Transportation
US DOT Awards $550M Grant for Alabama's Mobile Bay Bridge Project
More funding still needed as projected cost jumps from $2.7 billion to $3.5 billion
The $550-million grant from the federal Bridge Investment Program is among those being expedited by the Federal Highway Administration.
Image courtesy ALDOT
A $3.5-billion effort to construct a new route across Mobile Bay in Alabama has received a much-needed shot in the arm via a $550-million federal grant.
Announcing the discretionary grant from the U.S. Dept. of Transportation Bridge Investment Program, Alabama Gov. Kay Ivey says in an announcement that the grant—the largest ever for a project in Alabama—marks a significant milestone in the decades-long effort to construct a new Interstate 10 bridge and Bayway connecting the city of Mobile and the Eastern Shore of Mobile Bay, now dubbed the Mobile River Bridge and Bayway Project.
Part of the 2021 Infrastructure Investment and Jobs Act, the Bridge Investment Program is a competitive, discretionary program focusing on existing bridges to reduce the overall number of bridges in poor condition or fair condition with the risk of falling into poor condition.
In her announcement, Ivey calls the grant a “game-changer,” saying, “This is exactly how our infrastructure dollars should be spent.”
Ed Austin, chief engineer with the Alabama Dept. of Transportation (ALDOT), says the funding will allow the project to move forward, and puts the state in a position to break ground on the project as soon as next year, saying, “To say we’re grateful that our federal partners are recognizing the project’s national importance is an understatement.”
“Halleluja! It is hard to overstate how important today’s announcement is for the future of Mobile,” said Mobile Mayor Sandy Stimpson in the announcement. Stimpson, who also chairs the Mobile Metropolitan Planning Organization, added: “This funding is a monumental boost for the Mobile River Bridge and Bayway project and we are moving full steam ahead.”
ENR reported on the project in September 2022, when ALDOT added the project back to its Transportation Improvement Plan following a two-year hiatus due to debates on toll pricing and other issues.
Plans call for a six-lane, cable-stayed bridge with 215 ft of clearance of the Mobile River navigation channel, along with the seven-mile Bayway, a new causeway including two two-lane bridges, two three-lane bridges and the related reconfiguration of seven interchanges.
According to project plans, ALDOT aims to increase the capacity of I-10 to meet existing and future traffic volumes while minimizing impacts on the area's maritime industry and provide a more direct route for vehicles transporting hazardous materials across the river. Currently, those vehicles have to detour off I-10 and travel through the city’s Central Business District.
The main bridge is planned to cross the 600-ft navigation channel with a 2,550-ft main span structure served by high-level approach spans on either side, designed with a minimum 100-year service life and to withstand vessel collision.
ENR has previously reported that the state intends to seek funding from federal programs and other sources to supplement toll revenues, including an Infrastructure for Rebuilding America discretionary grant of $125 million the state has already been awarded and $250 million in state funds. ALDOT also plans to use $1.1 billion from a Federal Transportation Infrastructure Finance and Innovation Act (TIFIA) loan and $1.2 billion in senior financing, which will be repaid via tolling revenue.
The Bridge Investment Program funding comes after news in April that inflation had caused the project's cost estimates to jump roughly $800 million, from $2.7 billion to $3.5 billion, a development that led the project team to press pause for 60 days while it reviewed cost-saving measures.
During that time, according to a June update from ALDOT, local authorities, including the Eastern Shore and Mobile MPOs, said they had visited representatives in Washington, D.C., to garner support for federal funding while looking for cost-saving measures with ALDOT’s design-build teams.
From those meetings, the update says, US DOT requested ALDOT to begin the application process for the TIFIA loan, for which the state transportation agency plans to submit a request for the maximum allowable amount of 49% of the project cost. Austin says in the announcement that ALDOT is finalizing its TIFIA loan process.
“We are committed to this project and will continue to do everything possible to ensure its success,” says the joint statement from ALDOT and the two regional MPOs. “Project costs, roughly $3 to $3.5 billion, are nearly double ALDOT’s annual budget.”
The statement adds that aside from the inflation-driven gap in funding, the project is essentially shovel-ready, with all rights of way having been acquired, necessary federal approvals secured and the federal loan process initiated.
“At the end of the day, we need the federal government to continue working with us in recognizing the national importance of this project and join us in making it a reality,” the statement says.
