H6imrable Hclneti D. Eok 

‘Awiitoti, Bay&ix ConntJ 

Ia Grange, Texas 

Dear Sir9 opinion NO. o-6931 

RIB, Legality of depoeitilig SohOOl 

funaslnanybd&kothertslau 

the eohooldepoeitoryand 

legality ofnotreporting 

income to a State Aid Sohool 

Your mqueet for& opinion on t&e shore enbjeot hae been moeived 

andoarerullyconsidemdbythie departaent. He quote below your letter of 

Awember 8, 1945, in fullt 

"I would like to hare your opinion on the following 

fact situation; 

"School Dietriot A. (0-n sohbol district) of Fayette 

County, Texas paid to another DletriotB (BuralHi& School) 

the mna of $260.30 for inetructing pupils, al80, $45.00 for 

high eohooltuitio~. 

"Schbol District B cached the two vouohOm and depoeited to 

the credit of the eohool dlstriot in another bank dther than 

the echo01 depoeitory, to be need by the achoo+ The basie'of 

handllng these eume in this manner ie upon a ruling by the 

Deputy State Superintendent August 16, 1944, vhioh reads 'I 

agree with your rotion in accepting the oontrect from the school 

districta with lees than a fifty cent localmaintenance te+. 

You will handle this oontzaot locally and uab the fuuda from 

the dlstriot to take care of the lnoreaeed ooet of' operating 

your aohoolwhioh oannot be shown in your qtate Aid Budget.' 

"Based upon tbs faot eituation ae aboW&, I would like 

to hare rour opinion on the followiag queetione: 

"1. Is it legal for the eotiool diatriot to deposit aohool 

fund8 in any bank other than the sohooldeposltoryt 

h?. If question one ie answered -In the affirutive, then 

whowould bb acoountable for the money being spent legally 

and to whan would they report came? 
Hon. Hanor D. Eck, Page 2 (o-6931) 

“3. 16 it legal for a eohool dlrtrlot not to mport 

all lnoaue even though they am State Aid Schools?" 

Fran the contents of your letter we muet aseune that Fayette 

County has a duly seleoted and qualified County depoeitory and eroept 

in the instanae you mention all the oounty who01 funde are depoeited 

therein. We also aaatmte that both the sohooldietrlote mentioned in 

your letter are looated in Fayette County and levy and oolleot a naintenanoe tax for the purpoee of eupplementing the available eohool 

fund mcalved fron the State and oounty. It ia our further understanding 

.th+t the fmms you mention, I. e. "$260.30 for inatruoting pupils" and 

$45.00 for high echo01 tuition" were regular eohool funde to which 

the ooawn sohooldiatriotwae entitled either as a result of taxes It 

had levied or by reason of aocunulated State and County per capita 

funda on deposit to its credit. 

We have reviewed oamfully the statute8 governing the questima 

you raieed and the law applicable to each. lie quote pertinent artioles 

frczu Revleed Civil Statutee of Texas: 

Article 2922 (L) (1). m80 tuition in oertain aistdcts, 

attendanoe in high schools in or out of home district - 

"Sea. 1. The board of trueteea of any c-on or independent 

sohooldistriot, whether organized by General or Speoial Law, 

whfoh levies and oolleots a naintenanoe tax for the purpose of 

supplementing the available school fund mcelved ATan the State 

and County shall admit into the public schools of the district 

free of tuition, all pemona who am over eix (6) and not over 

twenty-cme (21) years old at the beginning of the soholaatio 

year, if such person or his parents or legal guardian reside 

within said ooBlplon or independent school dietrlct. 

"Any pupil between the age of six (6) and twenty-one (21) 

residing in a rural dietriot or other district, which levies a 

localmainteuanoe tax, who hati been prcuuotad to a high echo01 

grade not taught in his hone dietriot, shall have the right to 

attend a standardized, classified, or affiliated high school in 

his hone county or iu any other oounty at the expense of his 

hone sohool district, if suoh dletrict as determined by its 

budgeted expenditure6 aocording to the General Budget Law is 

financially able to provide tuition, or othelvise at the expense 

of the State of Texas. 

"If the name of euch pupil appears on the cen8ue roll of 

hie hcsle district and If the pupil attends a high rsohool in the 

county of hle residenoe, hie State and oounty per capita funds 

shall be tr&ferred to the receiving dlstrlot under the General 

Iaw governing the transfer of pupils. . . . 

