The efficient use of limited resources is a problem that faces every local government. These governments have large investments in local roadways, bridges, and culverts. No management system has been developed for culvert systems. The development of a ranking system for culverts found on local agency systems is presented. Cost models are developed to identify major contributors to user and agency costs. On the basis of the cost models, a working dBase III Plus (trademark) microcomputer software package was developed to evaluate culvert systems of local agencies. The results of the proposed system were compared with existing culvert replacement strategies with good agreement.