Nashville sues Tennessee over law giving state power on airport board

Metro Nashville on Monday sued Gov. Bill Lee and the speakers of both chambers of the Tennessee General Assembly over a new law giving the state the power to appoint the majority of the city's airport authority board.

The lawsuit, the latest in Nashville's ongoing legal fight with the state, argues the law violates the Tennessee Constitution's home rule and equal protection clauses.

The Home Rule Amendment prevents the state legislature from passing laws that impact the governance of only a particular county or city without the approval of local voters.

Under the previous law, Nashville's mayor appointed and the Metro Council confirmed all seven members of the Metropolitan Nashville Airport Authority's (MNAA) board of commissioners. Under the new law, signed by Lee on May 19, the board will consist of eight members, with two appointed each by the governor, the speaker of the Tennessee House of Representatives, the speaker of the Tennessee Senate and the mayor.

The law will also remove all current commissioners from their positions on July 1.

The lawsuit seeks temporary and permanent injunctive relief from the implementation of the law and a judgment declaring the law unconstitutional.

State lawmakers are standing by the law. Defendants Lt. Gov. Randy McNally, R-Oak Ridge, and House Speaker Cameron Sexton, R-Crossville, said the state should have a say in Nashville International Airport's operations as it represents a growing resource to the state and is used by residents across Tennessee.

“Lt. Governor McNally is confident the law will survive this challenge," McNally spokesperson Adam Kleinheider said in an email. "The Greater Nashville area and its airport have grown significantly. BNA (Nashville International Airport) is now a regional airport and should be governed like one. Metro will not be without influence. But it will need to share power as BNA fully transitions from a small municipal airport to large regional international airport. This is reasonable, legal and fair.”

Sexton said the state's capital investments, totaling more than $200 million in the past decade, have helped transform BNA into a "world-class, international airport."

"BNA is a great asset for our state, and the sharing of appointments will only enhance it," Sexton said.

Metro in its lawsuit accused the bill's sponsors, who offered similar justifications by citing the state's investment in the airport, of making "an exaggeration that grossly generalizes the financial relationship" between the airport authority, the state and Metro.

MNAA is self-supported and funds operations and most capital improvements through aircraft landing fees, rental fees and revenue created on-site through parking and concession sales. Both the state and federal government have provided money toward capital projects to expand the airport.

In the 2022 fiscal year, the state provided $29 million in capital grants to the airport authority, compared to the airport's operating revenue of $210 million, according to Metro's lawsuit. MNAA also received $26 million in federal grants that year. The airport doesn't receive money from the city's general fund.

Metro argued that the justifications offered by legislators don't hold up since all five metropolitan airport authorities in Tennessee receive funding from the state but only Nashville's is affected by the law.

"Compared to operating revenues and federal funding, the State is a minor source of funds for the five metropolitan airport authorities in Tennessee. And all of the metropolitan airports serve Tennesseans who live outside the municipality that created them, not just the Nashville Airport. The General Assembly’s financial justification for the Act is a pretext," the lawsuit says.

The airport authority was just one of several Nashville agencies or departments targeted by the state this past legislative session.

In May, Lee signed a bill appointing three state officials to Nashville's Convention Center Authority as ex-officio, non-voting members who will join the existing nine-member board appointed by Mayor John Cooper. He also signed into law a bill reorganizing Nashville's Metropolitan Sports Authority Board, giving state officials the power to appoint six of the board's 13 members.

In addition, the legislature passed a law slashing the size of the Metro Council to no more than 20 members and a bill reducing the threshold of Metro Council votes needed to renovate the Nashville Fairgrounds. The fairgrounds bill reduces the required number of votes from 27 to 21 and contradicts a 2011 referendum approved by Nashville voters in 2011 requiring the two-thirds majority.

The council size and fairgrounds bills are also the subject of lawsuits.

Caught in between the legal battle, MNAA said Monday it is keeping its focus on airport operations.

"The Airport Authority is not a party to the pending litigation between Metro Nashville and the state," MNAA spokesperson Stacey Nickens said. "We remain committed to serving our community and will ensure we continue to operate successfully and efficiently."

The Tennessee Attorney General's Office, who will likely represent Lee, McNally and Sexton, said it did not have a comment on the litigation as of Monday afternoon.

Related: Tennessee vs. Nashville: What leverage does each side have in legislative battle?

Sandy Mazza contributed to this report. Evan Mealins is the justice reporter for The Tennessean. Contact him at emealins@gannett.com or follow him on Twitter @EvanMealins.

This article originally appeared on Nashville Tennessean: Airport authority law: Nashville sues state over home rule violations