"Sec. 2. The superintendent of the receiving dietriot, 
Hon. Haner D. Eok, Page 3 (O-6931) 

the county eupsrintendent, and the euperintendent or prinolpal 

of the sending dletriot shall oertify, not later than thirty 

(30) dqye after notification of the entrance of eaoh pupil 

in the moeiving hi& eahwl, the eligibility of pupile frvm 

the eending dirtriota for tuition privilegee in the hl& aohoole 

of the moiivin(l dietriot which said pupiln desire to attend 

by supplying euch infonvrtlon and eigning auoh forma M may be 

required by the State Departient of Eduoation. Upon the 

appmval of this oertifioate by the oounty superintendent, the 

State and diatriot e-hall be obligated for the payment’of the 

tuition. The oonnQ superintendent ie hereby required to file 

with the State Departient of Edwation a copy of the budget, 

made under the General Budget Law OP the State, not later than 

Ootober let, of each year of eaoh of themveral dlstriote in 

his oounty and to furnish ,snch other information 86 will enable 

the State Departrent of Eduoatlon to estimate the amount of 

high school tnition that each diatriot will be able to pyj 

provided, however, that no portion of the State and ~oonnty 

available fund8 of auoh distriot of those children not 

trausfermd for high eohool purpoees shall ever be used for the 

payment of the high echo01 tuition due other dietriote exoept 

ae provided by the General LaWej provided further, that the 

euperlntendente pf sending independent se001 distrlote shall 

8ign a oertifloata of eligibility, whioh oert$floate ehall obligate 

the distrlot end the State for the payment of eutih tuition at 

the rate a8 hemiqbefom provided; pro+ded further, that the 

superintendent of eaoh aending independent diatriot ie hereby 

required to file with the State Department of Eduoation a oopy 

of the budget of hia dlatriot not later than October lst, 

of each sehwl year and to furnish such other infozmation 86 

will enable the State Department of Eduostion to eetimate the 

emount of high aohool tuition that the diotriot will be able 

to wj provided further, that no child entitled to fme hia 

eohwl privilegee under the p~~vielono of this Aot ehall ever 

have euoh privileges ourtailed, or his tuition aocount invalidated. 

This ahall not be oonatrued, however, to llmlt exoept ae to hi& 

eohwl tuition, the mgulations of tha State DewWent of 

Education relative to other provi~ione of the pmsent Rural Aid 

Law, or such ot@er laws for the equalization of educational 

opportrmltlee a8 may be enaoted. 

“Sec. 3. Reoeivlng high aohool districts q hall make a 

report to the State Departient of Education and the county 

superintsndent at the olose of each eemester, giving the 

name of the oounty, of the hosre dietriot, and of the ahild, 

with his age, grade, and attend-e, and the rate and amount 

of tu1t10n. In addition to this report en itemized statement 

indicating tuition due to dab shall be cent at the close 

of eaoh eemester to the secretary of the board of truetaes of 

the eendlng district. Upon the beeie of the attendanoe report, 
Hon. Hceser D. Eok, Page 4 (o-69%) 

referred to in this Sectfon, when approved by the State 

'Departssent of Eduaation, warrants ahall be issued senianuuallyby the Stats dfmotlyto the moelvinghigh 

school diatrtit for pameut of the tuition dusj provided, 

however, each haDe dlstriot indebted to a high school 

dial-riot for tuitionshall issue a warrant to the high 

school distrlatnot later than June lsth, of each fisoal 

year for all of its surplus naintenanoe funda, or aa nuch 

themof as nay be neoessary to pay the entire tuition 

aocount of such home distriot to the receiving high 

sohool, and the superiatendent of the receiving hi& 

sohool shall not later than July lat, of eaoh year aertify 

to the StatsDepartsnent of Education the anount moeived 

by the sohwl on high school tuition fron each sending 

district. The amount paid by the sending dlstriot shall 

be dsduoted frcen the second senf-annual payment made by 

the State to the moelving eahwl, provided that any 

'high sohooldistriot receiving fr& the Stats Dspartment 

an amount in exoess of the total tuition charged by the 

receiving diatriot shall be mquired under this Act to 

return all excess payment to the State Department of 

Education to be depoelted with the 'State Treasurer to 

the credit of the fund ham which it cameo 

“Sea. ,4. The State Superintendeut shallwithbold 

any aurd all funds due any distrlot that refuses or falls 

to execute forma required by the State Departaent of 

Eduoaticn for pupils eligible to have their high sohool 

tuition paid by the hcsne district aud the State. It la 

further provided that the State per capita available fund 

for each pupil transferred for high s&o01 purposes under' ' 

this Act, who has enrolled in the school to which he has 

been transferred, shall be distributed to the districts to 

whiob such pupils have been transferred as the apportiomnent 

la paid by the State. if any distriot falls' to pay thi6 

portion of the State per oaplta aooordbg to the provisions 

of this Aatp then the State Superintendent, when notified by 

ae eupertitendmt of the reoaivlng distriote, aodanganled 

by an affidavit of such failure, shall withhold from such 

district, when the next per capita payment Is ready for 

'.distrlbutlon, suoh an amount as euoh district may owe any 

other dletriot until such obligation has been paid; provided 

further, that the State Superintendent shall investigate 

such aooounts and dotemine that they are justaoaounts and 

obligations of the distriot before their portion of the par o8pita 

allotnent is withheld," 

