F EXAS

April 14, 1969


### srni3toi

A. k Aikin,Jr. Opinion No.M-373 C!hairtin,Committee on Education Capitol Building Austin, Texas Se: Constitutionality of Senate Bill 486 of Dear kenator Alkin: the 61st Legiaiature.

You have requested our opinion on the validity of Senate Bill 486 of the 61st Legislature, tihichconfers on the Coordinating Board the power to contract for tiertainpurposes.

Section 1 confers on the Coordinating Board, Texas College ahd University System, the authority to contriict"with any established accredited independent college oruniversity in *exas, any group of such institutions, or any a~ssociationor agency composed ofboth state-supported and independent colleges, universities, or other facilities in Texa's."

Se&tion 2 authorizes the COordinating Board to contract "for th@ administration, direction, and performance of services a'ndfor pr~wision, maintenance, operation and repair ofbuildings, facilities, structures, equipment, ormaterials necessary or pro&r to educa~tion,training, preparation, or instruction in the field ofhigher education or any specific aspect or branch'thereof."

Section 3 authorizes the "Board to compensate the other contrac'tingparty or parties in an amount tihichshall be determined upon thebasis of cost of same or comparable services or faciiitie,sat State-supported institutions ofhigher education."

Section 4 requires that any contract entered into under the terms of Senate bill 486 shall be baaed upon findings ofneed'for thenservice, a finding of economic benefit to the state in securing the services rather than in securing the s,ervic& by other means, and a finding of suitability of the

- 1845 -Senator A. M.Aikin. 

### Jr.,page 2 (M-373)

contracting party to provide the facility or service in the public interest.

Section 5declares an emergency and states that the purposes of the act is to secure maximum utilization of all educational facilities in the state at aminimum cost to the state. The various institutions ofhigher education, under existing laws, arebeing operated andmaintained by various governing boards, created by statutory enactment. Solawn v. Woodward. 287 S.W. 677 (Tex.Civ.App. 1926): Folev v. Benedict, 122 Tex. 193, 55 S.W.2d 805, 88A.L.R. 477, 1933; Heaton v. Bristol, 317 S.W.Zd 86 (Tex.Sup. 1958).

Inmaintaining and operating said institutions, the various Boards are authorized to employ facilities and to make such contracts as are necessary in themaintenance and operation ofvarious institutions ofhigher education, See authorities cited above.

Since the governing boards are created by a statute rather thanby constitutional provision, the power to contract forvarious state institutions ofhigher education may be transferred to some other agency, if the legislature deems it advisable.
Senate Bill 486 of the 61st Legislature merely authorizes various contracts for certain operations of the state institutions ofhigher education tobe made by the Coordinating Board, rather than by the governing boards, of the state institutions ofhigher education. Senate Bill 486 is, therefore, a constitutional exercise of legislative authority. SUMMARY

Since the various governing boards of State institutions ofhigher education areboards created by a statute rather thanby constitutional provision, the legislature has the power to authorize another state agency: towit, the Coordinating Board, Texas College and University System, to enter into various -1846-Senator A. M.Aikin. Jr., page 3 (M-373)

contracts for themaintenance and operation of such state institutions ofhigher education.

C. MARTIN General of Texas Prepared by George Kelton Assistant Attorney General APPROVED: OPINION CCMMITTEE
Kerns Taylor, Chairman George,Kelton, Co-Chairman Bill Corbusier Bob Crouch Fielding Early Ray McGregor
W. V. Geppert Staff Legal Assistant

-1847-