baornble Jale,E.xildry

DiTOOtOT, %tOr'hmE~X'tIItiOn Dirlda Eailroad CoMi66lan o? Texm dUEt,At,f6X.6

D68r sir: opinion x0.:hl~s Hec w 1*raog.oioortifioate qporti&ire~ ll6tween inter6tateabdXktrutit4 h6imii,. we*r‘a i96 equil“totecp& 66nt of the oolntt ~pportlcwd to intlu6tateyl6in666 only.

Inyiur Latterof OetobEr 17, 19S9,pou subaifth6 foll~wbg f86tEt

"Jntrutat6 Co6monCurierXotor C+wl6r

Certifio&e Ho. 2878, owned by the B.&A. Mot& b6ight~n66 InO.,ha6 b6en 16666d fio.the8un6etMotor Line6 for th6 put thlwe'y6ar6for a oon6~duatiaof)580.00 p6rwnth,ten p6r oont of 6dd 6uxlthly

mat6 being oolleotedw thii Dep6rtmmt for orsdit to the State Hi-y Rand.

Ik new haw3 an applloation to 

### remw **raid** lea60 for a oonriderationof $6ij&oO **per** month, 6ettbLgout that ~)soo.~ of tb modthly?=6idemtim paid fob said lease ,Ehall'hS domed to be ps+id

ia 'kOZ,EidE&SiOn

Of the InterEtatOI-i&t6 and #2M).OOthereof 6hall b desmsdto b6 pid for the lntrr6tateright6; ad fh6 le66Or ad 1066eo oontendthat u6 should oolleot only tin per oent.ofth6 $260.00whioh th6y olaim i6 the oonsiderationpaid for the intIXEtat6 Operating rights.Hmwnble J6qe6 E. I(ildy, &P 2

6%e ill6tWlt

appli6&,iOu itIV'O1V'66 a rSm 6xell oon6idderation, btt if the praotio6 i6 follomud, it till ultimately re6ult in tiw 1966 of6.n appmoi*bl6 ~ouutofrevenue to the W*. Th6 cert1f1atereferredto i6 6nizItr66t6t6 eertifiOat6 i66uedw th0 Ballroad QlmniSEiOn Of Ten6, authorlrlugan operation betw66n Eou6ton and San &tonio.

%m reque6t En opinionfrwl you a6tO whether oi not- 6hould ooll6ot t6n pero6nt of themonthlyrent8l of#250&0, olaimed tObe +&6 ~untpaidforth6intn6knte operating rlghti,
or if m 6hould 00116otten per oent of the entire mnEider&iOn Of $66&o&"

SeOtiOll

6 Of &tiOlO 9114 VOmO!l’E Anuotated %X66 Ciril Statut66. authori6es a 66l6,

### l 66fgmwnt, lea6e, art&or ofs oertUio6te of publio oonwnieme md a66er&y for motor oarri6r6,Qd provldm that the 'tlUEl6fO2'66

Em1 Pg t0 the ColmniEEiOn a - Of Mona bqti to ten per ~@ of the crmaunt **paid** a6 a oonsiderationfor th6tw6fer **of** the oertifi8ate,rhioh 61a often p6r 06nt 6hsllbe deposited inth6 2tate Tnuury to the oreditofth6 Highway Fund of the Gtate...."

& thi6 OpiaiO~~866U6.6 thd the WZ'tifiWte &ioned inyour **letter** i6 a 06rtifiate of publio **oomenienoti** andneo666ity d66oribedin **6aid** &-tlOlCI,

and i6 not *Per6 p6XXIitto do 6l%iBt6rEtkIte buEine66 on the hi(;hnyE **Of TeU6.**  The State ha6 no authori* to re$aire or gr@nt a 6ertifi6at6 of public oonvenleno6an3 neoerrsiw oovering intercltata **wweroe,** but doe6 have the pow6r to d6ny'the u60 of its hi-6 to inter6tatemotor olfti6,'6,

u 6uoh IA66"Oti 6ubj6Ot the higtiy6 t0 ex(M66lVe bWden6, Or endanger the 66fetyorordi~ryu~sr6 of the highBSy6.

