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Grant will upgrade city sewer, support Catalent expansion

By Ethan Sandweiss

Posted February 2, 2023

A sign reading 'Indiana Workforce Development.'

The money is available through the Regional Economic Acceleration and Development Initiative program - a state program launched by Gov. Eric Holcomb meant to increase economic opportunity in Indiana. (Brandon Smith/IPB News)

Bloomington will receive $1.9 million from the state to upgrade its sewer system, which the mayor’s office said will increase manufacturing opportunities such as expansion at Catalent Pharma Solutions.  

According to a city press release, replacing 1,570 feet of clay pipe will improve flow from South Patterson Drive along an arterial corridor. 

That project could help create more jobs, said Alex Crowley, city Director of Economic and Sustainable Development. 

“This is a way to anticipate and keep pace with that growth, keep our infrastructure where it needs to be to support it,” Crowley said. “And to do so with state funding is sort of the best scenario for us.” 

The money is available through the Regional Economic Acceleration and Development Initiative (READI) program - a state program launched by Gov. Eric Holcomb meant to increase economic opportunity in Indiana. The program’s first $500 million came from the Biden administration’s American Rescue Plan, although Holcomb said he is hopeful state lawmakers will contribute more funds this legislative session. 

Read More: Indiana's READI program starts 

The big winner from this upgrade will be Catalent, a pharmaceutical company that is Bloomington’s second largest employer, after IU. The city has invested big in Catalent’s expansion, providing it a 90 percent abatement on property taxes in anticipation of a $350 million investment and 1,000 new jobs. 

But Catalent laid off 400 workers last November after a year of rapid hiring. Crowley said that despite last year’s layoffs, the company is committed to those growth targets. 

“They're very much on a growth trajectory,” Crowley said. “And what they announced was for me a bump in the road, it's not a redirection of their commitment to the facility.” 

The sewer investment was approved by the Indiana Uplands READI Steering Committee and the Indiana Economic Development Corporation. 