In December 2004, the City of Hamilton produced a Life-Cycle State of the Infrastructure (SOTI) Report for Public Works Assets, as well as a State of the Infrastructure Report Card for those assets. Five years later, in 2009, the initial SOTI report was updated to reflect the current state of the Public Works assets. In early 2010, the 2009 SOTI Report was presented to the Public Works Committee. Following that discussion, City staff were asked, among other things, to report on the implications and requirements to enhance the Hamilton Public Works Report Card on an incremental basis to achieve a B+ over a ten-year period. Roads and Traffic is the City’s largest asset group representing nearly one-third (32%) of the City’s total assets with a replacement value of approximately $4.4 billion. According to the 2009 SOTI Report, the Roads are sitting at a D- grade based on their condition, capacity and funding. The objective of this paper is to review the implications and funding needs to move the road network from its current D- grade to a B+ grade, which will allow for a more sustainable road network, which leads to the question of appropriate levels of service and affordability. This paper briefly discusses the SOTI report card evaluation and presents the current condition of the road network by functional class. The current condition by functional class allows the City to identify deficiencies in the road network and where more funds are required. In order to assist with the funding needs, prediction models and high-level decision trees were developed to estimate the performance over time and expected rehabilitation needs. Performance-based optimization with various level of service options are also presented for each functional class to determine the cost of attaining and achieving a specific level of service for a given functional class. These level of service options will allow for more open and transparent discussions with elected officials and the public as to what they are willing to pay for a given level of service.