OFFICE OF THE ATTORNEY GENERAL OFTEXAS AUSTIN
**GROVERSELLERS** ***~TaRNLY OENLRAL** 

HonorableS. C. Xaailton countykuaitor pitorcounty OdaaCIa,

Tsxaa Dear sirs

1 of tfe Bonds aad inthereon ham been paid. 11 or thr Pond8 and ln- ' t thereon havs not been But tha.tot.al

obliga- (totalBonds and in-. 8tlu 0uwanaidg

i8 n8ea8a in tta5.orri08aonlitp or the use or oertain publio or dseorlbeb. It will bs appreciatea ir you will inrormme 

### co5oclmin,j my rlshts and~auties aa county Auaitor under the r0il0ting clfcumtanoe6. "This oounty has certain tunds on d8posft and 

### 0tberruna8 hve8t8a in ainking rund ror th8 paywmt or prinaipal and lntersator psrtlaular bond lesuer.
"In the first inetanoe,the bonds and all interestthereon hove bean .mia in ruu,:: 

## 360

xonorAbl8 I. C. Uaailton,County kudltor - pagO EI



### wln the 8roond instan08, th8 8ua or ttiAsuftitanding

bonds ~1~8 All lntarastwhich will beauma **aus** and payable thereon to the date8 0r theirm8tur. itioa are 1088 thmn the 8um8 evrilabl8, 1.8. OA depoalt and invested,in the slnlriq fund.
*It ia propored to tmn8r8r the 8x08~888 oi **the available**  ~lnno8s cm funb8 OA 

### aepo~lt AA~ **0r** proo88dr 0r Inrostm8otain the two iA8taaou aboro cla#oriB8d,

ruoh AxoeW118 **te** Bcm68 lnilable for current uaa or **the** sbmd and Frid#ge Pus&
-AS COUtJ **AUtIitW,** do I ha~~.authOrit~UAW Ii. B. S96, 46th Le(illaturA,a8 oAaAtO& Of~ondor any otheraot, to **approve** vamvA$A &ri~g .oiieot. to thras tranMer8, **dwpitr** 

### Beation **OS9 RCC?**  *Do08 the Ctmeisrion~rs*~'Co@rS lmra Mthorlty **to** authorize these hsAn8fe$N:

Froa the inrorntion @iVOA in **YOU1**1*tter,.w **under** EtaAd th. #itllati@A **t0** Be AA iDmJUA$ A8 t0 OAO 8iAkiA& iuod all or the Bond8 and the int8rrrt thereon hAM **BMA** I'uLly paid aod a oa8B,8usplor rem&~A **in raid**  **818kb& ilupd)** **.u to**  **thr** reoond lnatanoe, w8 undentmd **that** All.ot thO.bondA a~&. lntore8t h8vaa b8.n **paid ln~ful.l,**  but'tho ,A%Ak&s~fppd,:. owns certain l

eourlties as **isrve8tmratr ‘** **aad Pa** * **o*rkin-** ***.** 

### on d8p0rit, and.tbat **tti0 tow**  **0r** 

### th4 0~8hwsd **~tnvortmnta eseeode**  the cuPmAt r8@irAd to my ofi AU of thm,~ ~ bond8 and lntrre8twhloh 8re OutAtAAdin(l.ar ObUgAtLem **against 8ald**  **slaking run&**  Ala@, we~aa8uao **that** in oaoh lrutaaoo the kind of BOA~A orl&lAA&2~< fAtiti'vf8rA

**Read** BOnd8. Th8 UOZUh8:OM **iA** t!iiA 8,&3h$OO ~tU?k OP tb bMi8 Of the **~8lWUlptiOA thet**  

### the bond8 

### WEQ&*fOS t&e ~Ul'pO88 Or 

### t&O **oon8truotlon,** zaaintMfuio8 and **d*8rtttion** or *~adaalsed, grave&d or pared road8 and tmApik88 or in *id thereor* aA authorized by rrtiole PSt(m~), Vernon’8 Aanotatsd Civil 

### BtatUt88. Viarsrsr you 

### to Hotam BillMO. 

### SSO,Oltepter 116;. Oenerttl

and Bpeoial Ian of T8xa8, **Rogul8r** BeAaloA, Mtb L8gi#latun, ArtlolA **9SRa,** Y. Ai C. 0.. whioh prorfQ.Ar

