Tenn. Code Ann. § 42-3-116: Status of airport authorities - Property and revenues exempt from taxation

(a) It is declared that airport authorities created pursuant to this chapter are public and governmental bodies acting as agencies and instrumentalities of the creating and participating municipalities, and that the acquiring, operating, and financing of airports and related facilities by such airport authorities are for a public and governmental purpose and matters of public necessity.

(b) The property and revenues of the authority or any interest in such property and revenues are exempt from all state, county, and municipal taxation.