THXAIS'OIKNEY GENERAL 

OF TEXAS 

PRICE DANIEL 

ATTCIRNEY GENERAL 

AUUTIN s1,Tpxas 

June 30, 1948 

Ron. George 11. Sheppard 

Comptroller of Public Accounts 

Austin, Texas Opinion No. V-622 

Re: The authority of the 

Automatic Tax Doard 

to reduce or eliminate 

the 26 ad valorem levy 

for the Confederate 

Pension Fund. 

Dear Mr. Sheppard: 

You request the opinion of this office upon the 

following, which is quote? from gour letter of May 27,1948: 

“Articles 7041 and 7043, R. C. S. , 1925, 

create and prescribe the duties of the Autom atic Tax Board in calculating the ad valorem 

tax to he levier! an? collected eaah year for 

State and free school purposes. 

“Article 7043 sets out a specific formula 

to be followed by the Automatic Tax Board in 

calculating the rates to be levied for the 

di,fferent funds: ‘In calculatiry said rates 

the Board shall calculate the same by the followin,? rules and upon t,!le following basis: *. . ,’ 

“Section 17 of Article 7 of the Constitution reads, in part, as follows: ‘In lieu of 

the state ad valorem tax on prooerty of Seven 

(7d) Cents on the One Rundred ($100.00) Dollars 

valuation heretofore permitted to be levied by 

Section 51 of Article 3, as amended, there is 

hereby levied, in sdd.ition to all other taxes 

permitted by the Constitution of Texas, a state 

ad valorem tax on propert~y of two (2d) cents on 

the One Hundred ($100.00) Dollars valuation for 

the purpose of creating a special fund for the 

payment of pensions for services in the Confederate army and Navy, frontier organizations s 
. 

Hon. George H. Sheppard, l?age 2 (V-622) 

and the militia of the State of Texas, and for 

the widows of such soldiers serving in said 

armies, navies, organizations 0rmXlitia; 

vided that the Legislature may reduce the Esrate hereinabove levied *‘I 

“There is sufficient monies in the Confederate Pension Fund in the Treasury to meet all 

claims that may arise or accrue against said 

fund .for the ensuin,? bi-ennium and for a period 

of years thereafter. The question naturally 

arises, therefore, as to whether or not the Automatic Tax Board has the ‘power to reduce the 

2~ levy provided for in Section 17 of Article 

7 of the Constitution above quoted. 

“I shall therefore thank you to advise me, 

as a member of the Automatic Tax Board, as to 

whether’ said Board would be authorized to reduce or eliminate the 2$ levy, above mentioned, 

for the ensuing year.” 

Section 17 of Article VII of the Constitution 

provides that in lieu of the seven (7#) cents on the One 

Hundred (d)lOO.OO) Dollars valuation for the payment of 

pensions said tax shall be two (26) cents per One Hundred 

($100.00) Dollars valuation instead~ of seven (76) cents 

as theretofore, This two (Z$) cents is expressly levied 

by the Constitution as was the seven (7#) before. It is 

observed that this provision of the Constitution further 

provides: “provided that the Legislature may reduce the 

tax rate hereinabove levied.” This rate, therefore, may 

not be reduced except by the Legislature, and the Automatic Tax Board has no authority to eliminat,e~eor reduce this 

rate. The fact that there presently exists a surplus in 

the Confederate Pension Fund sufficient to meet all demands for the present biennium and several years thereafter is imnlaterial. Until the Legislature takes some effective action to reduce or eliminate this rate, it continues 

an annual tax liability upon all property in this State subject to ad valorem taxes. 
Hon. George H. Sheppard, Page,3 (V-622) 

The Automatic Tax Board has no authority 

to reduce'or, eliminate the two (29!) cente levied 

by Section 17 of Article VII of the CorsIX%utirn 

for Confederate peasionsr 

Yours very truly,, 

ATTORNEYGENERAL OFTZX$S 

LPL:erc