**OFFICE OF**  **THE ATTORNEY**  **GENERAL OF**  **TEXAS -c.yull**  **AUSTIN**

**--**

XonorabloTor t. Hnrtler ‘., Crlklnrl Qirtrlot Attoqcy mlalgo 

## county Ed1nburg,wxar .’ ‘. ‘~‘,

otter vhioh

Dirtrlot LB at presant uelng a eat da0 ior **imer~0ir x0.**  DiatrSot-Wd **t** is the contentionor the Water

beoauso this lnnd haa **to be**  PUreharoa **at** 

### tnr inctanoe or the lztati Porra ot Yater Znglnoers,for vatrr stora t, that lt ia a gooermiontal runotion

### of that 9, irtriot ana that they. &oulA not bwe to pw tame upon the mm*.*Uorrcrable T0m.L. Partler,‘Page e

Saotlan 2, o? Article VIII, of the Constltutson of Texas, QrOVlaSS In p6rt am ?ollowct

aAil aooupation taxes @hall **be** equal end uniform upon the sane olaea o? aubJaote tithla the limite 0r **the** authoritylavyiniq the tax; but the Leaialatura may'. by aencrnl lave. exsmot from taxrtionDub110 orooertr.uead iar public oarooeee;

. . .*
Artlole 71%0, R. C. 8. lW6, oontmiae **the follov**  In,- provleton: I

'The rollovkng property rhall 58 oxrelpt fmm tuetlon, twit I

a

. . . '4. Fublloproperty, - All propert;l, vhetner reel or psrsonll, balon@ng exolutl~el;t o thle state, or any politloalaubdlrlelonthereoi, or tat 

### unitf3a Statre,

. . .*

As we underetnndthe Saote in thla oaso thr land ln oueetlonVIWpure&add, and Is ovned exoluelvely by the. Nllr?oyCounty Water Contra1 **XmproveEent**DietrlctNo. 1. It wee htiia in Bexar-Ktdlna-ltaeooea Cowtier Water ImproVeRent 3letrlotso. 1 v. State (T.O.A. 1929, yrlt refuosd), 21 5. W. (!?a) 747, thnt vater laiprorrmeat dletrlotaorghnitet under the authorizntlon contained ln Artlole 16, Sootloa 69, oi the Conctltutlon of Tcxam, are polltloal 8ubdlVlelOne of thle sitate,

within the meaning of the above atatute,an4 the PopertJr in thst oeec vithln thr aoope or the conetltut~onal provlalona.

T&e language of Chief Jurtfoe Plly, ln Bexar-Eedlna Ataecosa CountiesU. I. Diat. Ho. 1 t. State, suprs,vould l PPh ar to be ooaol~~lv~ upon thlr phase OS the qUsstlOa. W? quote In part iron the oplnloa or line oourt.
*The only iaeue In thla cauee la: Hoe Mdlnh county **the** power and authority to aaaeam and oollsot taxes, state and oounty, on the dama, retmrvo1ra, canals, altohes,and other property neoeeeary for the conrerratton and aletrlbutloaof vatsre In the aietrlotrBonorablmTom L. H*rtloj,FAga 3

*It la prorl8atl by art1018 8, i Z, OS the Conrtltutloa

of Texas, t&t the Iaglrlature may by genrral liva exempt from taxationpublio property uml Zor pub110 pwpoee~, and la pus auanoe oi that authorityl naotsd Kiev.

St. 1926, art. 71b0, in 8eotloa 4, 0r Vhloh lt Ir.prorldrdr *Allpro~wt~, vhethrr nal or **p6rroaal,** belonglag 8xoluaivalx to thlr dtatlr, or claypolitloal divlrloatbelvoi,’ #hall be execipt fro8 tuatloa. The very rtatutory rqulrmsatr for **the areatloa**  and fommtloa of vater lmprovemsat dlttrlotrvould a0010 to atamp them ar polltloal dltlalonrof the **atate.** All the mao?llnery ursd to iorpl

then ir through ageaol8o**02** the **stat8,** thr oouati **judge,** the oommiemlonerr~ **oourt,** the eltotloa ~nrtrumsntalltlec, the dirtrlotoourt to eatabllehthe rallaitJ of the lesuanooof bonds,-thepowers of tuat%oa, nrttiotlng the we of mu& tucatloa to dlsohbrgethe prlaolpal and interertof the bonda, the l leotioa **of** director*; all thee8 are goveramsatal povbr8 provided **ior** la detail by law. The dirtrid i8 not an ordinary oorporatloa org~nltodfor.

purpores of gain to it6 8embh8, but **16** a pub110 ageaop,using the 5oney raise6 by taratloa to adranoa the ~ntexwtr of the lavdovmrr vithln it a juriedlot

ion. 3t i8 a polltioal eorporatloa ‘ordltlslon of the etatevhloh **ho** principally for lts objeot the admfnlrtratlon of the go~sra**nent,** OF to vhloh the power8 of govOrmw!nt , or a part or ruoh povers, have besa delegated.’

