A lawsuit filed in March by the North Texas Conservation Association (NTCA) has challenged the legality of the funding mechanisms used by McKinney for its airport expansion. The group, composed of local residents and neighbors, argues that the city disregarded voter intent. The Texas Attorney General also filed a challenge regarding the city’s funding process. These legal actions arrive as Avelo Airlines prepares to launch commercial passenger service at the facility this fall.
McKinney is about 7 miles west of Princeton. The dispute centers on $30 million in bonds issued last year by the McKinney Community Development Corporation (MCDC). These bonds, backed by sales tax revenue, were approved by the Attorney General to support the airport’s growth, which includes a new commercial terminal. The city is utilizing a federal refinancing program from the U.S. Department of Transportation to manage this debt. City officials state this move will result in significant savings for taxpayers by lowering interest rates and extending the repayment period.
McKinney City Council member Patrick Cloutier noted on social media that the council voted to refinance the debt after becoming eligible earlier in the year, emphasizing the potential for millions in savings for the MCDC. The city maintains that the money from these bonds has already been spent on construction. City Manager Paul Grimes stated that the airport is under construction and that the ongoing litigation is not expected to halt or slow the expansion.
The current legal battle highlights long-standing tensions over the project. In 2015, voters rejected a $50 million bond for airport improvements. In 2023, residents again voted against a $200 million property-tax-backed bond for similar purposes. The NTCA lawsuit asserts that the City Council ignored the clearly expressed will of the voters and stubbornly pressed forward with expansion plans despite these rejections.
City officials counter that the previous elections concerned the method of payment rather than the decision to fund the project. They argue that after the ballot box failures, they sought alternative funding sources, including state and city funds and sales tax revenue bonds from the MCDC and other community development corporations. The MCDC, an organization approved by voters in 1996, directs its revenue toward community, cultural, and economic development projects intended to enhance the quality of life in McKinney.
