November 1.

Hon. Robert S. Calvert Comptroller of PublicAccounts State Finance Building Austin, Texas 70711 Hon. James R. Sawyer Vice President for FiscalAffairs Tyler State College P. 0. Box 1142 Tyler, Texas 75701

Gentlemen: 1972 Opinion No.M-1257 ke: Whether Tyler State Collegemay pay for insurance providing coverage for: (1)workxen'scompensation on college enployeee, (2) public liability on college premi8e.s.(3)automobile liability and medical payments on college owned or leased vehicles, and (4)fireand extended coverage on collegebuildings and contents,by vouchers submitted for payment out of General Revenue appropriations?
You have requested an opinion on the following specific question: "Will Tyler State College be able to pay premiums on the following ineurance coverages on voucherk payable from the General Revenue Appropriation? "(1)Worlcnen'e

compensation on **the** college employees.

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"(2)Bodily injury and property damage liability insurance and premises medical payments upon the premises of Tyler State College.
W(3)Automobileliability,medical payments and physical damage on college owned or leased vehicles. "(4)Fireand extended coverage on buildings and contents."
In answer to your question regardingpayment for **workmen ’** **e** compensation (l), such authorizationmust be found under authority of Section 59 to Article III **of** the State Constitution (Nov.3, 1936). The Legislature **has** authority under **thin** constitutional amendment to enact laws allowing state institutionsof higher learning to purchase workmen@e compensationpolicies for their officers and employees. But to date **no** such general legislation has been enacted to allow such state institutions

# of higher learning as Tyler State College to purchase thiscwerage. Neither has any:specific legislationbeen passed covering such authority for **Tyler** State College. In the absence of such 'legielation, your college iswithout legislativeauthority to purchase this insurance.
In answer to the question regardingbodily injury,property damage and medical payments on **premises** (2).we recognize that under the provisions of the Texas Tort ClaimsAct, Article 6252-19, Vernon's Civil Statutes, **the** college, **ae** a governmental inetitution is exposed to liability and muit for certain negligent acts or omieeions: and general authorization is found in said Act for agencies or institutionsto purchaee liability insurance. However, the current GeneralAppropriationsAct; S.B. 1 (Acts 62nd Leg., 3rd C.S., 1972), Sec. 44, page IV-81, forbids the expenditure of any fundsby state agencies

# of higher education for purchase of liability insurance to cover claims arising under the Texas Tort Claims **Act.**

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In anewer to your question regarding autmobile liability insurance (3),Article 6252-19a,Vernon's Civil Statutes, in ite relevant provisions, reads as follows:

"Section 1. The State Departments or agencies **who** own and operatemotor vehicles, aircraft and motorboats or watercraft of all types and sizes shallhave the authority to insure **their** officers and employees from liabilitvarieins out of the use, otaeration and maintenance of such automobilee,.trucka, tractors, power equipment, air-, craft and motorboats or watercraft ueed or which may be used in the operation of such department or agency. **Such** insurance shall be provided by the purchase of a policy **or** policies for that purpose from some liability insurance company or companies authorized to transactbusiness in the State of T-0. All liability insurance so purchased shall be provided on a policy form or forms approvedby the State Board of Insurance as to form and by the Attorney General as to liability.. II

. . . "Sec. 4. Such payments are to be charged against the maintenance fund of the department for which such employee is~ employed." (Wlphaeisadded.) Our opinion is that you my purchase and pay for automobile liability insurance on college owned or leasedmotor vehicles out of the General RevenueAppropriations, since the limitation contained in **the** GeneralAppropriation **Act** (6.8.1) applies only to insurancepurchased under **the** provisions of Article 6252-19 and not 6252-19a. SeeAttorney General's OpinionM-1215 (1972). **The above**  **authority** only extends to public liability coverage. i.e., bodily injury and property damage.liability insurance,

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and not to collision or medical payments coverage On the vehicle insured.
In answer to your question regarding fire and extended coverage on collegebuildings and contents:
In view of the Senate Concurrent ResolutionNo. 3 (Acts 37th Leg., 2nd C.S., 1921),which expresses legislative intent that no insurance shallbe taken out upon any publicbuildings or the contents thereof **of** this State, and prior **Attorney** General's opiniona holding that statewarrants may not be issued inpayment of insurancepremiums in the absence of specificappropriations for that purpose (Atty.Genl. Opin. No. C-193 (1963)and others cited therein),we conclude that you cannotpurchase fire and extended coverage insurance on college buildings or their contents. It is our opinion that you cannotbuy insurance as described in categories (l), (2)and (4)but that you **can** buy automobile public liability insurance (3)and pay by voucher.on the General RevenueAppropriations.SUMMARY

Article 6252-19a.Vernon's Civil Statutes, authorizesTyler State College to pay premiums on automobilepublic liability insurance on college owned **or** leased vehicles **by** voucherspayable **from** General RevenueAppropriation. There is no legislation authorizing purchase **of** workmen's compensation in**surance** by Tyler State College.

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Bon. Robert S. Calvert and Hon. James R. Sawyer, page S(M-1257)

Restrictions in S.B. 1 (Acts62nd Leg., 3rd C.S., 1972) Sec. 44, page IV-81,pro**hibit** purchase of public liability insurance on Tyler State College premises. In view of legislative intent expressed in Senate Concurrent ResolutionNo. 3 (Acts37th Leg., 2nd C-S., 1921) and priorAttorney General Opinions, Tyler State Collegemay not purchase fire and extended coverage insurance on collegebuildings. Yo* very truly,

Preparedby Barry C. Green Assistant Attorney General APPROVED: OPINION COMMITTEE
Kerns Taylor, Chairman W. E. Allen, Co-Chairman Austin Bray Arthur Sandlin Jerry Roberts Sam Jones SAMVBL D. MCDANIEL Staff LegalAssistant
ALFRED WALKER ExecutiveAssistant NOLA WRITE FirstAssistant

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