Related Links: Read the Bureau of Labor Statistics' release Read the Associated General Contractors' analysis Read the Associated Builders and Contractors' analysis The construction industry’s unemployment rate rose in October, to 13.7% from September’s 13.3% level, but showed improvement over the October 2010 mark of 17.3%.The latest monthly employment update from the Bureau of Labor Statistics, released on Nov. 4, also showed that construction lost 20,000 jobs in October, after gaining 27,000 the previous month.Ken Simonson, Associated General Contractors chief economist, said, “Declining public-sector demand for construction, combined with slow growth in private-sector demand, is keeping construction employment mired in
Michael Goodman for ENR A federal indictment says Wolff intentionally conspired to bill the U.S. Agency for International Development "at knowingly inflated rates" for contracts in Iraq and Afghanistan. Derish Wolff, former CEO of Louis Berger Group, is scheduled to be arraigned on Nov. 9 on federal charges that he led a plan to intentionally inflate overhead charges on hundreds of millions of dollars in federal contracts over nearly 20 years. A tentative trial date is likely to be set at that appearance.An indictment unsealed on Oct. 20 in U.S. District Court in Newark, N.J., says Wolff intentionally conspired to
Related Links: ENR Sept. 26, 2011 story: Construction Pushing to Repeal 3% Withholding Requirement on Government Projects In a victory for engineering and construction groups, the House has overwhelmingly approved a bill to repeal a mandate that government agencies withhold 3% of the value of contracts from firms carrying out that work.The House passed the measure on Oct. 27, by a 405-16 tally.Shortly before that vote, the House also cleared a related bill, which would more than offset the estimated $11-billion revenue lost by repealing the 3% requirement, thus avoiding an increase to the overall federal deficit. That revenue-raising bill, approved
Michael Goodman for ENR Wolff directed other Berger officials to devise fraudulent billing scheme, indictment charges. Related Links: Aug. 10, 2010, ENR story: "Probe Leads to Wolff's Likely Exit From Berger" Text of the indictment (PDF) The former CEO of Louis Berger Group, Derish Wolff, has been charged with leading a plan to intentionally inflate overhead charges on hundreds of millions of dollars in federal contracts over a period of nearly 20 years, federal officials said.According to an indictment returned by a grand jury in federal district court in Newark, N.J. , on Oct. 19 and unsealed on Oct. 20,
The Senate has approved a bill aimed at improving the safety of oil and gas pipelines, after one lawmaker dropped his objections to the measure.The measure, which the Senate passed unanimously on Oct. 17, would raise the cap on civil penalties in pipeline accidents and require new pipelines to have automatic or remote-controlled shut-off valves.Under the bill, maximum civil penalties would rise to $250,000 a day with a cap of $2.5 million for a series of violations, from the current $100,000 a day and $1 million cap.It also would authorize $479 million for the Dept. of Transportation’s pipeline-safety agency over
Despite threatened spending cuts, the General Services Administration plans to keep a Coast Guard headquarters project on track for a fiscal 2013 opening, says Public Buildings Service Commissioner Robert Peck. The $350-million, 1.2-million-sq-ft project is part of a $3.4-billion Dept. of Homeland Security complex planned for southeast Washington, D.C.GSA sought $212 million in 2012 for the DHS plan, including $76 million for the Coast Guard HQ. But a House panel zeroed out 2012 GSA new construction; Senate appropriators approved $65 million. If GSA gets zero, Peck says, “We're still going to open that [headquarters] in 2013.” If it gets $65
Two U.S. Corps of Engineers officials and two other men were arrested on Oct. 4 and charged with conspiracy, bribery, kickbacks and money laundering on two Corps contracts, the Justice Dept. says. U.S. Attorney for the District of Columbia Ronald C. Machen Jr. said, “This indictment alleges one of the most brazen corruption schemes in the history of federal contracting.”The case involves an indefinite-delivery/indefinite-quantity contract with a $1-billion-plus maximum value and a planned contract with a $780-million cap.Neither was competitively bid.The indictment, returned by a grand jury on Sept. 16 in U.S. District Court in Washington, D.C., and unsealed on
Photo courtesy of Caterpillar Inc./Mike Lavallier, photographer U.S. equipment makers see opportunities in trade deal with Panama, which has major infrastructure plans, including canal expansion. Related Links: U.S. Trade Representative office background material on the agreements U.S. construction equipment makers are expected to be among the industry sectors that stand to benefit from new trade agreements between the U.S. and South Korea, Columbia and Panama, government and industry officials say.The House and Senate approved legislation implementing the three trade pacts on Oct. 12. The House also passed a Trade Adjustment Assistance measure to help workers who lose jobs because of
Related Links: Q & A With Federal Railroad Administration Deputy Administrator Karen Rae Since July, the Federal Railroad Administration has pushed to obligate more than $2 billion for high-speed rail, most of it provided by the 2009 stimulus act and, since then, awarded to states and Amtrak. Obligations are a key milestone. Karen Rae, FRA deputy administrator, says, “It basically clears the way for project delivery, ranging from environmental [studies], preliminary engineering, final design and, in many cases, construction.” Industry firms welcome the new work because markets are tough and nearly all other American Recovery and Reinvestment Act infrastructure aid
