.

OFFICE **OF THE**  **AlTORNEY GENERAL**  **OF TEXAS**  **AUSTIN**

Honorable George Ii. Sheppard 

### Comptroller **0r** Pub110 Aooountr Auetla, Tex88 Dear dir:



### ot ThmAmerleaaBe free Sror ad **mbmltted** 

### ror ou

6plled a6 followar



### arty lnthe**Cltr of**  Clebunts,

*io &i uoe ie thlo property being put at

10 well rented **and**

### after **doduet** and **oo?anty**tuom, inmranre and upkeep, are **about e**  **aad uo**  **wed** In the malntenanee of thr Dollar 

### Chapter,Amerlom Red Crors artlri**tlr8.**Eonorpble Forgo 8. Sheppard, tige

### 2

"2. What be yourplom aato lto iW 1~00 

### The proput lo on the market **for** oale. 

### It **lo** the **08ly** plooe **of** property held. **Uo hte**  **trlod to**  get l 

### naoonable prior**?or** 

### thlo ?operty l

### inw it 

### MOl

qepted br 

### 6008Au&uet1, 1 43. 1 It the property

l **0a bo**  **Bold** 

### tho **)ro.o.dO** will **k iBtOOtOd**  **iB u.**  **8. boBdO.** 



### “**3.** 'If oonronlont thlo Daportuat ohould like you 

### to oend a pa8phlet of the law thot l uthorlzoo 

### oreatlon of tho looal 

### ahapter of The Amrlo&n ZmI Cross and oopy of the 

### Charter.’

-ho luerlour Rod

### Woo8 ~88lnoorporated **br ~1**  

### set of Coqgroeo 

### In 1905no l 

### ?ederal a&enoy. A8wePnderotod 

### it there lo DO law whleh **uuteo** looal ohaptero. Wol

### e (nrloolng herwlth l

### photol 

### totlooopfoertirylng tht the Dollar Oorott Ohaptor Lcr,jPrlodiotioB 

### andlo 

### l poelfle~ll~ 

### authorbed **to** lrrry

onRed

Or080

l 

### OtiritieS andmonthly r&port8 l 

### e sent to thr **Amerioan lktioml**  Rod Croao. speoirirally Red **Qrooo** Chaptoro ue not 

### pormittrdtohold 

### titlo to rod cotate 

### andthe title to the proputy l 

### t Cloburne lo in

### the aano of tho

### Anerloa8Red Orooo, ruhlngton, D. O., l Fedorol yenoy. 8hould tho 

### propertybe 0016 by the Aaorloan Rod Crooo, the 

### proooodowouldbe **turaod over**  **ior** 

### uinteunoe or 

### the Dalloo Chapter. Shlla we l o 

### notaulrq 

### the property in qrreotlor dlmtlr ior Red Or088 br ouapanor, 

### thoproooedoareking uoed formaintenanoe of 

### thoDallao 

### Qhaptor. Webellevo 

### that thlo 

### proport l



### hould bo uomp% from 

### tax&ion and l

### el klBg

### that you lo mll0.~Hanonble Gaorgo H. qheppord,. Pago 3

W;h4ro help 

### l

xpraooly In our protlouo opinion -. - No. O-4291 The 

### Amorle’M Red Orooo, 

### or any duly organized or azlotlng chapter 

### thereof, to be an lnotrumontollty of the United States. O111lko the oltuatlon of unp other inotnmaat4litieo of the Felar41 Governmenb, whora Oongrsso ha4 axpraooly provided for loon1 nondloorlmln4tory ad 14lora4tu llabllity, the otatutea ara silent regarding ouah tsx llsblllty or iamunlty of the Red Crone. Suoh being the oaoe wa ore l~ollnad to iolIor the tact laid domi in the reoent onoo 0r ~ravoo v. Pa0910 of %ntb 0r Jew Yori:, 306 il. 3. 466, 83 L. **Id.** 927, 59 S. Ct. 595:

?3110n00 0: cougroso Implies Immunity no more than does the ol~~anoa or the 0onatltution. It r01101;0 that when exemption iroll l tsto taratim lo olaiaod on the C;rouadthat the federal gorarnzmt la burdened bf the tex, and Congress hr;s dloolo8ad no Intaatlon rlth rsspeot to the olalmad lmnunlty, it is in order to oonsldsr the natura and ofieot of the alleged burden,

. . .”

n looal. nondlao$lloinatory sd raloropl tax on pror,srty of a Tsderal instrumentality ham bean uphold ln numerous daoiolono of <ha Jnltod St4tca 3uprbna Court baoause Its effoot on thb **Gorornnrbnt** ~8s. ramie md indlzeot. ZfCullooh V. Zaryland, 4 Wheat 316, 4 L. id. 579 (local real osthtti tax on national banks); iicndareon 3riddc Co. Y. **Kantuoky,** 166 u. 3. lS0, 17 s. ct. 532 (atatc property tax on bridge usslin Into,-•t?te oormaroe snd artabllohed ams post road by Congress); IJnlon Faoltlo H. K. Co. f. 

