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E GENE 

0 EXAS 

October 8, 1953 

Honorable Tom Sealy 

Chairman, Board of Regents 

University of Texas 

Box 670 

Midland, Texas 

Opinion No. S- 103 

Xe: Interpretation of appropriation 

for Post-Graduate School of 

Medicine of the University of 

Texas, contained in Section 1 of 

Article V of Chapter 81, Acts 

Dear Mr. Sealy: of the 53rd Legislature, 1953. 

you have requested our opinion as to whether the Board 

of Regents of the University of Texas has correctly interpreted 

the appropriation for the Post-Graduate School of Medicine of the 

University of Texas, contained in Section 1 of Article V of Chapter 

81, Acts of the 53rd Legislature, 1953, page 127, at page 3~13, to mean 

that expenditures from the $50,000 appropriated for the biennium beginning September 1, 1953, “need not be replaced by income received 

from tuition fees or otherwise.” 

,A “revolving fund” has been defined as “a brief expression of recent coinage which usually refers to a renewable credit 

over a defined period. In simple parlance, it relates usually to a situation where a banker or merchant extends credit for a certain amount which can be paid off from time to time, and then credit is again 

given not to exceed the same amount. It may also mean a fund which 

when reduced is replenished by new funds from specified sources.R 

United States v. Butterworth-Judson Corporation, 297 F. 971 (C.CA. 

2d 1924, reversed 267 U.S. 387). 

In Webster’s International Dictionary, 2nd Edition, the 

term “revolving fund” is defined as ‘A contingent fund created by the 

government from which loans may be made for some specific period 

and purpose, as for the purchase of wheat, or to meet the deficiencies 

of the railroads; -- so called because the fund ‘revolves’, or completes 

in the course of time the circuit between loans and repayments.” 
Hon. Tom Scaly, page 2 (S-103) 

Unless the Legislature contemplated replenishment 

of the fund appropriated, there would have beenno reason for its 

use of the phrase “revolving fund”. As stated by the Court in 

G. C. & S. F. Ry. Co. v. Blum Independent School District, 143 

S.W. 353 (Tex. Civ. App. 1912 Error Ref.), “every word is presumed to have been intentionally used for the purpose of making 

clear the legislative intent.” And, “as a general rule, in construing statutes words are to be given their usual and or’dinary 

meaning unless it clearly appears that a different meaning was 

intended.” Fletcher v. Bordelon, 56 S.W.2d 313 (Tex. Civ. App. 

1933 Error Ref.). 

In addition to so designating the “revolving fund,” the 

Legislature further provided in the above mentioned Section that, 

“The revolving fund established by the above item shall be reimbursed out of tuition and other fees collected from physicians and 

other persons enrolling in post-graduate course’s offered or sponsored by the Post-Graduate School of Medicine.” The ‘intentions” 

of the Legislature seems evident. 

It is our opinion that any portion of the $50,600 expended should be reimbursed from “tuition and other fees c&L 

lected”, that only such portion of the $50,,000 should ‘be expe,nd’- 

ed as can reasonably be expected to be reimbur’sed from”such 

tuition and other fees, and that such tuition and other fees collected should be deposited to such revolving’ fund until all expenditures from the $50,000 have been reimbursed. ’ 

SUMMARY 

Any expenditures from the $50,000 revolving 

fund appropriated to the Post-Graduate School’ of 

Medicine of the University of Texas, by Section 1 

of Article V of Chapter 81, Acts of the 53rd Legislature, 1953, should be reimbursed from tuition 

and other fees collected, and only such portion 

should be expended as can reasonably be expected 

to be reimbursed from such tuition and other fees 

collected, which should be deposited to such revolv’ 
Hon. Tom Scaly, page 3 (S-103) 

,ing fund until all expenditures therefrom have 

been reimbursed. 

APPROVED: 

Willis E. Gresham 

Public Affairs Division 

Burnell Waldrep 

Reviewer 

Yours very truly, 

JOHN BEN SHEPPERD 

Attorney General 

Robert S. Trotti 

First Assistant Assistant 

John Ben Shepperd 

Attorney General 

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