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Bridge Money On Pause?

By Emma Dill, posted Apr 9, 2025
The Cape Fear Memorial Bridge in Wilmington could cost more than $1 billion to replace, but a major grant for the project was in limbo as of the end of March. (Photo by Malcom Little)
The Cape Fear Memorial Bridge replacement is one of more than a dozen infrastructure projects across North Carolina that’s seen a pause in federal grant funding.

The Trump Administration issued an executive order in late February that resulted in a pause on discretionary grants from the U.S. Department of Transportation, including a $242 million grant for the replacement of the aging Cape Fear Memorial Bridge that was announced last July.

The pause aims to allow a review of each grant to ensure it aligns with the new administration’s goals.

According to the N.C. Department of Transportation, the bridge replacement is the only project in New Hanover, Brunswick and Pender counties expected to receive discretionary grant funding. A month after the initial executive order, grant funding for the bridge remains in apparent limbo.

“At this time, we do not know when the grant for (Cape Fear Memorial Bridge) will be able to move forward, and we do not know what impact the review process may have on projects,” an NCDOT spokesperson wrote to the Business Journal.

Despite the frozen federal grant funds, regional Congressional representatives are signaling their confidence that the money will be unfrozen pending review.

“The administration is reviewing all previously approved grants, including those going back several administrations, to root out waste, fraud and abuse of taxpayer dollars,” Rep. David Rouzer, R-N.C., wrote in a statement to the Business Journal.

“I have every confidence the grant funding previously approved for the Cape Fear Memorial Bridge will be released once their review is complete,” he added. “Replacement of the bridge is an important project, and I will continue to work with local, state and federal officials to see it to its completion.”

Sen. Thom Tillis, R-N.C., said he helped secure the initial $242 million grant as part of the Bipartisan Infrastructure Law and joined in announcing the project’s funding last summer.

He wrote in a statement that “a temporary review of the award should not impact the bridge’s progress in any meaningful way.”

Local leaders have pushed for years to replace the aging bridge built in 1969. Transportation officials consider the 3,000-foot-long steel vertical lift bridge, which links New Hanover and Brunswick counties, functionally obsolete – meaning its design is not up to current standards. More than 60,000 vehicles cross the bridge each day, and by 2045, it’s expected to carry an estimated 81,900 vehicles daily.

Last year’s federal grant, part of more than $5 billion in Large Bridge Project awards nationwide, gave the replacement funding momentum. NCDOT has earmarked $85 million for the project as part of its draft 2026-35 State Transportation Improvement Program (STIP), which is set to be adopted later this year.

The project earmarked in the STIP has the potential for a toll. Early last year, the Wilmington Urban Area Metropolitan Planning Organization (WMPO) board voted to ask state leaders to explore a tolled option as they worked to find funding for the bridge replacement. The option for a toll – which some local leaders and residents oppose – helped the project rank higher and gain potential NCDOT funding.

As for the large chunk of federal money, Landon Zimmer, a member of the WMPO and N.C. Board of Transportation, said that while there haven’t been any official updates on the grant’s status, local leaders received assurances of the “strong continued commitment” to funding the project on recent trips to Washington, D.C.

The U.S. Department of Transportation is currently evaluating grants, and North Carolina transportation officials say they expect to receive additional communication in the coming months. So far, they’ve been notified that funding for at least two discretionary grant-funded projects in the state can move forward.

In a recent presentation to the WMPO, Katie Economou, legislative director for the Association of Metropolitan Planning Organizations (AMPO), walked local leaders through recent changes at the federal level. AMPO helps support the interests and needs of metropolitan planning organizations nationwide.

“There’s been tons of shifts from the administration, Congress and the courts,” Economou said. “Recent executive orders and changes at the U.S. Department of Transportation are reshaping transportation policy and funding, and because federal actions ripple down to regions and local communities, staying informed is absolutely more important than ever.”

Based on the group’s understanding, the grant review process consists of two steps, Economou said. The first step involves flagging any potential conflicts with the administration’s executive orders. Recent actions, for example, have involved pulling back on diversity, equity and inclusion initiatives and climate-related policy, Economou explained.

During the second step, officials take a closer look at each project. U.S. Department of Transportation officials and legal counsel then work together to decide whether to continue, modify or cancel a project, according to Economou.

Federal transportation officials are gearing up to issue additional guidance on implementing the administration’s executive orders, Economou said, including around the review of discretionary grants like the one for the Cape Fear Memorial Bridge replacement.

AMPO is encouraging local groups to reach out to federal partners about the status of their grants, Economou said, and some MPOs are beginning to develop contingency plans to prepare for potential funding delays.

All the while, the estimated price tag of the bridge replacement has climbed. Last summer, the estimated cost was $485 million – a figure that’s increased to $1.1 billion for the tallest option being considered, according to transportation officials.

Impacts from inflation and refined design details are the primary causes of the cost increase. The refined design details increase the “quantities of material for almost all aspects of construction,” according to an NCDOT spokesperson.

“Prices will fluctuate based on national markets, labor demands and raw material supply chains. These have always impacted our estimates, and we update accordingly,” the spokesperson wrote in a statement. “Our engineers calculate the quantities based on the design parameters and use unit costs with varying levels of contingency prices. As the design details improve and move closer to becoming finalized, our contingency reduces.”

Last fall, NCDOT presented three replacement options during a public input period.

The options were:
  • Alternative A, a movable span bridge with a 65-foot vertical clearance when closed and 135-foot clearance when open;
  • Alternative B, a fixed span bridge with 135 feet of vertical clearance; and
  • Alternative C, a fixed span bridge with a 100-foot vertical clearance, plus or minus 35 feet.
The bridge options have sparked concerns among some downtown residents about the impact the 135-foot alternative could have on the historic neighborhoods around downtown Wilmington. Others, including Greater Wilmington Chamber of Commerce President and CEO Natalie English, have voiced support for the 135-foot option, saying anything shorter would be “short-sighted” and not in the interest of future growth.

NCDOT officials say they expect the U.S. Coast Guard and the U.S. Army Corps of Engineers to determine the minimum clearance of the replacement this spring or early summer. Officials are on track to finish environmental documents for the project in 2026, but a construction start date is still to be determined.

It’s unclear how gaps in the bridge’s funding will be filled, but NCDOT officials say they’ll continue working with WMPO partners to “move the project forward” as they work on design options for the replacement.

“While rising costs are a reality, we must remain vigilant regarding all projects across the state,” Zimmer wrote in an email to the Business Journal. “We are all working together to continue to creatively problem solve and deliver a bridge that will meet the needs of our growing region and its bright economic future.

“Our goal is to optimize the funding opportunities from Congress and the North Carolina General Assembly,” he added, “and continue to show why an investment in this bridge is the most effective and efficient use of taxpayer dollars that will pay dividends to our region for years to come.”
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