pin 

OFFICE OF THE ATTORNEY GENERAL OF TEXAS 

; 

AUSTIN 

@OVER SELLERS 

~~RNCI GENERAL 

l&r,. Fred v. %:erldith 

uountg Rttemay, Kaurman County 

iceurua, tor*r 

Opinion so. o-m30 

Roi %xup*ion or 800Oml 

haoaio Lobgo bulldl 

tuution. 

we are In rboelpt or your reque 

whloh wo que6e: 

wo mtb a qu*stioQ 

and *ial 8p~roo~atc your 

Colleo6er of XaWman Co 

Torrell from l ta tb 

0.0-6~19 la whiah It 

oi' a building mm.& by 

l ueii~ *to r y o dly that we6 

or lo dge p lr p e8U, wa r not n 
1py 0180 dlrfore tram th* oaar where the lodga owns 

o nly th l eoond 86Ory of a building; Artadb Lodsp own8 

the entire btilbing, whloh la e two story bulldln$. 

Tha loner rloor or the bulldin& la leesed and rentbd out 

to Anderson-Clayton Brow . , kiortlalens, for a runrml home, 

Por whloh uaa u rantal is pmld to the lodgie. T&la rantal, 

aa I undor8tand it, ir rued by the lodge to dal'roy ?andor's 

llan uul uohaaioa and materlabub*a lien notaa agrinat the 

building, and for opwational cxpenaea; and tha balance goes 

In60 oh0 general lodge had8 00 ba aad tor pub110 oharlty 

end to help nardy fndltldwlr, the l aaa 81 ara tha mrmbar111112 an& lnltlatlon haa or tha eumabara. 

*The bdldlng in WeStion 18, therarore,, not US@& 

b~oluairoiy ror lobgo purposes. up quseblon la: Can thr 

upper floor &r the bullbin@ ba aotera4 rram the lovar iloor, 

in order to rsndar the lowar floor tar ad valoram tax&tlon, 

and In ordu 60 l xurpt the uppar floor from taxation? 

“My o#aloa lr that 16 r8m06 b0 80 aitidbd ror 

rend1 tlon lHn?yu* broauao OS tha toldlng of tha Supretio 

Court in Fdorr s t. Lone Star Chaptrr -~6, Royal Aroh ?iaaone, 

5 :> + . ~:. 519, which hold8 that rontins; or a part or a bulldlna 

ownrd by suoh 5 lad@, l ubjaata l uo h part, 

t8xatlon; nd city 0r Lorrg*law Y. Uarkham-24 %-Wil0:t1 reo 

Horpltal, 152 S.W. 26 1112, whloh ho&la 6hat the lbttlng 

and ooou~~anoy of otrlooa to dootora who pay a rental thmrafor, 

la dominantly 6 oounarol~l and prirato Oranaaotlon by the 

hospital, end that thararora the hoapital was not exauipt 

rrom taxea undar our Oona6ltutlon. I find a oaee also that 

I em unabla to dlrrarantlata olaarly la my alnd, torlt, 

Sap68 Boas fnllrmary Y. City of San Antonio, 259 3.w. 926, 

whrroin lt l8 held 6hat t&&a horpltal 18 USapt tX+m tSxStlOn, 

wan thowh t&e hospital operatad a 4ru8 atom ror profit. 

'i'hb dlatlngulahing tmotora aoem to be wha6h.r tha prepdrty 

la rented to a tblrb. peraan end therefore not bolng rxelual~aly 

used by tb oharltabla lnetltutlon or lodge. 

*knother daolalon, with slightly dirrarrnt mt8, l hou:d 

ba oonrl4oPed: Stat@ v. Sottouut, 251 3.X. 1117. In that 

aaab the propbrty aought to ba axamptsb wes rent houam property 

on dlrfrrant ana aegregntad propbr6y rrom the hospital lbaalf 

aA ttls property MS rented to 6hlrd parOleal tha aour held 

thct the axeixption OMAOt ba extwlded to WQQWty OOOUFi%d 

and wed by third j;artier under rantal oontraots. 
Hon. Bnd. V. #srldibh, pqe 3 

"rla Qw8tto5 18 MrrafOd 8olely to the propa1tion 

ofvhether the upper~loor oia b13IldIng used eanlwimly 

fa@ lodge purPow8, aan be regregated for t8x purpoeer end 

lmld not rubjevt to tmatlon, v&n tha mm lalge QYOI 

the vhole bulldlug aad rant8 out tho lover floor au wmm8r~l8l rental csontraat, vhlah lutrer floor 18 Uo1Clnlkly 

8UbjOQt t0 trX8tfOtl. 

