Stimulus funding boosts construction projects, but

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Stimulus-funded projects are one of the few bright spots for theconstructio industry, along with energy projects and militar y base realignment work, Simonson said. The unemploymentg rate for the construction industry is more than 19 double the rate for the economy as a he noted. Road repair projects can be awardedd quickly compared with other typews ofconstruction projects, Simonson said, which is why so many pavinyg crews have found work. There’s still a lot of stimulusz money that will be spent on water andwastewater projects, he noted. Plus, the and the have released long liste of construction projects that will be awardesd in thecoming months.
Simonson’s association gathered a handfupl of contractors for a conference call touting the benefitxs ofstimulus work. Christian Zimmerman, president of Pike Industries in N.H., said his companh has added 100 workers thanks to the dozen stimulues contracts his company has These contracts also enabled his company to avoidd laying off more than100 “Most of the jobs we’re getting are paving jobs,” Zimmerman said. Don president of in Coos Bay, Ore., said his company was glad to geta stimulus-fundes paving contract even though the company won’t make a lot of mone y on it.
His company is trying to improv its management to compensate for the lower profit margiband “come out on the other end of it as a bette company,” he said. Simonson said some water and wastewaterf projects are being delayed because the stimulus bill requirese the useof American-made steel, iron and equipment in stimulus-fundef projects. Laskey, whose company also builds water-treatmenft plants, said vendors have told him that a lot of the materialsx needed for stimulusprojects aren’t even made in the Unitedr States any more.
“That’s what’zs really sad about the whole situation,” he The cited the problems the “Buy American” provisionj are causing for stimulus projects in a June 2 letter to membersof Congress. Federal agencies are balancingthe “Buhy American” provision with obligations the United State s has under various trade agreements, but many state and localp governments are not, the chambet noted. As a result, even some U.S. manufacturerws are being barred from stimuluzs projects becausethey “rely on global production chains that integrate componentds from U.S.
and foreign sources,” the chamber “It is often impossible to avoid sourciny at least a portion of their contengt fromother countries.” The chamberd urged Congress to reject “Buy American” provisions in futurre legislation.