertalaedfrom the Searetaryof .Statethat
Paltes 011 an6 Oa8 CO~QM is a Texas oorporatioa,bsvlag aa its
0hn8e "to ertabJ 8b Ma Mblt.dQ an oil bWhae88 with
purpoose.
authorityto oontraotior the lease and purohaae ot the right
to prorpeot ror; develop aad.we aoal and other mlnaral8, petro-
loam -awl-8; also the right to erect, bail4 and ovm all avow-
aary oil take oare ~aadgipse neceaaaryfor tba operation of
the basine88 o8 the aaw. Subdiriafon37 0r mtiole 1302,
Veraon*s Annotated Civil Statutes.
The pertlneat etatrrtes ore iirtlales6050, SO66
a06 6060, V. A.C.S., WhiOh are as rOilOW8:
“Art. 6050. Olaoaiflaartian
*The tean *gu8 utility* an4 ‘publio utilltp’
or futility,’au uaeC it3t&is subdirfrion,waw
anb inclubem persoda, eompaaies anb private uor-
poretfoas, their lcseeee, truatecrs, 3na reoelvers,
owaing, tmm.ging, oparating, le3aing or oontrolling
within tiia t;tateconywells, pi;lelime, plant,
property, equipsent, Snoilitg, fronohioe, license
or pernlt ror sithsr one or nkoreof the following
kind6 or ~wlnesat
uaaa
.
‘* Owning or operating or managing a pips .
line for the treasportutionor oarrfage of natural
ga8, whether SOT pub110 hire or not, if any pax3
of the right of way for said 111~ ha8 been aaquired,
or m4 hereefter be aoquirea by the exerolae or the
d&it 0r eminent a0iianl or If e+fU line or any part
thereor ie la14 upon, over or under anp publl~ me4
or highway of thla State, or street or alley of any
muniolpallty,or the right of way of any railroad
or other public utility; lnclwiing also anf natural
-8 u%ilit~ authorized by llzw to sxeiciae the right
0r eminent 4om~1n.
(1st
* *s
*Art. 6056. Operator's reports
"The Coti8eion may require of all persona
or oorporatfonsopera.t;lng, owning 0s contmlliag
auoh gar.pipe llnee auorn reporta of the total
qunntitfes 0r gae dietrOuted by suah pipe line8
and of that held by them in storage; an4 aleo of
their aouroe OS oupply, the awabcr of well8 fcon
which they draw their eupply, the an&at of pree-
awe malntaineb,a.124 the mount end oharaoter and
de6OriptiOri 0r the e,quipaentemployed, and rue&
other matters pertaining to the butdneffr af the
Commisalonmay seem pertinent.W
%r. Qua J. istrausa, page 4
I
*Art. 6060. ut 1llt.pt&X
"Xver7 gas utility subjeot to ths lffovlslonU
or this subdlrlsionoa or ber0re the first day of
'~JanaQryand quarterly thereafter,shall file with
the Qo;rmissiona ststsaent,duly verified ua true
and oorrsot by the president, troaeurer or general
manager if a oox~j~~nyor corporntion. or by ,the owner
or one oi them if an individualor co-partnership,
showing the gross rsoelpta 0r such utility r0r the
quarter next preceding or for suoh portion of edd
quarterly period as such utility mey hsvs been oon-
duotlng any busl~eso, and at such tirzer shall pay
i.ntothe State Treasury at Austin a scra equal to
one-fourth of one $er oeLt of the gross lnco:m re- .
f om.all buelnoss done by it within t&la
oelv.rsd
Stata.du ng said quarter."
1Er
In pu Opinion MO. O-352!4a, the orlglnal~ofwhloh
you huve in your,.b