Day-by-day scholarly publications are becoming costlier and unmanageable for any library or information centers to collect them all. There are other factors also affecting access to scholarly publications. To overcome these barriers, and to make access easier and barrier free, e-print repositories are demand of time. There are lots of issues affecting setup of an institutional e-print repository. But most important part of them is its policies. A well thought policy could make it successful and acceptable to all concerned. Policies and issues relating to institutional repositories are discussed with special references to KU; and recommendations for setting up an e-print repository are made. Some other key factors are also controlling setup of institutional repositories. Advocacy methods are discussed in brief. Some problems relating to setup-like legal issues, role of University/parent body, metadata issues, control over archives, selection criteria, administration, submissions and impact on staffs etc. are explained in brief. An attempt has been made to formulate a model guideline for University of Kalyani to set up an institutional e-print repository. Some possible solutions for problems are also indicated. Technical aspects including LAN and software selections are also dealt with.