Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-05-26
BY PHIL YEAGER


Indiana has a notion that 1t can
get the schools 1t needs without any
particular help from Uncle Sam.
At least the Hoosiers have come
up with an alternative to the Fed
eral aid" concept-an alternative
which, If it works, might set a pat
tern other States will want to fol-
low.
A lot Of ingredients are mixed
up in the Indiana formula, but the
major ones are:
. A system of private financing
designed to get around the sluggish
bond market and avoid the need
for immediate big cash outlays.
. A slashing Of the legal red tape
which hamstrings many States in
contracting for new schools.
. Unique teamwork between de-
signers and builders in providing.
at low cost, the flexible. modern
schools demanded by the future.
Legislation begun by the Indiana
General Assembly in 1855 and COM
pleted at the current session q few
weeks ago laid the groundwork for
the Indiana Plan"
Under the old system. locality
wanting a new school first acquired
the necessary site. Then an archi-
tect drew plans for the school on
speculation. If plans were approved
by the school board, construction
bids were asked. If and when bids
were submitted within the desired
financial limits, bonds were issued
to finance the building. II the bonds
sold, construction began.
Many States today operate In
that fashion.
A Pockoss Deol
Under the new Indiana plan, .
district wanting q new school adj
vertises its intention to build with
a description Of what 1t wants.
Bidders submit design and q con-
struction bid combined, which cuts
fees as well as costly construction
corners. A single contract ID let
with a company which finances
and builds the school. even provid-
Ing the site II necessary. Compo-
nent parts Of the school are made.
and sometimes partially assembled.
at the builders plant and shipped
to the site where the school Is
erected.
Construction time under the new
system is likely to be half. or even
a third. that Of conventional sched-
ules. When the building Is finished
1t is leased by the builder TO the
school board for q period Of years.
at the end Of which time title
passes to the appropriate school
authority.
Here Is what the State Assembly
did to get its plan set UP.
To cut school costs without sac
rificing quality. it passed an of
site construction" act which per-
mits the acquisition. assembly and
construction Of schools away from
the eventual site. The act takes adj
vantage Of the economies allowed
by prefabrication. but gets around
the infiexibility Of function often
associated with prefabrication by
providing for use Of component
parts" which may be assembled
according to need. location. size.
etc. The parts can be made cheaply
but meshed with any plans the
school district may have In mind.
The law also authorizes the ac-
QUESTION Of plans. parts and con-
struction in q single package"
contract.
To ease financing problems. the
Assembly passed q "profit-and-
lease" act which authorizes private
financing Of new schools by per-
hitting school boards to lease sites
and buildings through private cor
porations- for profit.
Under this law. school boards con-
tract with private groups to pro-
vide the site and school and. at
the same time. arrange for their
long-term lease. A fair and
reasonable" rental is allowed such
groups. the rental being paid by
local taxes. Leases may run any,
where up TO so years, but when they
expire the school becomes the
property Of the community. School
boards have the option Of purchas-
ing the facilities outright at any