The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1902-02-19
NO AUTHORITY EXISTS
FOR The ISSUANCE OF BONDS BY
THE GOVERNOR.
Law Providing for It is in Violsto, 90
the Constitution Says the At
torney General.

Austin, Texas, February IS rho ro,.,
nor today made public the following oor
respondence regarding oucstior s',,,,,,,,
ted by the university re,ents ro,att'
oohd issue on the permanent university
fund: N'''Nersi'F
hon on, Joseph d, .sayers, Governor Austin.
Cameron, Texas, February l1.-Rv d,roo.
tioh OF the board Of regents Of tho trni,ee
S SoSr VI LszaS ! have the honor of calling
ihere Is at present in the State as .u.t
III casn enc sum OF nine thousand fvc bnn.
urcd ana twenty-seven aud eighty thras
v,' NV tSa2IS 3l dollars belonging
70 Tue permanent fund OF the uniyrrsitv
:, Under provision oil article 1857 Of 600
hevlsed statutes, 1895, the governor is M.
thorlSed and directed to have issued manu-.
ior the permanent university fund. AT anv
TINE when there Is on hand In cash ne
mnch as 5000 and in accordance WITH this
p pp4slsion OF the statute, the board of reg.
ynts ueSlres 10 request that your excel
ntncS cause a BOND TO be issued as pro
,vued Tor said amount in exchange for said
permanent fund Very truly yours,
Chairman OF The Board Of Regents Of The
University of Texas
Hon' Joseph d, Sayers, Governor, Exccu-
Austin. Texas, February 14-Your Icttcr
a
mnnication addressed to you by the chnir.
man of the hoard of regents OF tho IIni-
NefSiiy OF Texas, in which you are request.
cd TO cause bond tn be issued in tho nano
OF the state of Texas for tho purpose or
investing the permanent university fund
therein and asking II. In my opinion Won
nave, nave authority to issue such bond. and
requesting me to prepare the bond n 7
think you have such authority, is al hand,
The ect Of April >. 1889, which has been
carried tnto the Revised Statutes Of the
State OF Texas as articles 1857 ct seq. be
ing An. act to provide for the issue Of
ponds OF this State to supply deficiencies
IN the revenue and to provide the manner
Of the sale of such bonds for the board
o. or, Sdd,n,caIi9n Tor ne permanent university
tund, authorizes the governor TO have Is.
sued manuscript bonds of the State III
Texas to be sold or exchanged at par for
the permanent university fund
YOU VIII observe, however, that the act
only provides for the issuance of such bonds
to supply deficiencies in the revenue.
!, Section 40 Of article III OF the constitu-
ZION provides that2.So dr6t shall be created
ply actual deficiencies of revenue repei
invapions, suppress insurrechou, defend the
state In war or pay existing debts"
think the act above referred TO only
authorizes the issuance by yourself Of
bonds to supply deficiencies in the revenue
IT, however, 1t was the Intention Of the
lawmakers TO provide method of invest
Ing the permanent university fund by Great
ing a State debt for that purpose in the
absence of n deficiency In the revenue. their
action would be in violation Of section -
Of article Ill Of the constitution already
quoted.
OF course If there is a deficiency in the
revenue there can he no question Of your
authority to issue the bond mentioned, but
but in the event that there is no existing
deficiency in the revenue 1t is my opinion
that you have no authority under the law
or the constitution to issue Il bond Of
the State Of Texas to he sold or exchanged
for the permanent university fund, Very
respectfully, {. X Belt