Lifecycle Cost Analysis RealCost User Manual

DTFH61-07-D-00028-T-09004DTFH6117D00005L/693JJ318F000355Lifecycle cost analysis (LCCA) is an engineering economic analysis tool that compares the relative merit of competing project implementation alternatives. LCCA considers both the agency and user costs incurred during the service life of an asset and helps transportation officials select the most preferred alternative. Additionally, LCCA introduces a structured methodology that accounts for the effects of agency activities on transportation users and provides a means to balance those effects with the system\u2019s construction, rehabilitation, and preservation needs. This manual aims to help users of the Federal Highway Administration\u2019s (FHWA\u2019s) RealCost 3.0, a Microsoft\uae Excel\uae-based LCCA tool to conduct LCCA. This user manual reflects the updated and enhanced RealCost 3.0\u2019s input data requirements, functions, analysis features, and user interface. The RealCost 3.0 tool has been updated to work on both Excel 32- and 64-bit versions and avoids the need for installation or availability of any third-party or other commercial components other than Excel 2010 or newer on end users\u2019 computers. The user manual contains a brief introduction to LCCA and adheres to the LCCA methodology explained in detail within FHWA\u2019s Life-Cycle Cost Analysis in Pavement Design Interim Technical Bulletin (Walls and Smith 1998). It also explains the steps to install and operate RealCost 3.0. Appendix A details the procedure to compute LCCA using examples of three pavement and one bridge projects. Appendix B helps users understand the customization of RealCost 3.0 for their specific needs. The user manual will interest State highway agency personnel and consultants responsible for conducting and reviewing LCCA