An FHWA index that tracks the costs of highway building shows a sharp increase in materials and fuel costs.
The Federal Highway Administration’s (FHWA) National Highway Construction Cost Index (NHCCI) for the third quarter of 2022 shows that construction costs in the sector have gone up by 50 percent since December 2020, according to Jeff Davis writing for the Eno Center for Transportation.
The NHCCI started in the third quarter of 2003, based at an even 1.0000 and the third quarter 2022 index was 2.7862 which means that highway construction cost almost 2.8 times as much in summer-fall 2023 as it did 20 years prior. But the chart shows two great inflation runs: 2004-2006, fueled by a doubling of oil prices and by China’s entry into the WTO (and the effect that had on the world demand for construction materials), and the present run which started at the beginning of 2021.
The majority of the cost increase is attributed to the price of crude oil, diesel fuel, and steel. “So far in 2023, [crude oil] prices have oscillated in the $70-80 per barrel range. So, while the rate of increase in the NHCCI may decrease in the coming quarters, there is no sign that they will give back significant amounts of what has already been increased.”
FULL STORY: Highway Construction Costs Have Risen 50% in Two Years
Texas Approves Plan that Calls for $104B for Roads and Highways
The latest iteration of Texas’s 10-year unified transportation plan sets a record for highway spending in the state.
Michigan DOT Nixes Ann Arbor Highway Expansion
In response to public feedback, the Michigan Department of Transportation is no longer considering options to widen U.S. 23 on Ann Arbor’s east side.
Congestion Pricing in the San Francisco Bay Area
Planners call them “express lanes,” but make no mistake, they are congestion pricing in action, and they're successful. The Bay Area network of what the Federal Highway Administration calls “high-occupancy toll (HOT) lanes” is growing.
What ‘The Brutalist’ Teaches Us About Modern Cities
How architecture and urban landscapes reflect the trauma and dysfunction of the post-war experience.
‘Complete Streets’ Webpage Deleted in Federal Purge
Basic resources and information on building bike lanes and sidewalks, formerly housed on the government’s Complete Streets website, are now gone.
The VW Bus is Back — Now as an Electric Minivan
Volkswagen’s ID. Buzz reimagines its iconic Bus as a fully electric minivan, blending retro design with modern technology, a 231-mile range, and practical versatility to offer a stylish yet functional EV for the future.
Healing Through Parks: Altadena’s Path to Recovery After the Eaton Fire
In the wake of the Eaton Fire, Altadena is uniting to restore Loma Alta Park, creating a renewed space for recreation, community gathering, and resilience.
San Diego to Rescind Multi-Unit ADU Rule
The city wants to close a loophole that allowed developers to build apartment buildings on single-family lots as ADUs.
Electric Vehicles for All? Study Finds Disparities in Access and Incentives
A new UCLA study finds that while California has made progress in electric vehicle adoption, disadvantaged communities remain underserved in EV incentives, ownership, and charging access, requiring targeted policy changes to advance equity.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
City of Albany
UCLA Lewis Center for Regional Policy Studies
Mpact (formerly Rail~Volution)
Chaddick Institute at DePaul University
City of Piedmont, CA
Great Falls Development Authority, Inc.
HUDs Office of Policy Development and Research