. R-721 

T A 

TEXAS 

Bon. D. Richard Voges Opinion No. V-391 

County Attorney 

Wilson County Re: Authority of a CommisFloresvllle, Texas sioners' Court to create 

a road district embracing 

all of a Commissioner's 

Precinct which includes 

three established road 

districts with outstending bonded indebtedness. 

Dear Mr. Voges: 

Your recent request for an opinion of this Department is substantially as .follows: 

"County Commissioners Precinct No. 2, 

of Wilson County, Texas has within its 

boundaries three established Road Districts, 

with bonded indebtedness outstanding. 

"It is the desire of the citizens of 

said Commissioners Precinct to have established within its bounds,ry one New Road District including the entire Commissioners 

Precinct, for the purpose of purchasing all 

existing highways and turnpikes and of further constructing macedemifed8 graveled or 

paved roads 8nd turnpikes. 

The authority for the creation of such B district is set forth in Article 752~ of Vernon's,Civil 

Statutes which is as follows: 

'The County Commissioners' Courts of 

the several counties of this State may hereafter establish one or more road districts 

in their respective counties, and may or 

may not include within the boundaries and 

limits of such districts, villages: towns 

and municipal corporations, or any portion 

thereof, and may or may not include previously created road districts and political subdivisions or precincts that have 
Hon. D. Richard Vogea - Page 2 (V-391) 

voted and issued road bonds pursuant to 

Section 52 of Article 3, of the Constitution, by entering an order declaring such 

road district established and defining the 

boundaries thereof. . . .It 

Article 752cc, V.C.S., reads, in part, as follows: 

n 

. . . but except as herein specifically permitted, no fractional part of a 

previously created road district shall be 

included within the limits of the road dlstrlctcreated under the provision of this 

Act, . . ." 

Article 767d of the Revised Civil Statutes is 

as follows: 

“Where any road district created under 

the provisions of this Act includes within 

its limits any previously created road dlstrict, or any political subdivision or precinct, having at such time road bond debts 

outstanding, such included district 'or subdivision shall be fully and fairly compensated by the new district In an amount equal 

to the amount of the bonds outsta~nding against 

such included subdivisions or district, and 

which shall be done in the form ,and manner 

prescribed for the issuance of county bonds 

under Sections 25 to 27, inclusive, of this 

Act, except the petition shall be signed by 

fifty or a majority of the resident property 

taxpaying voters of the new district, and the 

bonds proposed to be issued shall be for the 

purchase or construction of roads in the included subdivisions or districts and the 

further construction, maintenance and operation of macadamized, graveled or paved roads 

and turnpikes, or in aid thereof." 

It will be noted that the above mentioned Article contemplates that such previously created road districts shall be fully compensa~ted by the new district in 

an amount equal to the amount of bonds outstanding ageinst 

such included districts. 
Hon. D. Richard Vogea - Page 3 (V-391) 

In the case of Ssn Antonio & A.P. Rg. Co. vs. 

State, 95 S.W. (26) 680 (Corn. App.) the Court stated as 

follows: 

"Sec. 28 (Vernon's Ann. CXV. St. art. 

767d) in connection with sections 25 to 27 

(Vernon's Ann. Clv. St. arts 76'&-767c), 

of said act provides that where any road 

district created under the provisions of 

said act includes one previously created and 

having road bonds outstanding, such included 

district shall be fully and fairly compensated by the new district in this manner: 

An even exchsnge made with the holders of 

the outstanding bonds, and if this cannot be 

done, then an equal amount of the new bonds a 

marked 'non-negotiable' shall be deposited 

with the county treasurer for the credit of 

the interest and sinking fund as a guarantee 

for the payment of such outstanding bonds 

that have not been exchanged, after which no 

levy shall be made under the original bond 

issue, but in lieu thereof from the taxes 

collected on the new bond issue shall be 

passed to the credit of such included district the necessary sums (interest and sinking fund as so collected) to be used to pay 

in full the outstanding bonds thereof. Section 27 of the act (Vernon's Ann. Clv. St. 

art. 7670) requires all such new bonds to be 

Issued in similar denominations, bearing the 

same rate of interest, having the same dates 

of maturity, the intent being that they shall 

be bonds of the new district instead of bonds 

of the included districts and be dated after 

the date of the election at which they were 

authorized." 

Inasmuch as Article 752~ provides the manner in 

which a Commissioners' Court may establish road districts, 

the area of which will Include other road districts previously created vhich have voted and issued road bonds 

pursuant to Section 52 of Article III of the Constitution, 

it is our opinion that you are correct in your statement 

that Article 7678 is controlling with reference to the 

handling of new bonds since It and subsequent &tiCleS BPS 

commonly referred to as the Compensation Bond Title. 
Hon. D. Richard Voges - Page 4 (V-391) 

Therefore, it Is the opinion of this Peprrtment 

that under Articles 75% and 7.52~0 a commissioner's pre- 

'~ cinct, which includes within its boundaries a previously 

created road district with bonds outstanding, may be incorporated into a road district if, ana only if, conpenaa,tion bonds are voted and authorized in conformity with 

the provisions of the Compensation Bond Title. Article 

7678, et seq. 

A c&missioner’s precinct, which has 

within Ita boundaries established road districts vith outstanding bonds, may not be 

incorporated Into a road district unless 

compensation bonds are voted and authorized 

in conformity with the Compensation Bond 

Title. Artiolea 752c, 752cc, 767a, bt seq.; 

San.Antonio & A.P. Ry Co. ti. State, 97 S.W. 

(26) 680. 

Very truly yours 

BWzdjm 

ATTORREXGDRERAL OF TEXAS 

Burnell Ualdrsp 

Assistant 

ATTORI'IEY GENERAL