Life-Cycle Cost Analysis (LCCA) for highway projects is known as an effective analytical technique that uses economic principles to evaluate long-term alternative investment options, especially for comparing the values of alternative pavement design structures and construction strategies. In the Unites States, the 2012 Moving Ahead for Progress in the 21st Century Act (MAP-21) amended the United States Code to mandate that the United States Government Accountability Office (GOA) conducts a study of the best practices for calculating life-cycle costs and benefits for the federally funded highway projects in 2013. The RealCost 2.5CA program was developed and adapted as an official LCCA tool to comply with regulatory requirements for California state highway projects in 2013. Utilization of this California-customized LCCA software helps Caltrans to achieve substantial economic benefits (agency cost and road user cost savings) for highway projects. Proper implementation of LCCA for roadway construction and rehabilitation would deliver noticeable savings of agency's roadway maintenance cost especially in developing counties where financial difficulties exist.
The contents of this paper reflect the views of the authors and do not reflect the official views or policies of the State of California or the Federal Highway Administration. This research was supported by the Korea Institute for Advancement of Technology (KIAT) grant funded by the Korea Government - Ministry of Trade Industry and Energy (MOTIE) (2015 Establishment of GEM, No. H2001-13-1001).