When construction started on the massive project to replace Interstate 81 in Syracuse, the cost was pegged at $2.25 billion. But the most recent contract awarded clocks in at $2.1 billion, which means the original estimate is way below what the revamping of the highway system will ultimately cost.
Back when the project's record of decision was made final, a 2021 estimate came in at that $2.25 billion number. Betsey Parmley, I-81 project director for the state Department of Transportation, said a lot has changed in the last five years.
"There's different indices and metrics and the construction market has seen a 60-70% increase since 2021," Parmley said. "So, you know, we're talking about refining the design, that inflation and escalation, and then everything else that's happening in our nation. You know, it's the gas prices, it's tariffs, things like that, that really play into the increased costs."
Looking specifically at refining the design has boosted costs.
"Refining our designs, understanding how we're going to build this very complex infrastructure while we're maintaining traffic, understanding some of the impacts underground, all the different type of retaining walls we have to build," she said. "So there's that refinement of design that definitely increase the cost."
Parmley won’t put a number on the final cost, but points out the project is almost reaching its midpoint and the cost is already over $3 billion. Sections that have been finished include the northern and southern 481 interchanges.
But the biggest portion of the project is yet to come. I-690 where it intersects 81 will be completely rebuilt, with on and off ramps to 81 removed and new interchanges built. 25 streets in Syracuse will also be rebuilt as part of this phase. The entire project is expected to be completed in 2031.