12-895.   Powers.(a) Municipal energy agencies created under the provisions of this act mayexercise the following powers:

      (1)   To sue and be sued;

      (2)   to have a seal and alter the same at will;

      (3)   to make, amend and repeal bylaws consistent with the provisions ofthis act and the agreement creating the agency;

      (4)   to enter into franchises, contracts and agreements with this stateor the United States or instrumentality thereof, or any public or privateperson, partnership, association or corporationof this state or of the United States, for the planning, development, constructionor operation of any facility for the production or transmissionof electricity or other energy or for any common or other service renderedto, for or by such agency;

      (5)   to make and enter into any other contract or agreement necessary orincidental to the performance of its duties and the execution of its powersunder this act, including contracts for the purchase, sale, transmissionor exchange of power and other energy with the United States or with otherenergy systems, either privately, cooperatively or publicly owned,within and without the state, subject to the limitations and restrictionsprovided in this act;

      (6)   to plan, finance, construct, purchase, operate, maintain, use, sharecosts of, own, lease, sell, dispose of or otherwise participate in any projector any portion thereof within or without the state, including solar andwind facilities, or the product or service therefrom, or to purchase, own,sell, dispose of or otherwise participate in securities issued in connectionwith the financing of such project or any portion thereof or acquire anyinterest in or any right to capacity of such project and may act as agent,or designate one or more of the other persons participating in a projectto act as its agent, in connection with the planning, acquisition, construction,reconstruction, operation, maintenance, repair, extension of improvementof any project;

      (7)   to borrow money by the issuance of revenue bonds and to issue interimfinancing receipts or temporary notes in the manner prescribed by this act;

      (8)   to establish, revise and collect rates or charges for electric powerand other energy and all other services, facilities and commodities sold,furnished or supplied by the agency;

      (9)   to acquire, hold, lease to and from and dispose of real or personalproperty which is necessary for the performance of its duties and the executionof its powers under this act and to exercise the power of eminent domainin accordance with the provisions of K.S.A. 26-501 to 26-516, inclusive,and amendments thereto, in order to construct, operate, maintain andmanage electric generating and other energy facilities, power lines andother energy transmission facilities and ways of access between any membercity and any electric power or other energy plant or any part thereof withinthis state, except in no event shall the agency acquire by condemnationany generation, transmission or distribution facilities of other electricutilities nor shall the generation, transmission or distribution facilitiesof the agency be subject to the exercise of the power of eminent domainby any utility, public or private, or by any municipality;

      (10)   to investigate the desirability of and necessity for additional sourcesand supplies of electric energy, and make studies, surveys and estimatesas may be necessary to determine the feasibility and cost thereof;

      (11)   to cooperate with other persons in the development of sources andsupplies of electric energy;

      (12)   to invest money of the municipal energy agency not required for immediateuse, including proceeds from the sale of any bonds or notes, in such obligations,securities, and other investments as the municipal energyagency deems prudent, notwithstanding the provisions ofany other law relating to theinvestment of public funds, subject to any agreement with bondholders or note holders;

      (13)   subject to the provisions of K.S.A. 12-897 and amendmentsthereto, to purchase, sell, exchangeor transmit electric energy within and outside the state in such amountsas it determines to be necessary and appropriate tomake the most effectiveuse of its powers and to meet its responsibilities, and may enter into agreementswith any person with respect to that purchase, sale, exchange or transmission,on such terms and for such period of time as its board of directors determines;

      (14)   to procure insurance against any losses in connection with its property,operations or assets in such amounts and from such insurers as it deems desirable;

      (15)   to mortgage, pledge and grant a security interest in any or all ofits real and personal property to secure the payment of its bonds, notesor other obligations or contracts;

      (16)   to pay to each taxing authority within whose taxingjurisdiction its property is situated, in lieu of taxes on its property,the amounts of the taxes which would be payable if its property were ownedby a private person, and for this purpose the property of a municipal energyagency shall be valued and assessed in the same manner and by the same procedureas the property of public utilities; and

      (17)   to exercise all other powers not inconsistent with the constitutionof the state of Kansas or the United States constitution, which powers maybe reasonably necessary or appropriate for or incidental to the effectuationof its authorized purposes or to the exercise of any of the powers enumeratedin this section, and generally may exercise in connection with its propertyand affairs, and in connection with property within its control, any andall powers which might be exercised by a natural person or a private corporationin connection with similar property and affairs.

      (b)   Nothing in this act shall be construed as authorizing any municipalenergy agency created and operating under the provisions of this act toconstruct, acquire or operate any coal gasification facility or any pipelinefor the transportation of coal slurry, and no such agency shall be authorizedto construct, acquire or operate any coal gasification facility or any pipelinefor the transportation of coal slurry unless specifically authorized by law.

      History:   L. 1977, ch. 48, § 11;L. 1988, ch. 74, § 5; July 1.