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19 4859-6924-4449\6 Limited Partnership An EDA may be a limited partner in a partnership whose purpose is consistent with the EDA’s purpose. (Minn. Stat. § 469.101, Subd. 6). If a City is participating in a project as a limited partner, it may wish to stipulate in the equity agreement a limit on its current and future liability. This stipulation will serve as a safeguard for the City if legal action is brought against the firm as a result of its operation or inequities in its services or products. Rights and Easements “The EDA may acquire rights or an easement for a term of years or perpetually for development of an economic development district.” (Minn. Stat. § 469.101, Subd. 7). It may be necessary for an EDA to utilize these powers when extending public infrastructure to a project area. Supplies and Materials “The EDA may buy the supplies and materials it needs to carry out [its powers].” (Minn. Stat. § 469.101, Subd. 8). Acceptance of Public Land and Property “The EDA may accept land, money, or other assistance, whether by gift, loan or otherwise, in any form from the federal or state government, or an agency of either, or a local subdivision of state government to carry out sections 469.090 to 469.108 and to acquire and develop an economic development district and its facilities under this section.” (Minn. Stat. § 469.101, Subd. 9). “An EDA may accept conveyances of land from all other public agencies, commissions, or other units of government, if the land can be properly used by the EDA in an economic development district.” (Minn. Stat. § 469.101, Subd. 17). Foreign Trade Zone Minnesota Statute 469.101, Subdivision 11 authorizes EDAs to operate and manage Foreign Trade Zones. Foreign or “Free” Trade Zones (FTZ) were established to facilitate international trade by serving as “safe havens” and can increase a company’s cash flow by reducing costs associated with import restrictions and duties. FTZs can be warehouses, storage tanks or fenced-in areas near harbors, airports or industrial parks. Foreign and domestic goods are brought into a zone where they can be stored, sold, exhibited, broken up, repacked, assembled, distributed, sorted, graded, cleaned and mixed with foreign and domestic products or used in a manufacturing process. There are two types of foreign trade zones; general zones and subzones. A general zone is located at or adjacent to a U.S. Customs Port of Entry (i.e. Minneapolis-St. Paul International Airport or Duluth Port). A subzone, though physically removed from its associated general zone, is part of a general zone. General zones typically have multiple users occupying a facility or warehouse site, while “subzones” are special-purpose facilities operated by individual firms that cannot be accommodated within a general zone and are engaged in large-scale manufacturing. The major