Chief Minister Alf Cannan says an agreement signed with Liverpool is a way to learn from each other.
In the House of Keys this week he faced questions from Onchan MHK Julie Edge, who said she was worried the memorandum of understanding signed last month handed over powers to Merseyside.
Mr Cannan described the claim as "ridiculous".
He said the memorandum was designed to help both the Island and the city learn from each other:
Get involved in Island's first BJ Week!
Can you help find stolen car?
Five green lanes to close for TT
Burst water main means traffic lights on TT course in Kirk Michael
Organisers call off Onchan pride event expected to attract 1,500 visitors
DEFA deletes "downright offensive" two-headed chicken logo
Mountain Road closed for work tonight
Lieutenant Governor to join Orange Army for TT duties