New York State Department of Financial Services

09/22/2026 | Press release | Distributed by Public on 09/22/2026 10:04

Governor Hochul Announces Major Milestones in Transformational I-81 Viaduct Project, Increasing Mobility and Resiliency in City of Syracuse

Governor Kathy Hochul today announced two major milestones in the historic Interstate 81 Viaduct Project in Syracuse that will help speed efforts to improve resiliency and transform the transportation network in and around the City of Syracuse. The Federal Highway Administration has approved the formal redesignation of Interstate 481 as the new Interstate 81, clearing the way for high-speed traffic to transition away from downtown Syracuse and allow for the eventual removal of the viaduct itself. Additionally, the New York State Department of Transportation has awarded a $143.5 million contract to further advance the project by constructing a large, mile-long underground trunkline that will improve stormwater drainage, prevent flooding and better protect the local environment. The new contract - officially known as Contract 6a - also includes the reconstruction of several local streets along the trunkline route and the addition of new accommodations for pedestrians and cyclists.

"With each new milestone, we are taking a giant leap forward in delivering on the promise of the I-81 Viaduct Project to revitalize not only downtown Syracuse, but the entire Central New York Region," Governor Hochul said. "The redesignation of I-481 is a critically important step that will ensure the continued flow of high-speed, interstate traffic and Contract 6a will upgrade essential drainage infrastructure to enhance resiliency within the City of Syracuse and enable this brand-new infrastructure to better handle severe weather impacts. Together, these developments are indisputable proof that a brighter future for Central New York is at hand."

New York State Department of Transportation Commissioner Marie Therese Dominguez said, "Under Governor Hochul's leadership, these major developments in the I-81 Viaduct Project will help us deliver a reimagined transportation network that benefits the entire region while also creating more resilient infrastructure across Central New York. This project is about so much more than roads and bridges - it's about how major transportation infrastructure can benefit an entire community. In the case of Contract 6a, this will come in the form of less overflow that often overwhelms Onondaga Creek and spills into Onondaga Lake, and less flooding situations along state and local infrastructure. At its core, the work that we will do below ground will have huge, visible impacts above ground, enhancing the quality of life for thousands across this region."

In addition to the redesignation of I-481 as the new I-81, the Federal Highway Administration has also approved the conversion of the existing I-81 into Business Loop 81 between the southern and northern interchanges of I-81/481. The approvals help clear the way for the ultimate removal of the 1.4-mile-long section of elevated highway and the installation of a street-level network known as the Community Grid. While the reclassification of these key roadways is a major development, motorists should not expect any immediate changes. The State Department of Transportation is in the process of developing a comprehensive plan to ensure a smooth changeover.

One of nine separate contracts planned as part of the I-81 Viaduct Project, Contract 6a focuses on construction of an eight-by-ten-foot trunkline designed to catch water runoff from reconstructed roadways and bridges. The pipe will run beneath Almond Street, East Water Street, State Street, Erie Boulevard, Salina Street and Herald Place, with this route purposely chosen as the trunkline's path in an effort to minimize disruptions to downtown Syracuse business owners and patrons. Five local streets, totaling 2.5 lane miles along the trunkline route, will be reconstructed and rehabilitated. The street modifications will include pedestrian and bicycle enhancements, including new sidewalks and shared use paths, along with the replacement of eight traffic signals, new signs, striping, lighting and trees.

Requiring excavations of up to 25 feet, this complex undertaking will be completed in the following locations to prioritize safety and mitigate impacts on motorists and pedestrians:

  • Almond Street between Erie Boulevard East and East Water Street
  • East Water Street between Almond Street and State Street
  • South State Street between East Water Street and Erie Boulevard East
  • Erie Boulevard East between South State Street and North Salina Street
  • North Salina Street between Erie Boulevard East and Herald Place
  • Herald Place between North Salina Street and Wallace Street

Contract 6a is the second contract awarded under Phase Two of the I-81 Viaduct Project, which focuses on the removal of the viaduct and the buildout of a new transportation network to reconnect communities and improve access to downtown neighborhoods. Originally included as part of Contract 6, construction of the massive underground water pipeline was transitioned to a standalone contract to deliver the best possible project at the best value to taxpayers.

The Contract 6a trunkline is part of a comprehensive package of upgrades to the City of Syracuse and Onondaga County's drainage infrastructure planned as part of the I-81 Viaduct Project that will create separate systems for the handling of stormwater and sewage, which will help prevent overflows and facilitate more efficient wastewater treatment. The upgrades began with the construction of a half mile-long drainage trunkline along Erie Boulevard East as part of Contract 4 and also included construction of a sewer trunkline segment from Martin Luther King Jr. East to Burt Street as part of Contract 5. Stormwater pipeline enhancements in Franklin Square, between Websters Landing and the Onondaga Creekwalk were included as part of Contract 6.

