1.1                          A bill for an act 
  1.2             relating to local government; the city of Alexandria 
  1.3             and the townships of Alexandria, Carlos, Hudson, and 
  1.4             La Grand in Douglas county; establishing the lakes 
  1.5             area economic development authority; granting the 
  1.6             powers of an economic development authority; 
  1.7             prescribing its duties and powers. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  [LEGISLATIVE PURPOSE AND POLICY.] 
  1.10     The legislature determines that in the area in and around 
  1.11  the city of Alexandria, there are economic development issues 
  1.12  that can be more effectively dealt with by a single entity on a 
  1.13  coordinated basis rather than by multiple existing government 
  1.14  units.  The legislature, therefore, declares that for a 
  1.15  coordinated approach to economic development in the area, it is 
  1.16  necessary to establish for the area an economic development 
  1.17  authority with the responsibility of exercising the powers of an 
  1.18  economic development authority in order to advance the economic 
  1.19  vitality of the area. 
  1.20     Sec. 2.  [DEFINITIONS.] 
  1.21     Subdivision 1.  [DEFINITIONS.] For the purposes of sections 
  1.22  1 to 8, the terms defined in this section have the following 
  1.23  meanings. 
  1.24     Subd. 2.  [LAKES AREA ECONOMIC DEVELOPMENT 
  1.25  AUTHORITY.] "Lakes area economic development authority" or 
  1.26  "authority" means the lakes area economic authority established 
  2.1   as provided in section 3. 
  2.2      Subd. 3.  [PERSON.] "Person" means an individual, 
  2.3   partnership, corporation, cooperative, or other organization or 
  2.4   entity, public or private. 
  2.5      Subd. 4.  [MEMBER.] "Member" means the city of Alexandria 
  2.6   or the townships of Alexandria, Carlos, Hudson, or La Grand, or 
  2.7   any other municipality, the geographic area of which is included 
  2.8   within the jurisdiction of the authority according to section 6. 
  2.9      Subd. 5.  [MUNICIPALITY.] "Municipality" means a statutory 
  2.10  or home rule charter city or town located in whole or in part in 
  2.11  Douglas county. 
  2.12     Sec. 3.  [LAKES AREA ECONOMIC DEVELOPMENT AUTHORITY.] 
  2.13     Subdivision 1.  [ESTABLISHMENT.] A lakes area economic 
  2.14  development authority with jurisdiction over the geographic area 
  2.15  of its members is established as a public corporation and 
  2.16  political subdivision of the state with perpetual succession and 
  2.17  all the rights, powers, privileges, immunities, and duties that 
  2.18  may be validly granted to or imposed upon a municipal 
  2.19  corporation, as provided in this act. 
  2.20     Subd. 2.  [BOARD OF COMMISSIONERS.] The authority is 
  2.21  governed by a board of commissioners to be selected as follows:  
  2.22  the mayor of each member city, and the chair of the town board 
  2.23  of each member town shall appoint one commissioner, subject to 
  2.24  the approval of the respective city council or town board.  The 
  2.25  terms of the commissioner are as provided in subdivision 5. 
  2.26     Subd. 3.  [TIME LIMITS FOR SELECTION, ALTERNATIVE 
  2.27  APPOINTMENT BY DISTRICT JUDGE.] The initial appointment of 
  2.28  commissioners must be made no later than 60 days after this act 
  2.29  becomes effective.  Subsequent appointments must be made within 
  2.30  60 days before the expiration of a term in the same manner as 
  2.31  the predecessor was selected.  A vacancy on the board must be 
  2.32  filled within 60 days after it occurs.  If a selection is not 
  2.33  made within the prescribed time, the chief judge of the seventh 
  2.34  judicial district of the Minnesota district court on application 
  2.35  by an interested person shall appoint an eligible person to the 
  2.36  board. 
  3.1      Subd. 4.  [VACANCIES.] If a vacancy occurs in the office of 
  3.2   commissioner, the vacancy must be filled for the unexpired term 
  3.3   in a like manner as provided for selection of the commissioner 
  3.4   who vacated the office.  The office must be considered vacant 
  3.5   under the conditions specified in Minnesota Statutes, section 
  3.6   351.02. 
  3.7      Subd. 5.  [TERMS OF OFFICE.] The terms of the initial 
  3.8   appointees to the board of commissioners are for two, three, 
  3.9   four, five, and six years and shall be established by lot among 
  3.10  the initial five commissioners.  The mayor or town board chair 
  3.11  of any new member added under section 6 shall designate the 
  3.12  term, not to exceed six years, of the first commissioner 
  3.13  selected to represent the member.  Succeeding terms of all 
  3.14  commissioners are six years, except that each commissioner 
  3.15  serves until a successor has been duly selected and qualified. 
