If the authority, on behalf of the city of Duluth, acquires an existing bus transportation system, all employees of such system who are necessary for the operation thereof by the authority may be transferred to and appointed as employees of the authority for the purposes of such bus transportation system, subject to all the rights and benefits of sections 458A.21 to 458A.37 . Employees of the authority shall not be within the civil service classifications of the city of Duluth.
The employees of the authority, except executive or administrative employees appointed pursuant to the provisions of sections 458A.21 to 458A.37 , shall in case of any dispute arising under any existing or new collective bargaining agreement relating to the terms and conditions of their employment, have the right, for the purpose of resolving such disputes, to invoke the processes of final and binding arbitration as provided by chapter 572, subject to any applicable provisions of the agreement not inconsistent with law.