INDOT averaged $46M per centerline mile in FY2026 as interstate construction costs surge

Indiana Capital Chronicle reported that the Indiana Department of Transportation spent an average of $46 million to construct a centerline mile of interstate highway in the 2026 state fiscal year (which ended in June 2026). The article says that figure applies to full reconstruction or added travel lanes and is up nearly 450% from the $8.4 million average recorded in fiscal 2015.

The story cites INDOT and industry sources saying sharp increases in steel, concrete and asphalt prices, tariffs, supply‑chain shortages, pandemic effects and competition from large developers (including data centers) have raised costs. It notes the Federal Highway Administration’s national highway construction cost index rose by more than 60% from 2020 through 2025, and that INDOT’s FY2026 average included two particularly complicated projects — Revive I‑70 (Wayne County) and Safer Drive 65 (Scott and Clark counties). The article says INDOT bundles projects, uses alternative delivery and maintains 20‑year asset management plans to limit traffic impacts and try to control costs.

Report a correction · Editorial standards · Our source directory

BusinessIndy examines this development and its implications for Indiana businesses and communities using the linked sources.