County of Los Angeles v. County of Orange
Before: Harrison
Synopsis
Counties — Creation of New County — Power of Legislature — Eights and Obligations of Old County.'— The legislature, except as restrained by constitutional limitations, may change the boundaries and extent of counties within the state, consolidate two or more into one, or divide and create new counties out of the territory of one or more previously existing ones. Upon the creation of a new county out of the territory of another, the legislature, in the absence of constitutional restrictions, may make such provision with reference to the public property and debts, or their division, as to it may seem just; and in the absence of any provision in reference thereto, the old county will he entitled to retain all public property and assets, except such public buildings as lie within the territory of the new, and will also be liable for all its prior obligations.
Id. —Act Creating Orange County — Liability to Los Angeles County for Indebtedness.—Under section 7 of the act of the legislature of March 11, 1889, creating the county of Orange out of a portion of the county of Los Angeles, which provides that commissioners are to determine the indebtedness of the county of Los Angeles “ existing at the time this act takes effect,” the act itself declaring that it “shall take effect and be in force from and after the date of its passage and approval,” the county of Orange is liable to the county of Los Angeles only for the indebtedness found to be existing on March 11, 1889, and is not chargeable with moneys expended by the latter county after that date, and prior to the organization of the new county, though expended within the territory of the new county.
Id. — Construction of Constitution — Apportionment oe Indebtedness — Division of Assets — Power of Legislature. — Section 3 of article XL of the constitution, which provides that “ every county which shall be enlarged or created from territory taken from any other county or counties shall be liable for a just proportion of the existing debts and liabilities of the county or counties from which such territory shall be taken,” relates only to the indebtedness of the county, and does not require any division of the assets or property of the old county, but the disposition of these matters is left to the determination of the legislature in each particular case; and it is competent for the legislature, in dividing the property and assets of the county, to fix upon any date which it chooses to select as the time for ascertaining the amount and value of such assets and property, as well as for determining, in connection therewith, the *(just proportion” of the debts and liabilities to be assumed by the new county.
Harrison, J. The county of Orange was created under the provisions of an act of the legislature approved March 11, 1889, and its organization was completed August 2, 1889. By the provisions of section 7 of the act, commissioners were appointed to adjust the respective liabilities of the two counties, and they made their report, fixing the amount of the liability of Orange County to the county of Los Angeles as of the eleventh day of March, 1889; and also made a supplemental report, that in addition to the indebtedness found to exist on that date, “ moneys had been advanced after March 11, 1889, by Los Angeles County to Orange County, in the sum of $11,375.42; and that, as a matter of equity, that amount should be refunded by Orange.County to Los Angeles County.” These advances consisted of moneys expended in the construction of a bridge, and of certain transfers to different road district and school district funds within the boundaries of Orange County. The county of Los Angeles presented its claim for this [331]sum to the board of supervisors of Orange County, and its payment being refused, brought this action for their recovery as for moneys paid and advanced by it in behalf of Orange County. A demurrer to the complaint was sustained, and from the judgment rendered thereon the plaintiff has appealed.
Counties are merely local subdivisions of the state, created by the legislature for governmental purposes, and are denominated public corporations for the reason that they are but parts of the machinery employed in carrying on the political affairs of the state. The legislature, except as restrained by constitutional limitations, may change their boundaries and extent, consolidate two or more into one, or divide and create new counties out of the territory of one or more previously existing ones. It has been established by an unvarying line of decisions that upon the creation of a new county out of the territory of another, the legislature, in the absence of constitutional restrictions, may make such provision with reference to the public property and debts, or their division, as to it may seem just; and that in the absence of any provision in reference thereto, the old county will be entitled to retain all public property and assets, except such public buildings and structures as lie within the territory of the new, and will also be liable for all its prior obligations. (Hampshire v. Franklin, 16 Mass. 86; Laramie Co. v. Albany Co., 92 U. S. 307; Depere v. Bellevue, 31 Wis. 120; 11 Am. Rep. 602; Hughes v. Ewing, 93 Cal. 414; Dillon on Municipal Corporations, secs. 188, 189.)
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