The Indiana Finance Authority discussed the latest developments with Section 5 during its board meeting.
The state hoped to reach a preliminary agreement to take over construction of I-69 from Bloomington to Martinsville by this week, but its offer has yet to be accepted.
The Indiana Finance Authority wants to buy out the bonds for the project, which is currently being managed by I-69 Development Partners.
IFA Public Finance Director Dan Huge gave a brief update on the situation at the IFA’s Thursday board meeting.
“We are still in active negotiations with both those parties and have a few items we still need to work out,” Huge says. “I hope to have a more detailed update to the board as soon as possible.”
Last week Standard and Poor’s downgraded the bonds being used to fund the project, which means default is inevitable if the state doesn’t take over.
Construction on Section 5 won’t wrap up until at least August of next year. That’s nearly two years behind schedule.
