Reeves Ex Rel. County of Buncombe v. Buncombe County

Brogden, J. Do the two bond issues aggregating $40,000 constitute a county-wide obligation of Buncombe County? The bonds were issued by virtue of power created by special election in Black Mountain Township. The law forbids the levying of a tax upon the property of one political subdivision for the particular and exclusive benefit of another such subdivision. This proposition was discussed in Commissioners v. Lacy, 174 N. C., 141, 93 S. E., 482, and the court promulgated the principle and the limitations thereof as follows: “It is true, also, that a state or county may, as a rule, lend its aid or expend its money in the building and maintenance of public roads anywhere within its borders when it is being done for the public benefit or as a part of a State or county system, but in this instance the improvement is entirely localized. The roads of the differing townships or districts are set apart and a scheme is entered upon by which they can be planned, constructed, and improved entirely under township governance and without reference either to State or county benefit; and when this occurs, the principle is presented that it is not within the legislative power to tax one community or local taxing district for the exclusive benefit of another — a principle which has been directly approved in several recent decisions of this Court and is one very generally accepted.” Ellis v. Greene, 191 N. C., 761, 133 S. E., 395. The record discloses that the proceeds of both bond issues were spent upon roads and bridges in Black Mountain Township, “which said roads and bridges were later taken over by the county of Buncombe as a part of the highway system of said county, and later taken over by the State Highway Commission, and are now under the control of same.” Manifestly the facts so established, disclose that the project was not one of local or township benefit, supervision and control, but such expenditure was made “for the public benefit or a part of the state or county system.” Hence the law impresses upon the bond issues the character and quality of a county-wide obligation. Affirmed.