Program Updates

Cost Estimate & Funding

The IBR Program updated its cost estimate for the five-mile corridor through a process that considered current prices of materials and labor, inflation, risks and future economic conditions that could influence the cost. 

A 3d rendering showing a shared use path as it curves down and away from the a proposed bridge replacement

2026 Updated Cost Estimate

The estimated cost to build the five-mile corridor is $13.5 billion to $15.2 billion with a likely cost of $14.4 billion. The updated cost estimate reflects national trends of significant cost increases driven by inflation and market conditions leading to higher construction bids.

The estimate represents a 45% to 85% probability that costs will fall within that range. For financial planning, the Program will use $14.4 billion, as there is a 70% chance the cost is that number or lower.

- Base cost: $7.8 billion (54%)
- Inflation and risk: $6.6 billion (45%)
  • Risks are details not yet known or that could change, such as: schedule delay, market conditions, materials costs, tariffs and workforce trends, design changes, and permitting. 
  • Inflation that considers construction timelines.

With approximately $5.5 billion in committed funding, the Program is advancing a core set of projects that ensure we can move forward with building a safer replacement bridge as a first step.

What does the Cost Estimate include?

The Modified Locally Preferred Alternative (LPA) provides a basis for the 2026 cost estimate and includes:

  • Replacement bridges over the Columbia River and replacement of the North Portland Harbor Bridge
  • Three through lanes and one auxiliary lane southbound and northbound
  • Extension of light rail from Portland to Vancouver, with the addition of three new station locations
  • Rebuilt interchanges at Marine Drive, Hayden Island, SR 14, Mill Plain Boulevard, Fourth Plain Boulevard and SR 500
  • A bridge for local traffic connecting Hayden Island to Marine Drive
  • Improvements for people who walk, bike and roll

For more information, visit the Modified LPA page.

Why did costs increase from 2022?

Risk impacts

Over 400 risks identified for the Program — the top risks include uncertainty around schedule delays and market conditions such as competition and pricing.

Increased probability costs

The 2022 estimate used probability cost in the 60th percentile. The 2026 estimate uses a 70th percentile probability cost in alignment with Federal Highway Administration requirements.

Schedule extension impacts

Program completion was extended from 2034 to 2045 following a 2-year delay in the federal environmental process and based on updated construction sequencing requirements. This extended timeline impacts:

  • Escalation of overall cost to complete for engineering and construction.
  • Additional years of management and delivery costs.

Escalation impacts

Construction costs increased 58% based on escalating materials, labor and equipment prices since 2022, consistent with industry trends.

WSDOT inflation forecasts were replaced with an IBR-specific inflation forecast, resulting in a higher Year-of-Expenditure (YOE) Program estimates.

Scope and quantity updates increased base cost

The 2022 estimate was based largely on quantities derived from the previous Columbia River Crossing Program. The 2026 estimate used detailed quantities based on updated conceptual design plans and constructability reviews.

Building with $5.5 Billion in Available Funding 

Major infrastructure programs are often constructed in phases over time to align with available funding and workforce, and to minimize disruption to the local communities.

With the updated cost estimate, the Program has identified a core set of projects to advance with available funding while working toward building the full five-mile program:

  • Replacement Columbia River Bridge
  • Bridge connections to I-5
  • Extension of light rail to Waterfront Station in Vancouver
  • Removal of existing bridge

The cost estimate for this core set of projects is $7.65 billion, leaving a funding gap of $1.2 to $2.2 billion depending on the availability of funding from the Federal Transit Administration Capital Investment Grant.

Next Steps to Construction

With the $5.5 billion in committed funding, the Program can continue moving forward toward construction of the replacement bridges and connections to I-5 while the remaining funding is secured to complete construction of the core set of projects. The Program continues to coordinate closely with federal partners at the Federal Highway Administration and Federal Transit Administration to obtain an Amended Record of Decision (ROD) this year, which provides federal approval to move to construction. Once the ROD is received, the process to hire a Columbia River bridge contractor can start in 2026, with design and cost negotiations occurring in 2027. Bridge construction activities would begin in 2028.

Closing the Funding Gap

The Program continues to evaluate opportunities for cost savings, including design refinements, value engineering (identifying lower cost approaches without compromising function), risk management, as well as potential contracting and scheduling efficiencies. Work is also ongoing to pursue $1 billion from the FTA Capital Investment Grant program. Other future opportunities could include federal grant options such as INFRA and BUILD, and working with both states to consider other cost savings, funding, and financing opportunities.

