Inflation Drives Up Costs for Major Sacramento Area Public Works Projects

From building bridges to water and power plants, several public works projects in the Sacramento region are being impacted by rising costs. UC Davis economics professor Derek Stimel says large-scale projects face much higher risks from inflation.

“You have the war with Iran and all the uncertainty and all the impacts on oil prices and transportation costs because so much of this material that is needed for these big projects is imported,” Stimel said.