ORNEY GENE-L 

OFTEXAS 

Hon. Paul L. Bognton, President 

Stephen F. Austin State Teachers College 

Nacogdoches, Texas 

Dear Sir: Opinion No. O-7352 

Re: Authority to expend a specific 

appropriation for the construction of a permanent improvement 

when the sum appropriated is inadequate. 

We acknowledge your letter of August 10, 1946, wherein you request an opinion of this department on matters therein 

discussed, which reads, in substance, as follows: 

The 49th Legislature appropriated to the Stephen 

F. Austin State Teachers College for the year ending 

August 31, 1946, $24,000.00 for “steam tunnels and 

steam pipes for main buildings.” On three occasions, 

bids were requested and in each instance the same had 

to be rejected because the bids were in excess of the 

amount appropriated . ComDaniea are not willing to 

bid more closely within the range of costs because of 

the uncertalntg of material and labor costs. That the 

college might realize the sum appropriated, we, desire 

to know whether we can let a contract, a cost-plus 

contract, with the stipulation or agreement with the 

bidder that the total work done would not exceed 

$24,000.00, and bidder would agree to complete the 

unit in Its entirety when moneys are mad,e available. 

The college could get most of the work done on this 

basis, and a contract would be let in such a way that 

the bidder-company would agree to complete the unit 

upon which it shall work to its entirety. 

Under the facts stated, it is revealed that the appropriation of $24,000.00 for steam tunnels and steam 

main buildings of the college (Item 78, Acts 1945, $%Y~~f;slature, Regular Session, Chapter 377, page 796) Is inadequate to 

meet the present day costs of materials and labor for the construction and installation of the steam system. The basic 

question involved here is, we believe,, whether the college 

has authority to expend an appropriation made for the construction or installation of the steam system contemplated by the 
. , 

Hon. Paul L. Boynton, page 2 O-7352 

Legislature, when the sum appropriated is in fact inadequate. 

It Is elemental, of course, that all power to approprlate money for public purposes or to incur any debt therefor, 

unless given by the Constitution to some other ind,ividual or 

body politic, rests In the Legislature. Sec. 6 of Art. VIII of 

the Texas Constitution, provides that “no money shall be drawn 

from~ the Treasury but In pursuance of specific appropriations 

made by flaw .‘I This provision requires speclficness as to purpose as well ,as to amount. 

The type, of appropriation which we are herein discussing 

Is a specific appropriation for a purpose which the Legislature 

contemplated might be accomplished within the sum appropriated 

therefor. In other words, we believe that the Legislature in 

appropriating Item 78 could have and did contemplate the full 

complet%on of the construction or installation of a steam 

tunnel and pipe system for the main buildings of the college, 

and provided by Its appropriation that the cost of the complete 

system should not exceed $24,000.00 The Legislature specified 

by its appropriation to the college the purpose for which it. 

should be expended and the specific amount to be expended for 

the steam system In question. 

It is well known that it Is the custom with the Leglslature to appoint committees or boards to investigate the needs 

of public Institutions and to pass appropriation bills for 

definite amounts for the support, maintenance and erection of 

bulldlngs Andy other permanent Improvements therefor. Articles 

688, 689, 68qa-2, 689a-7, V.A.C.S.; State v. Hardeman, 163 S.W. 

1020. We do not think the passage of the appropriation bill, 

above referred to wherein the specific amount of $24,000 was 

appropriated for ‘steam tunnels and steam pipes for maln buildings” for the College, the Legislature intended to grant the 

trustees thereof discretion to incur liabilities on the part of 

the State for more than this amount. 

All public offices and officers are creatures of the 

law. The powers and duties of public officers are defined and 

limited by law. 22 Ruling Case Law, page 555. Public officers 

may make only such contract with the government they represent 

as they are authorized by law to make. Fort Worth Cavalry Club 

vs. Sheppard, 125 Texas, 339. In our opinion.,, the approprlatlon 

law authorized In effect the proper officials of the College to 

make a contract blnding upon the State for the erection, construction or installation of the steam system in question and 

fixing the amount to be spent therefor, by impllcatlon, declared 

that the cost of the steam tunnels and steam plpes for main 

buildings should in no case exceed $24,000. This was a llmitation on the authority of the agents~representing the State, and 

any efforts on their part that would attempt to impose upon the 
Hon. Paul L. Boynton, page 3 O-7352 

State a contract that would Increase its liability beyond the 

amount stipulated In the appropriation would be clearly unauthorlzed, and would be an act not binding on the government. 

Nichols vs. State, 32 S.W. 452; State v. Halderman, 163 S.W. 

1020. 

Considering the facts herein quoted, wherein It Is 

apparent that the College cannot contract for the construction 

or installation of a completed steam system as contemplated in 

the quoted appropriation bill at a cost of $24,000.00, or less, 

we are of the opinion that the College cannot let a contract 

stipulating with the bidder that the total work done would not 

exceed $24,000 and wherein the bidder would agree to complete 

the unit in its entirety when moneys are made available, for 

the reasons hereinabove stated. 

Trusting the above satisfactorily answers your inquiry, we~remain 

Very truly yours, 

ATTORNEY GENERAL OF TEXAS 

By s/Chester E. Ollison, 

Chester E. Ollison 

Assistant 

CEO:rt:wc 

APPROVED AUG 19, 1946 

s/Ocle Speer 

(Acting) ATTORNEY GENERAL OF TEXAS 

Approved Opinion Committee By s/BWB Chairman