The Honorable M. L. Brockette Opinion No. B-176
Commissioner of Education
Texas Education Agency Re: Disposition of
201 East Eleventh Street remaining funds for
Austin, Texas 78701 discontinued veterans'
vocational program for
Montague County.
Dear Dr. Brockette:
you have requested our opinion concerning the proper
disposition of an unexpended surplus retained by the Montague
County School Board from the operation of a discontinued
county vocational school for veterans. Special schools for
veterans established pursuant to article 2683b, V.T.C.S.,
(presently section 17.28 of the Education Code) were for-
merly financed by federal funds granted to the state and
allocated to the various county boards of trustees by the
State Board for Vocational Education. See Attorney General
Opinion V-51 (1947). Such schools werenot a part of the
Texas public free school system. Attorney General Opinion
v-759 (1949). See also Attorney General Opinion 0-68#V
(1946).
At the time the federal program was discontinued in
1954 a cash surplus of some $14,500 remained in the Montague
County program account. In 1963, the federal agency which
administered the programs officially advised the state and
county agencies that a satisfactory accounting of all funds
and properties involved in the closed programs had been
accomplished. However, the surplus was never remitted by
the county school board to the state agency or to the federal
p. 3276
The Honorable M. L. Brockette - page 2 (H-776)
government, although the contract between the county school
board and the state agency provided for the yearly return to
the state agency of any surplus left in the county school
board's special school program. The funds should therefore
be returned to the state agency pursuant to the contract.
Insofar as we have been advised, the account is dormant and
the purpose for which it was established has become moot.
The money remains subject to the dictates of the Texas
Legislature.
Article 4344a, V.T.C.S., reads:
The Comptroller, with the consent
and approval of the State Auditor and
Efficiency Expert, and the State Treasurer,
may, at any time, transfer any balance in
any dormant fund, the source of which is
unknown or the purpose for which it was
collected has become moot, into the General
Revenue Fund. Any transfer so made may be
subject to appropriation as a refund by the
Legislature, should the source and purpose
of such fund become known and active at any
time in the future.
In our opinion, this statute is applicable to the
surplus now held by the Montague County School Board and
after return of the surplus and upon obtaining the proper
consent and approval, the Comptroller should transfer it to
the General Revenue Fund to await such further appropriation
of it as the Legislature may choose to make. Attorney
General Opinion C-250 (1964). Cf. Attorney General Opinion
M-1243 (1972). We need not detxine what claim, if any,
the federal government has to the funds.
p. 3277
The Honorable M. L. Brockette - page 3 (H-776)
SUMMARY
Article 4344a, V.T.C.S., is applicable
to a surplus of funds allocated by a
state agency to the Montague County School
Board for a federally financed special vet-
erans' school program which has been since
discontinued. The surplus retained by the
county school board remains subject to the
legal control of the Legislature.
,Very truly yours,
/ Attorney General of Texas
APPROVED:
Opinion Committee
jwb
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