State National Bank v. Board of Councilmen

269 S.W. 726, 207 Ky. 543, 1925 Ky. LEXIS 134
CourtCourt of Appeals of Kentucky
DecidedFebruary 27, 1925
StatusPublished
Cited by4 cases

This text of 269 S.W. 726 (State National Bank v. Board of Councilmen) is published on Counsel Stack Legal Research, covering Court of Appeals of Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State National Bank v. Board of Councilmen, 269 S.W. 726, 207 Ky. 543, 1925 Ky. LEXIS 134 (Ky. Ct. App. 1925).

Opinion

Opinion of the Court by

Judge Dietzman

Affirming.

Whether the appellant is subject to a sixty -cent tax rate or a $2.35 tax rate by appellee depends on whether or not chapter 117 of the Acts of 1924 took effect on June 18th or July 18th of that year, and this question in turn depends on the interpretation to be put on the referendum clause of section 171 of the state Constitution as amended in 1915. So far as pertinent that section reads as follows:

“Any law passed or enacted by the General Assembly pursuant to the provisions of or under this [544]*544amendment or amended section of the Constitution, classifying property and providing a lower rate of taxation on personal property, tangible or intangible, than upon real estate, shall be subject to the referendum power of the people, which is hereby declared to exist to apply only to this section, or amended section. The referendum may be demanded by the people against one or more items, sections or parts of any act enacted pursuant to or under the power granted by this1 amendment, or amended section. The referendum petition shall be filed with the secretary of state not more than four months after the final adjournment of the legislative assembly which passed the bill on which the referendum is demanded . . . All elections on measures referred to the people under this act shall be at the regular general election, except when the legislative assembly shall order a special election. Any measure referred to the people shall take effect and become a law when approved by the majority of the votes oast thereon, and not otherwise.”

This section further provides that a referendum to the people

“May be ordered either by the petition signed by 5 per cent of the legal voters, or by the legislative assembly, at the time said acts or bills are enacted. The G-eneral Assembly, enacting the bill, shall provide a way by which the act shall be submitted to the people. The filing of a referendum petition against one or more items, sections or parts of an act shall not delay the remainder of that act from becoming operative.”

For appellee it is argued that no act which may be referred to the people pursuant to section 171 of the Constitution .goes into effect at least prior to the expiration of the time within which a referendum petition may be filed, i. e., four months after the final adjournment of the legislature. The appellant contends, that in the absence of the ordering of a referendum by the legislature or of the filing of a referendum petition by the people, the acts of the legislature which are subject to a referendum, go into effect at the same time as do other acts of the legislature, subject to their suspension on the [545]*545filing of a referendum petition within the time allowed and possible final rejection when voted on by the people. It will be observed that if the appellee’s contention be correct, the legislature will be without power to attach an “emergency clause” to an act which is. subject to a referendum, and if the appellant’s contention be correct, a law may be a law from the time of its passage, if it carry an emergency clause, up to the last day for the filing of a referendum petition, after which it will no longer be the law unless and until finally approved by the people at an election provided for that purpose.

After careful consideration, we have come to the conclusion that on principle and authority the better view is that the acts of the legislature subject to a referendum do not become effective until after the time allowed within which to file a referendum petition. This was the view of the lower court.

The purpose of the referendum amendment to our Constitution was to allow the people to pass directly upon all the acts of their legislature which come within its purview. The period of time fixed within which the people should have the right to file a referendum petition was undoubtedly so provided in order that the people might, in the meantime, inform themselves concerning what their representatives had done; that they might have full opportunity to discuss the same, to make up their minds as to what they wished to do, and, in the event they wished to test the sentiment of the state, to get up the necessary petition to order a referendum. Pending this time, it was not the purpose of the referendum amendment that acts passed but subject to its power should become laws or that the legislature should have the right to put into effect acts which the people might reject. The referendum amendment never contemplated or meant that a legislative act might be a law for as much as six months, which, if appellant be correct, it might be if passed in January with an emergency clause, since the four months following the adjournment of the legislature do not expire until in July, or even for on© month or even one day, and then, on the filing of a referendum petition, stand suspended until an election and then, if rejected, be held “no law ab initio

“That which purports to be a law is a law or it is not a law according as the proof of the fact may be and not according to the shifting circumstances of [546]*546the parties. It would be an intolerable state of affairs if a document purporting to be an act of the legislature could thus be a law in one case and for one party and not a law in another case and for another party; a law today and not a law tomorrow: a law in one place and not a law in another in the same state.” Town of South Ottawa v. Perkins, 94 U. S. 260; Wilkes County v. Coler, 180 U. S. 506.

Further, the language of the amendment itself when it says that “any measure referred to the people shall take effect and become a law when approved by a majority of the votes cast thereon and not otherwise” leads to the same conclusion. If appellant’s contention be correct, then acts subject to a referendum, have the force of law until suspended by the filing of a referendum petition. But the amendment provides that such acts take effect and become law only on the contingency of their approval by the people. If such acts take effect before a petition is filed, how can they be made to take effect again on a different contingency or on a different condition? How can a measure become a law on the contingency of its approval by the people and “not otherwise,” if it was already a law before the voting happened? If the referendum amendment had intended such acts to become law on their passage, it would have provided for their suspension on the filing’ of the referendum petition. But the referendum amendment nowhere provides a suspension in terms or by any fair implication.

Again, if acts subject to a referendum may go into effect as laws- prior to the filing of a referendum petition, just what meaning must be given to that part of the referendum amendment which reads: ‘ ‘ The filing of a referendum petition against one or more items, sections or parts of an act, shall not delay the remainder of that act from becoming operative?” How can that which has “arrived” be “delayed?” If the act was already law, would not this clause read “suspend” or “repeal” or “affect” instead of “delay?”

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Cite This Page — Counsel Stack

Bluebook (online)
269 S.W. 726, 207 Ky. 543, 1925 Ky. LEXIS 134, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-national-bank-v-board-of-councilmen-kyctapp-1925.