AUSTIN.TEXAS .' September 6. 1949

Hon. C. IL Cavness St+e Auditor State Capitol Austin, Texas

Dear Sir: Op+ion No. V-896. Re: Source of funds for administration of Judicial Retirement System.

_ . Your letter reads in part:

‘It is not clear to us wh,atfunds may be available for expense necessary in the ad&Gtration of the Judicial ,Ret.irement Act. We shall be grateful for your opinion as to whether the $75.000.00 provided in House Bill 320 (the Judiciary Appropriation Act) for the benefit of H.B. 33 can be so used. If not, from what source may such necessary expense money come?

“It,appears that a part-time salary for one person is provided in the Appropriation Act. Certainly stationery, postage, office supplies, etc., will be necessary.*

The people of Texas in 1948 adopted an amendment to their Constitution which reads:

“The Legislature shall provide for the retirement and compensation of Judges

. . . on account of length of.service,, age, or disability, andfor reassignment to.active. duty where and when needed. ” Article .v,: Section l-a.

Pursuant to that constitutional mandate, the 51st Legislature (1949) enacted House Bill 33. That Act provides for such retirement. Among other things it provides that the Chief Justice shall administer the Act. Section 5 states in part:Hon. C. H. Cavness, Page 2 (V-896)

“The Legislature shall appropriate such sums of money as may be necessary to carry out this act.” -

Further recogniking.&at the system would require administration which necessarily entailed reasonable expend& tures, SectioJ3 provides:

“The Chief Justice of the Supreme Court shall be in charge of administering this Act and shall promulgate such rules and provide such forms as he may deem necessary in order tocomply with the provisions of the Act.

. . . In order to carry out the provisions ,of this Act.Ithe Chief Justice is authorized to employ an assistant, Whose salary’wiil be set by the Legislature, andpaid for from moneys appropriated for the Judiciary ‘pepartment.”

The Judicial ‘Appropriation Bill (H.B. 320) was amended on the floor of the Senate by the addition of a new subdivision to be known& Judges Retirement:

“1.~ Judges Retirement $75,OOOt $75;OOQ.

“2. Administrative, equipment, postage, telegraph, telephone, furniture, $30.000; unexpended balance.* Sb+e Journal of May 23. 1949, page.ll87. (The items~repeated of cours~e~ mean $75.000 for each of the,years of the biennium and $30,088:for the~first year and the unexpended b&lance for the second year of the biennium.)

The’~Houseand~Senate did not agree on many items of the appropriation ,bill;’ in&u3ing the above. T~he ‘bill was therefore sent to a.tionference’of House and Senate members. As it came out of the.Conference Committee, andas it was enacted into law, it differed from the Senate’s version above. Item 6 of the enacted appropriation to the Supreme Court reads:

“Reporter and Assistant to the Chief Justice in Administering the Judicial Retireme&Act of 1949 ,, $4326.00 $4326.00*.’_ . 

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Hon. C. H. Cavness, Page 3 (V-896)’ ,.’

Thenin the “JudicialSection’

-‘- Comptroller’s Department,” Item 16:of the same Act reads:

. “Apportionment to Judikiary Retirement System-asper II-LB.33. Acts 5fst Legis; lature RS. 1949
.. $75.990.09 ,$75.gOO.O0.”

The only other spetiific reference to judicial ietirement in the appropriation bill’is arider; Section 4. It reads: : “Out of the funds~created by the contributions of the.Judges as provided in Sec. 5 of,H.B. 33
. . . there is hereby~appropriated such sum or sums’ of money as may be necessary to pay the accumulated contributions. as : provided inSec; 6 of said H.B. 33.”

. :.. _: The underscored, words of S&ion 4 above indicate that the money,therein referred to should be used,to spayretirement benefits. The inference is, that it should ‘not be .otherwise used. The-matter therefore resolves itselfto the interpretation .ofthese provisions. The’people in adopting Section l-a
,. of Article V of the Constitution commanded the Legislature to ‘provide for tlie”re’tireme,nt~a& compensation of Judges.” House. Dill 33 was thereafter enacted.which~s,aid that “The Legislature shall appropriate iuch’sums’of money as may be necessary to carry out tliis Act.” The~appropriation’bill then provides for an ‘apportionment to the Judicial Retirement System as per .II.B. 33
. . . $75.000 ”

. . . It must be presumed that the Legislature intended to do what the people in adopting.the,constitutional amendment voted should be’done. And, on the contrary, it will not be presumed that the eegislature~ intended to create ajudicial retirement system but leave it kompletely crippIed for, ti& of funds to administer the system. The ,.%ief Justice~.wo~d~~ertai&ly not be expected personally to finance the org&iiation~of~the sys’tem from his ‘salary; nor could he divert appropriations of’the. Supreme Court to the administration of the retirement system.Hon. C. H. Cavness. Page 4 (V-896)

~Viewedin that light, it is our opinion that the appropriation which reads ‘Apportionment to Judicial Retirement System as per H.B. 33’ was intended to be used for necessary administrative expenses as well as to supplement the 5%. contributions of the judges in making retirement benefit payments.

Itwill be noted that the Senate version of the bill divided~the appropriation into two items, the wording of which is sig- .nificant. The items were “Judges Retirement* and “Adrninlstrative.” (S.J. of May 23, 1949, p. l187). Apparently in a spirit of economy at the qlose of the session,, the two items were&ombined in the enacted bill, it undoubtedly being considered that the anuual appropriation of $75.000.00 was sufficient for both purposes. The appropriation as passed was not ‘simply, to “Judges Retirement” butwas “to the Judiciary Retirement System as per S.B. 33.’ The appropriation to ‘the system” is broad in scope. .We interpret the appropriation as having beenmade to carry out the pr,ovisions of the Constitution andthat portion of H.B, 33 which,authorizes an appropriation ~y,to

carry out this act.“’ As stated ,inyour letter, “certainly stationery. postage. office supplies, etc.. will be~necessary,*

‘We therefore.hold, andyou are advised,that the above Item 16 of the Judici~aryAppropriation Act (H.B. 320) which, reads in.part Yappor,tionmentto Judicial Retirement System,’ may be used for the purpose of paying the.necessary expenses of the Judicial Retirement System. It being; a lump sum approp,riation, the necessary expenditures therefrom are left within the sound discretion of the Chief Justice of the Supreme Court,upon whom the Legislature placed the responsibility of administering the act,

The nece,s.sary.expenses of Chief Justice .of the Supreme Court,in initiating and administering the Judicial Retirement System are to be paid from Item 16 of the Judiciary Section, Comptrollers Department (H.B. 320) which ‘reads,Hon. C. H. Cavness, Page 5 (V-896)

“Apportionment to Judiciary Retirement System as,per H.B. 33..
. .”

JRG:b:db:eic Yours veiy truly, ATTORNEYGENERALOFTEXAS

ay; @ti Joe R. Greenhill

First Assistant

&PROVED: gi?!Jd ATTORNEY .GENERAL 

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