Box 7-5 National Highway Cost Construction Index
The National Highway Construction Cost Index (NHCCI), published quarterly since March 2003, uses a database of successful bids on state highway projects, which includes quotes on the specific items that comprise the projects. The database includes the costs of the material involved, the cost of labor to install it, and profit and overhead. The average price charged is calculated for each item in each state, and these price changes are then combined into a national index based on a market basket of items.