An agreement is now in place for the State of Indiana to take control of the troublesome Section Five of the I-69 extension in southern Indiana.
Indiana Governor Eric Holcomb announced Monday afternoon that the state has officially taken back control of the Section Five construction project from Bloomington to Martinsville.
According to a release, the agreement terminates the contract between I-69 Development Partners and the state. It pays the developer’s bond holders $246 million, returning direct control of the long-delayed section of I-69 to the Indiana Department of Transportation.
Indiana Finance Authority Director Dan Huge said his agency will use highway-revenue bonds to retire the developer’s private activity bonds. The highway revenue bonds carry a lower interest rate, which saves the state money.
The 21-mile projects is expected to be completed a year from now, in August of 2018.