The following Graduation Thesis focuses on analysis of effect of traffic on road condition, while also calculating road agency and road user costs. It is a well known fact, that heavy traffic vehicles cause the greatest damage on roads. Furthermore, road user costs are directly linked to road condition, which has influence on fuel consumption, tyre wear, travel speed etc. First part of Graduation Thesis describes pavement management system, which consists of data management in a first phase and in a second phase methods for assigning financial resources for road maintenance. There is a description of Road Database, which deals with road data of all kinds. HDM-4 software, which optimises financial investment on roads, is described afterwards. Road network, used in the analysis, is situated in Gorenjska region, with a total length of 63 km. The composition of heavy traffic vehicles varies from 0 to 30 %. Road maintenance is composed of 3 different scenarios: periodic maintenance, asphalt overlay and rejuvenation. In the analysis, road agency and road user costs were examined, together with roughness of driving surface after the analysis period of 15 years
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