HF 3057

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to waters; authorizing the Lower Minnesota River Watershed District
to acquire, maintain, operate, improve, and enlarge a site for the deposit of
dredge material, issue and sell general obligation bonds or revenue bonds for
the acquisition, maintenance, operation, improvement, and enlargement of the
dredge material site, and charge fees for permitting private customers to deposit
dredge material at the dredge material site.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. new text begin LOWER MINNESOTA RIVER WATERSHED DISTRICT;
AUTHORITY TO ACQUIRE, MAINTAIN, OPERATE, IMPROVE, AND
ENLARGE DREDGE MATERIAL SITE.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin The definitions in this subdivision apply to this act:
new text end

new text begin (1) "district" means the Lower Minnesota River Watershed District, a district
established under Minnesota Statutes, chapter 103D;
new text end

new text begin (2) "governing body" means the managers of the district as defined in Minnesota
Statutes, section 103D.011, subdivision 15; and
new text end

new text begin (3) "dredge material site" means a site at which public agencies or private customers
may deposit material from dredging activities conducted on the Minnesota River.
new text end

new text begin Subd. 2. new text end

new text begin Authorization; authority to own and operate. new text end

new text begin The district may own
and operate a dredge material site for its own needs, the needs of other public agencies,
the needs of private customers, or any combination of these. The district may acquire,
construct, and install all facilities needed for that purpose and may lease, purchase, or
acquire by exercise of the power of eminent domain any existing properties so needed.
The district may sell the dredge material to any person or entity. If the governing body
determines that the dredge material has no value, the district may convey the dredge
material for no consideration to any person or entity. The district may hire all personnel
the governing body deems necessary and may make all necessary rules and regulations for
the operation and maintenance of the dredge material site.
new text end

new text begin Subd. 3. new text end

new text begin Financing. new text end

new text begin (a) To acquire property under subdivision 2, pay the cost of
maintaining, improving, or enlarging the dredge material site or any portion thereof, and
obtain and comply with permits required by law for the dredge material site, the district
may:
new text end

new text begin (1) issue and sell its general obligation bonds, which shall be made payable from net
revenues derived from the charges imposed on private customers as provided in section
2, real estate tax revenues, special assessment revenues to be levied, or two or more
of these sources; or
new text end

new text begin (2) issue revenue bonds, payable solely from net revenues derived from the charges
imposed on private customers, specific tax revenues expressly pledged to payment of the
debt service on the revenue bonds, specific special assessment revenues expressly pledged
to payment of the debt service on the revenue bonds, or two or more of these sources.
new text end

new text begin (b) Real estate tax revenues and special assessment revenues shall be applied to the
payment of the debt service on general obligation bonds or revenue bonds only in the
event that net revenues derived from the charges imposed on private customers are not
sufficient to pay all principal of and interest on the bonds when due.
new text end

new text begin (c) All bonds shall be issued and sold according to Minnesota Statutes, chapter
475. If special assessments are pledged for the payment of the obligations, they shall be
authorized and issued according to Minnesota Statutes, chapter 103D.
new text end

Sec. 2. new text begin AUTHORITY TO IMPOSE CHARGES.
new text end

new text begin Subdivision 1. new text end

new text begin Charges; net revenues. new text end

new text begin (a) To pay for the acquisition, maintenance,
operation, improvement, and enlargement of the dredge material site and to obtain and
comply with permits required by law for the dredge material site, the governing body may
impose charges for permitting private customers to deposit dredge material at the dredge
material site and make contracts for the charges as provided in this section.
new text end

new text begin (b) The amount of the charges imposed shall be established at the discretion of the
governing body. In determining the amount of the charges to be imposed, the governing
body may give consideration to all costs of the operation and maintenance of the dredge
material site, the costs of depreciation and replacement of structures and equipment, the
costs of improvements and enlargements, the cost of reimbursing the district for special
assessment revenues expended for the benefit of persons or entities not subject to special
assessment levies by the district, the amount of the principal and interest to become due
on obligations issued or to be issued, the costs of obtaining and complying with permits
required by law, the price charged for similar services by other providers of dredge
material sites in similar markets, and all other factors the governing body deems relevant.
new text end

new text begin (c) At its discretion, the governing body may impose a surcharge on private
customers using the dredge material site in addition to the charges allowed under
paragraph (a). The surcharge shall be for the purpose of paying for the removal of dredge
material from the dredging site if the governing body determines it necessary. If the
governing body later determines that there is no need to pay for the removal of the dredge
material from the dredge material site, the governing body shall rebate all surcharges
paid by private customers.
new text end

new text begin Subd. 2. new text end

new text begin Covenants to secure debt payments. new text end

new text begin (a) In any resolution authorizing
the issuance of either general obligation bonds or revenue bonds and pledging revenues
and other security to the payment of the debt service on the bonds, the governing body
may make covenants for the protection and benefit of the holders of the bonds as it deems
necessary or appropriate including, but without limitation, a covenant that the district will
impose and collect charges of the nature authorized by this section at the times and in the
amounts required to produce, together with any tax revenues, special assessment revenues,
or other revenues pledged to payment of the obligations, net revenues adequate to pay all
principal and interest when due on the bonds and to create and maintain reserves securing
the payment of the principal and interest when due on the bonds.
new text end

new text begin (b) The covenants made for the protection and benefit of the holders of the bonds
of the district shall be enforceable by appropriate action on the part of any holder of the
bonds or any taxpayer of the district in a court of competent jurisdiction.
new text end

Sec. 3. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 and 2 are effective the day following final enactment.
new text end