Maryland’s effort to rebuild the Francis Scott Key Bridge has encountered a significant setback following the abrupt cancellation of a critical construction contract. State officials have “off-ramped” Kiewit Infrastructure Co. From the project’s second phase, a move that challenges Gov. Wes Moore’s previous assertions that the rebuild was the “fastest-moving” large infrastructure project in the country.
Cost Surges and Contract Failures
The decision to terminate the agreement came after negotiations failed, with U.S. Transportation Secretary Sean Duffy stating that the contractor’s proposals “far exceeded” independent state estimates.
This procurement failure occurs as the project’s estimated costs have climbed from approximately $1.8 billion to more than $5.2 billion. The surge transforms the project into a high-stakes test of the administration’s ability to manage one of the nation’s most expensive and politically scrutinized infrastructure efforts.
The Scope of Phase 2
Phase 2 was designed to transition the project from preliminary plans to a guaranteed maximum price for construction. It focused on the finalization of the bridge design and the driving of steel piles into the Patapsco River.
this phase was intended to begin the construction of the spans and roadway approaches. Kiewit Infrastructure Co. Had previously been granted exclusive rights for this critical stage of the work.
Conflicting Narratives: State vs. Federal Oversight
Gov. Wes Moore defended the move, stating that the contractor’s proposed timeline and price were “unreasonably high and therefore unacceptable.” He emphasized that the state would not “settle for less” and would prioritize rebuilding the bridge safely and cost-efficiently.
Maryland Transportation Secretary Katie Thompson added that the Maryland Transportation Authority (MDTA) will “aggressively protect and advance the interests of Maryland,” citing safety and cost efficiency as top priorities.
Conversely, Secretary Sean Duffy framed the cancellation as a victory for the American taxpayer. Duffy has previously expressed concerns regarding the project’s budget and timeline, emphasizing the Trump Administration’s commitment to vigorous oversight of federal funding.
Debate Over Diversity Hiring
The project has too become a flashpoint for national debates over Diversity, Equity and Inclusion (DEI). Secretary Duffy has criticized Maryland’s approach to contractor selection based on race, and sex.

Gov. Moore had established a 31.5% goal through executive order for contracts to be awarded to minority- and women-owned businesses. While Kiewit stated it was “committed to meeting” these Disadvantaged Business Enterprise (DBE) goals, Duffy argued that the government should not engage in contracting based on race and sex.
What Happens Next
The MDTA has stated that work on the rebuild will not stop, as Phase 1 construction activities remain underway. The agency plans to host an industry forum in May to begin the process of selecting a modern contractor.
Rebidding a project of this magnitude may require the state to renegotiate terms and potentially review existing timelines. While Gov. Moore originally promised completion by 2028, this new hurdle could impact that target.
It remains possible that Kiewit Infrastructure Co. May file a lawsuit against the state or the Moore administration following the cancellation. The contractor has not yet responded to requests for comment.
Frequently Asked Questions
Why did Maryland cancel the contract with Kiewit Infrastructure Co.?
The contract was canceled because the contractor’s proposals for Phase 2 “far exceeded” independent state estimates, leading officials to deem the proposed price and timeline “unreasonably high.”

What specific work was included in Phase 2 of the rebuild?
Phase 2 involved finalizing the bridge design, driving steel piles into the Patapsco River, and beginning the construction of the spans and roadway approaches.
What is the current estimated cost of the project?
Project costs have surged from an initial estimate of roughly $1.8 billion to more than $5.2 billion.
Do you believe federal oversight should prioritize the speed of infrastructure recovery or the strict minimization of taxpayer costs?
