OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN

Rgnolvlble T. Gilbert Adam CountyAttorney Jasper County Jasper, Texas Dear Sir:

ion or this dep in part ae ioll by the Colamissioners 8, to aeoure the ILthe authority of ae $7000.00 of the d~slnklng Fundor Road County, Texae, aa a reour houra notioe. requires that the county furnish the revolving fund ior.the Bet-up, andthe ourplue id the,road distriot Interest endSinking Fundis the only eurplne which the oountg hae to draw from ror this prograra,a Seation 17, of Article 2'3.51,Vernon's Annotated Civil Statutes, provides in part:Eonorable T. Gilbert Adams, Page 2

i the Commissloaers Court OSeaoh oounty

Ofthis State, in addition of the powers already oonferred on it by.law, is hereby empoweredto oreate a revolving fund or funds and to make appropriations thereto out of the generalrevewe of such county; and such revolving fund shall be used by suoh aounty only In oooperatioa with the United States Department of Agriculture to aid and assist la oarrylag out the purposes and provisions of anAct 

### 0rCongress 

### 0rthe United States pertaining tothe distribution of commodities to persons in need of assistanoe, under the dlreotien of the United, States Department of Agrioukture; provided, however, that the county shall have oa handat all times either the moneys appropriated to suoh revolving fund or l’unds or the equivalent thereof in stamps issued by the United States Department of Agriculture under the Fodd and/or Cotton StampPlan; which stamps are oonvertible into oash at any time.* Article ISSa, Veraon’s Annotated Civil Statutes, authorizes any county or anypolltlcal’subdivlaion~ol the county, or anyroad dietriot that has beenor maybe~oreated by any general or speoial law to issue bonds for the purpose of oonstruotloa, maintenance and operation of ,maoadamLzed, graveled or paved roads, andturnpikes, or In aid thereof ’, in any amountnot exoeedlng one-fourth of the assessed valuation of the real property of suah oounty or politloal suvdivisioa or road distrlot, and to levy andoolleot.aUvalorem taxes to pay the interest on such bonds andprovide a sinking fund for the redemption thereof.

Artiole 779, Vernon’s Annotated Civil Statutes, provides! ’

Thecommissioners oourts. mayinvest sink- ing funds acoumulated for the redemption and payment of any bends issued by suoh oounty, politioal subdivision or defined district thereof, in bonds ofthe United States, Of.Texas, or’ any county in this State; or in bonds of the Federal FarmLoanBankSystem. NOsuoh bonds shall be purchased which; aooording to their terms, mature at a date subsequamt to the time 

### OSmaturity 

### ofthe bonds for the payment of whioh such 

### siraging fund was created.*Honorable T. Gilbert Adams, Page 3

provides: ArtiOle 780, Vernon's Annotated Oivil Statutes,

*All i6terest on such investments shall be applied,to the sinking fund to whioh it belongs, andthe use of suoh funds for any other purpose shall be oonsldered a diversion thereof andpunished as provided by artiole 94of the Penal Code." Artiole 779, supra, describ ed the manneranddesignates the bonds, wh**hthe sinking funds aoouniulated for the redemption andpayment of anybonds issuedby such oouM,V, political subdivision or defined district maybe invested. However, this statute does not authorize the oonimlssioners~ oourt to use anyportion of the surplus in the interest and sinking fund for anyother purpose.

Ia view of the foregoing statutes It is our opinion that any surplus in'the interest and sinkl5g fund of the road distriot must be applied to the speoifio purpose or purposes for which It was raised andaoWaulated, whloh was for the redemption and payment of the ~bondissue and. the interest thereon;exoept the investmedts authorized by. Article 779, supra. Therefore, the oommissioners* oourt has nolegal authority er 

### powerto use s5y emouatof the surplus in the interest andsinking fund OSthe above mentioned road'distriot for the purpose of'settiag upa revolving fund for the oountp, to be used by said county in oooperation with the United States Department of Agri-' oultureix aid andassist in carrying out the purpose and provisi058 of se&Ion 17, Artfole 2351, eupra, end anAct of ~Gongresspertaining to the distribution of commodities to persons in need of assistance regarding the food and/or aotton stamp plan. Yours very truly ATfORNEp GENERALOFTEXAS APPROVED

FEB19, 1942 a/ Grover Sellers FIFLSTASSISWN!C ATTORNEY

GXXXE?AL 1IW:I.M APPROVED

OPINIOIicomalTEE BYBg cm