The generational I-81 Viaduct Project is the largest project ever undertaken by the New York State Department of Transportation and is part of Governor Hochul's unprecedented commitment to modernize New York State's infrastructure and invest in projects that promote equity, connectivity, and multi-modal transportation opportunities across the state. The project will remove a 1.4-mile stretch of elevated highway that has divided the City of Syracuse for decades and implement a Community Grid that will reconnect neighborhoods, modernize infrastructure, give motorists additional ways to safely access downtown Syracuse and improve mobility for pedestrians and bicyclists.

Phase One, which began in the spring of 2023, included the reconstruction of the northern and southern interchanges of Interstate 481 and I-81, and the preliminary work to create what will become Business Loop 81. Phase Two includes removal of the viaduct and the build out of infrastructure supporting the Community Grid.

As part of NYSDOT's ongoing commitment to engage with the community, an open house will be held for residents and commuters to learn more about Contract 6a construction.

Find more information on the I-81 Viaduct Project, including contracts one through five.

Senator Charles Schumer said, "With formal redesignation of the I-481 as the new I-81, we are closer than ever to replacing the I-81 viaduct and reconnecting communities in the City of Syracuse. I'm proud that more than $114 million from the Bipartisan Infrastructure & Jobs Law is also paving the way for improved water infrastructure and a more resilient Syracuse. Soon, we will see enhanced mobility, a thriving downtown, more green space, and modern multimodal transportation options for all. I'm grateful for the partnership of Governor Hochul and Mayor Owens in putting this federal funding to good use, building the better, brighter, and safer future that Syracuse deserves."

Senator Kirsten Gillibrand said, "The progress of the I-81 Viaduct Project is a win for the city of Syracuse and all of Central New York. Travelers in Syracuse deserve modern infrastructure that enhances safety, improves resiliency, and decreases traffic. I'm proud to have secured the federal dollars to make this transformational project possible, and I will keep fighting to deliver investments that strengthen transportation infrastructure in New York."

Representative John Mannion said, "Every milestone in the reimagining for I-81 is another step towards a safer, more resilient, and better-connected Syracuse and Central New York. From roads and bridges to upgraded water and sewer systems, delivering federal resources to modernize our region's infrastructure and improve the quality of life in every neighborhood is central to my work in Congress. Transformational projects like I-81 require strong federal and state partnership, and I commend Governor Hochul for her continued leadership and moving this historic work forward."

State Senator Christopher J. Ryan said, "These milestones represent another important step forward in the transformation of our transportation infrastructure in Central New York. The I-81 Viaduct project is about more than replacing an aging highway - it is an opportunity to reconnect neighborhoods, strengthen our infrastructure and make our communities more resilient. The new stormwater infrastructure will also help address flooding and protect our environment for years to come. I'm pleased to see this generational project continuing to progress and I look forward to seeing the lasting benefits it will bring to the entire Central New York region."

State Senator Rachel May said, "These welcome announcements from Governor Hochul are extremely consequential for moving the I-81 project - and Syracuse - forward. In particular, the proposed new trunkline under downtown will be a major improvement on the city's water infrastructure. It is never flashy or sexy to talk about sewer separation but having a dedicated pipe to carry storm water will make it far less likely that sewage overflows into our streams and, ultimately, the lake. This is massively important for public health, the health of our waterways and quality of life in the city, especially as the warming climate makes rain events more intense with each passing year. This water infrastructure project is a bonus for Syracuse from the larger highway project, and even though it will entail a lot of short-term disruption, it will serve the people of Central New York well for many decades to come."

Assemblymember Al Stirpe said, "These two major milestones in the I-81 Viaduct Project represent an exciting step towards the Community Grid finally becoming a reality in Syracuse. I thank Governor Hochul for her support for Central New York during this massive project to reconnect and modernize our community."

Assemblymember Pamela Hunter said, "Today's announcement marks another important step forward for the I-81 project and for Syracuse. These investments will strengthen our infrastructure, improve resiliency and help reconnect neighborhoods that have been divided for generations. I'm pleased to see this transformational project continuing to move forward."

City of Syracuse Mayor Sharon Owens said, "Every milestone in the I-81 Viaduct Project represents another meaningful step toward a safer, more connected and more resilient Syracuse. Each phase we complete brings us closer to delivering the modern transportation network our community deserves. This most recent progress reflects years of planning, partnership, and commitment. I thank Governor Hochul and our partners at NYSDOT while we continue moving forward to ensure the project delivers long-lasting benefits for residents, businesses, and all who travel through our city."

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New York State Department of Financial Services published this content on September 22, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on September 22, 2026 at 16:04 UTC. If you believe the information included in the content is inaccurate or outdated and requires editing or removal, please contact us at [email protected]