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The Illiana Corridor has been declared eligible to apply for a low-cost federal loan by the Department of Transportation.
If the loan is approved, it would be provided through the Transportation Infrastructure Finance and Innovation Act (TIFIA) at a reduced interest rate, representing a potential savings of as much as 20 percent on the project.
The Illiana Corridor, which is divided in the Illinois segment and the Indiana segment, would be benefitted from this national prohram. The Illinois Department of Transportation (IDOT) and the Indiana Finance Authority (IFA) are approved to negotiate with the U.S. DOT on the terms of the loan. Both states, in turn, would make the financing available to the shortlisted developer teams that are proposing to build and operate the proposed expressway.
Illinois Transportation Secretary Ann L. Schneider said:
"Today's announcement will help to ensure that Illinois and Indiana can get the best deal on Illiana Corridor. Receiving the green light to proceed with an application for TIFIA funding is just more proof that the widespread support for our innovative public-private partnership continues to build."
Indiana Public Finance Director Kendra York, said:
"The Illiana Corridor project is creditworthy and a good candidate for TIFIA because it improves interstate commerce. Today's formal invitation is an important step in securing the lowest cost financing that will result in lower pricing from the private developer teams for both states."
The Illiana Corridor is a proposed 47-mile access controlled highway that extends from I-55 in Illinois on the west to I-65 in Indiana on the east. The corridor is located in Will County in Illinois and Lake County in Indiana. IDOT and the IFA/INDOT plan to begin construction on the Illiana in the spring of 2015. When built, the Illiana Corridor will reduce truck traffic on local roads, improving safety, travel times and access to jobs.