School consolidation is an issue, but not one that I think will change too many things. Shelby county already provides $3 to the city school system for every $1 it spends on schools. I don't know why that provision is there, but it is. Consolidation will simply put the management of the two systems under one group of people. That could be bad, but I don't think it will necessarily cost more in taxes than we already provide for the city schools. I am not in favor of consolidation, because like a merger one side will probably do better than the other, and my guess is that the county school system would be the one to suffer. Most of the schools in Collierville are plenty crowded as it is, and there is a lot of local involvement at those schools. I don't think (and hope) that much would change because the local involvement will still be there.
Of course there is always the option of private schools, which a lot of folks use anyway.
We've lived in Collierville for almost 4 years and my wife and kids love the place. I'm not a big fan of Memphis proper (or any other big city for that matter, I'd much rather live out in the sticks) but it is nice being close enough to stand reserve comfortably without fear of missing a check-in because you have to do the speed of sound to get into work on time. 25 minutes max to the main parking lot in any normal traffic scenario (2 pm or 2 am) and maybe 35 minutes in morning rush hour traffic if you have to go in at "normal" travel times.
I would give all the areas around the city a good look, just like the lines at FedEx, there is almost certainly something for everybody. Most folks who live in Fayette county that I know are pretty happy with their schools as well, so don't discount any area based on a couple of rumors, go out there and take a look around and see which area you like best.
Good luck.
FJ