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‘buwmx3x.7rexAn June18, 1958

Ron. 3. R. Owen County Attorney Wllllamsim County Georgetown, Texas Opinion No. WW-453 Re: Whether the S.P.J.S;T. Rest Homein Taylor, Texas, a non-profit Dear Sir: private corporation, 1s exempt from taxation. Wequote from your request for an,oplnlon as follows: [Question:7

“The S.P.J.S.T. Rest Home, a non-profit private corporation has constructed and Is presently operating a rest homeIn Taylor, Williamson County, Texas. This hometakes the position that its property 1s exempt from taxation, andMr. Jack Gillum, Tax Assessor-Collector of Williamson County, Texas, has requested this office to obtain an opinion from you as to whether the property 1s exempt. flelevant Fact@

At this time, all of the residents in the r&i homepay room, board and care’, and the amount charged per person living in the ‘rest homevaries with the ability to pay. The organization is too far in debt at this time, which 1s at the very beginning of its operation, to maintain residents without pay. This latter Information was furnished In reply to A question as to whether or not the homepermits purely charitable residents whoare not required to pay anything. Noresident has madea lumpsumpayment uponentering the home, and the residents do not give anymoney or property to the homeupon entering, other than the regular payment,for room,and board. Noresident has devised any property or bequeathed any moneyto the rest home, The charter discloses eligibility for admittance to the rest homewhich Is not limited to S.P.J.S.T. Lodge members. Nopart of the buildings or premises Is used by anyone other than resl,dents of the home, **and** there are no types of conces,slon stands or stores which might be selling one

I. .

Hon. J. R. Owen, page 2, Opinion No. WW-453,

or more Items to the residents of the homeor to the public. In,the’ event the homedoes makeany profit In Its operations, any such profits will probably be used, fof.~addltlonal‘~aonatructlonr~.in connection with the home, or if this 1s not doneA dent will ,bematerially lowered. the cost per reslOur answer to the above-mentioned negative. questlpn Is In the authority granted Constitution, enacted TheLegislature, acting under the It by Section 2 of Article VIII 6f the Section 7 OSArticle 7150 V.C.S. exempting “all buildings belonging to institutions of purely public charity together with the ‘lands belonging to and occupied by suCh,lnstitutlons ,not,,leased or otherwise used with a view to ,profit.,

. . . The SupremeCourt of Texas 1 Scottish Rite Benev. Assn. 230 S. is, exempt from taxation ,if It Is cltislvely.by an Institution of public charity. The Court further stated’ that- an Institution was orie of “purely. public charity” where, first, It madeno gain oFprofIt, second, It accomplished ends wholly benevolent, and, third, it bene,flted peEsons, Indefinite in numbers and personalities, by preventing them, through absolute gratuity, from becoming burdens to the state. Fromthe Information that you have presented, it Is apparent that the property in question Is owned andused exclusively by the S.P.J.S.T. Rest Rome. The RestsRome conforms to the first two requirements of a “purely public charity” as set forth in the foregoing case but falls to meet the third requirement. Since the Rest komedoes not accept any resldent,on a atrlctly charity baais, It does not benefit persons, Indefinite in numbers and personalities, by preventing them, through absolute gratuity, from becoming burdens to the state.

TM real-,prpperty owned-by tRe S.P.J.S.T. Rest RomeIs not tax exempt fop the reason that the Rest HomeIs not presently funotlo~lng as a “purely public oharlty.”, ^

Hon. J. R. Owen,page 3, Opinion No. WW-453
Very truly yours, WILLWILSON Attorney General of Texas
BY Jack N. Price Assistant JNP:db/aa APPROVED: OPINIONCOMMITTEE Geo. P. Blackburn, Chairman Marietta McGregor Payne Leonard Passmore Wayland C. Rivers, Jr. Henry G. Braswell REVIEWEDFOR

THEATTORNEY

GENERAL By: W.V. Geppert