S&h Carolina~6. Bgrnuell Bro6., 202 0. 8. 177 &uthu66t6zTIGreyho~d wZI6 76. Railroad @66i66iOn

**of** %X66, 99 8.2. (2d) 263 Railmad hEEi66iOIlVEe 'Ilpp6,It10s.x (26) 1078 Railmad M66ion ~6. Loving, 128 8-m. (2d) 846 Baith~6~. Col66nn, 127 8-W. (26) 929 Hinton ~6. Tbomp~on, I22 &We (26) 961 HoDonald.6. ThornpEa, 69 &Ip. Ct. 176Honorable Jgle6 E. itilday, Page S

If Itbe trw that the oertifioate cover6 onlyizitra6tate OCMDWrW, it fOllOWI that it would b6 illOgiO6l t0 'ay that
a **portion of**  **the** m&al paid repre6ent6the ralw of the **bUEine66** don6 in intemtate oomnero6. 8inw the wrtifiwte gnUIt. **n0** p6~M66iOn t0 do an i&6rEtat6 buSiW66, none Of th6 OOn6id&ation pid for lea6ing the oertif%Me oan be construedto be in payment ofth6 privileg6 of doing an itirrtat6 buSine66.

The rulewould not be different, however, if the oertifioata al60 oOn6titut66a petit t0 do 6B interstatebuEine66 on the hibhrays Of T6x86. It 16 uaneoe6aary to deoide herewhether the pymant required by the 6tatute 16 an Innspeotionfee,**or** a tax impowd **for** the u6e of the Stat8higm6. In either case, it **I6 not**  **6ubjOet** to attWk 011the groundthat it OOnEtituteEan WloOn6tituMona1 burd6n **on** inter6tateocawroe. In mgardto Inspeotion **fees,** 6ee Inter-Island6tim XaVigatiOn tipany ~6. TerritoxyOf Hawaii, 96 Fed. (26) 401; R+aproo Gwo Co. ~6. Earth Carolina, 171 U.S. 3601 H6L8anv6,D6nw~r,205~ 8. SF38 andaatort~kupo66dfor the u6e of State highmay6, 608Aero-Xayflowurl!nn6f6r Company v6. Georgia Pub110 Servioe Cam6166f~, 296-U. **6.** 2661 Continental Baking Campany ~6. Ibodring, 286 U.S. 562; Interst6teBusses Corporation ~6. Blodgett, 276 U. 8. 246.

If the EM mquimd to be paid is ooncridered 6n Inspeotion fee, the total 6um oolleotedmust h6w a rational mlatiOn6hip fo th6 006t of in6potion. Red C Oil Manufacturing C+~~pany'~6.Board of **Agrioultum,** 222 U. 8. 380. Ilhlle we am unaoquaint6dwith the facts, n6 a~666 that the total 6am16 oolleoteddo bear such a relationship t0 the 606t Of inEp6&iOn. If thi6 be true,we oan 666 no objeotion to themethod adopted by the Legislature in determining the 6tandard byuhiohthe a6wmt **of** the fe6 16 fixed. Eeither 089-e find o%jeotion to thl6method if the rrtatutorg payment Is 6onEtXUed t+a b6 a tax for the u6e of state highuay6. The value of the u6e of th6 oertifioats is deten&ned bg the parties thsmeelveti.They shouldnot be heard to oamplainl&@at6x ba6edupon a proportionatepart of thevalue they fix i6 invalid udle66 it i6 OOIIfiEOatOrg.Ik do not believe that ten per o6nt of thevalue plaoed upon the ~66,of the oerfifioateby the parties thtanselves ow be held in this oa6e to be 6onfiboatoly.

The Statemay impore a highway u6e fax or pn inapeotionfee

on rehioles operating* in inter6tate oommel'b. Aeyo-Hayflower **2!l%,Ef& i%mpanY**  **911.** Georgia NbliO **8WViW &WiEEiOn,**  **6UpM~ MObWl**  **76.** Denver, **6UpL-h If**  **this** be true, it is also truethat the Statewy levy a.tax or an ia*utIon fee emmr6a andprtlyuponlntra6tat6 inolud66the 16666r. ba66d parklyupon Inter6t6te eowero6. The greaterpower

It 16, therefore,our opinion that you 6houldu6Llwb a EUD equal to ten per oeat of th6 total oon6ideratIonpaId for the lea66 of the oertifipate,or in the oa6e declorilmd in your inquiq, ten per we of #66OdXh
YOl.W6lWytnily

kY%RHBY GBEBRAL

OFTX&S

By 6/VIotor we Bouldin

Piotor X Bouldin

&6i6tfllt

AFmovsD DEC. 2, 19s9 E/m-d C. h&n MWRESYGBlpEBAtOFTXM