Attorney General Opinion WW-0904

THE ATTORNEY GENERAL OF TEXAS W’ILL WILSON *-x-r0RNEY GENERAL August 16, 1960 Honorable Doug Crouch Criminal District Attorney Tarrant County Courthouse Fort Worth, Texas Opinion No. WW-904 Re: Authority of the Board of Managers of the Tarrant County Hospital District to adopt a retirement pro- gram for the benefit of its Dear Mr. Crouch: employees. You have requested an opinion of this office relative to the authority of the Board of Managers of the Tarrant County Hospital District to adopt a retirement program for the benefit of its employees. Section 3 of Article IX of our Texas Constitution pro- vides that the Legislature may by law authorize the creation of countywide hospital districts in certain counties. This provision Is silent as to retirement benefits for the officials and employees of the hospital district. However, the enabling Act (Article 449&n, Vernon's Civil Statutes) en- acted by the Legislature In 1953, provides two methods by which the Board of Managers may establish retirement programs for Its employees. These provisions are: Section 5 of Article 449&n, Vernon's Civil Statutes, whlah provides: Further, under the same conditions, the Board &'Managers may enter into such contracts with the State and Federal Government as may be ,necesaary to establish or continue a retirement program for the benefit of Its employees. . . .' and Section 5a, which states: "The Board of Managers may In addition to re- tirement programs authorized by this Act establish Honorable Doug Crouch, Page 2 (WW-904) such other retirement program for the benefits of its employees as it deems necessary and ad- visable." With these provisions in mind, your inquiry resolves Itself into a question of the proper procedure the Board must take in order to establish a retirement program, i.e., must the qualified voters of the county authorize such action by the Board. The Texas Constitution, in dealing with other units of government, requires that a majority vote of the qualified voters must first approve a retirement program before one may be established. These provlslons are: Section 62 (b), Article XVI, Texas Constitution: "Each county shall have the right to provide for and administer a Retirement, Disability and Death Compensation Fund for the appointive officers and employees of the county; provided same la author- ized by a majority vote of the qualified voters of such county . . ." [Emphasis ours) Section 51-e, Article III; Texas Constitution: "Each incorporated city and town in this State shall have the power and authority to pro- vide a system of retirement . . . for its appolntive officers and employees . .~. when and if, but only when and if, such system has been approved at an election by the qualified voters of such city or town entitled to vote on the question of issuance of tax supported bonds; . . .' These provisions, however, do not pertain to a County Hospital District. A County Hospital District la a politl- cal subdivision of the State which is a different government- al body from that of a city or county. Bexar County Hospital District v. Crosby, 327 S.W. 2d 445, Attorney General Opinion b (1960). Since the Legislature has granted to the Board of Managers of a County Hospital District wide discretion In this field without the necessity of taking the matter before,the voters of the county, we are of the opinion that the Board of Managers of the Tarrant County Hospital District has authority to adopt a Honorable Doug Crouch, retirement program for own motion without the the county. Page 3 (WW-904) the benefit of its employees upon its approval of the qualified voters of SUMMARY The Board of Managers of the Tarrant the County Hospital District has authority to adopt a retirement pro- gram for the, benefit of its employees, Yours very truly, WILL WILSON Attorney General of Texas JMF:hb:mm APPROVED: OPINION COMMITTEE Gordon C. Cass, Chairman Virgil R. Pulllam Linward Shivers Willlam H. Pool, Jr. Marvin H. Brown, Jr. REVIEWED FOR THE ATTORNEY GENERAL BY: Leonard Passmore