County Considers Backing $71 Million Airport Bonds, Residents Face Tradeoffs

Grand Traverse County commissioners spent a lengthy study session reviewing plans and financing for a roughly $120 million expansion of Cherry Capital Airport that airport officials say would add multiple gates, a relocated and expanded security checkpoint, expanded baggage and concessions, and other passenger amenities. The Northwest Regional Airport Authority outlined the scope of work as officials prepare for a planned vote on whether the county will pledge its full faith and credit to secure up to $71 million in bonds to pay part of the project cost.

Airport leaders and county financial advisors explained the project funding structure. About half of the expansion is expected to be covered by federal and state grants, with the remainder financed through bond proceeds. The NRAA is seeking to use Grand Traverse County’s AA+ bond rating to access lower interest rates. County financial advisors described bond protections including a bond reserve account and a rate covenant intended to reduce investor risk.

Commissioners pressed officials on several fronts. They raised questions about possible financial risks to the county if airport revenues fall short, and they sought clarity on how bond covenants and reserve accounts would operate in practice. Commissioners also voiced concerns about neighborhood effects, specifically noise increases, tree clearing, and potential impacts near local cemeteries. Airport officials told the board that construction would take about two years with completion planned by Memorial Day 2028, and that bond preparations remain in progress.

The proposal puts county leaders at the intersection of economic development and fiscal stewardship. Supporters point to improved passenger capacity and amenities as a means to sustain regional air service and to attract more travelers and business activity. Opponents and cautious commissioners emphasize that when a county pledges its full faith and credit it accepts a contingent obligation that could affect broader county finances if pledged revenues are insufficient.

For Grand Traverse County residents the debate will touch on several local priorities. Homeowners near the airport will weigh the prospect of expanded service against possible increases in noise and changes to landscape. Taxpayers will want clarity about the conditions under which county resources could be tapped to meet bond obligations. County commissioners and airport officials will need to provide transparent financial modeling, timelines, and public engagement opportunities so voters and residents can assess tradeoffs.

The study session ended with preparations continuing for the formal vote. Residents seeking to follow the process should monitor county commission agendas and airport authority updates for the upcoming bond approval and any scheduled public hearings.