(a) The participating counties, Decatur, Hardin, Perry and Wayne, and the board of commissioners are not required to obtain any certificate of convenience or necessity, franchise, license, permit or other authorization from any bureau, board, commission or other like instrumentality of the state or any political subdivision thereof, in order to acquire, construct, purchase, operate or maintain any of the facilities authorized by this chapter.

(b) Neither the Tennessee public utility commission nor any other board or commission of like character hereafter created has jurisdiction over the port authority with respect to the management and control of the facilities authorized by this chapter, including the establishment of rates, fees and charges or otherwise.

(c)

(1) The property and revenues of the authority or any interest therein is exempt from all state, county and municipal taxation.

(2) Bonds issued pursuant to this chapter and the income therefrom are exempt from all state, county and municipal taxation, except inheritance, transfer and estate taxes.

(3)

(A) The exemption from taxation shall not extend to any leasehold or other interest in property of the authority that may be held by any private person or private corporation.

(B) The port authority has the power to negotiate and accept from the authority's lessees payments in lieu of ad valorem taxes. Any such power shall be granted only upon a finding that such payments are deemed to be in furtherance of the authority's public purpose as established by this chapter. The amount of such payments shall not be fixed below the lesser of:

(i) Ad valorem taxes otherwise due and payable by a taxpaying entity upon the current fair market value of the leased properties; or

(ii) Ad valorem taxes that were or would have been due and payable on the leased properties for the period immediately preceding the date of their acquisition by the authority.