November 29, 1947 

Hon. Eugene Talbot 

County Attorney 

Smith County 

Tyler, Texas 

Opinion NC. V-442 

Re: Constitutional fund 

from which c0unt.y 

hospital bonds are 

payable. 

Dear Sir: 

We have received your letter of November 18, 

1947, in which you ask whether county hospital bonds are 

payable from the county general fund or from the county 

permanent improvement fund., 

Article 4478, Revised Civil Statutes, under the 

conditions stated therein, authorizes the issuance of 

county bonds.for "establishing, enlarging and equipping 

said (county) hospital and for all other necessary permanent improvements in connection therewith,"is 

and parenthetical.insertion added.) 

Section 9 of Article VIII, Constitution of 

Texas, and Article 2352, Revise~d Civil Statutes, limit 

the authority of the county to levy ad valorem taxes to 

certain purposes and prescribe the rate~for each purpose. 

Such purposes are the following: 

1. For county purposes. 

,2. For,road and bridge purposes. 

To pay jurors. 

For the erection of public buildings 

and other permanent improvements. - 

We believe that the question in which you are 

interested has already been fully determined both by the 

courts of the state and by this department: namely, 

that bonds issued for county hospital purposes under 

Article 4478 are issued for permanent improvement purposes and are payable from taxes levied therefor out of 

the permanent improveme.ntax authority, and that the 

same cannot legally be paid out of the general fund, 
Hon. Eugene Talbot - Page 2 L V-442 

115 Y.W. $7 

was upheld. 

were payable 

ing the case 

the case of'Seydler v. Border (W. E. Ref.), 

702, the constitutionality of Article 4478 

The court, in effect, held that such bonds 

out of the permanent, improvement tax, citof Robertson v. Breedlove, 61 Tex. 316. 

In Opinion No. O-2599, this department held 

that the county hospital improvements authorized by Article 4478 were payable from the permanent improvement 

tax. In Opinion No. V-118, this department held that 

county hospital bonds could not be issued because the 

necessary tax levy to pay the bond requirements would 

exceed the constitutional limitation. 

Similarly,'this department has determined that 

county park bonds and county airport bonds are issued 

for purposes of "permanent improvementsn and are payable 

from the permanent improvement fund. 

If such bonds are payable from the permanent 

improvement fund, then moneys of the general fund cannot be used therefor, for it is well settled that moneys from one constitutional fund cannot be transferred 

to another. such fund, and can be.ex ended for no other 

purpose. Carroll v. Williams 109 i ex. 155 202 S.W. 

504, (affirming, in part, Wiliiams v. Carroil, 182 S.W. 

29). 

SUMMARY 

County hospital bonds, issued under 

the authority of Article 4478, are issued 

for permanent improvements and are payable, 

both as to interest and principal, from 

taxes levied therefor under the authority 

of the commissioners' court to levy taxes 

for the erection of,public buildings and 

other permanent improvements. Provided, however, that such bond taxes can in no event 

'increase the maximum amount of the total 

permanent improvement tax beyond the constitutional limit. 

Such county hospital bonds cannot legally be paid with moneys belonging to the 
* . 

, 

. 

Ron. Eugene Ta~lbert - Page 3 - v-442 

county general fund or with taxes levied 

for such county purposes. , 

Very truly yours, 

GWS : erc 

ATTORNEY G!%NERA& OF TE'XAS 

APPROVED: 

. . 

ATTORNEY GENERAL 

, 

.