Life cycle cost analysis is recognized by public agencies as an effective tool to assist in the selection of construction, rehabilitation, and maintenance treatments. The Federal Highway Administration (FHWA) has developed a life cycle cost analysis (LCCA) approach which will likely become the standard in the industry. The approach can be used to evaluate the life cycle costs (LCC) of paving materials containing asphalt rubber binders as well as alternate treatments. For mixtures of asphalt rubber binders and aggregates to be more widely accepted, they must be shown to be cost effective (lower LCC than the alternates). This paper presents:

• a brief history of asphalt rubber use and cost information
• a description of the life cycle cost process used in this paper
• comparative results to evaluate the LCC for hot-mix structural overlays, non-structural surface courses, and chip seals containing conventional (or polymer-modified) binders with similar applications containing asphalt rubber binders.

The findings indicate asphalt rubber is cost effective in many of the applications used by local agencies in Arizona and California. However, the reader should be aware that the estimated lives are based on interviews and on engineering judgment. Changes in the life estimates could affect the final conclusions.