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TX JM-899 May 10, 1988

Who held title to a vehicle forfeited for a Texas sheriff's use, how was it sold when no longer useful, and where did the sale money go?

Short answer: The certificate of title was issued to the law-enforcement department or agency receiving the vehicle, but that did not make the department an owner separate from the county. Once the vehicle was no longer useful, it was disposed of under the Local Government Code's surplus-property rules, and the proceeds went into the Controlled Substances Act special fund rather than the county general fund.

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This page answers the general question as of 1988. Ezel answers yours: what it means for your facts, under current Texas law, with citations.

Currency note: this opinion is from 1988
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.
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Texas AG Opinion JM-899: Title, Sale, and Proceeds for a Forfeited Sheriff's Vehicle

Plain-English summary

Denton County Criminal District Attorney Jerry Cobb asked three questions about a motor vehicle forfeited for a sheriff's official use under the Controlled Substances Act: whose name belonged on the certificate of title, how the vehicle was disposed of when the department no longer needed it, and where the sale proceeds belonged.

Section 5.08(c) said the department or agency receiving a forfeited vehicle was deemed the purchaser and received the certificate of title. The Attorney General explained that this rule handled vehicle registration and title paperwork. It did not give a sheriff's department ownership separate from the county. A certificate of title was not conclusive proof of actual ownership.

The sheriff's public-auction procedure in section 5.08(b) applied to forfeited property generally, but it expressly excepted property retained for official use under section 5.08(c). A vehicle first retained and used by a law-enforcement department therefore fell under the Local Government Code's general procedures for disposing of surplus public property when it was no longer useful.

The sale money did not go to the county's general fund. Section 5.08(f) required proceeds from forfeited property to be deposited in a special fund administered by the seizing agency or office and used, except as otherwise provided, for investigating alleged violations of Texas criminal law.

Currency note

This opinion was issued in 1988. 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

Whose name went on the title to a vehicle forfeited for a sheriff's use?

The department or agency receiving the vehicle for official use. Section 5.08(c) deemed that department or agency the purchaser for certificate-of-title purposes.

Did the sheriff's department own the vehicle separately from the county?

No. The opinion said the title provision did not give a subordinate department or agency general authority to own property apart from the political subdivision itself.

Did the sheriff have to auction the vehicle when it was no longer useful?

No. The sheriff-auction rule excepted property that had been retained for official use. The opinion concluded that the Local Government Code's surplus-public-property provisions governed its later disposal.

Could the sale proceeds be deposited in the county general fund?

No. They had to be placed in the special fund described by section 5.08(f) of the Controlled Substances Act.

What was the special fund used for?

The quoted statute said that, unless another part of the section provided otherwise, expenditures were used solely to investigate alleged violations of Texas criminal law.

Background and statutory framework

Sections 5.03 through 5.081 of article 4476-15 provided for forfeiture of property, including vehicles used in connection with violations of the Controlled Substances Act. Section 5.07 authorized a court to forfeit property to the state, a state agency, or a political subdivision authorized by law to employ peace officers. Childress County v. State, 92 S.W.2d 1011 (Tex. 1936), established that a county was a political subdivision, and article 2.12(1) of the Code of Criminal Procedure recognized its peace officers.

Section 5.08(c) allowed the receiving political subdivision, department, or agency to maintain, repair, use, and operate forfeited property for official purposes. For a registrable motor vehicle, it deemed the receiving department or agency the purchaser and directed that the certificate of title be issued to it. The opinion read that language as a title-administration rule, not a grant of separate ownership. Pioneer Mutual Compensation Corp. v. Diaz, 177 S.W.2d 202 (Tex. 1944), supported the point that a motor-vehicle certificate of title was not conclusive proof of ownership.

Section 5.08(b) generally directed the county sheriff to sell other forfeited property at public auction, but it excepted property retained for official use under subsection (c). That exception led the opinion to the Local Government Code's general surplus-property provisions when a retained vehicle was later disposed of.

Section 5.08(f) controlled the money. It required forfeited money, property-sale proceeds, and other listed things of value to be deposited in a special fund administered by the seizing agency or office. Attorney General Opinions JM-678 (1987) and JM-550 (1986) supplied related analysis.