## 361

honoriibls

J. C. iismllton,

CountyAuditor - pegs 5

“&otion 1. section 1 of Chapter 16, Benat0 Bill Ho. 287,Aata OS the First Callad Serslsn ot’tho Thirty-NinthLegislature, la nmsndad so as to hareaftsr readas follows: "'Eiectlon

1. Any oouuty, or any polltloal subdivision of a county, or say rosd dlotriot that has **been** or may haresitar be orsated by.any Gemma or Special Law, 1s heraby authorized to lmoe bond8 for ~theporpors 

### 0r the con8trootloli, 

### maintewn&s and operation ofmaeadaolted, grave10d or,pavo&Soad8 **and tarnpikag**  **,** or in aid thsreor, in any amount hot to 

### exased mm-fourth 

### of the asseosod~valustion 

### or the real propsrt~ oi such county oc pollticml subdivision or road dlstrlot,and to Lavy **gad aol**  loot ad valorcua

tax@ 

### to pay the intersst,w-srrmh 

### bon$s end provld0a s~lnklng fund for tho.redenptl0n thermoi. 3uch bonds .shsllbe issued in 

### tjta’marumr hsrelnaftsrprovided,and as aontsmplatrd

### and authorlasd by SaOtlon 58, or Art&lb IS,of~ths~'QMt~titutlon Of'thls Stati. The tam ~Poli~tloal 

### S\rbdirL*~lon,* a8 wed la thla**Aot,** shall bs **oonstrurd** taa?iAn **any em**  ialssioner~o

~raolnot 

### or any Juetios **pl'eoM0t.or** i county, nowor hereafter to **be** orsetad and’**estab** lishad. ?mvidad when the prlnofpll 

### andslL Iatsrast.on said bond8 IM fully pa&I, in the oven* thsri is any eurplue rsmalhlng in the 8ink&$ run4 said rsma~Ai surplus not u08d in thr iull .pa an ,~or the pr 1 and lntsfset’,oasald~ bond OB-,

r’ and8 : my b8 us 

### bhs O~lln~~, _i pOL’~w3al e4bditirion eg :
; the oounty,.ormy local diotrlot t~t:.$w bam ore quay hi%?aattsr

br created by ~a@y.:&aojadZ-or rpaolal ;‘~&iw Sor the gur~6so of the eou&$&&tiue, ~mint.seahor, itidoperation of,

maoadamlr;e&&$e%d 

### or parea:reatb **and** turnpikss or In the 

### aid th+ut:,aq;nay b*:drtqrmined by the Conunis8lone~l,CoUEt~aOr~q~ ooMt7~or the 0rfi0mO ofany ~olltlo81 subdlvlrion of~a~~aopoty cr any said road alstriote
In applying ths provlslona oP.~t@ls A& to the first lwt,anom, that is when the bonds and lnrrr~et, 

### thereon harm basn rully paid, ws rind thst outhorlty is given to a ooqty‘, p,olftloal

subdivision of a oountj,norany .roaddisttilot~@o usi such surplus that remains in the s%nk%Iq **--fund far**  the pUl?iiOSe

of the con8truction,lMintensnea,,and dpsration of mdcadamfzed, grswJed or paved **reaps aad**  turnpikes, or in 

### aid thereofas may be detsxmlnsdby thi.Comufas~onsrs*Court of362

EoAoiebleJ. C. ifamilton, County i.uditor- pag&.'~ r::.

'theCounty or the OffiOial8 of a ~)olitioal subdirfalon

### or roaddletrict,when a&the principal and ax1 o$ the tntere8t have been fully paid. -

St 18 therefore ths$oplnlon of this departme,nt that the Comissloaere* Court of Si%or County la authorized to ex:- pend suoh surplue funds as remain .ln$he ei~nklng rund in the ,Lnstance

mentiorred

where all of th@ bOda8 and all of the intereathave been fully qd, and Sald'rundo * ,be used for the specificpuryPsr of "the oonatrwtlon, maintenance,and operation of macadrmlzed, grrrrrled or **gave6** roada and turnpikes or in aid thsreof aa deter&md by aaid ComiSsionere* Court." :.(' In conneatlonwith this Natter, yoti rrfegrod **to** Nticlm 889, Vernon*sAnnotated Clvll Statuter,

