%BE ATTOHNEY GENERAL 

OF T-EXAS 

Hon. Larry 0. Cox 

Executive Director 

Board for Texas State 

Hospitals and Special Schools 

Austin, Texas Opinion No. v-1462 

Re: Necessity for advance approval by the Board of 

Control on monthly construction estlmates and 

change orders on hospital 

Dear Sir: construction projects. 

You have requested an opinion on the following questions: 

"Does the law require the approval of 

the Board of Control on our monthly construction estimates? 

"Does the law require the approval of 

the Board of Control on our change orders 

in plans and specifications after a contract 

has been entered Into? 

"If o’ur Board follows the customary 

practice of the Board of Control and advertises for bids In newspapers In the local 

vicinity of the construction project as 

well as advertising In construction trade 

journals and publications, and bids are 

publicly opened at a designated time and 

place, and the low bid Is accepted by our 

Board, does the Board of Control have the 

legal authority to disapprove our action, 

or: 

"Is the Board of Control's right of 

review and approval only that of assuring 

that legal and businesslike methods are 

followed In advertising and accepting bids 

for construction?" 
Hon. Larry 0. Cox, page 2 (v-1462) 

Prior to the creation of the Board for Texas 

State Hospitals and Special Schools, the Board of Control had authority to exec~ute and supervise construction contracts for the various institutions now under 

the management and control of the Hospital Board. Arts. 

679-687, V.C.S. On September 1, 1949, these powers were 

transferred to the Board for Texas State Hospitals and 

Special Schools. H.B. 1, Acts 51st Leg., R.S. 1949, 

;;; ?$49p: 

588 (Art. 3174b, V.C.S.); Att'y Gen. Op. VIn 1950 the Legislature amended the 1949 

act to make such construction subject to the review and 

approval of the Board of Control, where the construction 

costs are paid out of funds credited to the State Hospitals 

and Special Schools Building Fund. :H~.B. 2, Acts 5lst 

Leg., 1stC.S. 1950, ch. 1, p. 1 (Sec. 3, Art. 7047c-1, 

Section 3 of Article 7047c-1, V.C.S., provides 

"All the funds credited to the State Hospitals and Special Schools Building Fund under 

this Act are hereby appropriated to the Board 

for Texas State Hospitals and Special Schools 

for the purpose of constructing, repairing and 

equipping such buildings as in the opinion of 

the Board are necessary to the proper care of 

those committed or to be committed to such 

hospitals and special schools according to 

law. Provided however, the fees paid to an 

architect shall not exceed six per cent (6%) 

for the plans. specifications and supervisions of-said-buildings and all contracts 

made for and the final acceptance in connection with such construction other than the 

plans and specifications, shall be subject 

to the review and approval of the Board of 

Control." (Emphasis added.) 

It is noted that the above quoted provision 

makes not only the contract but also the final acceptance of the construction work itself subject,,to "the 

review and approval of the Board of Control. However, 

plans and specifications are specifically excepted 

from its provision. Att'y Gen. Op. V-1172 (1951). 

In view of the foregoing, we answer your 

specific questions as follows: 

1. Since the final acceptance of the construction work is subject to the approval of the Board 
Hon. Larry 0. Cox, page 3 (v-1462) 

of Control, it has the power to Inspect the work as it 

progresses. Generally, construction contracts call for 

monthly payments to the contractor based on the amount 

of work completed, Therefore, the contractor's monthly 

construction estimat'e 1~s subj,ect $0 the approval of 

the Board of Control. 

2. Changes in plans and specifications are not 

s'ubject to the approval of the Board of Control. Of cZi?se 

it is understood that material changes in the plans and 

specifications after a contract has been entered Into are 

not authorized; only minor changes, contemplated by the 

advertisement, bid, and contract, may be made. 

3. Although the contract is subject to the 

approval of the Board of Control, a legal basis must 

exist before it may disapprove the action of the Hospital Board in awarding the contract. For example, If 

the Board of Control has knowledge of facts which show 

that the person who has been awarded a contract is not 

a responsible bidder, then it has the power to refuse 

to approve the contract. 

4. Both the contract and construction work are 

subject to the review and approval of the Board of Control. 

SUMMARY 

All contracts for the construction of 

buildings for the various institutions under 

the management and control of the Board for 

Texas State Hospitals and Special Schools, 

and the construction work itself, are subject 

to review and approval of the State Board of 

Control. Art. 7047c-1, V.C.S. Plans and 

specifications for such construction are not 

subject to review and approval of the State 

Board of Control. Att'y Gen. Op. V-1172 (1951). 

Yours very truly, 

APPROVED: PRICE DANIEL 

Attorney General 

J. C. Davis, Jr. 

County Affairs Division 

Mary K. Wall 

Reviewing Assistant 

Charles D. Mathews 

First Assistant 

BY 

fi 

&& 

John Reeves 

Assistant 

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