Citations

Statutory authority:

  • V.T.C.S. article 4476-15, sections 5.03-5.081, 5.07, and 5.08(b), (c), and (f)
  • Code of Criminal Procedure article 2.12(1)
  • V.T.C.S. article 6687-1, Certificate of Title Act
  • Local Government Code provisions governing surplus public property

Cases:

  • Childress County v. State, 92 S.W.2d 1011 (Tex. 1936)
  • Pioneer Mutual Compensation Corp. v. Diaz, 177 S.W.2d 202 (Tex. 1944)

Prior Attorney General materials referenced: JM-678 (1987) and JM-550 (1986).

Source

Original opinion text

Best-effort transcription from a scanned PDF. Obvious character-level OCR errors have been corrected, but minor errors may remain; the linked PDF is authoritative.

I-

              THE     ATTORNEY            GENERAL
                         OF  TEXAS

                          May 10, 1988




 Honorable  Jerry Cobb                      Opinion   No.   JM-899
 Criminal  District Attorney
 P. O. Box 2344                             Re:   Disposition   of motor
 Denton, Texas    76201-2899                vehicles    under     article
                                            4476-15,    V.T.C.S.,      the
                                            Controlled Substances Act
                                            (RQ-1239)

 Dear   Mr.   Cobb:

       You  ask   our opinion   on  the          following      questions
 concerning  certain provisions  of the         Controlled     Substances
 Act, article 4476-15, V.T.C.S.:

              (1) When a motor vehicle is forfeited            for
          use   by   the   Sheriff     as    permitted      under
          section    5.08     of   the     Act,    should     the
          certificate     of   title    to    the   vehicle     be
          issued   in     the    name     of   the     sheriff's
          department   or the county?

              (2) When   a motor   vehicle   forfeited    for
          use by the sheriff's    department   is no longer
          useful to the    department,   how is    it to   be
          disposed   of?  Should the property     be sold at
          a public auction under the direction       of   the
          sheriff as described     in section 5.08(b)      of
          the Act or at    the direction   of the    Commis-
          sioner's Court pursuant to the Local Govern-
          ment Code?

              (3) What is the proper disposition     of the
          funds garnered      from  the   disposal  of   the
          motor vehicle?      Should they be deposited    in
          the   "special     fund"  described    in section
          5.08(f) of     the   Act  or   deposited  in   the
          general fund of the county?

,-

       Sections   5.03-5.081   of the Controlled   Substances   Act,
 article 4476-15, V.T.C.S.,      provide    for the forfeiture    of

C
property, including motor vehicles, used in connection

                                 p. 4431

Honorable Jerry Cobb - Page 2 (JM-899)

with certain violations of the Act. Section 5.07 of the
Act sets out the procedures to be followed by a court in
ordering a forfeiture and section 5.08 provides for the
disposition of forfeited property. See generally Attorney -
General Opinions JM-678 (1987) and JM-550 (1986).

 Section        5.07     of the Controlled        Substances   Act   states

in part:

        (a) [If the    owner of      the property      does
    not file    an answer]     the court      shall    hear
    evidence that     the    property    is   subject     to
    forfeiture   and may     upon motion forfeit         the
    property   to the   state or an       agency of      the
    state or to a political         subdivision    of    the
    state authorized      by    law   to    employ    peace
    officers.   . . .

        .   .    .   .

        (d) If it is      found that the property            is
    subject to forfeiture,        then the judge         shall
    upon motion      forfeit     the    property     to     the
    state or    an agency       of the     state or      to   a
    political       subdivision         of    the        state
    authorized   by law to employ peace            officers:
    However.      for     property       other      than      a
    controlled    substance;     raw material,      or    drug
    paraphernalia,       if proof       at   the     hearing
    discloses   that the interest of any bona fide
    lienholder,     secured party,       or other      person
    holding an interest in the property               in    the
    nature of     a   security    interest      is   greater
    than or equal       to the present       value of       the
    property,   the court shall order the property
    released to him.        If   such interest      is    less
    than the present value          of the property         and
    if the    proof     shows that      the    property      is
    subject to forfeiture,        the court shall order
    the property     to be forfeited       to the state or
    an agency     of the     state or      to a oolitical
    subdivision     of the     state authorized      by     law
    to employ peace officers.          (Emphasis added.)

A county is a political subdivision of the state,
Childress County v. State, 92 S.W.2d 1011 (Tex. 1936), and
?
it is authorized to employ peace officers. See Code Crim.
Proc. art. 2.12(l).

