INDOT reports higher interstate construction costs in FY2026; cites inflation, big urban projects

Attribution: Indiana Capital Chronicle. The article reports INDOT data showing average cost per centerline mile rose in Indiana in the state fiscal year 2026 compared with earlier years. INDOT said the FY2026 average included large programs such as Revive I‑70 and Safer Drive 65, both of which require complex maintenance‑of‑traffic setups to sustain heavy traffic on I‑70 and I‑65 during construction.

INDOT and industry sources in the story cited drivers including sharp increases in key materials (steel and concrete), competition for materials and equipment from other sectors (including data centers), and a national FHWA construction cost index that rose by more than 60% from 2020 through 2025. The agency said it uses 20‑year asset management plans, bundles projects to limit traffic impacts, employs alternative delivery methods that involve contractors earlier, and competitively awards contracts (generally picking the lowest‑priced bid).

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