Indianapolis Airport Authority - Indianapolis International Airport

indianapolis Airport AuthorityNotes to Financial StatementsDecember 31, 2010 and 20091Note 1: Nature of Organization and Summaryof Significant Accounting PoliciesThe Indianapolis Airport Authority (Authority) is a municipal corporation established January 1, 1962,under authority granted by Indiana statute (1961 Acts, Chapter 283, I.C. 1979 19-6-2, superseded byI.C. 8-22-3). The Authority was established for the general purpose of acquiring, maintaining, operatingand financing airports and landing fields in and bordering on Marion County, Indiana. In connectiontherewith, the Authority is authorized, among other things, to issue general obligation and revenuebonds and to levy taxes in accordance with the provisions of the statute. The Authority administers anairport system comprised of the Indianapolis International Airport, three general aviation reliever airports,one general aviation airport and one general aviation reliever heliport. The Authority has no stockholdersor equity holders and all revenue and other receipts must be disbursed in accordance with such statute.The Authority’s Board consists of eight members, six of which are appointed by the Mayor of the ConsolidatedCity of Indianapolis-Marion County (a unified form of government commonly referred to asUnigov), one by the Marion County Board of Commissioners and one by the Hendricks County Board ofCommissioners. Each member is appointed to a four-year term. Also, the Board has three nonvoting,advisory board members.Use of EstimatesThe preparation of financial statements in conformity with accounting principles generally accepted inthe United States of America requires management to make estimates and assumptions that affect thereported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dateof the financial statements and the reported amounts of revenues and expenses during the reportingperiod. Actual results could differ from those estimates.