After six months of steadily increasing demand for design services, the Architecture Billings Index (ABI) paused in November. As a leading economic indicator of construction activity, the ABI reflects the approximate nine to twelve month lead time between architecture billings and construction spending. The American Institute of Architects (AIA) reported the November ABI score was 49.8, down from a mark of 51.6 in October. This score reflects a slight decrease in design services (any score above 50 indicates an increase in billings). The new projects inquiry index was 57.8, down from the reading of 61.5 the previous month.
When it comes to capital improvement projects, healthcare providers across the board are looking to reduce costs and shorten construction schedules while still seeking high-quality design and building materials. While this may seem like a lofty aspiration, modular building systems are stepping in to make it a reality.
Construction firms added jobs in 34 states over the past 12 months, but construction employment declined in 32 states and the District of Columbia between November and December as many parts of the country coped with weather, according to an analysis released today by ԹϺ of America of Labor Department data. Association officials noted that while weather in parts of the country likely contributed to many of the declines, they urged Washington officials to take steps to ensure continued growth for the industry and the economy.
The U.S. Environmental Protection Agency (EPA) recently announced that it plans to survey general contractors regarding their recent renovation, repair and painting (RRP) activities in public- and private-sector commercial buildings. EPA has asked for public comment by Feb. 4 on the scope and clarity of the questions included in its draft Information Collection Request (ICR), as well as its underlying assumptions and burden/cost estimates. EPA is taking these steps because it needs more data on whether or not RRP activities in buildings expose the public to lead-based paint (LBP) dust. If EPA determines such activities create LBP “hazards,” the agency will write additional rules that will apply to building contractors.
Many contractors will find more projects to bid on in 2014 than they have in the past five years. Judging by recent producer price indexes, they should be spared most materials price shocks. However, labor availability will become an increasing concern.
The ԹϺ Construction Marketing Forum was recently renamed the ԹϺ Business Development Forum. The decision to rename the Forum is based upon the results and feedback the Steering Committee received from the ԹϺ Construction Marketing Forum Visioning Survey that Forum members participated in over the summer.
August showed further improvement in billings at U.S. architecture firms. The Architecture Billings Index (ABI) score of 53.8 for the month reflected the strongest growth in activity in six months, and marked the twelfth time in the past 13 months that design activity has increased nationally. The strength in recent readings in the ABI, coupled with the extended period that architecture firms have been reporting generally favorable conditions, points to an impending healthy upturn in nonresidential activity. Read the complete article here.
ԹϺ of America’s awards season is well underway, and with the Nov. 1 deadline for both our ԹϺ/Alliant Build America Awards and ԹϺ in the Community competitions fast approaching, we wanted to encourage those who have not yet submitted for either or both of these competitions this year to do so soon! Build America is all about honoring ԹϺ members who build the nation's most impressive construction projects ranging across the building, highway and transportation, utility infrastructure, and federal and heavy divisions. ԹϺ in the Community is an initiative of ԹϺ Charities Inc., designed to highlight the community service projects done by member companies and ԹϺ Chapters. These award programs give your company the chance to be recognized for the outstanding work you do, both in the industry and for your community. Apply today!
The ԹϺ Building Contractors Conference was held Oct. 16-19, 2013, at The Broadmoor in Colorado Springs, Colo. and was a huge success. This year’s event brought together senior-level contractors, large project owners and other key industry stakeholders. The Conference’s theme was “Increasing Your Firm’s Productivity through Industry Innovations.”
Total construction spending hit an unknown level in August because the Census Bureau was unable to release new data as a result of the federal government shutdown according to ԹϺ of America. Association officials cautioned that the impacts of the shutdown will go beyond data as solicitations for many new construction projects come to a halt.