1.1                          A bill for an act 
  1.2             relating to the Lake Superior Center authority; 
  1.3             changing its enabling law; putting conditions on 
  1.4             certain of its contracts and agreements; making 
  1.5             explicit that it is a political subdivision for 
  1.6             certain purposes; amending Laws 1990, chapter 535, 
  1.7             section 3, subdivision 2, and by adding subdivisions. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  Laws 1990, chapter 535, section 3, subdivision 
  1.10  2, is amended to read: 
  1.11     Subd. 2.  [FACILITY DESIGN; DEVELOPMENT AND OPERATION.] The 
  1.12  corporation may enter into management contracts or lease 
  1.13  agreements or both with Lake Superior Center, a Minnesota 
  1.14  nonprofit corporation, to design, develop, and operate a 
  1.15  facility to further the purposes of this act in the city of 
  1.16  Duluth, at the site determined by the board and on the terms 
  1.17  that the board finds desirable.  Notwithstanding the provisions 
  1.18  of section 2, subdivision 7, relating to the conflict of 
  1.19  interest, a director or officer of the corporation who is also a 
  1.20  director, officer, or member of Lake Superior Center, a 
  1.21  Minnesota nonprofit corporation, and the corporation, may 
  1.22  participate in and vote on the decision of the board as to the 
  1.23  terms and conditions of management contracts or lease agreements 
  1.24  between Lake Superior Center and the corporation.  
  1.25     Sec. 2.  Laws 1990, chapter 535, section 3, is amended by 
  1.26  adding a subdivision to read: 
  2.1      Subd. 8.  [AUTHORITY, CENTER ARE POLITICAL 
  2.2   SUBDIVISIONS.] The Lake Superior Center Authority is a political 
  2.3   subdivision of the state for purposes of Minnesota Statutes, 
  2.4   sections 465.717 and 465.719, as is the Lake Superior Center, a 
  2.5   Minnesota nonprofit corporation if it otherwise fits within the 
  2.6   definition of a corporation under Minnesota Statutes, section 
  2.7   465.719, subdivision 1, paragraph (b). 
  2.8      Sec. 3.  Laws 1990, chapter 535, section 3, is amended by 
  2.9   adding a subdivision to read: 
  2.10     Subd. 9.  [CONDITIONS OF CONTRACT OR LEASE.] If the Lake 
  2.11  Superior Center authority has or enters into any management 
  2.12  contract or lease agreement with the Lake Superior Center, a 
  2.13  nonprofit corporation, the nonprofit corporation must agree to 
  2.14  be subject to Minnesota Statutes, section 465.719, if it does 
  2.15  not fit within the definition of a corporation under Minnesota 
  2.16  Statutes, section 465.719, subdivision 1, paragraph (b). 
  2.17     Sec. 4.  Laws 1990, chapter 535, section 3, is amended by 
  2.18  adding a subdivision to read: 
  2.19     Subd. 10.  [NO INTERLOCKING BOARD OR OFFICERS.] A person 
  2.20  must not be appointed, and must not serve, as either a member of 
  2.21  the board of directors or an officer of the authority while 
  2.22  serving as either a member of the board of directors or an 
  2.23  officer of the Lake Superior Center, a Minnesota nonprofit 
  2.24  corporation, as long as the Lake Superior Center, the nonprofit 
  2.25  corporation, is involved in the design, development, or 
  2.26  operation of a facility to further the purposes of this chapter, 
  2.27  as amended.