SAUGUS – The town is investing $780,000 in state highway funds to repair and improve approximately 40 dilapidated roadways by the end of the month.Brendan O’Regan, director of the public works department, explained that, unlike the recent road and sidewalk construction on Lincoln Avenue, this is not a capital project and will not be treated as such.”Cities and towns pave roads every year,” he said.Problem areas are currently identified by DPW workers driving through various neighborhoods and reporting their findings.”It’s been done in the past by just driving by,” said O’Regan.The town, however, has adopted a larger pavement management plan that is intended to make the process easier next year, using this year’s problem areas as a baseline.O’Regan said that the section of Central Street between Hargraves Court and Prospect Street is of particular concern, as well as Denver Street and Fiske Road. The DPW has determined that these roads will need to be milled and resurfaced in the coming weeks.Mill work has already begun on Denver Street, evident by the slalom-style arrangement of bright orange markers, raised manhole covers and grooved pavement.In the northern part of town, reclamation work is planned for Amero Lane and Pine Street, which are pockmarked with potholes and uneven patchwork.In terms of rerouting traffic, O’Regan does not foresee any major snarls.”We’re planning on maintaining traffic,” he said. “We expect the detours to be extremely minor.”O’Regan said that D&R General Contracting in Melrose was selected to do the majority of the work, which is expected to last through Aug. 29, while Golini Brothers in Wakefield was chosen to complete spot repairs during the week of Aug. 11. However, O’Regan said it is possible for that part of the project to carry over into the following week.”I like to under-promise and over-deliver,” he said.O’Regan explained that the DPW will be standing back from this project as the contractors have the necessary equipment to complete the project in an efficient manner.”That’s all they do all the time,” he said.O’Regan added that D&R and Golini also have their own asphalt mix, the most expensive material needed for the job. Therefore, the town will be spared that expense.