S.F. No. 67 - Koochiching County Port Authority
Author:	Senator Tom Saxhaug
Prepared by:	John C. Fuller, Senate Counsel (651/296-3914)
Date:	March 10, 2003

S.F. No. 67 is a local law relating to Koochiching County. Local laws are special laws, which have particular constitutional and statutory provisions relating to their effective date. Minnesota Statutes, sections 645.021 and 645.023, provide the process for making local laws effective. S.F. No. 67 does not contain the local approval provision. Presumably, that is because it comes within the exception as to when the local government must approve a local law. That exception is contained in Minnesota Statutes, section 645.023, subdivision 1, clause (a), which provides that "a law, which enables one or more local governmental units to exercise authority not granted by general law" does not require local approval. Over the years there have been approximately 23 laws that have been codified that have granted cities the ability to create a port authority. Each law is a little different but most follow the format that this particular law has adopted. There appear to be no counties that have been granted the authority to create a port authority.

Section 1 authorizes the governing body of Koochiching County to establish a port authority under the general port authority law. The general law grants power to cities to establish port authorities. Once established, the governing body of the county shall exercise the powers granted to a city by the general port authority law. All cities in Koochiching County may participate in the activities of the county port authority on terms jointly agreed to by the city and county.

Section 2 grants authority to a local unit of government to apply to the United States to be a foreign trade zone. The board referred to in section 2 is composed of the Secretary of Commerce of the United States and the Treasury Secretary. If the application is granted, the local authority may use foreign trade zone powers within and without a port district. Under federal law, trade activities within a foreign trade zone are relieved of some customs obligations.

Section 3 provides an immediate effective date.

JCF:cs

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