Alabama Attorney General Opinion 1979-0084

OFFICE OF THE ATTORNEY GENERAL rig- 000 34 9 CHARLES A. GRADDICK ATTORNEY GENERAL STATE OF ALABAMA LEE L. HALE ADMINISTRATIVE BUILDING DEPUTY ATTORNEY GENERAL 64 NORTH UNION STREET WILLIAM M. BEKURS, JR. February 9, 1979 MONTGOMERY 36130 EXECUTIVE ASSISTANT (205) 832-5640 HERBERT I. BURSON, JR, B. FRANK LOEB PHILIP C. DAVIS RON BOWDEN JOHN J. BRECKENRIDGE WILLIAM L. THOMPSON Assistant Attorneys General Revenue Department WALTER S. TURNER CHIEF ASSISTANT ATTORNEY GENERAL JANIE NOBLES ADMINISTRATIVE ASSISTANT Honorable L. Stephen Wright, Jr., President Board of Trustees North Shelby County Fire and Emergency Medical District 518 The 2121 Building Birmingham, Alabama 35203 TAXATION-FIRE DISTRICTS-SALES TAX The North Shelby County Fire and Emergency Medical District is not a volunteer fire department so as to be exempt from sales tax. Dear Mr. Wright: Your letter addressed to the Attorney General dated October 4, 1978, has been referred to my desk for reply. Specifically, your letter requested an opinion as to whether or not the North Shelby County Fire and Emergency Medical District would constitute a volunteer fire department so as to be exempt from sales tax in Alabama under the provisions of Act 1204, Acts of Alabama, 1973 Regular Session, which has been codified as Code of Alabama 1975, §40-9-13. The North Shelby County Fire and Emergency Medical District was created by the Legislature pursuant to the provisions of Act No. 62, Acts of Alabama 1977 First Special Session. According to your letter, the District presently operates with seven full-time professional fire fighters and fifteen volunteer fire fighters. It is well settled that the State of Alabama and its sub- divisions are exempt from State taxation under the Doctrine of Sovereign Immunity. However, only strictly State governmental agencies and instrumen- talities are protected under the Doctrine of Sovereign Immunity. Since the North Shelby County Fire and Emergency Medical District does not constitute a part of the State or subdivision thereof it would not be entitled to the protection afforded by the Doctrine of Sovereign Immunity. Therefore, the District would not be exempt from sales tax under a claim of Sovereign Immunity. It is a general rule of construction that statutes providing an exemption from taxation are most strongly construed against those asserting the exemption, and exemptions from taxation are never presumed. One seeking to assert an exemption from taxation has the burden to clearly establish such right; and in Attorn- Gen=mss 1 J. Breckenridge istant Attorney General -2- all cases of doubt as to the legislative intent, the presumption is in favor of the taxing power and against the one seeking the exemption. Thus exemptions from taxation are strictly construed against the taxpayer and in favor of the State. As authority for the above position, I would cite: Brundidge Milling Company v. State, 45 Ala.App. 208, 228 So.2d 475; State v. Bankhead Mining Company, 279 Ala. 566; 188 So.2d 527; Buchanan v. State, 274 Ala. 592, 150 So.2d 200. Section 40-9-13 provides an exemption from taxation for "volunteer fire departments". The courts in Alabama have certain well established rules regarding the construction of language used in a statute. Where the language of a statute is plain and unambiguous, the statute will be construed to mean exactly what it says. State v. Robinson Land and Lumber Company of Alabama, 262 Ala. 146, 77 So.2d 641; Henry v. McCormick Brothers Motor Car Company, 232 Ala. 196, 167 So. 256; White v. City of Decatur, 25 Ala.App. 272, 144 So. 872 Certiorari denied 225 Ala. 646, 147 So. 873, 86 A.L.R. 914. Where the language of the statute is plain it should be considered to mean exactly what it says and rules of statutory construction need not be resorted to when the language is plain and unambiguous. Holloway v. State, 262 Ala. 437, 79 So.2d 40; Steber v. State, 26 Ala.App. 148, 155 So. 706, Certiorari denied 229 Ala. 88, 155 So. 708. Since the North Shelby County Fire and Emergency Medical District is not strictly a "volunteer fire department", in that it employs several full-time professional fire fighters, and since the fire district is authorized to levy or assess a charge for its services, and, since in fact it does charge for services rendered, it is my opinion that the North Shelby County Fire & Emergency Medical District does not constitute a "volunteer fire department" as the term is used §40-9-13. Therefore, it is my opinion the North Shelby County Fire and Emergency Medical District is not exempt from sales tax under the provisions of Code of Alabama 1975, §40-9-13. As an additional point of information, it should be noted that Code of Alabama 1975, §11-89-16 provides for an exemption from taxation for fire districts authorized and organized pursuant to the provisions of Title 11, Chapter 89. However, under the provisions of Act No. 62, Acts of Alabama 1977, First Special Session, which authorizes the creation of the North Shelby County Fire and Emergency Medical District it does not appear that the District was organized pursuant to the provisions of Title 11, Chapter 89. Therefore, it is my opinion that the North Shelby County Fire and Emergency Medical District would not be entitled to an exemption from taxation under the provisions of Code of Alabama 1975, §11-89-16. I hope I have fully answered the questions contained in your letter and if I can be of any further service to you in this matter, please do not hesitate to contact me. Very truly yours, CHARLES A. GRADDICK