Governor Sherrill Scales Back $10.7B Newark Bay Bridge Project to $6.7B

Gov. Mikie Sherrill announced March 3 she is reducing the scope of the New Jersey Turnpike Authority’s controversial Newark Bay Bridge expansion project, cutting the cost from $10.7 billion to $6.7 billion while addressing environmental and traffic concerns raised by local officials and advocacy groups.

The scaled-back project will construct a four-lane bridge with shoulders and improvements, according to Sherrill’s statement. The governor also recommended that the Turnpike Board advance design and permitting work on roadway structures leading to the Holland Tunnel for safety improvements only, without expanding capacity.

“This $6.7 billion investment will be the largest single project the New Jersey Turnpike Authority has ever advanced,” Sherrill said in a statement.

Sherrill’s decision abandons the Turnpike Authority’s original plan to widen the Hudson County extension to and from the Holland Tunnel and replace the 70-year-old bay bridge with twin spans. The Murphy administration had supported that larger proposal.

The revised project faces opposition from construction industry leaders. Samantha Roman, president of Associated Builders and Contractors New Jersey, criticized Sherrill’s support for Project Labor Agreements on the project.

“Governor Sherrill promised to make New Jersey more affordable for taxpayers, but in her second month in office she’s urging the New Jersey Turnpike Authority to adopt expensive Project Labor Agreements on the Newark Bay Bridge project,” Roman said in a statement. “This will undoubtedly increase the cost of this project for all taxpayers, as Project Labor Agreements have been proven to do in study after study.”

Roman argued the agreements would “effectively shut out 98% of local women and minority-owned firms who are non-union,” calling the move disappointing for someone who championed diversity during her campaign.

The timing of Sherrill’s announcement comes as the first contract for bridge reconstruction was expected to be awarded in early 2026, with construction starting in the spring, according to the original timeline.

Sherrill emphasized the project’s economic benefits, stating it will support approximately 19,000 jobs, including thousands of union construction jobs. The project will generate economic activity across the region and create opportunities for small and minority-owned businesses, according to the governor.

The new bridge will allow traffic to shift off the aging existing bridge by 2031, consistent with National Transportation Safety Board concerns, Sherrill said.

Environmental and community groups had opposed the original proposal, along with Hudson and Essex county political leaders who claimed the project’s process failed to include all stakeholders. Opposition came from grassroots neighborhood and environmental groups, mass transit advocates and public officials in Jersey City, Hoboken and Newark.

These groups expressed concern that widening the Hudson County extension to and from the Holland Tunnel would increase air pollution from additional traffic, according to the source material.

The Newark Bay Bridge project was originally designed as the first phase of a multiphase program to reconstruct the highway with 29 bridges over 8.1 miles between Jersey City, Newark and Bayonne.

Sherrill’s decision represents a significant shift from the previous administration’s approach to the project, prioritizing environmental concerns and community input over the larger infrastructure expansion that had been planned.

The scaled-back version maintains the core bridge replacement while eliminating the capacity expansion elements that drew the strongest opposition from environmental and community groups across Hudson and Essex counties.