The Program will continue to coordinate with partners as the Program works to refine construction sequencing and funding strategies. Future phases of work for the five-mile corridor will be sequenced to align with available funding.

Available Funding

The IBR Program has approximately $5.5 billion in committed funding.

Funding Source

Amount

USDOT National Infrastructure Project Assistance (Mega) Program Grant

$600M

FHWA Bridge Investment Program (BIP) Large Bridge Grant

$1.5B

Move Ahead Washington Funding

$1B

Oregon HB 5005 State Funding

$1B

Existing State Planning Funding

$100M

Toll Funding Placeholder Estimate º

$1.25B

Committed Funding Available for Core Projects

$5.45B

FTA Capital Investment Grant (CIG) Program ¹

$1B

Committed and Prospective Funding Available for Core Projects

$6.45B

Connecting Washington Funding ²

$118M

USDOT Reconnecting Communities Pilot (RCP) Program ³

$30M

All Committed and Prospective Funding Available to the IBR Program

$6.6B

Footnotes:

Funding amounts include historical expenditures.

º Placeholder toll funding amount based on prior analysis; The financial plan is exploring the potential for additional toll funding.

¹ This competitive grant funding requires a light rail transit investment and will require some local funds to be converted to transit eligibility for match.

² This Washington State funding is currently budgeted for the Mill Plain / I-5 interchange only.

³ This announced award of grant funding requires investment in the Evergreen Boulevard Community Connector Lid over I-5.

The Program will update its financial plan after a Progressive Design-Build contractor is hired.

 

 

For More Information

Program Costs and Funding Factsheet
Cost Estimate Validation Process (CEVP) Report
Core Projects Factsheet
Step 1: Bridge and Connections + Bridge Removal Factsheet

 

How many jobs will be supported by the construction of IBR Program Investments?  

For every $1 billion invested, our region could expect 5,500 direct jobs and 10,900 indirect jobs as a result*. Earnings generated by new jobs will infuse billions of dollars into our local economy in the form of rent payments, utilities, and all the other ways that salaries and earnings flow through our community.

The Program is attracting federal dollars to the region that would be spent elsewhere if not for this project. The billions of dollars invested in the IBR Program will positively impact our local economy through jobs and spending. This includes: 

  • Direct Impacts: Construction of a replacement bridge will generate tens of thousands of jobs across many industries, such as engineers and construction workers, as well as suppliers of materials.

  • Indirect Impacts: Indirect jobs are those that exist to produce the goods and services needed for the work being completed by those with direct jobs.

  • Tertiary Impacts: The economic impact multiplies when a job at a construction site then supports jobs in local restaurants, retail stores, and other places workers spend their wages.

*Economic Policy Institute employment multipliers 2019.

IBR Economic Return includes direct impacts, indirect impacts and tertiary impacts

How will Tolling Details be Determined? 

Tolling for the IBR program is anticipated to include variable priced tolling with the goal of funding construction and facility operations and maintenance. Tolling will also improve reliability when travelers skip optional trips, choose other routes, modes of travel and time of travel.

Toll rates and policies for the IBR Program will be jointly set by the Oregon and Washington Transportation Commissions to support the toll funding amount identified in the program’s financial plan. In early 2024, both commissions stood up an I-5 bridge bi-state tolling subcommittee. The subcommittee is made up of two commissioners from each state and will jointly recommend toll rates and policies, including potential discounts, to each state’s respective full Commissions.
Also, in late 2024, the Oregon and Washington Transportation Commissions approved four toll rate scenarios to be studied in the next round of tolling analysis (referred to as a level 3 ‘investment grade’ toll traffic and revenue analysis) to confirm we can meet funding targets:

  • Toll rates ranging from $1.55 to $4.70 per trip
  • Truck toll rate multipliers ranging from 1.5x to 4x 
  • Low-income toll program with a 50% discount for registered individuals at or below the 200% federal poverty level

These scenarios do not identify final toll rates or policies but moves them forward for additional analysis. The commissions are anticipated to adopt toll rates about 8 months before tolling is estimated to begin on the facility. The earliest tolling is currently anticipated to start on the Interstate Bridge is in 2028.

To submit written public comment, please email info@bistatesubcommittee.org

You can learn more about the bi-state toll subcommittee, find meeting materials and view videos of past meetings on each commission’s website.  
Oregon Transportation Commission toll subcommittee
Washington State Transportation Commission toll subcommittee

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