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Council adopts build‑operate‑transfer procurement option for public‑private projects

2739401 · March 21, 2025
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Summary

The Common Council adopted an ordinance allowing use of a build‑operate‑transfer (BOT) procurement method under Indiana code IC 5‑23 for public‑private agreements, approving second and third reading and final passage March 18 by unanimous vote.

The Michigan City Common Council voted 9‑0 March 18 to adopt an ordinance adding a procurement method commonly known as a build‑operate‑transfer (BOT) public‑private agreement to the municipal code.

Sponsor Councilwoman Moldenhauer sought second and third readings in the same meeting, noting prior presentations from a consultant had answered council questions. After no public comment, the council approved the ordinance on third reading.

The measure adds section 2‑346 to the code to permit procurement under the statutory sequence set out in IC 5‑23 for BOT transactions. Supporters said the change will give the city an additional tool to structure public‑private partnerships and finance projects; opponents did not speak during the meeting.

Councilman Beatrice moved final approval and Councilwoman Lee seconded; the ordinance passed unanimously.

Council members said they would monitor individual projects brought forward under the new procurement option and expect to review each deal’s terms, financial commitments and legal protections in future agenda items.