-E li’l-l-ORNEY GENE-L OF TEXAS

AUSTIN 1s.TEXAS

~KonorableGeo. Ii.Sheppard Comntroller"of PublicAccounts Austin, Texas
Dear Sir: Oplnion~ No. O-3534 . Re: The proper allocation of the taxes collectedunder Article XVIII of. House Bill 8, Acts of the Regular Session of the 47th Legislature.

we are in receipt of your letter of gag 16, 1941, in which you reaueat the ooinion of this department on the follow

## ing questions:

"Section4 ofArticle XVIII of House Bill No. 8, Acts of the Regular Session of the Forty-seventh Legislature, recites: 'Tobe allocated as hereinafterprovided in this Act.' That, of course, is referring to the taxes leviedand collectedunder Article XVIII.

"ArticleXX of the same Act that makes the allocation of other funds collectedunder House Bill No. 8 makes no mention of the taxes collectedunder Article XVIII. I find no other place inHouse Bill No. 8 where the moneys collectedunder Article XVIII are allocated and no other language in the Act except Section 4 of Article XVIII that mentions any allocations of the moneys collectedunder Article XVIII, I will therefore thank yau to advise this department as to the proper allocation of the moneys collectedunder Article XVIII above mentioned,

"There Is now approximately $~GO,OOO.OO in the Suspense Fund collected by the InsuranceDepartmentunder the'laws existing at the time House Bill No. 8 was enacted. The Insurance Commisslon IS waiting advice from this department as to the proper allocation of this,$804,000.00 before clearing Lt. from the Suspense Fund. This $800;000.00was collected and placed in the SusKY. Fund priorto the enactment ofHouse"Bll1

Iwill thank you to advise this depart-Honorable Geo. Ii.Sheppard, page 2 Q-3534

as

al ment what Is the proper allocation of the $~oo,ooo.OOnow In the Suspense Fund."

follows:

As you point out Section 4 of ArticleXVIII, provides

"Tobe allocated as hereinafterprovided In this Act."

. Article XX of said~'Act-is the section that makes the .ocationsand provides in part as follows:

"SeMiSon1. All revenue, other than that parl'allocated for enfortiement purposes,derived and~collected from the"taxes levied by Chapter 241, Acts of the Regular Session, Forty-fourth Legisltiture,

and Bny amendments therebf or'therbto, shallbe hereafterand is hereby ellocated as follows: one fourth (t) tclthe Available School Fund of the State of Texas and three fourths (3/4) Into the Clearance Fund providedby thisAct. All laws and parts 'oflaws in conflictwith this section are repealed to the extent of such conflict only.

"Sec. 2. All revenue derived from and collectedunder Article VIII of this Act shallbe paid ltito

the General Revenue Fund of the State of Texas. All revenue derived from and collected ,tinder Article XIII of this Act shallbe and is allocated as now provided by law. All revenue derived from and collectedunder Article XVII of this Act shallbe allocated as provided In Section 25 of saidArticle.

"Fromall revenue derived and collected under the provisions of Articles I, II, III, IV, V, VI, VII (subdivisiona), IX,X, XI, XII, XIV, XV, and XVI of this Act after deductlon of that portion provided for enforcementpurposes, there shallbe allocated to the Available School Fund one fourth (t) of the total sum collected thereunder and same shallbe deposited and credited to the Available School Fund In the State Treasury.

"Afterdeduction of the allocationprovided in the next precedingparagraph to be~apportioned to the Available School Fund, the balance of the finds collectedunder Article I, II, III, IV,V, VI, VII (subdivisiona), IX,X, XI, XII, XIV, XV,Honorable Geo. H. Sheppard, page 3

and XVI of this Act shallbe deposited In a Clearo-3534

ance Fund In the Treasury, and from suchFund the revenues so derived and collected shallbe triinsferred and allocated by the State Treasurer as follows:

II II

. . . .~ The above quoted portion of Artkle XX contains several different allocations; for example, the revenuederived from Article 8 Is allocated Into the General Fund df the State, the revenue derived fromArticle 13 is allocated as now‘provided7'by law, and the reVenue'~callected fpom numerous other ai+tlcles'~axW to be put into's ClearanceFilndand the money from said Cleatitince Funa is to be allocated and appropriated to various other funds. However, while Section 4 of Article XVIII,~@rovides that tki&'tax monies collected thereunder are to be allocated as thereinafter provided In the Act, we areunab,leto find any provision In the Act allocating the money collectedunder said ArticleXVIII. It iS 6ur opinion that lr'v~ew of such failure Iiithe Act to allocate suchmoneys the same niust be allocated as Is ndw.prbvided under the General Law, that Is, one-fourth to the avallable school fund and three-fourths to the General Fund of the State.

It follows from our answer to your first question that the $800,G00.00 In the Suspense Fund which yoU describea lrmst also be allocated as Is now providedby General Law, that is, one-forth to the Available School Fund and three-fourths to the General Fund of this State.
Yours very truly
ATTORNEYGENERALOF TEXAS

By s/BillyGoldberg Billy Goldberg Assistant BG:lh:wc

APPROVED MAY 22, 1941 s/Grover Sellers FIRST ASSISTANT ATTORNEY GENERAL Approved Opinion CommitteeBy s/EWB Chairman