IU parking lease proposal faces questions
Associated Press October 12, 2012 10:14AM
Updated: October 12, 2012 11:35PM
BLOOMINGTON — Indiana University leaders say they aren’t certain about moving ahead with a proposal to turn over parking facilities on the Bloomington and Indianapolis campuses to a private operator.
The university’s Board of Trustees agreed Thursday with hiring a financial adviser to study the possibility of a 30- or 50-year lease with a private operator that could mean a multimillion-dollar payout to the school.
The Herald-Times reports some trustees and faculty representatives spoke against the proposal, questioning whether it was a good financial move.
University administrators estimate a lease could generate a $250 million payment, but IU would first have to pay off $75 million in parking construction debt.
IU President Michael McRobbie says the proposal should be considered as the school needs to creative in finding revenue.