CHAPTER 28
HOUSE BILL No. 2191
An Act relating to port authorities; concerning certain powers; amending K.S.A. 12-3406
and 12-3415 and repealing the existing sections.
Be it enacted by the Legislature of the State of Kansas:

      Section  1. K.S.A. 12-3406 is hereby amended to read as follows: 12-
3406. A port authority established by K.S.A. 12-3402, and amendments
thereto, shall have full power and authority to:

      (a) Purchase, acquire, construct, reconstruct, improve, equip, fur-
nish, maintain, repair, enlarge, remodel, own, sell, lease, and operate
docks, wharves, warehouses, piers, and other water-port facilities, airport
facilities, terminal facilities, land transportation facilities, railroad facilities
or industrial-use facilities within the area of its jurisdiction, as defined by
K.S.A. 12-3405, and amendments thereto, consistent with the purpose of
the port authority, which purpose is hereby declared to be for a public
purpose;

      (b)  (1) borrow money from either private financial institutions or,
any agency of the state of Kansas or of the United States of America or
a private person or entity approved by the port authority, and to issue
therefor such notes or other evidence of indebtedness as may be required
and to mortgage, pledge, or otherwise encumber the assets of the au-
thority as security therefor, and or (2) issue bonds as provided in K.S.A.
12-3415, and amendments thereto;

      (c) apply for, receive, and participate in any grants from the state of
Kansas or from the United States of America;

      (d) construct, straighten, deepen, and improve any canal, channel,
river, stream, or other watercourse or way which may be necessary or
proper in the development of the facilities of such port;

      (e) purchase, acquire, own, maintain, furnish, improve, repair, en-
large, remodel, construct, reconstruct, equip, hold, sell, lease, or operate
real or personal property for the authorized purposes of the port author-
ity, which exercise of such authority is hereby declared to be for a public
purpose;

      (f) apply to the proper authorities of the United States government
for a grant within the limits of the port authority either individually or in
conjunction with a corporate instrumentality of this state and one or more
states, or a bi-state compact or a not-for-profit corporation authorized to
do business in this state and to establish, operate and maintain foreign
trade zones pursuant to the foreign trade-zone act, 19 U.S.C.A. 81a to
81u, inclusive, as amended;

      (g) exercise the right of eminent domain, if approved by a 2/3 vote of
the governing body of the port authority, to appropriate any land, rights,
rights-of-way, franchises, easements, or other property, necessary or
proper for the construction or the efficient operation of any facility of the
port authority and included in an official plan, pursuant to the procedure
provided by law, if funds equal to the appraised value of the property to
be acquired as the result of such proceedings shall be on hand and avail-
able for such purposes. The port authority shall not exercise the right of
eminent domain without first having received approval, by resolution, of
the governing body of the city or county which created such port au-
thority. If the port authority was created by two or more cities or counties,
the port authority shall not exercise the right of eminent domain without
first having received approval, by resolution, of the governing body of the
city or county in which such property is located. If such property is located
outside the boundaries of the port authority, such port authority shall not
exercise the right of eminent domain without first having received ap-
proval, by resolution, of the governing body of the city if such property
is located within the corporate limits of a city or from the board of county
commissioners if such property is located within the unincorporated area
of a county. A port authority shall not have the right of eminent domain
to acquire a site for an industrial-use facility.

      Nothing contained in K.S.A. 12-3401 to 12-3433, inclusive, and amend-
ments thereto, shall authorize a port authority to take or disturb property
or facilities belonging to any public corporation, public utility, or common
carrier, which property or facilities are necessary and convenient in the
operation of such public corporation, public utility, or common carrier,
unless provision is made for the restoration, relocating, or duplication of
such property or facilities, or upon the election of such public corporation,
public utility, or common carrier for the payment of compensation, if any,
at the sole cost of the port authority.

      If any restoration or duplication proposed to be made hereunder shall
involve a relocation of such property or facilities, the new facilities and
location shall be of at least comparable utilitarian value and effectiveness
and such relocation shall not impair the ability of the public utility or
common carrier to compete in its original area of operation.

      If any restoration or duplication made hereunder shall involve a relo-
cation of such property or facilities, the port authority shall acquire no
interest or right in or to the appropriated property or facilities, except as
provided in subsection (c) of K.S.A. 12-3406, and amendments thereto,
until the relocated property or facilities are available for use and until
marketable title thereto has been transferred to the public utility or com-
mon carrier.

      Provisions for restoration, relocation, or duplication shall be described
in detail in the plan specified in K.S.A. 12-3407, and amendments thereto;

      (h) maintain such funds as it deems necessary;

      (i) direct its agents or employees, when properly identified in writing,
and after at least five days' written notice, to enter upon lands within the
confines of its jurisdiction in order to make surveys and examinations
preliminary to location and construction of works for the purposes of the
port authority, without liability of the port authority or its agents or em-
ployees except for actual damage done;

      (j) sell, lease or convey real and personal property not needed for the
operation of the port authority and grant easements of rights-of-way over
property of the port authority; and

      (k) promote, advertise, and publicize the port and its facilities; pro-
vide traffic information and rate information to shippers and shipping
interests.

      Sec.  2. K.S.A. 12-3415 is hereby amended to read as follows: 12-
3415. (a) For the purpose of paying all or any part of the cost of purchasing
or acquiring land or interests therein, and the cost of purchasing, acquir-
ing, constructing, equipping, reconstructing, improving, repairing, en-
larging, remodeling and furnishing buildings, structures, plants, docks,
wharves, warehouses, piers, sidings and other water-port facilities, airport
facilities, terminal facilities, land transportation facilities, railroad facilities
or industrial-use facilities or any part thereof; including additions, im-
provements, relocations, renovations, extensions and modifications
thereof (all of which as are included in a single project are hereafter
referred to in this act as ``facility or facilities''), a port authority created
pursuant to this act, is authorized to borrow money upon credit of the
income and revenues to be derived from the operation of such facilities,
together with any other available income and revenues from other reve-
nue producing facilities of such port authority, and to issue negotiable
notes, bonds or other evidence of indebtedness authorized under subsec-
tion (b) of K.S.A. 12-3406, and amendments thereto, of such port authority
in such amount as the board of directors of the port authority shall deem
necessary for the purpose; and to provide for payment of such notes,
bonds or other evidence of indebtedness and rights of holders thereof as
herein provided.

      (b) The port authority shall not issue bonds without first having re-
ceived approval, by resolution, of the governing body of the cities or
counties which comprise such port authority.

 Sec.  3. K.S.A. 12-3406 and 12-3415 are hereby repealed.

 Sec.  4. This act shall take effect and be in force from and after its
publication in the Kansas register.

Approved April 1, 2003.
 Published in the Kansas Register April 10, 2003.
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