Art. 29221. Warrants _ 
- 

Eon. Haer.D. ICok, Pa&e 5 (O-6931) 

“All funda of waxy nature to whloh a rural hl&h 

eohool dlrtrlot rq be entitled shall be paid out a 

warrantn luued by the eeoretary and signed by the 

eeore&ary and pmeident of the board of tnuteer and 

appmrsd by the oounty ~uparintwdmt of publio ixutruotion. 

The bou(L of eohool truetee# rhall eeleot lk own pF8midEBt 

alb reomwa oaoh of wkar shall be a anbar of tho,,@ard. 

The esomtary shall keep a acppl.ete itaired aooount of 

all moelpte aud diebum-t# In a well-bound book owned 

and paid for by the dirtriot, and his aooonnt shall be 

approved by the oouaty eupaHatendeat end by the oorrntj 

board of lohool tnuteer at the end of each roholutlo 

year. Ilo rohool funds shall be allotted or apportioned 

and paid to my rural hl@b l ohwl dirtrlot for the 

follmring year thenafter until thin mport in rubaitted 

to and approved by the oo\nrty l uperintoudont Ed the 0-W 

board of who01 truetoa~.” 

Art. 25223 - Doporlt au4 dimbumaurrt oC fab. 

"All funda brlon@a# to a rural hi& rohool (Lidriot 

#hall br doporited in the oouaty deporitow ~6 dirburmd 

in the euamanuc am other fuud8 l ra dlrburmd frmruoh 

dopoaltior7 urdrr thr brporltory law in 80 far l 8 maa bra 

applioabk . 

Art. PgPPk. Qontrol by and of tnrrtorr- 
Hon. Homer D. Eok, Page 6 (O-6931) 

- 

with said depos$tory to the oredit of said oounty, dls;t;rIot 

and munIoipalitl&j. and, for eaoh and every failure to make 

such deposit, the county treaeurer shall be liable to eaid, 

. depoeitory for ten per oentupon tie'amountnot‘so 

deporited, 30 be'raoorered by oIvll.aotion agaIn& 

lRIph trbamare~ and the suretiee on hle offIoialbcmd 

in my oonrt of dbmpetent jurl~dlot$6n in the oomty. 

It shall btio.be the ~dt&y of the tax collector of suoh 

oomty to dbpol'lt alitaxes oolleoted by him, or under 

hie authority, for the State and euoh county and lte 

various distriote and other munio~ipal eubdlv@ioae, In 

q uoh depoeitory or depoeitorles, 88 eoo~laa oolleoted, 

pending the preparation of hIe report oi euoh oolleotions 

and eettlement t&ax-eon, whloh ehallbear interest on 

daily balanoer at the rate, If any, fixed for suoh depoeltu of 

the tax oolleotor by the Camniesi~ere~ Court In lte order 

dealgnat- ruoh deporritbry or depoeitories, and the lntere~t 

aooruingthereon shall be apportioned by the tax oolleotor to 

the various fund8 earning the mm. The bond04 suoh county 

depoeitory or depoeitoriee #hall etand as aeourity foti rll 

suqh funds. If the tax oolleotor of auoh county ehaU fail or 

refuee to depoeit tax money collected ae herein &eqt+ed, he 

shall be liable to suoh depository or depositories for ten per 

oent upon the aaiount not 80 deposited and shall in addition 

be liable to the State and oounty and Its various diatriota and 

other municipal subdivieions for all eume which would have beeti 

earned had tile provision been oomplled with, which intereet may 

be reoovered In a cult by the State. Upon euoh funds being deposited ae herein required, the tax collector and euretles on 

hle bonde ohs11 thereafter be relieved of responeibility for lte 

cafe-keaping. All money mubjeot to the oontrol of the oounty 

treamimr or paysble dn hle order, belonging to diatrlote or 

other munlo'lpal oubdlvielone seleoting no depository, are 

hereby deolarkd to "oountjr funda' within the wanInng of thla 

ohapter and shall be depoelted in +ooordanoe with Its requlrementa and ehallbd ooneidered in fixins the lnaunt of the bond 

of suoh depoeltory." 

