Extreme price increases continued in July for a wide range of goods and services used in construction, according to an analysis by the Associated General Contractors of America of government data released today. Association officials urged President Biden to immediately end tariffs and quotas on steel, aluminum, lumber and other essential construction items to help stave off inflationary pressure in the construction industry.
Construction Official Warns that Holding the Much-Needed Infrastructure Measure Hostage to Unrelated Partisan Priorities will Hurt the Economy and Deny Workers Good Career Opportunities
The construction industry added 11,000 jobs between June and July but nonresidential construction employment remains far below pre-pandemic levels, according to an analysis by the Associated General Contractors of America of government data released today. Association officials said nonresidential construction has been affected by declining demand for projects, particularly for public infrastructure work, and urged Congress to quickly pass the new bipartisan infrastructure measure.
On August 5, President Biden signed an Executive Order setting a new target to make half of all new vehicles sold in 2030 zero-emissions vehicles, including battery electric, plug-in hybrid electric, or fuel cell electric vehicles. The Executive Order also initiates development of long-term fuel efficiency and emissions standards. In conjunction with this Order, the Environmental Protection Agency and U.S. Department of Transportation will soon announce how they plan to counter regulatory action on efficiency and emissions standards developed by the previous administration. These announcements, along with increased consumer interest in electric vehicles, makes clear that Congress must seriously address the long-term solvency of the Highway Trust Fund. As more electric and fuel-efficient vehicles join the nation’s auto fleet each year, gas tax revenue, which provides the lion’s share of funding for building our nation’s highway and bridge infrastructure, will continue to decline.
This week the Senate is debating the Infrastructure Investment and Jobs Act, or commonly referred to as the bipartisan infrastructure bill. AGC has weighed in on a few of the amendments that have been offered and is monitoring to see if they will get a vote:
Associated General Contractors of America Details Measures Needed to Lead to a More Environmentally Friendly Built Environment, Also Outlines Steps Firms Can Take to Operate More Efficiently
Demand for different types of construction continued to diverge in June as residential construction increased for the month and the year while nonresidential construction spending fell again, according to a new analysis of federal construction spending data the Associated General Contractors of America released today. Officials noted the nonresidential declines include a steep drop in spending on highway and street projects and urged Congress to quickly pass a new, bipartisan infrastructure measure.
Due in part to AGC’s advocacy and others, a House fiscal year 2022 funding bill for the U.S. Department of Labor will not include a provision banning the construction industry from utilizing the H-2B seasonal guest worker visa program. The program provides temporary and seasonal workers when domestic workers are unavailable via a lottery process to a wide range of industries, including construction. Given the widespread worker shortages impacting the construction industry, AGC was very concerned of attempts to target and limit the industry’s ability to access the program. AGC will continue to advocate for immigration reforms that helps address construction workforce shortages.
The U.S. Department of Labor announced a final rule to rescind a Trump administration rule, “Joint Employer Status under the Fair Labor Standards Act” that took effect in March 2020. The rescinded rule included a description of joint employment the Biden administration believes is contrary to statutory language and Congressional intent. The U.S. District Court for the Southern District of New York vacated most of the rule in 2020.
On July 28, the Senate agreed, 67-32, to begin debate on a $1.2 trillion bipartisan infrastructure package. Ahead of the vote, the bipartisan group of senators announced it had resolved all major issues on the package. As a result of this initial vote, the Senate will consider the package over the coming days and, perhaps, weeks. However, an actual legislative bill detailing what is in the package has yet-to-be released or formally introduced as of July 29. When a bill is introduced in the Senate and, if passed, the bill will head to the House of Representatives for consideration. A 57-page summary of the bipartisan infrastructure package notes how it includes funding for a host of traditional, physical infrastructure. AGC appreciates and has fought for the significant levels of investment in the package and awaits actual legislative text before considering a formal association endorsement.