President Obama has proposed a $3.8-trillion budget for fiscal year 2011 that would freeze total “non-security” domestic discretionary spending—the category that includes most federal construction programs—and result in cutbacks in most of the key construction accounts. Industry sources say the proposed reductions are not surprising given current economic realities, and they point to a few bright areas in the budget’s long list of cuts.
“Like every other presidential budget, it’s a mixed bag for construction,” says the Associated General Contractors CEO Stephen Sandherr. AGC estimates the 2011 budget’s construction-related funding totals $112.4 billion, down 7.5% from the enacted 2010 levels.