Pavement Management System Based on Financial Consequence

Abstract

One of the biggest challenges for any public organization is how to prioritize projects to maximize existing funding. With so many programs competing for the same funding, it is especially important to optimize pavement rehabilitation programs to allow for funding for other programs, such as safety, capacity improvements, and environmental improvement projects. This report describes how the Nevada Department of Transportation (NDOT) optimized its available funding while improving pavement condition by using an eight-step pavement management system based on financial consequence. This eight-step procedure includes administration support, contract database implementation, roadway system division, performance models, project prioritization, and strategy selection. This procedure can easily be adopted by other states. A nominal amount of information is required to initiate this system, and the reward can be exceptional. NDOT saves $42 million a year with this methodology. An advantage of a pavement management system based on financial consequence over a conventional network optimization system is that process allows engineers to communicate with top administrators in a nontechnical way. Administrators can understand the concept and make good roadway funding choices without needing a great deal of technical input from engineers. For example, administrators see that the cost of delaying a 10-mi roadway section on an Interstate system by 2 years can cost the agency an additional $6 million for rehabilitation; but that delaying a 10-mi roadway section on a relatively low-volume road can cost only a few thousand dollars.