## TISEATTORNEUGENERAL OFTEXAS

PRICE DANIEL ATTORNEY

Gl?NERAL AUSTIN m.TwAs January 28, 1948

Hon. E. G. Garveg County Auditor Bexar County SanAntonio, Texas Opinion No. V-487 Re: Authorltg~ of the Commlssioner's Court to allow the formation of agroup life insurance plan for county employees andto authorize the county auditor to makesalary deductions land act as trustee of the premlurnsfor such agroup plan. Dear Sir:

Werefer to your recent letter to this Department in which you ask the following questions:

?Jnder the provisions of House Bill No. 420, may, I, as County AudLtor, collect and pay premiums on agroup insurance plan organized under the provisions thereof by county employees by deducting the premiums therefor from the various county pay-rolls?" Section 1of H. B. 420, Acts of the 50th Leg., R. S., 1947, is in part as follows:

"'Section 1. Nopolicy of group life Insurance shall be delivered in this State unless it conforms to one of the following descrlptlons:.

. . . "'(3) Apolicy issued to an independent school aistrlct, incor+porated city, town or village which has assumed control of the public school system within such municipality, State colleges or universities, any association of State employees, any association of State and Counts employees; any~department of the State Government, which employer or association shall be deemed the pollcyholder, to insure the employees of any such independent school district and of the public schoolHon. E. G. Garvey, page 2 (V-487)

system of any such municipality, of any such State colleges anduniversities, of any such department of the State Government, members of any association of State employees, andmembers~of an? association of State and County emulosees for the benefit of persons other than the policyholder subject to the following requirements:

. .I’ (Emphasis added) Weare of the opinion that H. B. 420, supra, does not apply to anassociation solely of county employees, since there Is nothing In the context to Fndlcate such anintent onthe part of the Legislature. Togive this effect to the bill we would either have to strike out the words “State Andy”orcbnstrue the word “and” to mean “or”

. As to the first alternative, wesee noreason therefor, nor dowebelieve the courts would delete those words from the bill in order to bring county employees within Its provisions, considering the context of the entire Act. With reference to the second alternative, werealize that the courts have sometimes said that the words “and” and “or” are interchangeable and that one maybe substituted for the otherif to do so is consistent with leglslative intent. However, wefind nothing in the context of the bill which evidences such legislative intent.

Since the Act does not provide for the formation of an association of county employees solely, and since it does not contain any provision authorizing the county auditor to cbllect andpay premiums therefor from the county employees” salaries , you are respectfully advised that in the absence’ of such authority it is the opinion of this Department that the county auditor cannot collect and paypremiums on such agroup insurance plan under the provisions of said Act.

However, such county employees as maybe members of ab association of State and County employees maybe insured under the provisions of this Act. Nevertheless, there are noprovlslons In the Act whereby the county maypay any part of the premiums of the group policy.

Further, county employees mayvoluntarily band together as Individuals under ttieir inherent rights andsecure benefits under the group plan, just the sameas if they were lneluded in the bill, except there Is noprovision for the county to obtain this for them, nor has the county anyright to withhold. any part of the employees’ wages, even with their consent.Wecall your attention to H. B. 665, Acts of the 50th;’ -

Hon. E. G. Garvey, page 3 (‘J-W’)

Leg., R.S., which empowers county employees to combine for the purpose of buying policies of group health, accident, andaccidental death insurance. Weare enclosing a copy of our Opinion No. v-488, which construes the provisions of said Act, SUMMARY The county auditor cannot collect and pay~premiums for agroup consisting solely of county employees onagroup insurance plan under the provisions of H. B. 420, Acts of the 50th Leg., R. S., 1947. Yours very truly ATTORNEY

GENERALOFTEXAS

BA:djm:mw:wc Bys/Bruce Allen Bruce Allen Assistant

APPROVED: s/Price Daniel ATTORNEY

GENERAL