We muat therefore answer your first question negatively. 

Fayette County havingpreviouely du4 selected a county depoeltory, Art. 

2549, ae quoted above.makes it mandatory that 811 money held for the 

eohool dietriota be depoeited with the du4 designated depository." 

Sinoe we have given a negative answer to your flret question, 

we deem a epeoifio tiewar to you~eecond question la not neceeaary. 

WC aleo answer your third question negative4 and cite Art. 

2922(L), Sec. i, 2', 3 and 4 as quoted above. Your partiou&ar attention 

is called to the fOllowing language used in Artlole 2922L, Sectlop 3: 

"And the superintsndent,of the receiving high school shall not later 

than Ju4 let, of eaoh'year certify to the State Department of Education 

the amount received by the echo01 on high school tuition fram each sending 

district." 
Hon. Hcrner D. D,ok, Pw 7 (o-6931) 

We tifer further to 8. B. 167, 49th Lagislature, Beglec 

Session and puata below Article II Seotlon 1,of eaid bill as it appeam 

on page 642 of Vol. 5, Vernon'6 Texas Session Law Service: 

“Artiale II, TBE APPLICATICD FCD STATS am;” 

Se0 tion 1. Tha t#uateee of the dlrrtrictn authorized 

to apply for aid W+&e pro~lsions of thie Aot shall send. 

to the State Superintendant of Public Inatruoticm on fozm 

provided by arid Autharlty, whioh fonm have been approved 

by the .LegiolatiYe AoaauataBt, all infamatlan that may be 

required. Said forpu, will include a budSat by whiah the amm~t 

of Salmy Aid to whloh a sohool will be.eli@ble ahall ba 

detexmlned . The reoe1Dt.e aa ehowa in said bud&at will 

include the state srd oaunty available anb local maintananoe 

balanoer bromht forward from the preoedins year. et&b and 

oounts available and laoal maintananoe reoel~ta for the ) 

currant yaar, tuit%cm to be oollaoted looally, and lrircellaneau6i 

reoeipts. Tha expeBditure will inolude ealarles of teaohere 

as determined by the salary sohadule otated herein, and a 

maxinum of Two Hundred Tan Dollare ($210.00) par teacher per 

year in accredited sohoola and One Hundred Ninety Dollara ($190.00) 

per teaaher per year in unaooredited eohoola for other current 

expenses; provided that If for either year of the biennium the 

Salary Aid Allaoshian ehall be ineuffloiant to guarantee the 

eaid Two &mdred’Tan Dollars ($210.60) and On6 Hundred liinaty 

Ddlnrs ($190.00) for current operating expewer,, the State 

Superintendent, with the approval of the Leglelatlve Aooountant, 

la empawered to raduoe all granta for that purpose proportlonately. The total MOUnt Of approved aXDeBdituiW8 le8s the 

totalemount of reoeints will be the emunt of Salary Aid to 

whloh a school will be eliaiblei provided in no oaae will auoh 

anaunt axoaad the apuroved amount of teaokaw’ ralariae. The 

State SrperIatanden~-shall, subjeot to thepro&ione of thin 

Act, upna appraval of the Legislative Accountant grant, to the 

sohool an &aunt of aid a~ will, with etate and .gouaty available 

funde, together with all other fuuda inoludlnS tuition, maintain 

the school for such a period and in auoh a manner aa authorlsed 

in this Aot; provided that school dietriots qualifyins for salary 

aid under the pravlelona af this Ant may use this aid either to 

maintain a school in the bane diatrlot or to provide eohool 

faoilitiee for the bona fide soholastioa of the distrlote in aome 

other sohool of higher rank. The applloat1ana ehall be sworn 

to by the county superintendent of all Ccsmnon echo01 Distrlote 

and president and secretary of the board of truetees of all 

Independent School districta app4ing for aid. School dlstriote 

aooepting aid under the provisions of this Act ehall share in 

the diatrlbutian of state and oounty available school funds and 

in all other funds as herein may be provided. (Underecoring owe) 

. . I .- 

_~ 
Hon. Hamer D. Eok, Page 8 (o-6931) 

'We true-t the above satisfaotmF15 ammo your inquiry. 

Ymm very tru4 

AT!BXUKEYGEUi4EALOFTEXAS 

By /a/ E. M. DeGeurln 

E. M. DeGeurin 

Aeeletant 

EMDIbt-48 

APPROVED RO?. 23, 1945 

/a/ Carlo8 C. Ashley 

FIESTASSISTAHT 

AT’lQRWEY GERERAL 

APPROVED 

OPmIoH 

co&lMITTER 

ET /e/ B.W.B. 

(xbaQw4