Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1915-01-15
An Opinion Conserving School
Funds In Dispute.

Whereas, the Board of County Commits
sioners of Mont somery County have bee
informed by the County School Commits
sioners of Montgomery County that on tn
3lst day of July. A. D. 1914, the same da,
being the last day of the fiscal year. he
ginning August LIST, 1918, and ending Jul,
3lst. 1914. there remained in the hands o
of the Treasurer of the School Board tn,
sum of $3,262.09, said amount of money
being the surplus from the advance mad,
by this Board to liquidate certain indebted
ness incurred by said Board Of County
School Commissioners and whereas al
Act of the General Assembly of Maryland
Chapter SIS of the Acts of 1914. provided
for a bond issue of $58.500 to liquidatt
any and all Indebtedness of said Count,
School Commissioners and authorizing the
Board to issue bonds to the amount o.
$685. 500 or so much thereof as was found
to be the valid and subsisting amount Of
Indebtedness and whereas in pursuance
of said Act the Board of County Commits
siOners issued bonds for the amount Of
$50, 500. and whereas it is now apparent
that this amount should be reduced in the
amount of $3.262.O9. be it
Resolved. This day. by the Board Of
County Commissioners for Montgomery
County that Berry f. Clark, the County
Treasurer. be, and he is hereby authorized
empowered and directed to deduct from
the levy appropriation of 1914 for the
maintenance of the public schools of said
county the sum of $3.262.09: and he is
hereby further ordered and directed to i'm
mediately apply said amount toward the
redemption of so much thereof of the $685.
500 issue of bonds.
Be it further resolved, That a copy of
this resolution be sent to the County School
Commissioners of Montgomery County.
And be it further resolved. That copy
of the opinion of the Attorney to the Board
of County Commissioners in relation to this
matter and copy of this resolution be
and the same are hereby ordered to be
printed and published. in the county news
papers Of said county.
By order Of the Board of County Com
missioners for Montgomery County:
RICHARD T. WHITE, JR..
President.
To the Honorable the Board of County
Commissioners of Montgomery County.
Maryland.
Gentlemen Pursuant to your request
for supplemental opinion as to the matters
submitted in the papers handed me in ref
erence to the county school appropriations
and expenditures, as well as an express
sion of my Interpretation of the School
Bond Act, together with a request as to
my opinion in the matter of the surplus OF
$3.262.09. being the amount in the hands
of the Treasurer Of the School Board at
the end of the fiscal year, July 3lst, 1914.
beg leave to submit for your considera-
ton the following:
Chapter SIS of the Acts of the General
Assembly Of 1914, approved April 10th,
1914, is entitled. AN Act to validate and
to authorize and empower the County Com
missioners of Montgomery County to fund
certain Indebtedness contracted by the
Board Of County School Commissioners Of
Montgomery County and a deficiency in
the cost of the public schools for the cur
rent school year and to issue bonds of the
said county therefor and to levy tax for
the payment of the same"
The preamble to the statute recites:
II. An Indebtedness of said School Board
represented by notes held by certain banks
Of said county, Of the aggregate principal
sum of S33,5OO;
~. An advance or advances by the
County Treasurer on the direction of the
County Commissioners of 10000. and
IS. And estimated outlay in excess Of
the estimated income of said Board Of
County School Commissioners for the school
year ending July 3lst. 1914. amounting to
about $4,000"
By Section of the Act the amount Of
such Indebtedness and deficiency was rati-
fed and confirmed, and the Indebtedness
incurred" was declared to be valid and
subsisting."
By Section 2, the Board Of County Com
missioners was authorized. "in its dscre-
ton. to issue bonds to amount not ex-
ceeding $58.500. to be dated on the day
of their issue. and to bear interest at a
rate not to exceed per cent, payable on
the first days of April and October in each
year; provided, that said bonds shall be
advertised and sold to the highest bidder
or bidders. at not less than their face value
for cash.
By Section it is provided, that said
bonds shall be so issued as to mature the
principal of $500 in one year from date,
and $3,262.09 each year thereafter until
paid.
By Section 4. the County Commissioners
were authorized to levy each year tax
sufficient to pay the interest and matur-
ing principal.
By Section s 1t is provided. that the
proceeds arising from the aforementioned
bonds shall be paid over by the County
Commissioners to the Treasurer Of the said
Board Of County School Commissioners Of
said county less the amount Of said adj
vance through the Treasurer Of said county
as aforesaid. which proceeds so received
by said Board Of County School Commits
sioners Of Montgomery County shall imme-
diately be applied to the payment Of the
Indebtedness recited in the preamble to
this Act, and the balance thereof to be
applied by said Board Of County School
Commissioners TO or toward the payment
of any deficiency there may be in the
conduct Of the public schools Of said county
during the current school year, and to no
other purpose whatsoever"
OPINION.
The manifest purpose Of the statute was
to sell bonds. not exceeding $58.500. to
pay the specified debts amounting to $685.
500. to reimburse the County Commission
ers for the specified advances Of $4,000
made through the County Treasurer, and,
in addition fharafn IN make i'm the whole