"If you *haulid hold ttnt tbo upper floor Or the 

buildlag 18 l xe8pt iMll twatioa, then plwae l lvl8e ha 

the -luS Of tti bulldiq 8hWkl be divided ior 88008MOCit 

purpa8er. I8 t&OF@ 8tl7 rUh t0 be rOiiOVd - #hotid th8 

V8lW k 888088Ol rbItaurlly d 8t oae4Ul.f Of valW of 

the vhole building - or othwuIm?" 

YOU opInIo#¶ th8t t& buIldlag la QWltlOn U8WOt 

be regqgated ror taSblOD. l ab oxemptlon pwpo8er i8~0Mt. 

In ttm aall of city or L v. I(rrl&m84bRee 

nnoN$as4$pital# 152s.u. (24) 0 trw apln1om ac 

J~'Ot~iora‘,C~Ol~r,rd~~b~tbS~~~Oourt,. 

tb Court aldr 

"'EDIteptf~~ rr08 ?aXBtfoD 8m wwr rIVWI#d~ 8lld 

lathoa~tnrptloaolzite~trtlonor~ &Iv*xtoldfng 

e~~tlon~ar~rrtlorrto~rgoLt~13~ ala88 0f 

prOportyall dwbt88nn8ol~~~lMtbb+oargptlorr. 

i40XW18 v. b&I-, 68 POX. 703, 5 S. W. 519; 23 R.6.L.S3. 

l ** 

“‘kit, II tb COMtltUtlaC~ S”#QUiPe8 th# @WpOl’tr, 

88 l pw8ep~l8ik tolt8 rlghtto l xmptlar, tab0 eanlu8im1r u8.d br tb otnrlkble Ir&#tltutIen, It 18 8gplnI%t, 

ii8w-e Of it18 SOtktd OUt#rd t& Z'OhtiOB d lardiojd Wd ktIOnt Qmbd~ tbrt M r80t VOUM M0088O~fi~ 

deetroy the eroluelve use rwoerury to be ntrllud by ttm 

arar to bring lt~ property vittdn t&e pl8la temu8 af the 

6OWtitUtiOi3, 8llPd it b8 bOOP tbmfolr h8ld, I8 it U88.b 

tbt 088e, 8rd iti skk (1. 80 

otap 

8t (!l'Ox. 60m. *pp.) 

254 9.X 925, thWtth0 b@810# ml1 or l y p8rt at a 

abaritable b8tltUtlUC&‘8 pr#pew~ t0 tb80 B& thOmdm8 

engaged ln 8 wholly ohsrltmblo VOFk, Or the eaOupen0y ot 

avona pertoftb propertfe~otlnr8 blndrru9mt8moant8 

to at3 equlvrlent 8itWtfOtl l 408tmy8tht3 l xefa p t 

oh8noter ~* the praperty, rab lt 18 plain that In thaw 

08808 there Qould hrrve tHOn 110 other holding. 
,.. goa. bred v. Jseriaim, :p8&8 I 

*‘Thi 000@t%tUtiO!181 2-0~Ufr8~nt ia’ 8V&rOiaf tb 

&WojWrty f4U8t bs Onned br the Qr&Uli~8biOll ohlalag th8 

~Xwi~tfO~; it InU8t be l XO1U8iVdy WOd by th. OT~8OiL88iO0, 

di8tiaguiehed fl%m e perti WO by it, 8Rd 8 pBrtf81 

u8e by other8, whether the othorr pay rant or not. On 

In vim of the forrgofa~ oorUfrm8bloa OF your opinion 

bf thf8 DOjMlt0Wt~, it b8Oom88 UIIaeOo88U7 to 813W.r y0UV QUO8- 

(iOn e8 80 'how the V81UO Oi the bulldln@ 8hOtid bO ditidti iOr 

~uunme purporu.* 

APPROVED 

OPlNlON GouUIrrLm c) 84%@