1.1                          A bill for an act 
  1.2             relating to local government; limiting, in annexation 
  1.3             proceedings, the methods by which utilities located in 
  1.4             annexed territory may be acquired by an annexing 
  1.5             municipality; amending Minnesota Statutes 1994, 
  1.6             section 414.067, by adding a subdivision. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1994, section 414.067, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 4.  [UTILITIES; LIMITATION ON ACQUISITION OF 
  1.11  UTILITIES LOCATED IN ANNEXED TERRITORY.] Notwithstanding any 
  1.12  other law to the contrary, an annexing municipality or a public 
  1.13  utility located in an annexing municipality may acquire a water, 
  1.14  electric, gas, sewer, or telephone utility, or part of such a 
  1.15  utility, that is privately owned and that is located in 
  1.16  territory that is annexed, only by purchase or gift, and not by 
  1.17  eminent domain. 
  1.18     Sec. 2.  [EFFECTIVE DATE.] 
  1.19     Section 1 is effective the day following final enactment 
  1.20  and applies to annexations concluded after the effective date of 
  1.21  this act.