.

. ,aThs next rubdlvfalon ot thm seotloa (Art. 16, Seo. 69b, Constitution) **PrOViab6 for**  the foraatlon of 

### dietrim rssentialto the pumo6er or the arnsndnsnt

‘vhlohblrtrlots shall be governumtal agtncteeaad bodies polltlo anb oorporatkvlth ruoh power8 of governmentand vlth the authorityto exerolte ruoh **rlgbtr,** pr%tllsgcs rend

funotlon6oonoerningtha 6ubJeotmatter of thle~amenament

ao map be oonferr6cI by lav.'
I

. It 18 a’gotsrnmental agenoy an& boa7 polltlA

### La ooxvorate ( vblob le a clear deflnl**tlon** of a tpolltloel ~lvlsloatof the state,

### 93

Ronarable TORI

L Rartley, P&e 4

clothedwith go*ernmantal powara, and funotlone and exempt fmm tuatIon.*
The property to vNoh you refer I8 therefore exempt undar..th.e term0 of Seotlon 4, HIole 7150, R. C. 8. 1920, unleaa tli* ‘exemptIon of 

### the l tatute, aa 

### l

ppllad in this oeae la broader--than--tie-.euthorIaatIon grated to the Leglaiatun Ia &-Mole $, Se&Ion 2 of th,, ConatItutIon quoted above..~

. .~. .~’ :m-.-; In order to fall within the&ovkiona of ArtIole 3, Seotion 2, the property must not o,nly ba publio property, but aleo 

### l

m fop publio purpoaea”. ~Reaervolr No. 3 has not yet bean constructed on the aaqulredrsaeno:r rite and the land Ia not now being used **for** resenolr purpoaaa but is ussd es a pasture. whetherby the dlatrlct or by leaea to third partIe doer not appear from the letter of reqisst.

A thoroughrerlev of rarlous conat.itutlonalprovisions, and e construction of the phrase *USE& Sor public pur-osea*,aa employed In SaotLon 2, of hrtlcle 8, uaa given by the Zaatland Court of 0~~11 Appeal8 In City of AbIlfze v. Stete (1937,vrlt dlaalaaad),113 8. W. (26) 631. that case the City of Abllenehad aoqulredland In Jones Countyror the purpose of e resenolr alte for Impounding water for the uae of the olty. The oity had procured from the proper authoritythe aeoeaaaryepproprlatIon of uater, done englneerlng work, and euthorlzed the laouence of bonda, but hed been unable to aoqulre all the lana neoeaaary and bad net done a4 construction work.or actuallyused any of the land Sor reservoirpurpoeea. e:or iiV6 years prior to the cult the olty had been leaalng the land for agrioultural purpoaee for aggregateannual rentala or approximatelyb2SOO. The land was un3cr lease at the time of the suit. All leaaea had been aubjeot to the rIght6f: the city to bu,ulld th@ dnm ana reservoir at any time, the olty not having abandoned its Intentionto aooompllshthe purpose for whioh the landa were @oqulred.The oourt dlecuaaedthe qu6atlonat length and exPressed Itr oonolueionIn,the followinglanguager

*It is, thebefore,**our** vlew thk when the iaats of a given case establishthe ownerehip of pooperty by a mu~loipalcorporation, vhloh &a baen acquired for an authorlzedpub110 PUTpoee, and the **purpoee** for whioh It la owned‘

. BonoreoleTom L. Hartley, **Page** 6

nnd held haa not hewn abandoned,suah groparty 1st to b* rctgarded

au used **Sor** pub116purposes, and the LagIalature has the **pover** to provide by peneml l@u for iti6 exeaptlonfroa t8XBtiOA.
The court &ther held that elthough *rtIole 7100 la more oompr6heaaI+e than the power whloh the &glalature possessedIt WV **be** oporatlvoa6 an l xerolme of all the pover the L6gIalature had, and thereforeralld to the extent of deolarlngan exemptionor publIo property used for pub110 purporea
. Be6 also City of Dallea ir’: State, (T.O.A.,1950 &It refused),%?9 8. V. fS?dl 937, epplylng the exemption40 e reaenolr rite, cad furthsrholding that the **exemption** lo applloable,althoughthe reaerrolrrite to ba uaod ior pub110 purpoaea I6 rltueted In anotheroounty.

It la our opinion th&t rour Interprotatlon end epplloetlonof the law la oorr86t,6Aa that Under the feet8 presented, the land aaqulred end held for the purpoee of oonstruotlngRaaervolr No. 3, by the Wlllaoy County Ueter Coatrol and fmprotsaent DlstrlotNo. 1, la exempt Srom taxation.

We enoloaeher&with a oopy of ~~IA~oA Ho. O-2037 passing upon **a** rslnted quartlonwith referanosto the Lower ColoradoRiver Authority.
Yourd tart truly

**ATTORKEY** GENERAL OF **TZXAS**

I **AlTROi ’** **ED~ 12,**  **1981**