PRICE DANIEL 

ATTORNEY GENERAL 

AUHTIN u.TExas 

November 8, 1948 

Dr. J. G. Flowers, President 

Southwest Texas State Teachers’ College 

San Marcos, Texas 

Opinion No. V-715 

Re: Legality of payment to 

San Marcos by Southwest Texas State Teochers’ College for police 

Dear Dr. Flowers: 

and fire protection and 

other like public services. 

Your request for opinion is as follows: 

“May the Southwest Texas State Teachers 

College pay the City of San Marcos for the following public services: Police protection, fire 

protection, street operation and maintenance, 

and other miscellatieous official sexvic,es? 

“Basic Data 

“‘1. The College has recently acquired from 

the Federal Government title te 150 apartments 

and a service-office building located on land which 

has been owned by the College. During the War the 

Federal Govec~nmenf built this project as a defense 

housing project and pard rhe College ren.t on the 

land. 

“2. At rb,e clo,s9 of th,e War thi,s prqject was 

converted into a Veteran Studeryt Housing Projec,t 

and was continued under the administration of the 

Federal Housing Authorities. Federal Authorities 

discontinued its operation on October 1, 1948.~ The 

rents heretofore collected by the Federal Government will now be collected by the College and will 

be deposited in our Local Account. 

“3. During the time the Federal Public Housing Authorities operated the unit, the said Federal Public Housing Authorities paid the City of San 
Dr. J, G. Flawerg, Page 2 (V-715) 

Marcos $1,9gO,OO per year for the services mentimed above. M 

It affirmatively appears from the information given in 

your letter that the prsperty therein mentioned, formerly owned 

by the Federal Government, is now owned by the Southwest Texas 

State Teachers’ College, and hence is now public property of the 

State in common with ~11 other property of the College. We assume, although yau do not say so, that payment for the services 

specified in yeur letter to be rendered by the City of San Marcos 

to the College is to be paid from the r.ents received from students 

of the College, and that such rental or fees are to be deposited in 

the local account of the College. This revenue constitutes public 

funds. This department so held in Opinion No. O-1662, a copy of 

which is herewith enclosed. 

The expenditure of such local funds by certain designated governing boards, such as the Board of Regents of the State 

Teachers’ Colleges, is governed by the provisions of Article 

2654d, V.C.S., and Subsection (3) of H.B. 246, 50th Legislature. 

Said Article 2654d provides in part as follows: 

“Sec. 1. The governing boards of . . . including . . . the Southwest Texas State Teachers’ College at San Marco@ may retain control respectively 

of the fallowing sums of money collected at each of 

said several institutions in carrying out the functions of an educational institution, such as funds 

collected from student fees of all kinds; charges 

for use of rooms and dormitories, receipts from 

meals, cafes and cafeterias, fees on deposit refundable to students under certain conditions; receipts 

from school athletic activities’ t . 0 0 all other fees 

and local institutional income of a strictly local nature arising out of any by virtue of the educational 

activities ar research or demonstration carried out 

by each and all of the several schools.” 

“Section ga. This law shall be subordinate and 

subservient to the biennial appropriation bill for the 

support of the several institutions herein mentioned.” 

The general provisions of the biennial appropriation for 

the educational institutions of the State, H.B. 246, 50th Legislature, are in part as follows: 

4, 

. * . or proceeds from the sale of such proparty, from labor performed, from the sale of materials, crops and supplies, from fees, and any and 

all other receipts, shall become and are hereby ap- 
Dr. .I. G. Flowers, Page 3 (V-715) 

propriated as maintenance or contingent funds to 

be expended under the direction and with the approval of the governing board having jurisdiction. 

Said governing boards are authorized to use out of 

the proceeds of said receipts and funds, in accordance with the provisions of this act, such amounts 

as they shall deem necessary for the support, maintenance, operation and improvement of said institutions. . .” 

We assume that in submitting your request you have in 

mind such police and fire protection, street operation and maintenance, and other miscellaneous services rendered by the City 

of San Marcos enjoyed in co-on by all citizens or institutions 

within the confines of the corporate limits of the city. This opinion is written upon that assumption. 

The Board of Regents of the State Teachers’ College is 

created by legislative enactment, and it has only such power and 

authority as is expressly conferred upon it by the Legislature or 

such as may reasonably be implied from that expressly granted. 

It will be observed by the provisions of Section ga of 

Article 2654d, V.C.S., quoted above, that these local funds are 

subject to appropriation by the Legislature and may not be otherwise expended. We do not construe the foregoing statutory provisions-and there are no others presently existing-as authority for the expenditure of thase local funds by the College or its 

Board of Regents for the purposes enumerated in your letter. 

It seems quite clear to us that unless the College receives some special service from the City, not enjoyed in common by all citizens and institutions within the corporate limits 

of the City, some of which may be tax-exempt as is the College, 

payment for such services enumerated in your letter would be 

precluded by Section 51 of Article III of the Constitution, which 

provides: 

“The legislature shall have no power to make 

any grant or authorize the making of any grant of 

public money to any individual, association of individuals, municipal or other corporation whatsoever.” 

We do not mean to hold that the expenditure of public 

funds for police and fire protection, maintenance of streets, 

etc,, is not for a public purpose, but if paid to the city merely 

for the privilege of enjoying these public services in common 

with all to whom the city owes these services in any event, 

such a payment would constitute a donation clearly forbidden 
. 

LSr..J. Q. Flowers, page 4 (~~-715) 

b t&e ferepiiq Constitutional provision 

ft4$%?refare fcvllcw’s f,rom what we have said above that 

it i$ our opinion that %ere is no legal authority foP the Southwe& Texas Stale Teachers’ College te pay the City of San Marpas for the 8esviceS mtMieried in your letter. , 

Lo~4 &M&J of the Southwest Texas State Teacherg ’ Coll~(e may txot be u:‘e~d CO pay the City of Sgn 

-CO& for p&c@ and fire protection, operation dnd 

maintervrlbce of streets, and other municipal services, 

which are enjoyed in common by all citiaens and in- 

&,UtUkjM@ wU&& tpra c3mperate limit6 of the city. 

(hm&td~m, Sec%‘i@ti !X, Art. III. 

Very truly yours, 

I ATTORNEYGENERALOFTEXAS 

Assist& 

ATTORNEY GENERAL 

.