-I - 

THE 

Honorable Den D. 

County Attorney 

Comanche County 

Comanche, Tsxas 

ATTORNEY GENERAL 

OF TEXAS 

AUSTIN sz.T~xas 

b%u-ch 9, 1961 

Sudderth Opinion. No. W-1011 

Re:: Whethera hospital distr%ct., authorized by 

Section 8 of Article IX 

of the Texas Constitution, 

and Art~lcle 4&&q-3 of 

Vernon.'s Civil Statutes, 

has the authority to tax 

property for the operation 

and maintenance of hospiDear Mr. Sudderth:: tal f~aclIlties therein. 

YOOUS optitninn: request;, after reference to. Sect.ion 8 of 

Article IX of'the Texas Constitution and Article 4&3&q-3 of 

Vernon's Cfvi'l Statutes, states as follows: 

,I The questlon~ now,arises as to whether or 

not'urrder~ the pravleion: of such constitutional 

amendment; and the enabling legislation passed 

in connection therewfth, a hospftal district 

created under the terms there~of within the confinest of Precinct No.. 4, Comanche County, Taxas 

haa the authorLty to tax property therein.and 

use such tax money for the purpose of the ope;ationand maintenance of such hospital. . . ., . . 

Section 8 of Article IX of the Texas Constitution provldes, in part, that: 

"The Legis-lature, may by law auttiorfze the 

creation of a~ Hospital Diatrlct to be co-extensive 

with the llmlts of County Commissioners Precinct 

No. 4 of Comanche County, Texas. 

"If such District is created, it may be 

authorized to levy a tax not to exceed seventyfive cent~s (756;) on-the One hundred Dollar 

($100) valuation of taxable property within the 

District; provided, however, no tax may be levied 
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Honorable Den D. Sudderth, Page 2 (WW-1011) 

until approved by a majority vote of the participating resident qualified property taxpaying voters who have duly rendered their property for taxation. The maximum rate of tax 

may be changed at subsequent elections so long 

as obligations are not impaired, and not to 

exceed the maximum limit of sevent -five cents 

(754) per One Hundred Dollar ($100 7 valuation, 

and no election shall be required by subsequent 

changes in the boundaries of the Commissioners 

Precinct No. 4 of Comanche County. 

"If such tax is authorized, no political 

subdivision or municipality within or having 

the same boundaries as the District may levy a 

tax for medical or hospital care for needy individuals, nor shall they maintain or erect 

hospital facilities, but the District shall by 

resolution assume all such responsibilities 

and shall assume all of the liabilities and 

obligations (Including bonds and warrants) of 

such subdivisions or munlclpalities or both. 

The maximum tax rate submitted shall be sufflcient to discharge such obligations, liabilities, 

and responsibilities, and to maintain and operate the hospital system, and the Legislature 

may authorize the District to issue tax bonds for 

the purpose of the purchase, construction, acquisition, repair or renovation of improvements and 

initially equipping the same, and such bonds shall 

be payable from said seventy-five cent (75q?) tax. 

The Legislature shall provide for transfer of title 

to properties to the District. . . .' 

From this Section of the Constitution the Legislature 

may by statute provide for the creation of a hospital dlstrict co-extensive with the limits of County Commlssioners 

Precinct No. 4 of Comanche County, and further provide that 

the district may levy a tax, not to exceed the limit therein 

prescribed, on taxable property within the district. There 

Is also constitutionally provided the authority for the 

hospital district to assume the llabilltles and obligations 

of existing hospital facilities presently operated by the 

county or city within the geographical limits of County 

Commissioners Precinct No. 4. 

Once the district assumes these liabilities and obligations the Constitution authorizes a tax rate sufficient to 
Honorable Hsn D. Sudderth, Page 3 @W-1011) 

discharge such obligations , etc., and to maintain and 

~operate the hospital system. 

The Legislature may authorize the district to Issue 

tax bonds for the purpose of the purchase, construction, 

acquisition, repair or renovation of improvements and 

initially equipping the same, such bonds to be payable 

from the above mentioned tax. 

Section 1 of Article 449&q-3 of Vernon's Civil Statutes 

provides that a district may be created with the "power to 

issue bonds for the sole purpose of purchasing a site for 

and the construction and initial equipping of a hospital 

system, and further the power to levy a tax of not to exceed 

seventy-five cents (75#) on the One Hundred Dollar ($100) 

property valuation therein for the purpose of paying the 

principal and interest on such bonds." 

The remaining Sections of Article 44$&q-3 do not provide any authorization to the district to levy taxes. There 

is constitutional authority for the Legislature to enact the 

necessary statutes permitting a hospital district to levy a 

tax for the maintenance and operation of a hospital, however, 

by Article 4@4q-3, Vernon's Civil Statutes, the Legislature 

has authorized the district to levy no other tax than for 

the purpose of paying the principal and interest on bonds 

which may be Issued for the sole purpose above mentioned. 

Therefore, In answer to your inquiry, a hospital district 

created under Section 8 of Article IX of the Constitution 

would have no authority under existing statutes to tax property for the operation and maintenance of hospital facilities. 

SUMMARY 

A hospital district, authorized by Section 8 of 

Article IX of the Texas Constitution and Article 

4494q-3 of Vernon's Civil Statutes, has no statutory authority to tax property within the district 

for the purpose of the operation and maintenance 

of hospital facilities. 

Yours very truly, 

WILL WILSON 

Attorney General of Te_xas 

WHPjr:mm 

William H. Pool, Jr. 

Assistant 
Honorable Ben D. Sudderth, Page 4 (WW-1011) 

APPROVED: 

OPINION COMMITTEE 

W. V. Geppert, Chairman 

Leon F. Pesek 

W. Ray Scruggs 

Bob Eric Shannon 

Marietta Payne 

REVIEWEXI FOR THE ATTORNEY GENERAL 

BY: Morgan Nesbitt