Untitled Texas Attorney General Opinion

R-33 T-HEATToWNEYGENERAL OFTEXAS AUSTXN II.TExas PRICE DANIEL .ATTORNEYGENERAL January 24, 1947 Honorable C. H. Cavness Opinio~n No. V-33 State kuditor Austin, Texas Re: If there is no statutory or constitutional limit on ad valorem tax levies which can be made in Tex- as by cities, school dis- tricts) and irrigation districts, based on as- sessed valuations re- quired by law to be 100 per cent of the actual valuation, what would be the legal manner in which any such limits could be imposed? Dear Sir: This Department has received your request for fan opinion in answer to the following question: “If there is no statutory or constitutional limit on ad valorem tax levies which can be made in Texas by cities, school districts, and irrigation districts, based on assessed valuations required by law to be 100 per cent of the actual valuation, what would be the legal manner in which any euch limits could be imposed?” The general rule concerning the power of the State to impose taxes is that it is an inherent govern- mental power, and the source is neither fmm the Federal or State Constitutions but is an attribute of sovereign- tys The general rule is well stated in the case of Clegg v. State, 42 Texas, 605, 608, as follows: ” The taxing power7 is a power inherent in f sovere gnty, and without which constitutional ernment cannot exist . It is vested gov- in the Legisla- ture by the general grant of leqislative power whether specifically enumerated in the Constite- tion among the powers t,o be exercised by it, or not. The constitutional. provisions in reference Blamable C. Ii. Cavness 9 Page 2 to ft s thererore, ar~e,more~usuall.y intended and un- deretoed as,limitatfonsend restrictions upon fts exorcise, ‘than as, the direct grant of the power to tbs Legtslature.” The same ‘rule fs expressed in the case of Strstton v- Commissioners 1 Court, 130 S 0 ‘8, 1170 (error termsed), whsrsin the Court held in part as follows: “The. power to tax is an attribute of soverefgn- ty p and the extent to ,whfch this power may be ex- eroised for governmental purposes ffnds its onLy l.iaftation Ln the Constitution. Unless restrained by the Cofietftutfon, not only is this power unlim- ited i.18 ita reaoh as to subjects, but it recognfz- ata, no limita 9 and may be o,arried to the extent of o~ustion and dsstruotio,n, c 0 D “The general rule of constitutional law that a sovereign power conferred by the psople upon one branch of the government oannot be delegated ap- lies with peculfar force to the case of taxation, 8 fi&‘, taxiw power Is vested by the Constitution in the Legfslat,ure; and within that departl(Qnt of gov- bpmmeht lies the euthorfty to prescribe the rifler 81 taretfan, end to regulate the aanner fn whiah $&me 1.~16s shall be given effect, The Legislature #LP$ in everg Enstsnce prescribe the rules under v&$*51 t*f@f,drn my be laid. It must arf fnate the rut&OXf’$$ t&&Q rhfch, (If?iibf duo proceed f ngm, the wg ~~lW3b&P QeliBndi3 t&a oontrfbutfon; but ft need Y$ut t,here fs one seeming exception to the gen- rxal Fele t’hst the Legislature may not delegate any pert,Oon OS its authority, whfch relates to munfef- pal corporations o Such corporations are a pert of the machinery of state government, ‘and the authorf- ty given theai by the Legislature frequently extends Based upon the foregoing principles of law, where . Honorable C. H. Oamera, Page 3 .- no constitutional limitationa @r rostriotiona have been enacted es to the l&t or the trxihg power af the gov- erning bodies of Oities Df t@x$wa ola86e@, aoheol dia- trfote ei va%Yous clessee, and irrigstfon dirtrlote of various olasse8, the Leglslatltrs has the ivole right to presoribe or impose a limit of the tax to be levied by any of the foregotug municipal corporationa, provided, howov@r, that the tax limita 881 heretofore provided by the Legislature by statutory emctment applicable to any of the foregoing municipal gubdlvisioqa oannot by a oubeequ+nt sot of the Legislature be dsoreased 80 as to inpair the legal obligptiCm8 incurred by suah runio- lpal s~ubdivisione fop the papmemt vi which a taxable U&it has already been fixed bf the Leglelsturer SUWART: Where the Constitution of Texas pro- Vidbe &I legal l$J$t on ad walorem texea which can be levie+lby cities, raeha di&riota, and irriga- tion diutriots, then the Legislature of Texas plsy impose such limit ee it seem fit, provided the ob- ligatioae or sxirstlng l&qal contracts incurred un- der a prior 8tatutO~ li&it fixed by the Legisla- tare maJ not be impailW. Your13 very truly ATl’ORNEYGENWRAL OF TEXAS 4I2#&&& BY C. K. Rioharde Assistant “AppMved Opinion Comlttee ,,ay H-m, gairmn ‘.