AGO 1951-53 No. 7.

• Case Date: April 06, 1951
• Court: Washington

Washington Attorney General Opinions 1951. AGO 1951-53 No. 7. April 6, 1951[Orig. Op. Page 1]PRIVATEPURCHASE OF STATE WARRANTS.Chapter 232, of the Laws of 1951, permits the State Finance Committee to pay to the seller a consideration for the purchase of state warrants. Such sum need not be paid to the General Fund.State Finance CommitteeOlympia, WashingtonAttention: Mr. Ernest Minor, SecretaryCite as: AGO 1951-53 No. 7Gentlemen: This is in answer to your verbal request for our opinion as to whether, under chapter 232, of the Laws of 1951, the State Finance Committee is required to pay into the General Fund, the consideration for warrants purchased. It is our opinion that the Treasurer is not required to pay into the General Fund the amount of the purchase price for the warrants. ANALYSIS Chapter 232, of the Laws of 1951, provides, in section 2: "Whenever there is in any fund or in cash balances in the state treasury more than sufficient to meet the current expenditures properly payable therefrom, and over and above the amount belonging to the permanent school fund as shown by the separation made by the state treasurer, the state finance committee may invest such portion of such funds or balances over and above that belonging to the permanent school fund in warrants of the State of [Orig. Op. Page 2] Washington. The state finance committee may purchase such state warrants at such prices and upon such terms as it may determine, and may sell them at such times and on such terms as it deems advisable. "Upon such investment being made, the state treasurer shall pay into the general fund the amount so invested, and the warrants so purchased shall be deposited with the state treasurer, who shall collect all interest and principal payments falling due thereon and allocate the same to the proper fund or funds." (Emphasis supplied) This section simply authorizes the State Finance Committee to purchase state warrants, at such prices and upon such terms as it may determine. Obviously, in the purchase of warrants, a consideration must be paid to the seller. We find no authority in the statutes for any one to draw warrants on the General Fund for sale. Section 6 of the Chapter of the Laws of 1890, relating to the duties of the State Auditor, (Rem. Rev. Stat. 11002), provides: "The state auditor shall in no case issue any state warrant unless...