TX Attorney General Opinion: What intergovernmental fund transfers can a County make?

Who is asking? Midland County Attorney 

What did they ask? Whether a county may provide funding to a school district for grounds maintenance, a iibrary, and law enforcement and funding to a hospital district for purchase of a mental health facility.

What’s the answer? 

  • Hospital District: probably can buy a building as a mental health facility
  • School District: the county will have to make some determinations on whether a county purpose is served

Why is that the answer from the Office of the Attorney General? A local government has to work its way through the 3 prong test in Texas Municipal League Intergovernmental Risk Pool v. Texas Workers’ Compensation Commission. (1) predominant purpose is public (2) public entity retains sufficeint control (3) public entity receives a returned benefit

 

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