2026 Will Be a ‘Year of Action’ as Infrastructure Momentum Holds Firm

With 2026 well underway, there’s an abundance of activity linked to extremely large infrastructure projects throughout the U.S. While federal funding support will not be as available in the future as it was in 2022-2024, funding is still flowing in 2026. That’s because much of the federal funding support of today was authorized on a multiyear clock that runs through the federal FY 2026 budget. State and local officials, sponsors and private sector investors, however, are beginning to join forces to supplement funding support for critical infrastructure projects in almost every state.

The U.S. Department of Transportation’s (USDOT) own tracking shows substantial investment this year, and many federal funding programs are continuing to move through the obligation and outlay process. That means that 2026 will not be a funding cliff year, but instead a delivery and execution year.

For infrastructure modernization, the expectation for 2026 is that there will be continued volume, with the most abundant opportunities clustering around initiatives with multiyear funding authorizations. Highways and bridges, transit capital, airports, ports and related safety and resilience programs will be hot markets. Funding through 2026 will keep large project development moving. Water and grid modernization projects will be well-funded, and there is always a chance that Congress will reauthorize infrastructure project funding in the next federal budget.

The following various types of infrastructure projects that are described in this column provide a glimpse of what to expect through the end of this year.

Washington State

A large-scale ferry terminal electrification project will soon launch in Seattle. Estimated to cost between $80 million and $120 million, the project is being designed to deliver shore-side power and charging infrastructure needed to support hybrid-electric ferry vessels.

The work will include installation of terminal charging capabilities at two dock slips. New electrical infrastructure will be built to supply power for vessels to plug in and recharge while docked. Multiple vessels will be able to be charged simultaneously, allowing ferry schedules to remain consistent during peak service periods. The project will also include a supplemental battery energy storage system to increase grid capacity and help balance loads while charging is occurring.

This effort is part of a broader, systemwide commitment to electrify 16 terminals and modernize all the Washington State Ferry locations. A request for qualifications for the project is scheduled for release in May, with construction anticipated to begin later in 2026.

Mid-Atlantic Region

Officials in Richmond, Virginia, will launch a $190 million project to replace the Mayo Bridge, a high traffic crossing that connects downtown Richmond with neighborhoods across the James River. The project is being developed in partnership with the Virginia Department of Transportation (VDOT) and will be funded through a mix of local, regional, state and federal sources, including a pending federal Better Utilizing Investments to Leverage Development (BUILD) grant.

The project will fully replace the existing bridge, a structure that is more than a century old and nearing the end of its useful life. Structural deterioration and flood vulnerability make rehabilitation impractical. The new bridge will be built slightly east of the current crossing, allowing traffic to remain in service during construction. It will be designed to prioritize safety and multimodal access.

Vehicle traffic will be reduced to one lane in each direction to create space for wide, protected bicycle lanes and a separated pedestrian walkway that meets Americans with Disabilities Act (ADA) standards. The new bridge will also provide direct access to the planned Mayo Island Park and enable connections to regional trails and transit.

VDOT anticipates using a design-build delivery method. The project is currently in preliminary design, and solicitations are expected in late 2026.

Maryland Department of Transportation (MDOT) officials have plans to expand and modernize part of the I-97 corridor in Anne Arundel County, Maryland. The project is intended to address growing congestion, improve safety and enhance long-term mobility, and it carries an estimated cost of $113.8 million.

The corridor will be widened from four to six lanes to provide three travel lanes in each direction over approximately 7 miles. Additionally, the scope will include upgrades to three major structures along the corridor.

The improvements involve the northbound bridge over MD 450, as well as both the northbound and southbound bridges over a nearby roadway. Ramp configurations will also be modified to improve traffic flow, reduce merging conflicts and enhance overall safety.

The project will call for a design-build procurement model, and the construction will be phased. The project is currently in the planning and preconstruction phase, with construction anticipated to begin in late 2027 or early 2028.

South

The North Carolina Department of Transportation has announced a $491 million highway reconstruction and capacity expansion project to rebuild the I-40/I-440/US 1/US 64 interchange in Wake County and widen Interstate 40. The combined effort will reduce traffic, enhance safety and update one of the most popular transportation routes in the area.

The scope of work includes widening I-40, fully rearranging the interchange, improving multimodal connectivity, upgrading bridges and drainage systems, and enhancing ramp operations. Major right-of-way acquisition and utility relocations are also included, reflecting the project’s size and complexity. When complete, the improvements are expected to support long-term regional growth and freight mobility while reducing travel delays in the Research Triangle area.

The project is currently in the project development and pre-procurement stage, with environmental documentation and design criteria still being finalized. The North Carolina Department of Transportation plans to start the design-build procurement process in mid-2026.

West

Along the U.S. Highway 50 corridor between Pueblo, Colorado, and the Kansas state line, a $72.5 million project will soon be launched by the Colorado Department of Transportation (CDOT). It will be designed to address safety issues along this rural freight corridor. The roadway serves both heavy truck traffic and regional travelers and the project’s objective is to increase operational effectiveness, lower crash risks and improve reliability along Colorado’s key east-west routes. The work will call for 12 new passing lanes that will be built along US 50. Additional project components will include roadway widening, shoulder improvements, upgraded signage and striping, and safety features.

Delivery for the project will be structured as a construction manager/ general contractor public-private partnership. This will allow early collaboration between CDOT and a private construction partner during the design phase. Design is expected to continue throughout the rest of 2026, with construction anticipated to start in 2027.

It is important to remember that when projects are still in the planning phases, it does not mean “no action.” It means that sponsors are gathering funding, completing environmental work, finalizing governance, and deciding which delivery model will get them to construction fastest. Contractors should treat 2026 as a year to map owners and primes, track grant-dependent schedules, and get positioned with decision-makers and stakeholders attached to the projects.

Often, the planning stage of large projects allows for the scope to be influenced while designs are still fluid. Interested parties who are working locally during the planning-stage initiatives end up with a significant competitive advantage when procurement documents are finally released.