                                p.   4432

Honorable Jerry Cobb - Page 3 JM-899)

  Section 5.08(c)     of  the   Controlled            Substances     Act

provides for the use of certain forfeited property for the
official business of law enforcement agencies and
departments of political subdivisions. It provides in
relevant part:

       The state or     an agency        of the     state or     a
       political      subdivision           of     the      state
       authorized   by law       to employ peace       officers
       may maintain,    repair,       use, and operate         for
       official purposes      all property       that has been
       forfeited   to   it. . . . The           department      or
       agency receivina      ral     forfeited vehicle        may
       maintain,    repair,       use,     and   operate      the
       property    with    money      appropriated       to    the
       department   ox agency for current operations.
       If   the    property        is    a     motor     vehicle
       suscewtible    of registration        under the      motor
       vehicle registration        laws of this state.         the
       deDartment   or agency receivina          the forfeited
       vehicle   is deemed       to be     the purchaser       and
       the certificate     of title shall be .issued to
       it as required     . . . .       (Emphasis added.)

V.T.C.S. art. 4476-15, §5.08(c).

  It has been    suggested that section       5.08(c) is     thus

inconsistent. In one part of the subsection political
subdivisions are authorized to maintain, use, repair, and
operate for official purposes property that has been
forfeited to them. Another part of the same subsection
specifically directs that a certificate of title for a
forfeited motor vehicle be issued to the department or
aaency of a political subdivision receiving the forfeited
property for official use, if such a certificate is
required by the Certificate of Title Act, article 6687-1,
V.T.C.S.1

  We do not find that    the commands of section     5.08(C)

concerning forfeited motor vehicles to be inconsistent. In
a somewhat different, but nevertheless relevant, context
in Attorney General Opinion JM-678, we noted that a

1. We express no opinion on the application       in fact of

the Certificate of Title Act or any of the statutes
dealing with motor vehicle registration to vehicles
forfeited for official use in law enforcement.

                               p. 4433

Honorable Jerry Cobb - Page 4 (JM-899)

careful review of the legislative intent undergirding
sections 5.07 and 5.08 of the Controlled Substances Act
demonstrates that

    [a]lthough   Section 5.07 provides     in  general
    terms that property may      be forfeited   to   [a
    political   subdivision]   section 5.08 provides
    that some of the forfeited      property  will   be
    distributed   to a   specific officer,     agency,
    or department    of a political   subdivision.

        . . .

    The portions    of section 5.08 which      requires
    distribution    of forfeited    property    to   an
    office, individual   or law enforcement     agency
    provide    further  definition    of   the   court
    orders of forfeiture     authorized   by   section
    5.07.    (Emphasis supplied.)

Attorney General Opinion JM-678 (1987). We note further
that the legislative history of-a relevant amendment to
section 5.08(c) underscores our finding that the statute
is not inconsistent with regard to this point. In 1977,
section 5.08(c) was specifically amended to have the same
general meaning which was retained in the 1979 amendment
to the statute.. The analysis accompanying the 1987
legislation noted that the amendment

    allow[s]  courts to award forfeited       vehicles
    to the Department    of Public Safety or to any
    other agency    or   unit of   government     which
    employs  the    officer    who   conducted      the
    seizure.

Bill Analysis to S.B. No. 1033, prepared for Senate
Committee on Transportation, 65th Leg. (1977) . See Acts
1977, 65th Leg., ch. 492, p. 1270. See also Attorney
General Opinion JM-678.

  Section 5.08(c) designates        the department     or   agency

of .a political subdivision receiving a forfeited motor
vehicle as the proper entity-to obtain a certificate of
title, if necessary, for vehicles received for official
use, but the department is "deemed to be the purchaser" of
the vehicle solely for the purposes of the Certificate Of
Title Act. Nothing in the Controlled Substances Act vests
a department or agency of a political subdivision
receiving a forfeited vehicle with any of the muniments of
ownership merely because it obtains a certificate of title

                            p. 4434


  Honorable    Jerry   Cobb   - Page   5   (JM-899)




  to the vehicle.     A certificate     of title to a motor vehicle
  is not conclusive      proof of    the actual    ownership    of  the
  vehicle.    Pioneer   Mutual Compensation Corp. v.    Diaz,   177
  S.W.2d 202 (Tex. 1944).       The bare language of section 5.08
  of the   Controlled    Substances    Act,   which refers     to   the
  Certificate   of   Title Act,     thus   cannot be    construed    to
  grant to a subordinate      department   or agency of a political
  subdivision general authority      to hold property     as an owner
  separate and apart from the political         subdivision   itself.

