Replacement Cost for Public Infrastructure in Alaska: An Update

Abstract

Replacing Alaska’s public infrastructure would cost nearly $59 billion, in today’s dollars. That includes, as the table shows, the costs of replacing public buildings as well as transportation and utility systems.1 This is an update of an estimate ISER made in 2007—which at that time was the first comprehensive estimate of the cost to replace Alaska’s public infrastructure.2 That 2007 estimate was considerably less—about $39.5 billion—but we emphasized at the time that it was preliminary. It did not take into account that costs to replace infrastructure in remote areas are higher, and it undercounted and undervalued certain types of infrastructure, including power and telephone systems. This revised estimate is based on an analysis of cost differences across the state, additional data on existing infrastructure, and additional consultation with engineers, architects, and cost estimators.