Yes, or no does a local government have the power to create a new interstate highway?

No, a local government does not have the power to create a new interstate highway. The creation and construction of interstate highways fall under the jurisdiction of the federal government, specifically the Federal Highway Administration (FHWA) within the Department of Transportation. Local governments can, however, play a role in deciding the routing and location of interstate highways through their area and can collaborate with the federal government in the planning and development process.