1.1                          A bill for an act 
  1.2             relating to port authorities; clarifying certain 
  1.3             seaway port authority rights and responsibilities with 
  1.4             respect to leases and management contracts; amending 
  1.5             Minnesota Statutes 1994, section 469.056, subdivision 
  1.6             2. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1994, section 469.056, 
  1.9   subdivision 2, is amended to read: 
  1.10     Subd. 2.  [CONTRACTS.] A port authority may contract to 
  1.11  erect, repair, maintain or operate docks, warehouses, terminals, 
  1.12  elevators, or other structures on or in connection with property 
  1.13  it owns or controls.  The authority may contract or arrange with 
  1.14  the federal government, or any of its departments, with persons, 
  1.15  public corporations, the state, or any of its political 
  1.16  subdivisions, commissions, or agencies, for separate or joint 
  1.17  action, on any matter related to using the authority's powers or 
  1.18  doing its duties.  The authority may contract to purchase and 
  1.19  sell real and personal property.  An obligation or expense must 
  1.20  not be incurred unless existing appropriations together with the 
  1.21  reasonably expected revenue of the port authority from other 
  1.22  sources are sufficient to discharge the obligation or pay the 
  1.23  expense when due.  The state and its municipal subdivisions are 
  1.24  not liable on the obligations.  Notwithstanding the provisions 
  1.25  of Laws 1994, chapter 643, as amended, (1) a seaway port 
  1.26  authority may meet its obligations and expenses of operating by 
  2.1   retaining revenues received under leases or management contracts 
  2.2   and is not required to pay lease or management contract revenues 
  2.3   to other state agencies; and (2) a lease or management contract 
  2.4   entered into by a seaway port authority must not be canceled or 
  2.5   terminated as a result of changes or termination in the 
  2.6   governmental program of a seaway port authority unless 
  2.7   compensation is paid as provided by law.