MemphisShelbyInform

March 11, 2012

I have become interested in learning more about public bonds and our local debt. Ho hum I hear you saying but it is important and affects your tax bill and how much you have to spend on food, housing, education, travel, entertainment and health care.

Recently I went to pick up my brother from the airport and there was this big building under construction partially blocking my view of what is a beautiful airport entrance. Later I contacted the Memphis-Shelby County Airport Authority and asked for information on the project. Brian Kuhn, General Counsel, responded promptly and completely and I appreciate his response and information.

I have attached his letter and the front page of the bond document. On the front page it is very clear that the State of Tennessee, Memphis and Shelby County are not on the hook in case things do not work out for this investment. That is good and this type of front end clear statement should be part of all public debt instruments and be available online to the taxpaying public.

Now as to whether this is going to work out and be financially viable, that is another question. I don’t know about you but I am very unhappy with the whole air fare situation and air service selection in Memphis. (See a letter to the editor this morning). Any trip less than 500 miles and I am probably driving and then I don’t have to pay an additional charge for my luggage. With the advent of Skype and other visual communications, visiting in person is not as important as it used to be, especially in business.

I wish the Airport Authority well as generally they have a good management history compared to the City of Memphis. I hope the parking and car rental structure works out but at least, considering local taxes, it is not likely to cost me more which cannot be said for other local bonds, pension and health care costs.