Section 68.040

Title VI COUNTY, TOWNSHIP AND POLITICAL SUBDIVISION GOVERNMENT

Chapter 68

Effective - 28 Aug 2019, 2 histories   

  68.040.  Bonds of port authority, issued, when — authorized as investments — tax exemption — procedure for issuance of bonds and notes. — 1.  Every local and regional port authority, approved as a political subdivision of the state, may from time to time issue its negotiable revenue bonds or notes in such principal amounts as, in its opinion, shall be necessary to provide sufficient funds for achieving its purposes, including the construction of port facilities and the financing of port improvement projects; establish reserves to secure such bonds and notes; and make other expenditures, incident and necessary to carry out its purposes and powers.

  2.  This state shall not be liable on any notes or bonds of any port authority.  Any such notes or bonds shall not be a debt of the state and shall contain on the faces thereof a statement to such effect.

  3.  No commissioner of any port authority or any authorized person executing port authority notes or bonds shall be liable personally on said notes or bonds or shall be subject to any personal liability or accountability by reason of the issuance thereof.

  4.  The notes and bonds of every port authority are securities in which all public officers and bodies of this state and all political subdivisions and municipalities, all insurance companies and associations, and other persons carrying on an insurance business, all banks, trust companies, saving associations, savings and loan associations, credit unions, investment companies, all administrators, guardians, executors, trustees, and other fiduciaries, and all other persons whatsoever, who now or may hereafter be authorized to invest in notes and bonds or other obligations of this state, may properly and legally invest funds, including capital, in their control or belonging to them.

  5.  No port authority shall be required to pay any taxes or any assessments whatsoever to this state or to any political subdivisions, municipality, or other governmental agency of this state.  The notes and bonds of every port authority and the income therefrom shall, at all times, be exempt from any taxes and any assessments, except for death and gift taxes and taxes on transfers.  Additionally, the leases of both real and personal property by or to any port authority involving the issuance of bonds authorized under this chapter shall be exempt from taxation.  A port authority issuing bonds under this chapter for incentivized development shall require the developer of any project which is to be leased to such developer, or any other party, to confer with the affected taxing authorities, and subsequently contractually require the payment of such sums as they may agree upon, or the port authority may elect to require such sums to be allocated among such taxing authorities on the same pro rata basis as are ad valorem property tax revenues.

  6.  Every port authority shall have the powers and be governed by the procedures now or hereafter conferred upon or applicable to the environmental improvement authority, chapter 260, relating to the manner of issuance of revenue bonds and notes, and the port authority shall exercise all such powers and adhere to all such procedures insofar as they are consistent with the necessary and proper undertaking of its purposes.

­­--------

(L. 1974 H.B. 1646 § 7, A.L. 1975 S.B. 135 § 7, A.L. 2010 S.B. 578, A.L. 2019 S.B. 368)

(1980) Since port authority is recognized separate entity from the state and state's credit would in no way be involved in bonds for which the authority is responsible, Port Authority Law does not violate Art. III, Section 39(1,2). State ex rel.  Wagner v. St. Louis County Port Authority (Mo.), 604 S.W.2d 592.