In the American Recovery and Reinvestment Act’s first year on the books, its billions of construction dollars have been a lifeline for an industry battered by a long economic slump. Firms that snagged ARRA-funded contracts have been able to keep workers or add to workforces. Even so, construction has a jobless rate of nearly 25%. As companies chase ARRA projects, they’re looking for more help from Congress. But neither a jobs bill nor transportation authorization is a sure thing.
Since the stimulus was enacted on Feb. 17, 2009, its estimated $130 billion in construction spending has given the industry a lift. ARRA public-works project starts totaled $19.2 billion in 2009, keeping overall sector volume even with 2008, says Robert Murray, McGraw-Hill Construction vice president for economic affairs. Without ARRA projects, he says, public works would have dropped 16%.