Two-thirds of the economic benefits and jobs created by federal highway and transit investment occur in nonconstruction sectors, according to a new analysis from IHS Inc., a global source of critical information and insight. The study also finds that every dollar invested through the federal Highway Trust Fund (HTF) in state highway, bridge and public transit infrastructure programs returns 74 cents in tax revenue. The report, “Transportation Infrastructure Investment: Macroeconomic and Industry Contribution of Federal Highway and Mass Transit Program,” reveals that 70% of the economic benefits, or value-added, of federal HTF investments in transportation improvements occur in non-construction sectors
The U.S. transportation construction market will grow 3.1% from $185.9 billion in 2014 to $191.7 billion in 2015, according to a new forecast released Dec. 3 by American Road & Transportation Builders Association’s (ARTBA) Chief Economist Dr. Alison Premo Black. That figure is slightly above anticipated growth in the overall economy, Black says. U.S. Gross Domestic Product is expected to grow between 2.6% and 3%, according to the U.S. Federal Reserve.The ARTBA forecast for the largest segment of this market—highway, street and related work—is tempered by two key factors: uncertainty over long-term federal funding, which represents 52% of state department
The value of new construction starts settled back 4% in October to a seasonally adjusted annual rate of $589.8 billion, according to Dodge Data & Analytics (formerly McGraw Hill Construction). The decline followed the 10% increase reported in September, which was the strongest month for total construction starts so far in 2014. Both nonresidential building and nonbuilding construction lost momentum in October while residential building posted a moderate gain, given further growth for multifamily housing. During the first 10 months of 2014, total construction starts on an unadjusted basis were $475.8 billion, up 5% from the same period a year
he U.S. Green Building Council of Colorado has named the winners of its first-annual Commercial Real Estate Green Awards. The program recognizes excellence and innovation in new and existing buildings in Colorado. The awards were presented on Dec. 3 at a gala reception held at the Grand Hall of Denver’s Union Station. Winners were selected by a 15-person panel of green building and commercial real estate professionals. Photo courtesy of Brad Nicol Photography The chapter's first-annual awards were presented on Dec. 4 at a gala reception held at the Grand Hall of Denvers Union Station.Among the attendees, back row, from
The Associated Builders and Contractors’ Construction Backlog Indicator (CBI) reached a new all-time high during the third quarter of 2014 at 8.8 months, eclipsing the previous all-time high of 8.5 months in the second quarter. The third quarter backlog is 6.9% higher than the third quarter of 2013, and the continued growth of backlog during the last six months likely indicates that 2015 will be a strong year of recovery for the nation’s nonresidential construction industry.“Every region of the nation experienced expanding backlog during the third quarter and so did every industry segment,” said ABC Chief Economist Anirban Basu. “Recent
The Conference Board Consumer Confidence Index, which had rebounded in October, declined in November. The index now stands at 88.7 (1985=100), down from 94.1 in October. The Present Situation Index declined from 94.4 to 91.3, while the Expectations Index decreased sharply to 87.0 from 93.8 in October. Consumers’ assessment of present-day conditions was moderately less favorable in November than in October. The proportion saying business conditions are “good” decreased from 24.7% to 24.0%, while those claiming business conditions are “bad” increased from 21.3% to 22.4%. Consumers’ assessment of the job market was slightly less favorable, with the proportion stating jobs
The Denver Performing Arts Complex has an annual economic impact of more than $141 million and corresponds to approximately 2,500 jobs in Denver, according to an analysis recently completed by BBC Research & Consulting and released by the city and county of Denver. Denver Arts & Venues retained BBC to estimate the annual economic impact of the arts complex on the city and county of Denver and to help understand the nature of the DPAC’s impact on the local economy. The study will also be analyzed by Mayor Michael B. Hancock’s Executive Leadership Team as it works on a plan
Nonresidential construction spending bounced back in October, expanding 1% on a monthly basis and 4.3% year over year, according to a Dec. 2 release from the U.S. Census Bureau. Spending for the month totaled $611.8 billion on a seasonally adjusted, annualized basis. Additionally, the government revised the September spending figure up to $605.8 billion from $596.1 billion. “This month’s increase in nonresidential construction spending is far more consistent with the anecdotal information floating around the industry, which generally indicates that firms are becoming busier, and that backlog is expanding,” said Associated Builders and Contractors (ABC) Chief Economist Anirban Basu. “Although
October marked the fifth consecutive month when construction input prices failed to rise. Inputs to construction industries were down 0.9% for the month but expanded 1% on a year-over-year basis, according to a Nov. 17 producer price index (PPI) release from the U.S. Dept. of Labor. Inputs to nonresidential construction fell 1.1% for the month but are 0.5% higher than at the same time last year. “This deflation in an array of commodities should be viewed positively for the economy as well as for nonresidential construction,” said Associated Builders and Contractors Chief Economist Anirban Basu. “Deflation can be a reflection
The Rocky Mountain Chapter of ABC honored its members’ efforts in merit shop construction while celebrating the regional construction industry during the 13th annual Excellence in Construction (EIC) Awards held Oct. 24 at The Four Seasons Hotel Denver. Photo courtesy of ABC Rocky Mountain From left: Michael Pagnotta and Phillip Gaines of RK Mechanical with their Award of Excellence for The Rooftop Right Field Fan Enhancements project at Coors Field. Photo courtesy of ABC Rocky Mountain From left: Dylan Alitz, Lucas Fay, Chuck Furlano, Dave Basagoitia, Scott Heldt, and Alex Lanser of Milender White Construction Co. with their Award of
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