State v. Dixon

Decision Date04 February 1921
Docket Number4787.
PartiesSTATE EX REL. BONNER v. DIXON, GOVERNOR ET AL.
CourtMontana Supreme Court

Original application for injunction by the State, on the relation of James H. Bonner, against Jos. M. Dixon, Governor, and others constituting the State Board of Examiners. Order to show cause set aside, and proceeding dismissed.

Holloway J., dissenting.

A. N Whitlock, of Missoula, for plaintiff.

W. D. Rankin, Atty. Gen., and Gael G. Wilson and A. H. Angstman, Asst. Attys. Gen., for defendants.

Harry H. Parsons, of Missoula, amicus curiæ.

GALEN J.

This is an original application for an injunction to enjoin the issuance and sale of bonds of the state of Montana proposed to be issued by the defendants under authority contained in initiative measure No. 19, passed by the people at the general election held on November 2, 1920, "for the construction, repair and equipment of buildings at the State University, Missoula; College of Agriculture and Mechanic Arts, Bozeman; School of Mines, Butte; Normal College, Dillon; Orphans' Home, Twin Bridges; School of Deaf and Blind, Boulder; Industrial School, Miles City; Vocational School for Girls, Helena"--all under the control of the State Board of Education. Hearing was had in response to an order to show cause why an injunction should not be issued. Defendants have appeared by general demurrer, and upon the facts set out in the complaint the questions arising must be determined.

The facts presented, in so far as material, relating to the passage of said measure and the proceedings had since its enactment, are as follows: Between March 13, 1920, and July 2, 1920, there was filed in the office of the secretary of state of the state of Montana a petition for an initiative law, which petition was filed in sections; the first and last sections being filed, respectively, on the two dates given, and the last being filed four months before the election at which the measure was to be voted upon. Upon July 9, 1920, the secretary of state notified the Governor of the state in writing of the filing of said petitions for the initiative measure, and the Governor, on July 10, issued his proclamation as required by section 109, Revised Codes. The secretary of state, prior to the first Monday in August, 1920, caused to be printed in pamphlet form a true copy of the title and text of said initiative measure, with the number and form in which the question would be printed on a separate ballot. The pamphlet so published also included affirmative arguments furnished by the committee which filed said petition, which affirmative arguments were placed with the secretary of state on or before the first Monday of June, 1920. No person, committee, or organization opposing said measure placed with the secretary of state for distribution any pamphlet or printed arguments of any kind at any time. The secretary of state, before the second Monday in August, 1920, distributed to each county clerk in the state a sufficient number of said pamphlets to furnish one copy to every voter in his county. At the time the secretary of state furnished to the county clerks of the several counties certified copies of the names of the candidates for office, he also furnished to said county clerks, as required by section 110 of the Revised Codes, a certified copy of the title and number of said initiative measure to be voted upon at the ensuing general election, using for such measure the title designated for that purpose by the committee which presented and filed the petition for such initiative measure. The title so designated and set out in said certificate contained less than 100 words, viz., 92 words, but the title appearing upon the petitions as filed contained more than 100 words, viz., 208 words, and the title on the ballot descriptive of said measure contained 10 words, counting "$5,000,000" as one word, or 12 words if "$5,000,000" shall be construed as three words. Initiative measure No. 19 was voted upon at the general election held on November 2, 1920, and the official canvass of the votes cast at the election for and against said measure disclose that 90,444 votes had been cast for the measure and 66,237 against it; and after such canvass the Governor regularly issued his proclamation on December 6, 1920, declaring said measure to be in full force and effect from and after the date of said proclamation. Subsequently the State Board of Education, in appropriate manner, determined the necessity for the issuance of $1,750,000 of bonds under authority of this law and made request of the State Board of Examiners to issue and sell the same, and the State Board of Examiners has passed an appropriate resolution authorizing the issuance and sale thereof.

Initiative measure No. 19, the validity of which is called in question, as filed with the secretary of state, is not a model draft of an initiative measure, in our opinion. It contains eight sections, providing, in substance, as follows:

The first secton authorizes and empowers the State Board of Examiners of the State of Montana to issue bonds in the name of the state, in an amount not exceeding $5,000,000 in excess of the constitutional limitation of indebtedness and over and above any bond indebtedness theretofore incurred, the money derived from the sale of said bonds to be used for the purpose of constructing, repairing, and equipping necessary buildings at the several educational institutions of the state of Montana, under the control of the State Board of Education, which are named and include those which constitute the University of Montana, and also the State Orphans' Home at Twin Bridges, the Montana School for the Deaf and Blind at Boulder, the Montana State Industrial School at Miles City, and the State Vocational School for girls at Helena.

Section 2 provides that the bonds shall be issued at such times and in such amounts as the State Board of Examiners may determine, none of the bonds to be issued or sold, however, until the State Board of Education shall have first determined the necessity therefor and have requested the State Board of Examiners to issue and sell the same.

Section 3 leaves the denomination of the bonds to the determination of the State Board of Examiners and provides that they shall bear date as of the date of issuance, that they shall be due twenty years from their date, redeemable at any time after ten years and bear interest at the rate of 5 1/2 per cent. per annum, payable semiannually.

Section 4 relates to the form of the bonds, provides for signature by the State Board of Examiners and the affixing of the seal of the state, and makes provision for interest coupons.

Section 5 authorizes the State Board of Examiners to dispose of the bonds in such manner as they deem for the best interest of the state, provided that no bonds shall be sold for less than par.

Section 6 provides that all money derived from the sale of the bonds shall be paid into the state treasury and constitute a special fund for the construction, repair, and equipment of necessary buildings at the institutions named in the first section, and shall be expended only for such purpose and disbursed by the state treasurer on warrants properly drawn against such fund. This section also provides for the apportionment of the money derived from the sale of the bonds as between those institutions comprising the University of Montana and the other institutions named, providing that no more than $3,750,000 shall be expended at the University institutions, and not more than $1,250,000 at the other institutions.

Section 7 provides for an annual levy upon all property in the state of Montana subject to taxation, of a tax of 10/12 of a mill, which tax, when collected by the county treasurers of the several counties, shall be paid into the state treasury and placed in the "State Educational Bond Sinking and Interest Fund," which fund shall be used exclusively for the payment of the principal and the interest accruing on the bonds.

Section 8 merely provides that the act goes into effect from and after its approval and proclamation.

Five grounds are urged in the complaint why the injunction should be granted, as follows:

(1) That said initiative measure No. 19 is a law relating to appropriations of money and therefore not subject to the initiative under the provisions of article 5, § 1, of the Constitution.

(2) That said initiative measure No. 19 does not provide for the levy of a tax sufficient to pay the interest and extinguish the principal of the debt authorized by the act within the time limited by it for the payment thereof, as required by article 13, § 2, of the Constitution.

(3) That said initiative measure contains more than one subject, in contravention of article 5, § 23, of the Constitution, and attempts to authorize the issuance of bonds for several purposes which are not related or connected.

(4) That the title of said initiative measure exceeds 100 words, in contravention of section 110, Revised Codes, as amended by chapter 66 of the Laws of 1913, and that the title on the ballot contains more than 10 words, in contravention of section 111, Revised Codes, as amended by chapter 66 of the Laws of 1913.

(5) That the petitions for said initiative measure were not filed within the time required by law, and persons, committees, or organizations opposing the measure were not permitted or given the opportunity to place with the secretary of state for distribution any pamphlets they might desire, as provided by section 112 of the Revised Codes.

Before entering upon a discussion of the questions presented, we take occasion to compliment counsel upon the manner in which the case has been briefed and presented. Heretofore we have...

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