Kentucky Live Stock Breeders' Ass'n v. Hager

• Decision Date: 15 March 1905
• Citation: 120 Ky. 125,85 S.W. 738
• Parties: KENTUCKY LIVE STOCK BREEDERS' ASS'N v. HAGER, Auditor.
• Court: Kentucky Court of Appeals

85 S.W. 738

120 Ky. 125

KENTUCKY LIVE STOCK BREEDERS' ASS'N v. HAGER, Auditor.

Court of Appeals of Kentucky.

March 15, 1905

Appeal from Circuit Court, Franklin County.

"To be officially reported."

Action by the Kentucky Live Stock Breeders' Association for mandamus to S.W. Hager, Auditor. From a judgment for defendant, plaintiff appeals. Reversed.

J Embry Allen, for appellant.

N. B Hays and C. H. Morris, for appellee.

HOBSON C.J.

The following act became a law without the signature of the Governor on March 29, 1902 (Acts 1902, p. 243, c. 112):

"An act to provide for the improvement and development of the live stock, agricultural and kindred interests by the establishment and maintenance of a state fair.

"Whereas, the state of Kentucky has fallen behind her sister states in the development of her live stock and her agricultural products, and has lost the prestige and high standing her live stock once gave her, and whereas, in former times breeders from all parts of the United States and even foreign countries, looked to Kentucky for pure bred stock to improve their herds and flocks; and, whereas, as our neighboring states, viz., Ohio, Indiana, Illinois and Missouri, are rapidly forging ahead of us as breeders of live stock by the annual appropriations of large sums to equip and maintain state fairs for the exhibition of the products of their respective states, and the payment of premiums of such exhibits, we deem it necessary to establish and maintain a state fair in Kentucky for the exhibition of live stock and the products of the farm, orchard, dairy, poultry, and such other interests as may be helpful to all the people of our state: therefore, be it enacted by the General Assembly of the commonwealth of Kentucky:

"Section 1. That an annual state fair for the exhibition of agricultural, mechanical, horticultural, dairy, forestry, poultry and live stock, be, and the same is hereby created, to be known as the Kentucky State Fair.

"Sec. 2. That in order to relieve the said state fair of any political appearance, the same is to be under the management and control of the board of directors of the Kentucky Live Stock Breeders' Association, a corporation organized and existing under the laws of the state of Kentucky (having its principal office in the city of Louisville), and their successors in office, which board of directors are elected annually by the stockholders of the said association.

"Sec. 3. The sum of fifteen thousand dollars annually is hereby appropriated, which appropriations are to be used as premiums alone; the said fair to be held at such time and place as the board of directors of the Kentucky Live Stock Breeders' Association may determine, and the said Kentucky Live Stock Breeders' Association are to pay all other expenses incurred.

"Sec. 4. The sum of fifteen thousand dollars is to be paid annually on the first day of July, at which time the Auditor shall draw his warrant on the State Treasurer in favor of the treasurer of the Kentucky Live Stock Breeders' Association.

"Sec. 5. The treasurer of the said Kentucky Live Stock Breeders' Association shall execute bond with the state of Kentucky in the sum of fifteen thousand dollars for the faithful disbursement of such money according to the provisions of this act.

"Sec. 6. The treasurer of the Kentucky Live Stock Breeders' Association shall, within sixty days after holding such annual state fair, render to the Auditor of the state of Kentucky an itemized statement showing the disbursement of such appropriation, which itemized statement shall be embodied in the State Auditor's annual report.

"Sec. 7. Any part of the money unexpended shall be refunded by the treasurer of the said association to the state of Kentucky.

"Sec. 8. Any profits derived from the fair shall go into a sinking fund to be used for succeeding fairs of the association."

The Kentucky Live Stock Breeders' Association is a corporation created under the laws of this state, with its principal office in the city of Louisville. The nature of the business of the corporation is thus stated in its original articles of incorporation: "The nature of the business to be carried on by the corporation shall be encouraging and promoting interest in breeding, management and general improvement and development of pure bred live stock and holding annual exhibitions and sales of live stock at Louisville, Kentucky." This was amended on January 13, 1903, so as to read as follows: "The nature of the business to be carried on by the corporation shall be encouraging and promoting interest in breeding, management and general improvement and development of pure bred live stock and holding annual exhibitions and sales of live stock."

The auditor of the state in the year 1904 declined to draw his warrant on the Treasurer, in favor of the treasurer of the Kentucky Live Stock Breeders' Association, for $15,000, as provided in the act, on the ground that the statute was unconstitutional, and this action was filed to obtain a mandamus directing him to do so. The circuit court dismissed the petition, and the plaintiff appeals.

The only question to be determined on the appeal is the constitutionality of the statute. It is insisted that it is in conflict with subsections 17 and 29 of section 59 of the Constitution: "Sec. 59. The General Assembly shall not pass any local or special acts concerning any of the following subjects, or for any of the following reasons namely: *** Subsec. 17. To grant a charter to any corporation, or to amend the charter of any existing corporation. *** Subsec. 29. In all other cases where a general law can be made applicable, no special law shall be enacted." It is urged that the purpose expressed in the title of the act is the establishment and maintenance of a state fair, and that the Legislature had no power to speak into existence a state fair. The act does not create the Kentucky Live Stock Breeders' Association. That corporation is already in existence. The act, in effect, makes an appropriation, and directs that a state fair shall...