### wCiahmud8 ;asfo11ow8t

. ,' ,,

. wNo oity or qowty trqa8urer Shall honor

any draft upon the interert end 8lskl43 l%md prorldsd ior My of this bond8 of 8UUh 05ty

. or COUllty,

**nor** pay out nor divert aAg of *8 ~sem, 

### except Sor the purpofwot print3 t48 loter:~ot

on suohbonds or f.ogiedaamlng.t&S

. .. SMiew Or Loi ~invartmat io.8Uoh eeour$tEea atymy 'be

### provided by lay.* ." .",

_ 'Taeprovision8of t&i* aitlola &e~~a$itoadl6 on4 

### to .c:' :them~pendlture of rlnk~ hmbs. ,Underthe 3&Oti'8ioJJs of **l?. 8.**  **S$W, Chaptiw** 116, 48th Leegirhture~~(8upra), uh8n ail.of %hS pi%Wipal mad all 0,rthe intera8UaB'bond8 h&r. bern'fu.Xlg

papaid iron 8 slnhihg 

### fad, ,tho'sU~~lus fund' which;rsbains i.oSeS it8 id8LItltyiS a ?6iiIk&'iYnd? a& 

### beOOme8M *avaiPable fund", .th+ 18,~ fUi¶din 

### *hiohOh8 '. money is SvailablS ror USE for the puryomm dsslgnatadla the Act. COASejUeAtly, theprO68iOn8 Si +StiCle~859,'7f. A. c. G., (sug~) would not be applicable **to** said fudl,



### Sincethe lict.authorizea the use of auoh surplua~ tunds (fundarmaini~ after all boAde and ixteraot have been paid) for the desiwated purposes we city(1013 no neoeeeltp.-for a transfer. ;isLmretorore Lvilca **ad,** c instead of said fund **re** taining its status as a sinking Lund, it **bsoomse** a fund available ior the dm&,nated use, end auoh l'undcould ba known as W .kvafltible

**Fund;** fneteed cl * ulnklng~ Fund." You wo-

## 363

goaoreb10Jo C. Ilamiltorr, County Auditor - page 5

Then have b Bupar&tt: fund limited, in its use Sor wtha pur;iose of the oonatructlon,, SdLntqIlanoe

, cmd operation of niacedemieed, grsreledor paved roa6e and turnpiken or in aid thereof.* The &ccOUS!ting for the OXpenditUreS Of the monay might be a greataryrottlac

mhensaid funds, which play Ls used only for the fOrf3&OiS&$ pUr,:OWJS, are OO-miB&3d with it&B that may notbe a~'

reatrlctad as to their use. Since tile hoed end bridge **Fund** my be used for broader purz:ose8than those denlgneted in theAct, we thereforeadvise thet those funds restrioted es to use for the designated purposes, should noi be transierred to the Road snd IJrfdge Fuml. Wth reference to the seoond inst.&me, that is, whereall of the bonds and tntsreat thereon have not been d' full ,-id, yet tha ocmbined assets of the 8lnking fund, tnclude cash end investments, exceed the amount.ef- ,T’ bonds -nd interest yet to be pdid from seid fund, you are advised that the sot apeoifioally provide8 thet all of the lntere8tand all of the bonds must be rurplusrkioh~maina artier all of paidTad the the and all of the intereathme been fully gal.1is erailaDle for use for the designated .p;lrposea.

Therefore, it i8 the opinion of this department that eeld funds, in the second lnetanoe, cannot be wad Zor any purpo60 exoept to pay the iataruat on tutsknding bonda or for redeeming same, Or f;or the hmmtxuent in securitirr as krovidsd by law. Until all outhanding bonds anb interest thereon **are** full pa~from the **fund;** It retains T-5 ito identityes a "8 nx ng fund-, dad the oounty treasurer could not honor P draft against aald sfnkin& fund for a traneier or for my purpose exoept to puy lnterast on ou~stw.tdlng bonds, or for redeeming m.me,~or ror investment8 in esouritioe as authorizedbg Law (Artiole 4580, V. A..C, 8. supn’).

Trustlag that the foregoing fully 8nawere your laqulr;T,

*I)are
Yours Yerymulf