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SF 1253

1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 1st Engrossment

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A bill for an act
relating to local government; authorizing the city of
St. Paul to participate in the creation of, and to
contract with, a nonprofit organization for management
and operation of the RiverCentre complex; amending
Minnesota Statutes 2004, section 13.55, by adding a
subdivision.

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

Section 1.

Minnesota Statutes 2004, section 13.55, is
amended by adding a subdivision to read:


new text begin Subd. 4. new text end

new text begin City of st. paul data. new text end

new text begin (a) For purposes of this
subdivision, "nonprofit organization" means the nonprofit
organization with which the city of St. Paul contracts to market
and promote the city as a tourist or convention center.
new text end

new text begin (b) Data collected, received, created, or maintained by the
nonprofit organization in the course of preparing or submitting
any responses to requests for proposals or requests for bids
relating to events hosted, conducted, or sponsored by the
nonprofit organization is classified as nonpublic data under
section 13.02, subdivision 9; or private data under section
13.02, subdivision 12, until the time provided in subdivision 2,
paragraph (a) or (b), of this section. The nonprofit
organization is a "civic center authority" for purposes of this
section.
new text end

Sec. 2. new text begin DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Application. new text end

new text begin For the purposes of this
act, the terms defined in this section have the meanings given
them.
new text end

new text begin Subd. 2. new text end

new text begin City. new text end

new text begin "City" means the city of St. Paul, its
mayor, city council, and any other board, authority, commission,
or officer authorized by law, charter, or ordinance to exercise
city powers of the nature referred to in this act.
new text end

new text begin Subd. 3. new text end

new text begin Rivercentre complex. new text end

new text begin "RiverCentre complex"
means collectively the auditorium, convention, conference and
education center, arena, and parking ramp facilities presently
and commonly known as the Roy Wilkins Auditorium, St. Paul
RiverCentre, Xcel Energy Center, and RiverCentre Parking Ramp,
including all property, real or personal, tangible or
intangible, located in the city, intended to be used as part of
the RiverCentre complex or additions to or extensions of it.
new text end

Sec. 3. new text begin ST. PAUL; CREATION OF NONPROFIT ORGANIZATION.
new text end

new text begin Subdivision 1. new text end

new text begin Authority to create a nonprofit
organization.
new text end

new text begin As required under Minnesota Statutes, section
465.717, and notwithstanding any other law, city charter
provision, or ordinance to the contrary, the city of St. Paul
may participate in the creation of a nonprofit organization for
the purposes provided in this act.
new text end

new text begin Subd. 2. new text end

new text begin Governing board; appointment process. new text end

new text begin (a) The
mayor of the city, subject to approval by the city council,
shall appoint a majority of the members of the governing board
of the nonprofit organization performing all or a part of the
activities necessary to carry out the purposes specified in this
act. The mayor of the city may designate any officer or
employee of the city to serve as a member of the governing board
of any nonprofit organization.
new text end

new text begin (b) In addition to the appointments made by the mayor under
paragraph (a), the mayor of the city shall designate three
members of the city council to serve on the governing board of
the nonprofit organization.
new text end

new text begin (c) Notwithstanding any provision contained in the articles
of incorporation and bylaws of the nonprofit organization, any
member of the governing board appointed by the mayor may be
removed only by the mayor of the city for cause.
new text end

new text begin Subd. 3. new text end

new text begin President. new text end

new text begin The governing board of the nonprofit
organization shall select, subject to the approval of the mayor
of the city, a president to serve as chief executive officer and
general manager of the nonprofit organization.
new text end

new text begin Subd. 4. new text end

new text begin Conflicts of interest. new text end

new text begin The procedures in
Minnesota Statutes, section 317A.255, subdivision 1, paragraph
(b), relating to director conflicts of interest, are not
required if the contract or other transaction is between the
city and the nonprofit organization.
new text end