### Ponloton,85 3.3.5, 21 L. **E ‘** **d.** 787 (state property tax on railroad 

### pro9arty,the railroad being ohatered by tha ;orarmant lu ardor to osrry out the pawars of Congress relative 

### to lnterotata 

### o omiuoe, l otabllohlng post roads, 6to. );Thom8on v. Union PaolrloRailroad Co., 76 J. s. 579, 19 i. Ed. 792 (same fact oituotlon 00 In Ekklon Pagitlo i?. R. Co. v. Paoloton 

### l uprs); AIw4rd v. Joh4oa4, 262 il. 8. 509, 75 L. i4i. 496, 51 4. Ct. 273 (propotty wed in oper,itiq an 4utowttta stag, line between polato in 04llfornl4 uador a eat1 oarrlar*a oontrrlot); Indian 

### Tsrritow IIlumlnatlng 011 

### Ooapamyv. Board of ~quallzatlon, 286 T. S, 327, 77 L. ‘Td. 612, 53 9. Ct. 388 (tax upsn oru2o oil groduoed tram exempt Xndlan lands held by the oorapany In its storage tanks); Tsbar v. India Territory IllPrLnatlag Oil Oompan~, 300 3. 3. 1, 81 L. i L. 463, 57 S. Ct. 334 (property used by the oom?any In its opartitiono on 4x oil rind gas lease oorarl~, lande of rootrioted :‘EVh60Indiana).

### Honorable Ueorgr II. Sheppard, Pago 4

Onthi othbr band thors **arb** many authoritlbr holding th4 **sank4 t/pe**  0r **tti** ~016 **by rbason**  or th6 tu being l dirootburdsn on the Unit4d **Sbstbs Gorbmmsnt.**  Clallam County, **Uastln&on, V.**  **UIlitSb State8**  **6Sd** Unltsd **StbtbB SprU44**  **ProdUo tlon**  

### Corpolrtlon,263 0. S. 3U **(Property a4**  **Lirbd and**  **la4d ror**  **w4r produotlon);**  **tilted** 

### Stat.48 V'.Coghlan, 2 1 lr. 425 (propbrtp

8 owns& **by** Fbdsral 

### Shlp;in(l **Bo4rd Emsrgono~**  **Flbbt** 

### Corporstion **and uaod**  **ror war**  **produotioo); lUng**  **Oounty,** 

### ‘Uarhlngton, t. aitbd **sthtss** Shipping Board Fleet OorpOrotlOn, 262 ?. 950 (sum ract 

### l ltustloa **as In**  **Ilnltbd Stst48**  **v.** Coghlan, supm); tilted States ~ouaing Corporation **v.** City 0r **natartan,** 113 8. I. **Ylsc.** 679, 166 **1. Y.**  Supp. 309 (land 84qUlrOd **to hsu~r**  **workbra in**  **488on** tlal indurtri48 during world Iur One). It is **to bb**  noted that in saoh of the **a “** **48** oltbd in thi‘ paragraph the **Fbd4ral Oovern**  

### nentown06 rll the rtoek,or the **bntlrb** banr~lolal intbrbst in thb stosk, Of the 4OrpOrStiOn8 SOu@lt to be tUbd.

We**bbliOV0** the proper teat ia found In Coolsy on Taxation (Ith Bdltlon), Volum4 2, Seotlon 607:

*. . . The teet is :whbther the tax 

### doprlrbstha parsons or oorporatloas taxed, in truth, of power 

### to aarvb 

### thbgo+brne.ent (ia they were **intsndbd to**  **aor~e it,**  **or** hinder the Orri0ient **sx4rolob** or their power. “It rollowa that a atete ta% upon the property or **sn** agont **or** the **redbral gorbrm4nt**  **la** 

### notprohibited **merely bbOaUl3e**  it **is** the property of suoh an agent. *Tu8tlon or the agonog is taxation 0r thb EOmsi taxation or thb property of 

### theagant18 **not alws~s,**  or gmnsrallr, taxation o? the man~.~ A tax upon the 'pr4pbStr' Of 4gbIlt4 4? 

### l **gOll4ibS** Or thb ib64r‘l gOtOmmoat **dobs** 

### notnb4e4s8rily drprltb them or thblr psuor to ssrvs suah gorenmsnt **nor** hinder the rfflolbnt usr**4184** or the power, and hens@ may be 

### rightrull;r laid; bat a tax **upon** tholopsrstionsl Of suoh **s&bats or**  **agsn 4188,**  1. **b.,** an **ooaupatlon or**  prirllege tax, being a dlrbet obstruotlon to the 

### l xer4184 of fed4ral pmef, 18 lnralld. But where the proprrtp 0r a aorpmmtlon, eaga@d in exboutlng a rederal **agsnoy,** is itablf the means by whiah suoh **w54noy** 

