TX JM-191 August 13, 1984

Could a Texas county buy land and build an office solely for its county appraisal district under a lease-purchase agreement?

Short answer: No. JM-191 concluded that a county lacked authority to buy land and construct a building solely for an appraisal district, even if the district compensated the county. The county could lease unused space in a building constructed for legitimate county purposes.

Apply this to your situation

This page answers the general question as of 1984. Ezel answers yours: what it means for your facts, under current Texas law, with citations.

Currency note: this opinion is from 1984
Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.
Disclaimer: This is an official Texas Attorney General opinion. AG opinions are persuasive authority in Texas courts but are not binding precedent. This summary is for informational purposes only and is not legal advice. The opinion dates from 1984; verify current county-property, public-building, appraisal-district, interlocal, leasing, and finance law before relying on it.
About this page: The plain-English summary, reader guidance, and Q&A below were written by Ezel based on the official AG opinion. The original opinion (linked on this page as a PDF) is the authoritative source for any reliance.
View original AG opinion (PDF)

Texas AG Opinion JM-191: County Building for Appraisal District

Plain-English summary

JM-191 concluded that a county could not purchase land and construct a building solely to provide office space for an appraisal district.

"A county is not authorized to purchase land and construct a building solely for use of an appraisal district."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

The opinion said the statutes permitted counties to provide buildings for county functions and to lease unused portions, but did not authorize construction of a facility solely for another political subdivision.

"The statutes do not permit a county to construct a facility for the sole use of another political subdivision, regardless of whether the county is adequately compensated for the cost of construction."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

A county that constructed an office building for a legitimate county purpose could lease unused space in that building to the appraisal district.

"If the county were to purchase land and construct an office building for legitimate 'county purposes,' it could then lease unused space in that building to the appraisal district."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Currency note

This opinion was issued in 1984. Subsequent statutory amendments, court decisions, or later AG opinions may have changed the analysis. Treat this page as historical context, not current legal advice. Verify current law before relying on any specific rule, deadline, or remedy mentioned here.

Common questions

Did the Interlocal Cooperation Act itself authorize the project?

No. The act allowed local governments to contract for services that every party was already legally authorized to perform; it did not create new substantive power.

"The Interlocal Cooperation Act in itself does not confer upon a governmental body any additional substantive authority to perform particular acts."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Why was an appraisal district not entitled to county office space?

The statute requiring offices for county officers did not apply because appraisal-district officials were not county officers.

"Appraisal district officials are not county officers and thus are not entitled to office space provided by the county under this statute."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Did the statute authorizing buildings for district offices include appraisal districts?

No. JM-191 read "district" in that context as referring to judicial districts.

"The context of article 2370b clearly indicates that the term 'district' refers to judicial districts rather than to a 'district' of any kind whatsoever."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Would full repayment by the appraisal district cure the problem?

No. The opinion said authority was absent regardless of whether the county recovered the construction cost.

"The statutes do not permit a county to construct a facility for the sole use of another political subdivision, regardless of whether the county is adequately compensated for the cost of construction."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Could the county lease genuinely unused space?

Yes, when the building had been acquired or constructed for legitimate county purposes and the appraisal district occupied only the unused portion.

"It could then lease unused space in that building to the appraisal district."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Background and statutory framework

Hansford County was considering buying land, constructing an office building with county funds at an approximate cost of $125,000, and leasing it to the appraisal district through a lease-purchase arrangement.

"The building would be constructed with county funds at an approximate cost of $125,000, for the sole purpose of providing office space to the appraisal district."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

An appraisal district was a political subdivision responsible for valuing property for taxing units within its boundaries.

"An appraisal district is a political subdivision responsible for appraising property values for the use of every taxing unit within the appraisal district's boundaries."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

JM-191 applied the limit that a commissioners court possessed only powers specifically conferred by statute.

"A commissioners court has only those powers specifically conferred by statute."
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Citations and references

  • The Interlocal Cooperation Act permitted local-government contracts only for services every party was legally authorized to perform.

"The Interlocal Cooperation Act ... permits local governments to contract among themselves for governmental services 'which all parties to the contract are legally authorized to perform.'"
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

  • Articles 2351, 1603, 2370, and 2370b supplied the county public-building authorities discussed by the opinion.

"A commissioners court is required to provide and to keep in repair 'all necessary public buildings.'"
Source: https://www.texasattorneygeneral.gov/sites/default/files/opinion-files/opinion/1984/jm0191.pdf

Source

Original opinion text

Best-effort transcription from a scanned PDF. Minor errors may remain. The linked PDF is authoritative.

