‘Once in a generation’ Sacramento bridge bids $100M+ over budget. Now what?
The 15-year process to build a new bridge linking Sacramento to West Sacramento has a new wrinkle: The companies that hope to build the steel marvel said it will cost at least $136 million more than expected.
The structure would replace the automotive level of the 114-year-old I Street Bridge and connect Sacramento’s Railyards to West Sacramento. The city expected construction to cost $260 million, but contractors submitted bids that were up to $250 million higher, according to city documents.
Builders were scheduled to dive in this spring, with the contract starting this week. But the unexpected bids have upended the projected timeline. Construction is now anticipated to begin next year as staff will likely recommend the City Council reject these bids, said city spokesperson Gabby Miller.
Officials dreamed of a futuristic span serving people crossing from Sacramento’s burgeoning Railyards development and beautifying a riverfront. Pedestrians and bicyclists could traverse the connector, which would feature a street-level roadbed that would be raised with 157-foot towers in a manner similar to the Tower Bridge.
Local leaders have long said building out property along the Sacramento River could spur economic development, and even convince a MLB expansion team to play in West Sacramento.
“The I Street Bridge Replacement Project represents a significant, once-in-a-generation public infrastructure investment,” according to the city of Sacramento.
The city of Sacramento posted on Dec. 19 its request for project bids, which where due April 8. Three companies submitted bids:
• Long Beach-based Traylor Bros. Inc. for $516,936,258.45.
• Pleasanton-based California Engineering Contractors Inc. for $477,331,908.45.
• Concord-based Flatiron Dragados Constructors Inc. for $398,514,792.85.
If the council rejects the firms’ offers, city staff can then engage with contractors to better understand the market conditions and explore other avenues for funding, Miller wrote in an email. Infrastructure projects across the country are similarly squeezed by cost pressures, she wrote.
The connector uses 16.8 million pounds of steel, according to the city of Sacramento.
The price of steel is rising again this year, after peaking an all-time high in November 2021, according to the Federal Reserve Bank of St. Louis. President Donald Trump has placed tariffs on steel, and the Iran War has increased the volatility of steel prices, according to the British Stainless Steel Association.
The lanes of the original, double-deck I Street Bridge, which is owned by Union Pacific, are too narrow for buses and bikes, according to the city. Trains will continue to run on the lower level, and officials plan to keep the upper deck for pedestrians and bicyclists.
Both Sacramento and West Sacramento pooled their money to finance the I Street Bridge replacement. On Tuesday, the City Council voted to accept $25 million in funds from Measure A, Sacramento County’s transportation tax, from the Sacramento Transportation Agency.
West Sacramento earmarked $21 million from its financing district last year to help build the new steel structure.
The complete cost for the bridge, which includes the construction, management and design costs, is closer to $360 million, with $250 million provided by Caltrans. Grants will help supplement the project.
Through the financing woes, Miller remained optimistic.
“Our focus is on getting this right, maintaining momentum, and delivering a project that serves Sacramento for generations to come,” she wrote.
This story was originally published April 15, 2026 at 4:45 PM.
