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Not Much Change Expected As Toll Road Switches Hands

By Network Indiana

Posted June 1, 2015

Legislators in both parties expect the status quo on the Indiana Toll Road, despite a change in operators last week -- though they disagree on whether that‘s good or bad.

Australia‘s IFM Investors took control of the road on Thursday, two months after paying ITR Concession Company nearly $6 billion for the remaining 66 years of the toll road lease.

ITR emerged from bankruptcy last year, but had come under scrutiny from the state over deteriorating conditions at the road‘s travel plazas.

IFM says it plans to spend a quarter-billion dollars over the next five years on upgrades to the plazas, bridges and pavement.

House Speaker Brian Bosma says standards built into the lease will ensure IFM meets service standards.

"We have contractual provisions and protections regardless of who the vendor is," Bosma says.

But Minority Leader Scott Pelath calls the sale a "missed opportunity."

"We're going to see a continuance of a 75-year lease, which is already a thing of the past and of which the money is already substantially spent," Pelath says.

He argues a bid from Lake and LaPorte Counties to return the road to government operation would have meant the tolls paid along the road could be plowed back into economic development.

Indiana leased the road to a Spanish-Australian consortium in 2006 for $3.8 billion, with then-Governor Mitch Daniels using the money to finance the 10-year "Major Moves" road construction program.

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