Untitled Texas Attorney General Opinion

570 OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN Honorable R. A. MoElrath County Auditor Cooke county Ga5.nesville, Texas Dear Sirr that the oountr and keep a er? And related. repusstlng em 0phi011 0r thla Dq ions as are herein stated we as r0ii0n8: mm% -By\ady or introduotlon, ~111~ say that the aubi- tore of Cooke County have not keptta aahool ladger 8inoe about 1927. Evidently the keeping or euoh a ledger was abandoned about the t$me the opinion of the AttOrnOy General, book 62, page 337, was released, whloh opinion saya, * . . . school tirraire or 8~ county, adminietratlve and financial, are under the supervielon of the State and not the county . . .* Honorable R. A. MfcElrsth, Rape 2 "I am teklng the liberty of discussing the pro- position further, somewhat in detail, in the hope that you may be able to sac just what an auditor is up against when he tries to keep the school ledger as provided for in article 1652 with the lImIted inform- atloh available for keeping such a ledg.er. I am not attempting tG argue or to discuss the matter as a lawyer would disauss it, but rather from the standpoint of untl whose duty it is tc put the law lneo effeative operation and doea not know, in view of the oonflict- lng olrcumatanoes, how to go about it. ':The term 'ledger' as USedin said article 1052 Is evidently meant to be an ordinary ledger such as Is used in business, aa it calls for an 'accurate account 0r all funds received and disbursed.* *A ledger in any business is a book, or books, ln- tended to reflect the flnanoial status of the business, and is set up and maintained by passing through the of- fice of the kee?er::of such a ledger a oomplete report of receipts and dis~rscrmenta of every kind, lnoluding purchases, sales, and other items essential to the con- duct of the business, thus enabling the keeper or such ledger to make the proper entries and sk,ow the status of all acoounts. "The ledger of the county aa a business oonoern is provided for in article 1607 and is known as a 'Finance Ledgorc. It reflects the state of county finances, and must be kept by the county auditor for the use and bene- fit 0r the commlssionere~ court. Information neoesssry fcr the installing and maintainiw of this ledger Is provided for in part by article 1617 which provides ttmt overy county official thrcxlgh whose hands pass any county funds, except the county superintendent, shall make a full re;Jort'of all monies oollected and present receipts sad vouohers showing what disposition had been made of such mcnles; said report to be made to the commissioners* court at each regular term. These reports, receipts, vouchers, etc.., all of which must pass through the audl- tar's off-ice, provides the auditor with all the data necegsary to instell and maintain a dapendablo ledger that reflects the flnancall status of each office lndivid- ually and in its relationship to the general finanoo Of Honorable R. A. McElrath, Page 3 the county. In addition to these reports rroa the varioue ofriciale, a list or all funds deposited with the county treasurer to the credit of any county fund is submitted to the auditor with a duplicate reoeipt of each deposit. Also all olalms allowed by the com- zlssloners* oourt, which claims represent all county disbursements, must pass through the auditor’s office. Thur he is furnished with a complete report of all receipts end disbursements or all county rude. “The sat-up with refnrenoe to installing end maintaining a school ledger la entirely dlffarant. No report 1s required to be made to the county auditor by the county suparintendant or school truataes, or any other school official, or for the submibsion of reoaipts, vouchers, ate., se Is required or other orrloiala. Vhen there is a par oapbta apportionment of stata fund8 made by the State Superintendent of Public Instruotlon to be placed to the credit of the available echool rund of the County, the money is sent direct to the oounty de- pository who reports the reoalpt of such money to the county aupsrintendent together with the amount of such deposit. Likawiaa, aollaationa of special school taxes are deposited by the tax collector in ths aame manner. In neither case is the State Superintendent, the oounty superintendent, the county tax oolleotor, or the county depository required by law to report these reoalgts to the oounty auditor. “The same general situation is trtie with raferenoe to d1sburr:ement.s. I quote from opinion O-1063 to which you refer which says ‘...