### ië l xOOUtbd,

**thb PrQpbrty**  **is** not **SUbJ6Ot** to State or loeal taxation.”

### P5U

lionorable 

### aUborgr

E. Sheppard, Pegs 5

Se. **dS0** Indian **idOtOI ’** **SgOlS CO.**  **V. &ited**  **StStbS, 283**  YJ.S. 570, 75 L. 166. 1277; lox Film Corp. f. Doyal, 286 U. s. 76 L. Ed. 1010. 123,

In our oplnloa the property of Tha Anbrlaan Red 

### Cross la not in ltaolf the moana by whlot Its agenoy **ror** the. Onltad 

### Stetee Gotom.bnt 

### is l xboutod. The Cbderal Uotbrnmat does not wholly own 

### itsstook, alnor there 

### isnone. 

### Although the 4orporatIon la rather strlotly aupenlsed by Ita ormtor, and 1s assisted In lta operations by substantial SWSJS direotly ap~roprlated fro- the national **treasury,** the peop1e of this netion. **are** large& responsible ror its **support** through voluntary oontributlons. Too, its **purposea** 

### arenot all 

### strlotlygoternmontal In ohuraoter, 6a rhown by Subaeotlona 3an1 5, Ssctlon 3, Title 36, II. 5. C. 5., rhioil read **85** r0n0ws: *The 

### purpoocis of the oorporatlon ar6 and ahhli bb - nFlrst. To fWi8h.tolUteer aid to the alok and woundbd or armles in tin4 or war, In aooordanos with the spirit ana oonditlons 0r the 

### oonferenoeor Gbnbta or Ootobbr 1863, and also of the treaty of the 

### Red **Cross,** or 

### thetreat; Jr Ganava, oi August 22, 1664, to whloh the Vnlted Stat.68 of Lmerlea gore ita adhesion on %13rOh 1, 1882. ".
. . "Fifth. iad 

### to **oontinue** ma 0arrJ on a rystem 0r national and 

### internatlonal relief in tla4 of peaoe and **apply** the 

### sa:min mItlgatln& the suitering ssuoed **by pestllenoe,**  **famine, ilrb,**  Sloods, and other 

### great national aalamitiea, .and to hric;e and carry on meamres ror prbventlng the aame.w Youwill note that tbe parpO8b8 rO? whfoh Thb

### Amrioan Red Crosr was lnoorporuted llluw it to **rblie+e** di.stre88 In rorelgn lands. Web41lsr4 thsn that its sltustlon la dirtingulehable 

### fromthat oi inotrumentalltlea wholly owned and 

### oontrolled by the ?edoral Oorernmmt 

### andwhO8bpropbrtiee are the 

### meansthrough **rhloh** the Psderal powera 

### arb **exenisbd.**.. - -

Honorable 

### UoorgeH.Sheppard,Page 6

'IOthe&fore 00n4iud0 

### that **ad ralormai**  **trxos** laid agelast The As4rloan Red Ok88 **under** the **prbasnt** olroumstanceswould not oonstltufeadlreatburden upon the United St8 tbs. The purpoaes of The Aamrlean Red Cross 80 set 

### rorth In Tltlr )6, Chapter 1, 3eatlon 3, U. S. C. A., show it to be a ohultabls organlsatloa. This b4lng the 

### ease, WIgust now oonsldu the poeslblllty of the building being cxeapt iron taxation by reason or our state ConstltutscPn and rtstutes. 

### Wer,rlotr a portionofAttible 7150, V. A. C. S., 4~ r0ii0as: *The rollowing propsrty Uh81: be exe?ipt mm taxation, towit:
“.
. . "7. Fubllo charities. - All bui1Jings belonging to lnstltutlons Of purely public oharlty, together with the lands belonging to and 044UFIed by suoh institutiona not lorsbd or ottbrwlae udbdwith nview to prorlt, us1088 such rents and profits and all moneys an4 orsdlts are appropriated by suoh inatitutiana solely to aurtain 8U4h Institutions.
. . .*

It would aem fro3 the **language** qsotsd that the property oonseraeb t;ere w0tid * l xampt. I;O.:bYbr, our courts hbrs vary erftitivel; ntiiirbd 

### thisprotlslon 0r the statute by theiroonstruotlon of Artiole 8, Seotiou 2, or our State Con8tltutlon. Ahoat of Texas dealslona are In 

### aoaordon the propoeltlon that the propsrty mat be owned and used *uelualrely* by the oharltable organiaatloa. The 

### latratexpresalon by ow highest oourt 

### on this point Is round In the oass OS City of Longtiaw v. Markham-%sRee Mezsmlal Hoqpltal, 137 Tex. 176, 152 S. Yf.(26) 1112.

Slno4 tht use to whloh the bnIldIng la **put** admittedly **18** not Nexoluslven, **Fhb** hmerloan RadOr088 la liable for the a&trlorea taxa laid against thr property inquired about.

woo&row Edwards As8lDt‘nt 

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