The Indiana Department of Transportation has officially taken over direct control of Section 5 of the I-69 project. The work, previously handled by a private sector group called I-69 Development Partners, has been fraught with delays and was initially slated to be complete last October. The Indiana Finance Authority has wrapped-up the settlement deal between I-69 Development Partners and the state and will reimburse the developer’s bond holders for $246 million.
The IFA Board and State Budget Committee have spent the last two months reviewing the financial plan to complete the transaction, which was first agreed to mid-June. The authority says it will use highway-revenue bonds to pay off the private-activity bonds, which will save interest over time due to higher bond ratings through the state versus the developer’s ratings.
Governor Eric Holcomb says "the state is officially in charge of this important project. Our focus is to complete this crucial stretch of roadway that provides a promising path to economic growth for Hoosiers and businesses in southern Indiana."
Section 5, a 21-mile stretch between Bloomington and Martinsville, is the second-to-last piece of the I-69 expansion that is ongoing between Indianapolis and Evansville.