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20 4859-6924-4449\6 goods being produced in subzones are automobiles, trucks, motorcycles, tractors, women’s garments, and refined oil. Although a zone is operated as a public utility and can be managed by either a public or private corporation, it is treated as foreign territory and considered to be in foreign commerce. The usual formal Customs entry procedure and payment of duties is not required on the foreign merchandise unless and until it enters Customs territory for domestic consumption, in which case the importer ordinarily has a choice of paying duties either on the original foreign material or on the finished product. In addition, quota restrictions do not normally apply to foreign goods stored in zones. Domestic goods moved into a zone for export may, for purposes of excise tax rebates and drawback, be considered exported upon entry of the zone. In some cases, companies can avoid both import duties on an item and state and local ad valorem taxes when goods are exported from the zone. In most cases, Federal taxes and excise taxes can be deferred on the goods until they enter the U.S. marketplace. Public Facilities The EDA may operate and maintain a public parking facility or other public facility to promote development in an economic development district. (Minn. Stat. § 469.101, Subd. 13). Frequently, these powers are exercised in cooperation with other units of government, including cities, counties and school districts. Projects may include city halls, fire stations, libraries, community centers, administration buildings, and many others. For example, a city may want a community center for its residents. In order for the project to occur, the EDA sells revenue bonds, constructs the community center, and leases the community center to the city. The lease is paid by an annual appropriation from the city’s general fund to the EDA, and the EDA uses the lease payments to pay the principal and interest due on the revenue bonds. When the revenue bonds are retired, title to the new community center will be transferred to the city. Government Agent An EDA may cooperate with or act as an agent for the federal or state government, or a state public body, or an agency or instrument of a government, or a public body to carry out its mission. (Minn. Stat. § 469.101, Subd. 14). Studies, Analysis, Research An EDA may study and analyze economic development needs in the City, and ways to meet those needs. An EDA may study the desirable patterns for land use for economic development and community growth and other factors affecting local economic development in the City. It may make the results of the studies available to the public and to business/industry in general. An EDA may engage in research and disseminate information on economic development within the City. (Minn. Stat. § 469.101, Subd. 15).