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NDOT warns of inflation and fuel‑efficiency driven shortfalls; preservation prioritized over expansion
Summary
Indiana Department of Transportation officials told the State Budget Committee that inflation, higher material costs and increased vehicle fuel efficiency are eroding highway purchasing power. NDOT said it is prioritizing preservation and debt service over capacity projects and has deferred hundreds of projects to manage a constrained capital
INDIANAPOLIS — Department of Transportation officials told the State Budget Committee that rising construction costs and long‑term declines in fuel tax revenue due to more fuel‑efficient vehicles and electric vehicle adoption are squeezing the state’s ability to pay for road and bridge projects.
“Preservation takes precedence over capacity expansion,” NDOT Secretary Matt Huebler told senators, summarizing the agency’s asset management approach as it faces higher unit costs for materials and declining motor‑fuel tax revenue per mile.
Why it matters: NDOT manages roughly 29,000 lane miles and 5,000 bridges statewide. Officials reported that about 94.3% of state‑maintained roads and 97.1% of state‑maintained bridges were in fair or better condition at the…
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