R-742
HE ATTOKNEY GXNE~L
. . 8F~EXAS’ .,
September 25, 1947
Ron. Qeo. H. Sheppard
Comptroller of Public Accounts
Auustin, Texae
Opinion No. V-307
Re: Applicability of the reai-
dence homestead exemption
to residence homesteads
rfthin certain Counnlssion-
er’s Precincts in Ratagorda
county
:,
Dear Sir:
Ye hape requested an op@ioq from this De-
partment a8 to whether or not the Tax Asreseor-Collect-
or of MtagOrda County *should aharga the general reve-
nuq tax OS 35f against reaidenae homestead8 in Mata-
gorda County. You enclose a letter from the Tax Aa-
seeaor-Collector which is accompanied by a certificate
from the County Clerk of Natagorda Countp to the effect
that the Conservation and Realam&tion District OS Mata-
gorda County, Texae was established in April, .I924 and
embraces all of CommieeionerPa Precincts Numbem 1, 2
and 4. The certificate Surther states that the Sea-
wall Col~lnlssion of the City of Palaeios, which embraces
all of Coinmisslonerse Precinct Bumber 3, was establlsh-
ed on September 1, 1933.
,Seation l-a OS Article VIII of the Constltu-
tion of the State of’ Texas provides the Sollowing ex-
emptlon for residence homesteads:
“Three Thousand Dollars ($3,000.00) of
the assessed taxable value of all residence
holpesteade as now defined by law shall be
exempt from all taxation for all State pur-
poses; provided that this exemption shall
not be applicable to that portion of the
State ad valorem taxes levfed for State
.purposes remitted within those countfes or
other polftfcal subdivisions now receiving
any remission of State taxes, until the ex-
I>iratfonof unles’s
.
Hon. Oreo. PI. Sheppard - Page 2 (v-387)
before the expiration of such period the
board or governing body of any one or more
of such counties or polltlcal subdivisions
shall have certlfled to the State Comp-
troller that the need for such remission
of taxes has ceased to exist in such county
or political subdivision; then this Section
shall become applicable to each county or
political subdivision as and when it,,shall
become within the provisions hereof. (Em-
phasis added throughout this opinion)
This amendment was adopted August 26, 1933.
Various oplnlons of this Department have held
that those counties or other uolltical subdivisions
which were not receiving a reksalon or donation of
State taxes= the time of the adoption of Section l-a
of Article Vm are not deprived of the homestead ex-
emption by a later donation of State taxes. Opinions
v-i38; o-ii32. The Seawall Commission of the city of
Palaclos was not even established until after the adop-
tion of Section l-a of Article VIII. Therefore, the
residence homestead owner ln this District is entitled
to the benefit of the exemption as conferred by Section
l-a of Article VIII.
The Conservation and Reclamation District
which consists of Commiesloner~s Precincts Numbers 1,
2 and 4 was established and lasued bonds pursuant to
the provisions of Senate Bill No. 54, Ch. 48, Second
Called Session of the Thirty-Eighth Legislature. Sen-
ate Bill No. 54 granted a twenty-five year release
from the payment of State ad valorem taxes levied for
State purposes provided the taxes so released were
collected by the District and applied to the payment
of the interest due on and the principal of said bonds.
In the event the taxes so collected were sufficient to
retire the bonds before the expiration of the twenty-
five year period the taxes were to revert to the State.
In’l$Q5,the Legislature passed H.B. No. 114, Ch. 402,
cts, Pfrst CaIled Session, Forty-Fourth Legislature.
3 3. 114 donated and appropriated to the District the
net amoun~l State ad vaPorem taxes levied and
aollected for State uuruoses within the District for
the remainder of the-twenty-five year porlod for i&&h
. . 0. 54, referred to above, had provided a release
of such taxes.
.--
. .
Eon. Qeo. H. Sheppard - Page 3 (v-387)
Assuming, without deciding, that the act of
the Forty-Fourth Legislature was a valid enactment,
its obvious intent was to continue a “remission” made
prior to the adoption of Section l-a of Article VIII.
Therefore there was a continuation in a different form
of the same “remission of State taxes” to a political
subdivlslon which was receiving such remission at the
time of the adoption of Section l-a of Article VIII.
By the express ,language of Section l-a the residence
homesteads within suoh political subdivisions were not
entitled to the benefit of the exemption until the pe-
riod of remission terminated.
We are Informed that the bonds issued pur-
suant to Senate Bill No. 54, Ch. 48, Second Called
Session of the Thirty-Eighth Legislature have not
been retired. W&need not consider H.B. Ho. 550,
Ch. 436, Acts Fiftieth Legislature, which purports
to amend the legislation previously described; for
since the Legislature may not impair the obligation
of contract, It could not alter or terminate to the
detriment of the bondholders the original perfod of
“remission” as established by prior law. Werefore,
since the original period cannot have expired, the
residence homesteads within the Conservation and
Reclamation District of Matagorda County are not
entitled to the benefit of the exemption conferred
by Section l-a of Article VIII.
SUlMARY
The resldenct homesteads within the
Conservatlon.and Reclsmatfon District of
Matagorda County are not entitled to the
benefit of the exemption conferred by Art.
VIII, Sec. l-a, Const. of Tex,, since the
District was receiving a remission of State
taxes at the tInmArt. VIII, Sec. L-a was
adopted, which original period OS rCmlsslon
has not been terminated. The residence
homesteads within the area embraced by the
Seawall Commission of the City of Palacios,
which is now recelvfng a donation of State
’
Hon. Geo. if. Sheppard - Page 4 (v-387)
taxes but which was established after the
adoption of Art. VIII, Sec. l-a, are en-
titled to the exemption conferred by Art*
VIII, Sec. l-a.
Yours very truly
ATTORNRY GENHRAL OF TRXAS
Bym*i%&iLS
.
Assistant
UC/LH/JCP
ATTORNEY
GENERAL
/
Untitled Texas Attorney General Opinion
Combined Opinion