%a are, therefore, of the opinion that the administration and disburaemants of school funds 18 under the control of the school bodies and that this authority should not be limited by aupar- vision of the county auditor and other county officiala when such supervision has not bean specifically author- ized...’ so far ss I am able to learn, there has been no such ‘specific sup+trvision’ authorized in Cooke Coun- ty. “Comparing the provisions provided by law for keap- lng the finance ledger with those for keeping the echo01 ledger, wa hsva the following: “H-:CEIpT::: Honorable R. A. McElrath, Page 4 aPlnance Ledger - Report.8 or reoelpte of all monlea received by all oouuty officials handling county moniee, except oounty rup4rlntendent. Report of county treasurer with duplicates of all deposits to county funds for all purposes. Y'ohoo? Ledger - No reports and no reaord of reoeiptr or depoeite. "DIZBUR5B.4ENTS: "Finance Ledger - Reporte OS disbursements made by all county officlala handling county roniea togsther with reoelpta, vouchers, eto. Ex- amining and paealng upon all claims preeent- ed to the ~~mrnlaslonera' court, which claims oover all dlaburaements made by aounty. "School Lodger - No reports of aounty superintendent or trustee6 to county auditor authorlzed. Paaalng on school dlebureements by auditor prohibited by law. "1 not.4 that in your answer to question No. 9, YOU -7, *The auditor has aooesr to and authority to oxamine all booka, accounte, reesipts, vouchera, and other reoorda of all oounty offlclals, and to examine all vouahore &van by trustees of common aohool dfa- triate...', and from this you oonclude that it la a basis for inetalllng and maintaining a eahool ledger and base your oonolueion upon ertiola 1653 which aapa , . ..he shall havs continual aoaeae to and shall 4X- amine all the booka, aooounte, roporte, vouchers, and other records of any offloer, the orders of the Corn- mieelonere' oourt relating to the flnanoes Of the county, and all vouohera given by the Vtru4te41 Of all common school districts of the county and shall inquire Into the correctneea of same...' “It appears to me that the above mentloned ar- ticle to which you refer as authorizing the county auditor to obtain the neceaeary information to In- stall and maintain a school ledger Is in the main only a blanket authority~ to auditors to examine (or audit) the books of eti;ot,"z an ;zg:;e;h$- ever deemed advisable, Honorable R. A. McRlrath, Pago 5 providing a aourc4 of information for setting up end maintaining a school ledger. Furthermore, th4 referenae to the examination of vouohera given by trustees or common school diatriots ia not erfectlvo, since in the opinion of the Attorney Gbrmral, book 62, Peg-e 331, to which previous reference haa beon made, it is hold that * . ..school affairs of a county, adminiatratlve and financial, are under the mpervi- slon of the etbte and not the oounty...' -In your answer to question4 4 and 5 to wit *Is the aounty school superintendent of Cook4 County ro- qulred to keep the ledger mentioned In artiolo 1652, or Its equivalent?* and, '15 the school depo@ltory bank of Cooke County required to k44p the ledger men- tioned In article 1652 or ita equivalent?*, 4aoh quee- tlon we4 anawared in the negative. Pleaee permit the f ollowlng observa tlon: If the school ledger mentioned in article 1052, or a similar ledger, were not kept by both the depository bank and the oounty sup4rintsndent, and were kept by the county auditor, all of which would bo in line with your construction of the law, then neither the dopoeitory bank nor the oounty 4uperintendent could give any infonmtfon whatever as to the flnanoes of any school district In the county until the aud%tor*r led- ger had been consulted, and thia in the fac4 of the faot that, every item of reoelpts and diebureemQnts pertaining to school funds paae through the depository bank and the orrioe of the county superintendent In the regular order of buelnoss, while none of them pas4 through the ofrlos of the oounty auditor. A8 a matter of feat, both the depomltory bank and the county superintendent muet keep, and do keep, euah n ledger. They oould not teka oar4 of busineaaee of their otrloer without It, nor oould thsy make the annual report B required of thorn by the eta te superintendent. They are provided with every item of information necessary to keep such a ledger, and so far as I am able to learn, an auditor is not authorized by law to demand a report of receipts and disbursements of school funds, either from the depository bank of the county or the county superintendent or any other school of ficlal. “In view of the foregoing mesa Or oonflioting eir- cumatanoes, your opinion Is deslrsd as to whether, unbar the tema of article 1852 and oth4r etatutes pertaining to school matters, it is mandatory upon me a8 County Honorable R. A. ILcElrath, Fags 6 auditor of Cooke County to *lnatall~ such a lodger regardless of the fact that no provision la mad4 for supplying me with the Information neaessary to ksep such Y ledger. *In vier of the further fact that the county superintendent of Cooke County muot keep and doe4 keep such i ledger an deecribed in article 1652, your opinion is desired as to whsther such a lsd- ger ahould be paid for out of the school fund4 a4 provided for in article 2700D-1, seotion 2, vhloh act reacis as foilows: 'Tin4 county board of trustees rhall annually on or before the first day of August hareaftar crder a scholastic per capita aeeeeement against eaoh school district within ths county In aufficiant amount to provide for the payment of the salary and office expense8 of the county superin- tandent and any office assistants he may have, ae is now provided by law, or may hereafter be pro- vided. And the said asersement when legally made and certified to the school dletrlctn of tha county shall be paid by them for the purpose herein 4p401-, ited.