The state reached an agreement last month with private developer I-69 Development Partners and its bondholders to take over construction of Section 5.

The action finalizes an agreement the state announced two weeks ago. Under the arrangement, the IFA will reimburse the developer's bondholders for $246 million and the Indiana Department of Transportation will take the project over by the end of July.

INDOT will assume primary control of Section 5 construction, between Bloomington and Martinsville, by the end of July.

Bloomington's mayor says at least one subcontractor walked off the job Friday because of an ongoing pay dispute.

Indiana Gov. Mike Pence's office says the state is holding a private developer accountable following a work stoppage on the Interstate 69 extension project.