MIT Research Brief Illustrates LCCA Approach

The Concrete Sustainability Hub (CSHub) at MIT recently released the research brief Material-Specific Price Projections: Implementation. The brief illustrates how developing probabilistic price projections that outperform current practice and account for the volatility in paving price results in a more accurate life-cycle cost analysis (LCCA). The price projections developed by the CSHub can be implemented either by integrating the forecasting models into a probabilistic LCCA software tool such as FHWA's RealCost or utilizing the price projection tables provided at the end of this brief. The three-step process estimated costs and years of rehabilitation, selected index values from a table for years of rehabilitation and calculated future costs, and calculated adjusted LCC values for different confidence levels.