In the event no three (3) counties shall contract on the basis provided for in Section 59-17-19, then any master water management district may be considered an authorized agency and may enter into a contract with the board whereby they must agree to underwrite any deficits incurred from the operation of the port and/or obligations incurred by the board for the port authority. The board will contract with a master water management district only after they have been convinced that adequate security has been furnished the board to protect the state's investment.