        Your second question     is   about the proper method        for
  the disposal    of a   forfeited motor vehicle       once it is     no
  longer useful to the law enforcement        department    or   agency
  operating   it.   Section 5.08     provides  for the disposal       of
  different   categories     of  forfeited    property     in   several
  different.ways.       First,   controlled   substances,      the   raw
  materials   used to    manufacture   controlled   substances,      and
  drug paraphernalia     are to be    disposed of as provided        for
  in section 5.08(a).      Second, all

            other   property     that    has   been    forfeited,
            except for     money    derived    from    the    sale,
            manufacture,       distribution,       dispensation,

P delivery, or other commercial undertaking
violative of this Act, and except as pro-
vided [in section 5.08(c)], shall be sold at
a public auction under the direction of the
county sheriff . . . . (Emphasis added.)

  V.T.C.S.  art. 4476-15,  §5.08(b).    Finally,   section 5.08(c)
  provides  that law enforcement     agencies or departments      of
  political  subdivisions  may   retain the forfeited     property
  to be used for official purposes.       V.T.C.S.  art.   4476-15,
  §5.08(c).

           Section 5.08(b) provides         for public      auction of     all
  forfeited       property     except    "controlled      substances,      raw
  materials,      and drug paraphernalia,"          which are covered       by
  section 5.08(a),         and   property     retained      for   use   under
  section 5.08(c) by law enforcement             agencies or departments
  of political      subdivisions.       Since section 5.08(b)         specif-
  ically     excepts property       retained    for    official use     under
  5.08(c) from the requirement           of sale at public auction,         it
  follows that property         retained    for use by law       enforcement
  agencies      or departments     under    5.08(c) must be subject         to
  the Local       Government    Code’s    general provisions        ,for the

disposal of surplus public property.

  • Attorney General Opinions JM-678 (1987) and JM-550
    (1986) provide a concise answer to your final question,
                                  p. 4435
    

Honorable Jerry Cobb - Page 6 (JM-899)

which concerns the disposition of proceeds from the sale
of the vehicle. Section 5.08(f) of the Controlled
Substances Act provides in relevant part:

       (f) Any money, securities, certificates of
       deposit,    negotiable       instruments,        stocks,
       bonds, businesses        or business       investments,
       contractual     rights,     real   estate,      personal
       property   and other things of value, and              the
       proceeds   from the sale of items described             in
       this subsection       that are     forfeited     to    the
       seizing agencies      of the     state or an       agency
       or office of a political         subdivision     of    the
       state authorized        by   law   to    employ     peace
       officers   shall     be    deposited    in   a   special
       fund   to    be   administered       by    the   seizing
       agencies   or office       to which     they are      for-
       feited.    Except     as    otherwise      provided     by
       this section,       expenditures     from    this     fund
       shall be used       solely for the       investigation
       of any    alleged violations         of the     criminal
       laws of this state. . . :           (Emphasis added.)

V.T.C.S. art. 4476-15, §5.08(f).

  The proceeds    from the sale of the forfeited     vehicles

used by the sheriff's department must be deposited in the
special fund described in section 5.08(f) of the
Controlled Substances Act. Attorney General Opinion
JM-678 (1987).

                             SUMMARY

           Section 5.08 of the Controlled         Substances
       Act,    article    4476-15,     V.T.C.S.,     provides
       that when motor vehicles        are forfeited       pur-
       suant to that act,        to a political      subdivi-
       sion    authorized     by   law    to   employ    peace
       officers,    and are received      for official      use
       by a department     or agency of that        political
       subdivision, certificates of title are to be issued
       in the name of the department or agency which has the
       use of the vehicles. Vehicles forfeited for use
       by a department       or   agency of     a political
       subdivision     are to be disposed      of in accord-
       ance with the Local Government          Code    govern-
       ing   the    disposition       of   surplus      public
       property.     The   proceeds      from the     sale    of
       property    forfeited     for   official use      by    a




                                p. 4436

Honorable Jerry Cobb - Page 7 (JM-899)

    department or agency     of a political    subdi-
    vision are to be placed in the special       fund
    described  in    section     5.08(f)    of    the
    Controlled Substances   Act.




                                            JIM      MATTOX
                                            Attorney  General   of Texas

MARY KELLER
First Assistant Attorney General

LOU MCCREARY
Executive Assistant Attorney General

JUDGE ZOLLIE STEAKLEY
Special Assistant Attorney General

RICK GILPIN
Chairman, Opinion Committee

Prepared by Don Bustion
Assistant Attorney General

                              p. 4437

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