DEL NORTE COUNTY, Calif. — A long-troubled stretch of Highway 101 on the North Coast and a key North Bay corridor are set for major upgrades after the California Transportation Commission approved $325 million in new transportation funding.
The commission approved $225 million to fully fund the design phase of the Last Chance Grade tunnel project in Del Norte County and $100 million for improvements along the Highway 37 corridor in Marin and Sonoma counties.
The funding follows years of advocacy by Sen. Mike McGuire, who has pushed for investments in both projects over the past decade.
In Del Norte County, the money targets the Last Chance Grade, a 3-mile segment of Highway 101 just south of Crescent City that has faced decades of damage from unstable soil that crumbles, slides and washes away during heavy winter storms. The highway is described as a lifeline connecting Del Norte County to the rest of the state, and the ongoing repairs have been framed as a critical economic investment for the North Coast.
With the commission’s approval, $225 million will go toward completing the design and right-of-way phase of a tunnel project intended to provide a permanent fix. Once built, the tunnel would replace the failing 3-mile stretch of Highway 101.
Today is a huge milestone for Del Norte County and the entire North Coast,” McGuire said. “With Caltrans now moving full steam ahead on the critical design phase, we’re seeing the light at the end of the tunnel! And this means that Last Chance Grade will now be shovel-ready for construction by 2031—huge news for all of us who call Northern California home.
Sen. Mike McGuire, who has advocated for both projects for years, praised the commission’s decision.
“I’m grateful to Secretary of Transportation Toks Omishakin and Caltrans Director Dina El-Tawansy for listening to the needs of North Coast residents, and for the strong and consistent leadership of Congressman Jared Huffman and Caltrans North Coast Director Matt Brady, who also helped get us to this momentous day.”
The commission also approved $100 million for critical improvements along the Highway 37 corridor in the North Bay.
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