Yukari Miyamae, 61, was arrested at Sky Harbor Airport in Phoenix after she grabbed a TSA officer's breast with both hands, according to police.
Miyamae was arrested on suspicion of sexual abuse and released Friday on her own recognizance.
Jerry Cobb, a spokesman for the Maricopa County attorney's office, said county prosecutors concluded the facts of the case don't rise to the level of a felony.
The case against Miyamae now goes to Phoenix's city prosecutor's office, which handles all misdemeanors in the city. That office said it hasn't received the case and hasn't decided whether to charge Miyamae.
The woman has become a hero of sorts for many frustrated travelers who are fed up with Transportation Security Administration procedures. There's even a Facebook page in her honor.
The Associated Press contributed to this report.