Sec. 4. new text begin RIVERCENTRE MANAGEMENT; OPERATIONS CONTRACT.
new text end

new text begin Subdivision 1. new text end

new text begin Authority to contract with nonprofit
organization.
new text end

new text begin The city may enter into an agreement with the
nonprofit organization created in section 3 to equip, maintain,
manage, and operate all or a portion of the RiverCentre complex
and to manage and operate a convention bureau to market and
promote the city as a tourist or convention center. Except as
otherwise provided in this act, the nonprofit organization may
only contract and utilize and expend funds for these purposes
under the direction of its governing board, subject to the
accounting, financial reporting, and other conditions that the
city may prescribe in a contract made under this act between the
city and the nonprofit organization. The nonprofit organization
may use the services of the office of the city attorney and the
city's purchasing department. All activities performed to carry
out these purposes are deemed to be for a public purpose.
new text end

new text begin Subd. 2.new text end [BONDHOLDERS' RIGHTS AND RIVERCENTRE COMPLEX TAX
EXEMPTIONS PRESERVED.] new text begin (a) The city must protect the rights of
holders of bonds issued for the RiverCentre complex, including
preserving the tax-exempt status of the bonds.
new text end

new text begin (b) The use and operation of the RiverCentre complex by the
nonprofit organization with which the city contracts under this
act is a use, lease, or occupancy for public, governmental, and
municipal purposes, and the complex is exempt from taxation by
the state or any political subdivision of the state during such
use, to the extent it would be exempt if the complex was
equipped, maintained, managed, and operated by the city.
new text end

new text begin (c) Gross receipts of tickets and admissions to events at
the RiverCentre complex sponsored by the nonprofit organization
created in section 3 do not qualify for the sales tax exemption
under Minnesota Statutes, section 297A.70, subdivision 10.
new text end

new text begin Subd. 3. new text end

new text begin Applicable general laws. new text end

new text begin The following statutes
apply to the nonprofit organization with which the city
contracts under this act the same as they apply to the city:
new text end

new text begin (a) Minnesota Statutes, chapter 13D, the Minnesota Open
Meeting Law; and
new text end

new text begin (b) Minnesota Statutes, chapter 13, the Government Data
Practices Act.
new text end

new text begin Subd. 4. new text end

new text begin Succession. new text end

new text begin The nonprofit organization with
which the city contracts under this act is the successor to all
powers, rights, assets, privileges, and interests held and
enjoyed by the RiverCentre authority on the effective date of
this act, and established by the provisions of Laws 1967,
chapter 459, sections 1, 2, 4, and 8, subdivisions 2 and 3,
clause (3), as amended; Laws 1982, chapter 523, article 25,
sections 4 and 5, as amended; Laws 1998, chapter 404, sections
81 and 82; and Minnesota Statutes, section 297A.98. On the
effective date of the contract between the city and the
nonprofit organization authorized by this act, the RiverCentre
authority ceases to exist for only so long as the contract is in
effect, and all other laws or provisions specifically relating
to the RiverCentre authority and the RiverCentre complex that
are not otherwise referenced in this act, do not apply to the
nonprofit organization.
new text end

Sec. 5. new text begin LIABILITY.
new text end

new text begin The nonprofit organization with which the city contracts
under this act is a "municipality," and the officers, directors,
employees, and agents of the nonprofit organization are
"employees, officers, or agents," under Minnesota Statutes,
chapter 466, relating to tort liability. The city must defend,
save harmless, and indemnify the nonprofit organization,
including the nonprofit's officers, directors, employees, and
agents, against any claim or demand arising out of the nonprofit
organization's performance under the contract.
new text end

Sec. 6. new text begin EFFECTIVE DATE.
new text end

new text begin This act is effective the day after the city council and
the chief clerical officer of the city of St. Paul have timely
completed their compliance with Minnesota Statutes, section
645.023, subdivisions 2 and 3.
new text end