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Maryland Axes Kiewit Contract, Costs Jump to $5 B

4/29/2026

48 9 Full Breakdown

Summary

Story summary

Maryland invoked the off-ramp provision to terminate Kiewit’s phase-two contract after its price and schedule were deemed unacceptable.
The project’s cost now ranges $4.3-$5.2 billion versus the original $1.7-$1.9 billion, pushing completion to 2030.
The Maryland Transportation Authority will host a May industry day to select a new contractor while Kiewit stays on site through year-end.

History

Historical Context

Facing chronic congestion on the 1950s-era Central Artery, Boston launched the Central Artery/Tunnel Project in 1994, completing the O’Neill Tunnel in 2006. The $14.6 billion “Big Dig” exceeded its $2.8 billion estimate by $12 billion, prompting Governor Mitt Romney’s Massachusetts Turnpike Authority to tighten procurement rules, increase oversight in 2007, and address safety concerns after the 2006 ceiling collapse.

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Story summary

Maryland invoked the off-ramp provision to terminate Kiewit’s phase-two contract after its price and schedule were deemed unacceptable.
The project’s cost now ranges $4.3-$5.2 billion versus the original $1.7-$1.9 billion, pushing completion to 2030.
The Maryland Transportation Authority will host a May industry day to select a new contractor while Kiewit stays on site through year-end.

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