The Attorney General of Texas 

December 29, 1978 

JOHN L. HILL 

Attorney General 

Honorable John J. Kavanagh, M.D. 

Commissioner 

Texas Department of Mental Health 

and Mental Retardation 

Box 12668, Capitol Station 

Austin, Texas 767ll 

opinion No. R-1318 

Re: Whether the Department of 

Mental Health and Mental Retardation may acmtfederal funds 

to purchase automobile insurance 

for foster grandparents who are 

not employees of the department. 

Dear Dr. Kavanagh: 

You have requested our opinion as to whether the Department of Mental 

Health and Mental Retardation may expend federal grant funds for the 

purchase of liability insurance for foster grandparents. The department 

receives federal funds as a sponsor of the Foster Grandparent Program 

administered by ACTION. As a prerequisite ~to the receipt of those funds, the 

department is required to furnish various kinds of htsurance coverage to 

program volunteers, including automobile liability, personal liability, and 

accident insurance. The federal grant provides funds specifically for the 

sponsor’s use in purchashtg such insurance coverage. You indicate that 

program volunteers are not employees of the department. 

A rider to the 1977-79 General Appropriations Act authorizes the 

Department of Mental Health and Mental Retardation “to accept gifts, 

donations and Federal grants for the programs and projects intended to 

improve the care and treatment of patients or students” and appropriates 

such “gifts, donations end grants . . . for the purposes for which they are 

made available.” General Appropriations Act; Acts 1977, 65th L-a 

art. 11, S2d, at 2699. af 

., ch. 672, 

Another rider to the Act requires that “[ ll agencies 

receiving federal funds shall utilize those funds to the maximum extent 

possible to reduce expenditures of state funds appropriated for use.” Article 

V, section 20,at 3155. Thus, an appropriation clearly exists by which the 

department could purchase liability insurance for its foster grandparent 

volunteers. 

g. 5184 
Honorable John J. Kavanagh, M.D. - Page 2 (H-1318) 

Nevertheless. an annronriation. in order to be valid. must be sunnorted bv 

preexist’ 

7 

law. Tex. Co&: ari. 3, g44. 

(Tex. 1934 ; 

v 7iS.W.2d 242 

Attorney General Opinions H-R72 (1978); H-944 (1977); H-679 t197.5). Article 

6252-l9a, V.T.C.S., authorixes various state egencies, including the Department of Mental 

Health and Mental Retardation, to purchase automobile liability insurance for the purpose 

of insuring “the& officers and employees.” Since volunteers in the Foster Grandparent 

Program are not employees of the department, article 6252-l9a is not applicable to them. 

In our opinion, however, the statute indicates a legislative belief that specific 

authorization is necessary to enable a state agency to purchase insurance. See Attorney 

Ganer.al Opinion H-742 (1975). Until there is statutory authorizationregarding 

nonemployees, we do not believe that the department may expend funds for the purchase 

of irrsurance for these volunteers. 

SUMMARY 

The Department of Mental Health and Mental Retardation is 

not now authorized to expend, funds for the purchase of 

liability insurance for volunteers in the Foster Grandparent 

Program. 

APPROVBD: 

Opinion Committee 

p. 5185