* "Or shall seme be paid out of county fund4 a4 provided for In article 3099-b section 2, whioh aaye, 'Suitable offices and stationery and blank4 neee4sary In the porfornmnce of their dutlee may In the dlrcre- tlon of the commlsslonere~ oourt also be furnished to resident district judges, resident district and county attorneys, county superintendents, and county surveyors, md my 50 p.%ldfor on order oL' the commissioners* court out of the county treasurer?’ *Or must'it be paidibr out of the private funds Or the county superinLsndent?n Article 1552, Ternonfa dmotatsd Civil Statutes, reads as follows: "The auditor shall install in his office a sohool lodger showi.nC an accurate account of all tunde ro- caivad and disbursed by the comon school distrlcts of hi@ county; a bond regi.ster showing all the echo01 bond6 isausd by the common sOho districts Of hi4 county, their rate of interest, date laeusd and matul- itg date; and he ahall also keep an intereat and aink- ing fund account of such sohool bond." Honorable R. A. McElrath, Page 7 Article 1653, Vernon’s Annotated Civil Statutes, provides that: ” . . .-* Fe shall tiave continual accasa to and shall examine all the books, accounts, reports, vouchers and other recorde of any offioer, the orders of the commissioners court, raleting to the flnanoe of the county, and all vouchers given by the trustees Of all common school districts of the oounty and shall inquire into the corractnasa of the same.* In our Opinion No. O-2734, addressed to you, It was held that the school ledger mentioned in Utiola 1652, aupra, must be kept by the county auditor. We believe that our Opin- ion No. O-2734 la correct end specifically answers your flrat question presented in the above mentioned latter. Therefore, you are respectfully advised that it is our opinion that it is mandatory that the county auditor keep the school ledger re- ferred to in Article 1652, aupra. You alao raise the question aa to how you are to secure the information neoeasary to keep a school ledger as above mentioned. Article 1653, aupra, among other things, provides the t the county auditor shall have oon- tinual access to and shall examine all the booka, aooounts, reports, vouchers and other records of any officer . . . and all vouchers given by the trustees of all common school dia- tricts of the county and shall inquire Into the correctness of the same. As stated in our Opinion No. O-2734, ndatalls for such axamlnstlons may doubtless be worked out between the auditor and auoh officers.n The manner In whloh such details are to be worked out is within the dlacratlon of the auditor and cannot be passed upon by this Department. It is stated in your latter “that the auditors of Cooke County have not kept a school ledger since about 1927. Evidently the keeping of such a ledger was abandoned about ,the time the opinion of the Attorney General, Book 62, page 337, was released which opinion says * . . . sohool affairs of a oounty, administrative and finanolal, are under the supervi- sion of the state and not the aounty . . . tn It is true that ,&ha above menticned o,oinlon holds as just atatad. However, this opinion, which is s conferanoe opinion, among other things, further holds in effect that the county auditor is required to keep a school ledger, showing all school funds received and disbursed by trustees or county school districts in his county, and a record of all school bonds Issued by said districts and that he (the county eudltor) 15 required to exemlna all vou- Honorable R. A. UcElreth, Fags 8 ohara given by trustees of common school dfstriats of the oounty and to inquire into the oorreotneas of the same. Xe think that there 1s much merit in the position you take. However, Article 1652 was added to the statutes in!..1917 and we can sea no good reason for Its existence sinoe, as stated by you, such ledger is kept by the oounty suparlntandant and a like ledger is kept by the oounty dapoait- ory, but the Legislature has made the requirement set out in Artiola lBS2, supa, end imposed such duty upon the oounty auditor. Artiole 3@99b, mentioned above, authorizes the oom- misslonars~ oourt to purchase blanks end stationery when the court in its discretion decides to do so. However, we do not believe that this statute authorizes the aourt to purohaaa books such as ledgers. In vlaw of the lest above mentioned statutes you are advised that it la our opinion that the ledger kept by the county superintendent should be paid for out oi the sohool funds as provided in Article 27006-l and Article 2827a. The county suparlntandent is not required to pay tha ooat of the above mentioned l++Qger parsonelly. Trusting that the foregoing fully enawera your in- quiry, we are Yours very truly ATTORNEYCl!NEFUU QB’TXAS BY Ardell williams Assistant A=;,, AH’:BBB ATTORNEY CX%ZRAL OE’ TZXAS