CRTPO Board Reverses I-77 South Express Lanes P3 Cancellation

In a dramatic reversal of its reversal, the board of the Charlotte Regional Transportation Planning Organization (CRTPO) voted to re-approve the I-77 South Express Lanes P3 procurement in late September. The vote came just months after the CRTPO board voted to cancel the very same project in May, and just a few weeks before a deadline set by a new state law. That law would have required any municipalities that voted to cancel the I-77 South project to repay the state the millions of dollars spent planning and procuring it.

The very same CRTPO board originally voted to approve the I-77 South P3 back in October 2024.

The CRTPO is the Metropolitan Planning Organization (MPO) for the Charlotte region. Now that it has re-approved the I-77 South project, the North Carolina Department of Transportation (NCDOT) can resume its procurement, which was underway before the cancellation vote. NCDOT had four shortlisted bid teams for the project and was planning to release an RFP for the procurement this summer, before delaying things to allow more time for public consultation when opposition to the project emerged earlier this year. NCDOT hasn’t yet stated when the procurement will resume now that it is un-cancelled.

The high-pressure vote to un-cancel the project came after weeks of negotiations between the communities that cancelled the project, including and most importantly the Charlotte city council, and NCDOT. After the CRTPO board voted to cancel the project in May, the state legislature passed a budget bill that would require the municipalities that voted to cancel the project to reimburse the state for NCDOT’s expenses planning and procuring the project to date. The legislation would have required those municipalities that voted to cancel the project to reimburse the state according to their vote share, but set a deadline of early October for those members to reconsider their vote. The legislation will also apply to future state transportation projects cancelled via unilateral actions by an MPO after predevelopment activities have begun.

Immediately after the Charlotte city council voted to re-approve the project in September, NCDOT and Charlotte approved a new memorandum of agreement for a community benefits package for the city, to be funded by the I-77 South project. The preliminary community benefits plan included in the agreement states that the project will “provide a minimum of $300 million” in community benefits, and identifies potential investments such as $150 million for cap and stitch work, three $10 million investments in community facilities to address food insecurity, and $50 million in funding for a new regional recreation center.

The I-77 South Express Lanes project will develop two barrier-separated express lanes in each direction along approximately 8.4 miles of I-77 through Charlotte. The new express lanes will run from the South Carolina border on the south side of the city all the way to the existing I-77 North express lanes in the north. The I-77 North express lanes were developed under a similar P3 concession and have been in operation since 2019.

The I-77 South Express Lanes project has been part of the regional transportation plans since at least 2014, though NCDOT and CRTPO opted to pursue a P3 procurement to deliver the project more recently. In 2022, the state received an unsolicited proposal to develop the project as a P3 from I-77 Mobility Partners, the concessionaire currently operating the I-77 North Express Lanes project. I-77 Mobility Partners is led by Cintra. NCDOT studied that proposal and delivery options for the project for more than a year, and would go on to reject the proposal in 2023 but recommend a P3 procurement to deliver the project in 2024. The CRTPO board voted to approve the project in October 2024, and NCDOT shortlisted bid teams earlier this year.

Opposition to the I-77 South project was limited while NCDOT ran a public consultation late last year. However, a concentrated opposition movement earlier this year, after the state shortlisted bid teams. Project opponents protested public events and council meetings to demonstrate against the project. The protests caused a rapid shift in local political support for the project, first in the Charlotte city council and then at the CRTPO board, which then reversed its approval of the project in May.

The four bid teams that were originally shortlisted for the I-77 South project were:

Carolina Connectors, led by ACS Infrastructure, Kiewit, and Meridiam. The lead contractor for the team is a joint venture between Flatiron Dragados and Kiewit.

I-77 Cross-State Connectors, led by Plenary, Sacyr, and Shikun & Binui. The lead contractor for the team is a joint venture between Sacyr and Shikun & Binui.

Queen City Infrastructure Partners, led by Acciona, ABP, and Balfour Beatty. The lead contractor for the team is Acciona Construction.

77SouthLink, led by Cintra, John Laing, Star America, and Aberdeen. The lead contractor for the team is a joint venture between Ferrovial and Webber.

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