  3.16     Subd. 6.  [REMOVAL.] A commissioner may be removed by the 
  3.17  unanimous vote of the appointing governing body, with or without 
  3.18  cause. 
  3.19     Subd. 7.  [QUALIFICATIONS.] A commissioner may but need not 
  3.20  be a resident of the territory of the member appointing that 
  3.21  commissioner. 
  3.22     Subd. 8.  [COMPENSATION.] A commissioner must be paid a per 
  3.23  diem compensation for attending a regular or special meeting in 
  3.24  an amount determined by the board.  A commissioner must be 
  3.25  reimbursed for all reasonable expenses incurred in the 
  3.26  performance of the commissioner's duties as determined by the 
  3.27  board. 
  3.28     Sec. 4.  [POWERS; APPLICATION OF EDA LAW.] 
  3.29     Subdivision 1.  [USE OF EDA POWERS.] Except as otherwise 
  3.30  provided in this act, the authority may exercise any of the 
  3.31  powers of an economic development authority (EDA) provided by 
  3.32  Minnesota Statutes, sections 469.090 to 469.1082, and for this 
  3.33  purpose the term "city" means a member.  Minnesota Statutes, 
  3.34  sections 469.096 to 469.101, 469.103 to 469.106, and 469.108 to 
  3.35  469.1081 apply to the authority, except that the authority's 
  3.36  fiscal year is the calendar year.  
  4.1      Subd. 2.  [LAW THAT IS NOT APPLICABLE.] The provisions in: 
  4.2      (1) Minnesota Statutes, section 469.091, subdivision 1, 
  4.3   expressly relating to: 
  4.4      (i) the adoption of an enabling resolution; 
  4.5      (ii) Minnesota Statutes, section 469.092; or 
  4.6      (iii) housing and redevelopment authorities; and 
  4.7      (2) Minnesota Statutes, sections 469.093, 469.095, and 
  4.8   469.107; 
  4.9   do not apply to the authority. 
  4.10     Sec. 5.  [MEMBERS MUST LEVY TAXES FOR AUTHORITY.] 
  4.11     A member shall, at the request of the authority, levy a tax 
  4.12  in any year for the benefit of the authority.  The tax shall, 
  4.13  for each member, be a pro rata portion of the total amount of 
  4.14  tax requested by the authority based on the taxable market value 
  4.15  within a member's jurisdiction, but in no event shall the tax 
  4.16  exceed 0.01813 percent of taxable market value.  The amount 
  4.17  levied must be paid to the treasurer of the authority, to be 
  4.18  used by the authority for the purposes provided by this act.  
  4.19  The governing body of each member shall take all action that may 
  4.20  be necessary to provide the funds required for the payments and 
  4.21  to make them when due. 
  4.22     Sec. 6.  [ADDITION OF MEMBERS.] 
  4.23     A municipality upon a resolution adopted by a four-fifths 
  4.24  vote of all of its governing body may petition the authority to 
  4.25  be included within the jurisdiction of the authority and, if 
  4.26  approved by the authority, the geographic area of the 
  4.27  municipality must be included within the jurisdiction of the 
  4.28  authority and subject to the jurisdiction of the authority under 
  4.29  this act. 
  4.30     Sec. 7.  [CONTRACTS WITH NONPROFIT CORPORATIONS.] 
  4.31     The authority may enter into contracts with one or more 
  4.32  nonprofit corporations to make, from funds of and under 
  4.33  guidelines set by the authority, loans or grants for projects 
  4.34  the authority may undertake under this act.  Minnesota Statutes, 
  4.35  section 465.719, does not apply so long as the nonprofit 
  4.36  corporation is not described in Minnesota Statutes, section 
  5.1   465.719, subdivision 1, paragraph (b)(i) or (b)(ii). 
  5.2      Sec. 8.  [RELATION TO EXISTING LAWS.] 
  5.3      This act must be given full effect notwithstanding any law 
  5.4   or charter that is inconsistent with this act. 
  5.5      Sec. 9.  [AFFECTED LOCAL GOVERNMENT UNITS.] 
  5.6      Sections 1 to 8 apply in the city of Alexandria and the 
  5.7   towns of Alexandria, Carlos, Hudson, and La Grand in Douglas 
  5.8   county.  Under Minnesota Statutes, section 645.023, subdivision 
  5.9   1, paragraph (a), sections 1 to 8 are effective without local 
  5.10  approval.