A rational procedure is presented for evaluating alternative pavement types for roadway projects. Agency costs, user delay costs, and performance levels are important factors for comparing alternative pavement strategies. These factors are included in the evaluation procedure. Economic evaluations are based on life-cycle cost analysis. Cost-effectiveness analysis is also included in the procedure and uses area under the performance curve as a measure of the effectiveness of a pavement design strategy. Limitations in economic evaluations and the role of other miscellaneous factors in pavement type selection are also discussed. A computer program, TxPTS, was developed to automate the evaluation procedure. Case studies are presented demonstrating the use of the program.