The Attorney General of Texas
JIM MATTOX Au:?Just 13, 1984
Attorney General

Supreme Court Buildlng         Honorable John L. Hu~chison                     Opinion No.    JM-191
P. 0. Box 12548                Banaford County Attorney
Austin, TX. 75711- 2548        P. 0. Box 506                                   Re:    Whether a county      may
512l475.2501                   Spearman. Texas   7!W81                         lease a building to a district
Telex QlW74.1387
Telecopier 51214750258
                                                                               appraisal   office for a nominal
                                                                               consideration

714 Jackson, Suite 700         Dear   Mr. Ziutchison:
Dallas. TX. 752024508
2141742-8944
                                      You have requested our opinion as to whether Aansford County may
                               purchase land for the construction       of an office   building   to be leased
4824 Alberta Ave.. Suite 1W    to the Hansford County Appraisal District.         You have informed us that
El Paso, TX. 799052793         the appraisal    district   has proposed a contract        whereby the county
91515333454                    would construct     an office   building    and lease    it to the appraisal

r
district under a lcase-purchase agreement. The building would be
Jo1 Texas. suite 700
constructed with county funds at an approximate cost of $125,000, for
tkw,ton, TX. 77002-3111 the sole purpose of providing office space to the appraisal district.
713/223-W You ask whether 1:tle county is authorized to enter into such a
contract.
806 Broadway. Sulte 312
Lubbock, TX. 79401.3479
The Interlocal Cooperation Act, article 4413(32c), V.T.C.S.,
8081747-5238 permits local gwernmente to contract among themselves for
governmental servic:cs "which all parties to the contract are legally
authorized to perfcrm." Sec. 4(b). The Interlocal Cooperation Act in
4309 N. Tenth. Suite B
itself does not :,nfer upon a governmental body any additional
McAllen, TX. 78501-1885
512mE2&47 substantive auth0rj.t.y to perform particular acts. Thus, we must look
to substantive law to determine whether the county is authorized to
enter into the cont,ract at issue here.
200 Main Plaza. Suite 400
San Antonio, TX. 782052797
An appraisal tl:.strict is a political subdivision responsible for
5121225.4191
appraising propert]' values for the use of every taxing unit within the
appraisal district-r! boundaries , which generally coincide with county
An Equal OpportunityI lines. Although a lumber of statutes authorize a couauissioners court
Attlrmatlve Action Employer to provide office buildings for county purposes and to lease the
unneeded portions 'to private persons or to other public agencies, the
statutes do not permit a county to construct a facility for the sole
use of another pol:l~:icsl subdivision , regardless of whether the county
is adequately comp<nlsated for the cost of construction.

                                     A commissionr:rs court is required      to provide and to keep in
                               repair  "all  necegic;ary public  buildings."     V.T.C.S.  art.   2351(7).
                               Article  1603, V.TWC.S., provides    that the commissioners    court shall
                               "provide a court h,ylse and jail for the county, and offices     for county
                                                                                       I        *I

Honorable John L. Hutchison - I’age 2 (JM-191)

                                                                                                 I

officers.” Appraisal district officials are not county officers and
thus are not entitled to of::‘:ice space provided by the county under
this statute.

   Article    2370, section       1. V.T.C.S.,        permits    the commissioners

court to provide buildings at the county seat other than the
courthouse “for carrying on such other public business as may be
authorized by the Commissionc:z 8 Court .” This statute also authorizes
the commissioners court to lease or rent any part of these buildings
not necessary for public use. Article 2370b. V.T.C.S., authorizes the
county to “purchase” or “cxlstruct” office buildings “to properly
house all county and district offices and all county and district
courts” whenever the commissioners court “determines that the county
courthouse is not adequate” Eor that purpose. In our opinion, the
context of article 2370b cl’?.%rly indicates that the term “district”
refers to judicial district I,ather than to a “district” of any kind
whatsoever, Thus, article :!:170b does not authorize the purchase or
construction of office build L:rgs for the purpose of housing officials
of an appraisal district.

  A commissioners       court     has only     those    powers    specifically

conferred by statute. Can,PLes v. Laughlin, 214 S.W.2d 451 (Tex.
1948). In Attorney Gene=-Opinion O-1952 (1940), this office held
that the county’s authorit:? to provide necessary public buildings
under article 2351 did not, empower the county to pay for the
construction of a building to be rented to the Texas National Guard
and other non-county governmental agencies. On the basis of this
decision, we conclude that E. commissioners court is not authorized to
purchase land and provide for: the construction of a building for the
sole purpose of providing office space to an appraisal district.

   Of course, if the coun::r were to purchase land and construct an

office building for legiti~lte “county purposes,” it could then lease
unused space in that building to the appraisal district.

                                 SUMMARY

            A county is not. authorized to purchase land and
         construct   a building     solely for   use of   an
         appraisal district.




                                           LA-/~Very truly



                                                JIM
                                                        .
                                                             your



                                                        MATTOX
                                                Attorney General of Texas
                                                                                           -.

TOMGREEN
First Assistant Attorney General
i

    Bonorable   John L. Rutchiroa   - Page 3       ml-191)




    DAVID R. RICHARDS
    Executive Assistant Attorney     (heral

    Preparerby   David Brooks
    Assistant  Attorney General

    APPROVED:
    OPINION COMMITTEE
.
    Rick Gilpin,   Chairman
    David Brooks
    Colin Carl
    Susan Garrison
    Jim Moellinger
    Nancy Sutton




                                              p. 837

Get today's answer for your situation

You just read a 1984 opinion on this question. Ezel checks the current Texas statutes and case law and answers your specific situation, with citations.

Opens in Ezel Pro. Every answer cites the law it relies on.