Synthesis of Information Related to Highway Practices. Topic 57-14. Practices Related to Cost Estimating for Early Project Development Phases

Most state departments of transportation (DOTs) develop early-stage cost estimates during planning and programming phases to support budgeting, project selection, and funding requests. These early estimates are typically developed using conceptual or parametric methods due to preliminary project scope and limited information about design development. Despite their widespread use, state DOTs vary significantly in how they perform, manage, and document these estimates. A 2025 national survey of over 30 state DOTs revealed wide differences in estimating tools, methodologies (e.g., parametric, bid-based), adjustment techniques for inflation and scope changes, and communication of estimate uncertainty. Many agencies reported low confidence in their parametric estimates, highlighting a need for improved data, training, and standardization. While recent research addresses model accuracy, construction cost indices, and stochastic estimation techniques, resources do not appear to document how state DOTs implement conceptual or parametric estimating practices. Understanding how these practices vary in data sources, staffing, estimation policies, and integration into decision-making is important for identifying potential gaps that could guide future research. OBJECTIVE: The objective of this synthesis is to document current state DOT practices for developing, managing, and applying cost estimates during early project development phases, including estimation methods, tools, data sources, staffing responsibilities, adjustment techniques, and integration of early estimates into programming and decision-making processes.

• Record URL:
  • http://apps.trb.org/cmsfeed/TRBNetProjectDisplay.asp?ProjectID=5991

Language

• English

Project

• Funding: $65,000.00
• Contract Numbers:

  20-05/Topic 57-14

• Sponsor Organizations:

  NCHRP Synthesis

  ,    

  National Cooperative Highway Research Program (NCHRP) Synthesis

  Transportation Research Board
  500 Fifth Street, NW
  Washington, DC    20001

  American Association of State Highway and Transportation Officials (AASHTO)

  444 North Capitol Street, NW
  Washington, DC  United States  20001

  Federal Highway Administration

  1200 New Jersey Avenue, SE
  Washington, DC  United States  20590
• Project Managers:

  Hutchins, Mark

• Start Date: 20241001
• Expected Completion Date: 0
• Actual Completion Date: 0

Subject/Index Terms

• TRT Terms: Cost estimating; Project management; State departments of transportation
• Subject Areas: Administration and Management; Finance; Highways;

Filing Info

• Accession Number: 01972838
• Record Type: Research project
• Source Agency: Transportation Research Board
• Contract Numbers: 20-05/Topic 57-14
• Files: TRB, RIP
• Created Date: Nov 25 2025 4:09PM