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Indiana paid an average $46M per interstate centerline mile in FY2026, raising costs for INDOT and contractors

According to the Indiana Capital Chronicle (Oct. 2, 2026), Indiana spent an average of $46 million to build a centerline mile of interstate highway in the 2026 state fiscal year, up nearly 450% from a $8.4 million average in fiscal 2015. The article cites inflation, material and equipment demand, and complex projects as drivers.

BUSINESSINDY BRIEFPublished October 2, 2026 at 5:03 AM EDTLiving story · 2 sources
AI-generated illustration of the topic: Indiana paid an average $46M per interstate centerline mile in FY2026, raising costs for INDOT and contractors
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Indiana Capital Chronicle reported on 2026-10-02 that Indiana spent an average of $46 million to construct a centerline mile of interstate highway in the 2026 state fiscal year, a rise the article said is nearly 450% from the $8.4 million average in fiscal 2015.

The article attributes higher costs to inflation, pandemic-era supply shortages, rising material prices (steel, concrete, asphalt), competition for equipment and materials from large developers such as data-center projects, and the state’s shift from basic resurfacing to major capacity projects. INDOT projects cited as part of the FY2026 average include Revive I-70 (Wayne County) and Safer Drive 65 (Scott and Clark counties); the article also noted the Federal Highway Administration’s national construction cost index rose more than 60% from 2020–2025.

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