MARK WHITE 

Attorney General 

701 Commsra. Suite 2W 

oaow. TX. 75x?? 

zww&sm4 

The Attorney General o,f Texas 

Nay 9, 1979 

Honorable Jackie L. Vaughan Opinion No. Mw-19 

Executive Director 

Texas Amusement Machine Commission Re: Imposition of penalties 

P. 0. Pox 13226, Capitol Station respecting the ownership and 

Austin, Texas 787U operation of coin-operated 

machines. 

Dear Mr. Vaughan: 

Persons responsible for certain acts or omissions respectii the 

ownership and use of coin-operated machines subject to taxation are made 

. civilly liable III these words: 

Iviolators shall forfeit to the State es a Penalty, the 

sum of not less than Five Dollars ($5) nor more than 

Five .Hundred Dollars ($500). Each day’B violation 

shall constitute a separate offense and incur another 

penalty, which, if not paid shall be recovered in a suit 

by the Attorney General of this State in a court of 

competent jurisdiction. . . . 

V.T.C.S., Tax-Gen., art. 13.11. You ask if it is the responsibility of the Texas 

Amusement Machine Commission to impose penalties for violations of the 

statute, and if the commission has the constitutional authority to 

promulgate rules establishing specific penalties for each act or omission 

covered by the statute. 

A similar statute was construed in Harvill v. State, 188 S.W.2d 869 

(Tex. Civ. App. - Austin 1945, writ ref’d). The court said: 

If the contention is that the rule or regulation of 

the Comptroller delegates to or authorizes him to 

exercise legislative or judicial power, it is without 

merit. The Comptroller neither imposed nor assessed 

the penalty. . . . Sec. 2 of Art. 7047a-20 authorizes 

the Comptroller to promulgate rules and regulations 

to aid him in the collection of all occupation taxes; 

and Sec. 3 of Art. 7047a-20 provides that anyone 

p. 54 
Honorable Jackie L. Vaughan - Page Two (MW-19) 

violating any rule or regulation so promu ated by the Comptroller 

shall forfeit to the State not less than 7 25 nor more than $500, 

each day’s violation to constitute a separate offense, to be 

recovered at the suit of the Attorney General. The Comptroller, as 

required by Sec. 3 of Art. 7047a-20, certified to the Attorney 

General the fact that appellant did not pay the tax, and that he had 

violated Rule 1. . . . Upon such certification of facts the Attorney 

General instituted this suit for the tax and the penalty, and 

accordingly recovered judgment therefor. 

The rule is settled in this State that the Legislature may provide 

for the.imposition of civil penalties or fines to be assessed by a 

court of competent jurisdiction for the violation of any legally 

promulgated rule or regulation of state officials or departments 

against any person, firm or corporation subject to and violating 

such rule cr regulation. 

188 S.W.Sd at 37l. 

Article 13.R does not delegate to the commf&on the authority to impose penalties 

or to fix their amounts. Cf. V.T.C.S., Tax.-Gen., art. 13.12 (criminal penalties). The civil 

penalties are imposed by the statute rather than by the commission. The statute specifies 

that a violator will incur a penalty in sn amount ranging from $5 to $500 per day. While 

the commission may make a recommendation to the court, the assessment of the penalty 

is left to the judiciary. 

SUMMARY 

The Texas Amusement Commission has the duty to ascertain, 

investigate, and report to the Attorney General all violations for 

which civil penalties are imposed by article 13.R Taxation-General, 

V.T.C.S., but it has no authority to establish specific penalties for 

specific violations. The assessment of penalties in specific cases is 

left to the courts. 

MAEK WHITE 

Attorney General of ~Texas 

JOHN W. FAINTER, JR. 

First Assistant Attorney General 

TED L. HARTLEY 

.Executive Assistant Attorney General 

I 

p. 55 
Honorable Jackie L. Vaughan - Page Three (m-19) 

Prepared by Bruce Youngblood 

Assistant Attorney General 

APPROVED: 

OPINION COMMITTEE 

C. Robert Heath, Chairman 

David B. Brooks 

Bill Campbell 

Rick Gilpin 

William G Reid 

Bruce Youngblood 

p. 56