Rising interstate construction costs push up INDOT’s FY2026 per-centerline-mile averages
The Indiana Capital Chronicle reported on 2026-10-02 that the Indiana Department of Transportation said interstate construction costs were higher in the 2026 state fiscal year, raising the agency’s average cost per centerline mile. INDOT said its FY2026 average included two complex projects and cited inflation and competition for materials among causes.
The Indiana Capital Chronicle reported on 2026-10-02 that the Indiana Department of Transportation (INDOT) said interstate construction costs rose in the 2026 state fiscal year, increasing the agency’s average cost to construct a centerline mile of interstate. INDOT said the FY2026 average includes two complicated projects that raised the average and that the figures represent measured centerline miles within the projects’ scope.
INDOT and sources cited several contributing factors: a Federal Highway Administration construction-cost index that rose from 2020 through 2025; inflation; competition for materials and equipment with data centers (per Brian Gould); and Indiana’s work to add capacity while some other states focus on maintenance or bridge funding (per INDOT spokeswoman Natalie Garrett). INDOT described project bundling, alternative delivery methods and competitive bidding as elements of its approach.
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