State audit: Blue Ridge Road underpass near N.C. State Fairgrounds now nearly four years late, cost up 41%

As of 1:50 p.m. ET, Sunday, Oct. 18, 2026

A road project meant to ease traffic around the North Carolina State Fairgrounds in Raleigh is running years behind schedule and has grown 41% more expensive, according to a report from the North Carolina Office of the State Auditor.

The Blue Ridge Road Underpass Project was originally scheduled to be finished in July 2023. Delays have pushed the estimated completion date to spring 2027, the auditor's office said in a release Friday, Oct. 16.

Funding for the project rose from $50.7 million in 2018 to $71.6 million in 2025, an increase of $20.9 million, the auditor said.

What went wrong

The project lowers Blue Ridge Road so that vehicles and pedestrians can pass under Hillsborough Street, Beryl Road and the adjacent railroad corridor.

The auditor found that railroad right-of-entry issues delayed the work from the start. Construction on railroad property could not begin until the right of entry was fully executed, and poor soil conditions found after construction began added more delays, according to the release.

"North Carolinians traveling in for the State Fair have patiently waited for years on the Blue Ridge Road Underpass Project. This is a complex project and railroad issues have delayed it from the start, but the need for this underpass hasn't gone away," State Auditor Dave Boliek said. "As this report shows, delays cost taxpayers additional dollars. Enhanced transparency and public reporting will help manage expectations and hopefully drive an additional sense of urgency".

What happens next

The report, a "Rapid Response Special Report," includes recommendations for the N.C. Department of Transportation, and NCDOT's response is included in the report, the auditor's office said. The release does not summarize NCDOT's response.

Why it matters

The report came out during the 2026 N.C. State Fair, which runs through Oct. 25. The underpass is meant to improve traffic around the fairgrounds, and its funding is now about $20.9 million more than in 2018.