Miller v. Greater Baton Rouge Port Commission

• Decision Date: 31 May 1954
• Docket Number: No. 41813,41813
• Citation: 225 La. 1095,74 So.2d 387
• Court: Louisiana Supreme Court
• Parties: MILLER et al. v. GREATER BATON ROUGE PORT COMMISSION.

Page 387

74 So.2d 387

225 La. 1095

MILLER et al. v. GREATER BATON ROUGE PORT COMMISSION.

No. 41813.

Supreme Court of Louisiana.

May 31, 1954.

Cashio, Cashio & Malloy, Maringouin, for plaintiffs-appellants.

Hynes & Mathews, Benton & Moseley, Durrett & Hardin, R. Gordon Kean, Jr., Baton Rouge, Chapman & Cutler, Chicago, Ill., Wood, King & Dawson, New York City, for defendat-appellee.

PONDER, Justice.

In this suit the plaintiffs, taxpayers of the Parishes of East Baton Rouge, West Baton Rouge and Iberville, sought to enjoin the Greater Baton Rouge Port Commission from issuing and selling $55,000 of term notes or bonds pursuant to a resolution adopted by the Commission on December 28, 1953 and to permanently enjoin the Port Commission from issuing or proposing to issue any notes or bonds under the provisions of Act 9 of the Regular Session of the 1952 Legislature, which was adopted as an amendment to the Constitution of Louisiana as Section 29, Article 6 at the general election held on November 4, 1952. On trial of the merits, the lower court rejected the plaintiffs' demand and denied the injunction. The plaintiffs have appealed.

The appellants contend that Act 9 of 1952 was not adopted by the Legislature in the manner provided by Section 1 of Article 21 of the Constitution of Louisiana in that the joint resolution, as finally adopted, was never set forth in full on the Journals of the House and Senate. The appellants' contention is based on the ground that the bill as amended was never set forth in full on either the Journal of the House or the Journal of the Senate in the form in which it was finally passed, enrolled and signed, even though the bill and the amendments thereto had been separately entered in full in the Journals.

All that Section 1 of Article 21 of the Constitution requires is that a reference sufficiently identifying the amendment proposed to be acted upon be entered on the Journals. In State ex rel. Porterie v. Board of Liquidation of State Debt, 190 La. 520, 556; 182 So. 661, 673, this court said:

"It seems to me that the bill was sufficiently read on three separate days in each house and the yeas and nays entered on the journals on final passage as required by the Constitution. There is no requirement that a proposition to amend the Constitution shall be entered in full on the journals, nor does there seem to be any particular provision relating to the form of entry that should be made. It would therefore seem to me in the absence of any particular requirement otherwise that the entries in the journals of both the House and Senate are of such character as easily to identify the matter brought up each time with that ultimately brought up and adopted as a whole'.'

The appellants contend that this constitutional amendment, Section 29 of Article 6, is not self-executing and that ancillary legislation is necessary to make the amendment effective for the reason that no provision is made for the levy of any taxes or other source of revenue by the Parishes and the State to meet the obligations to be incurred and for the further reason that no provision is made for allocating the burden imposed as between the Parishes themselves and the Parishes and the State.

The appellants do not cite any authority to support their contention. All provisions necessary for the creation of the Port Commission, its functions and the powers granted to effectuate these functions are clearly defined. It is comprehensive from every standpoint and obviously a self-executing constitutional amendment and no further legislation is necessary. When no further legislation is necessary to put a constitutional provision into effect, it is self-executing. Coguenham v. Avoca Drainage District, 130 La. 323, 57 So. 989.

The Port Commission is an Executive Department of the State and the term notes or bonds issued by it are the primary obligations of the State and the payment of same is not limited to a special fund. State ex rel. Kemp v. Board of Liquidation of State Debt, 214 La. 890, 39 So.2d 333; Hartwig Moss Ins. Agency. Ltd. v. Board of Commissioners of Port of Orleans, 206 La. 395, 19 So.2d 178; Greater Baton Rouge Port Commission v. Watson, 224 La. 136, 68 So.2d 901.

The State being the prime obligor, the Parishes could only be liable in the event of the failure of the State to meet the obligation which is a remote probability. The grant of authority to the Port Commission to issue the bonds and notes contemplates and conclusively implies that the power exists to discharge the obligation so incurred by the State by taxation or otherwise since no contrary intention is manifested. U. S. v. New Orleans, 98 U.S. 381, 25 L.Ed. 225; 44 C.J., Par. 4312, page 1286; 64 C.J.S., Municipal Corporations, § 1997, p. 682.

The appellants contend that the authorizing laws, even if validly approved as a constitutional amendment, violate Section 12 of Article 4 of the Constitution in that they provide in direct terms, as well as in practical effect, for the loan of credit of the State to a corporation.

The Port Commission is not a corporation but an Executive Department of the State. Greater Baton Rouge Port Commission v. Watson, 224 La. 136, 68 So.2d 901, supra.

The appellants contend that the mortgage plan provided for proposes to mortgage and encumber by action of the Commission only, all of the properties and assets acquired, the title to which, under the provisions of the authorizing laws, is invested in the State of Louisiana, and that any enforcement of the mortgage would require a suit against the State where there is no legislative method prescribed for such suit as is required by Article 3, § 35 of the Constitution.

Section 35 of Article 3 of the Constitution is a limitation on the powers of the Legislature in that when suit is authorized by the Legislature the method of procedure and the effect of the judgments rendered therein must be provided for. This provision of the Constitution applies only to the Legislature. By the adoption of the amendment, Section 29 of Article 6, the people gave their consent to the Port Commission to mortgage and encumber the property and necessarily granted the right of the mortgage holder to its enforcement. In other words, an enforceable mortgage was contemplated.

The appellants contend that the authorizing laws violate Section 14 of Article 14 of the Constitution in that said laws would pledge the full faith and credit of the other political entities named in the authorizing laws other than the State of Louisiana, and would thus impose a solidary debt and obligation upon these entities ipso facto without notice or consent of any kind, and without compliance with the requirements of Section 14 of Article 14 of the Constitution.

Under the provisions of Section 29 of Article 6, the bonds are issued by the Port Commission, an Executive Department of the State, and Section 14 of Article 14, providing for the issuance of bonds by political subdivisions to be...