from Mark Smith, Advocate, California Builders Alliance
Some of you ask what the Legislature does with 2500 bills every year…..read on!
With 830 bills in the dreaded Senate and Assembly suspense files, legislators were busy Thursday killing about a third of them, write CalMatters Capitol reporters Sameea Kamal and Jeanne Kuang.
Bills that got the ax included a handful of high-profile crime measures:
- Sexual violence: A bill by Senate GOP leader Brian Jones of San Diego would have ensured that public safety is a priority for the State Department of State Hospitals when considering the conditional release of sexually violent predators. After it was nixed, Jones said that Assembly Democratic leaders are “now complicit in helping the Newsom Administration protect these predators over families.”
- Fentanyl and threats: Two bills by former-Democratic-now-Republican Sen. Marie Alvarado-Gil of Modesto would have classified two crimes as felonies: Carrying a loaded firearm while in possession of fentanyl and making general threats against a school or a place of worship.
After the appropriations committees finished, more than 500 bills are still alive. But these measures still must get final legislative approval by Aug. 31 to head to Gov. Gavin Newsom’s desk.
Among the proposals that did survive:
- Reparations: Three bills, including Senate Bill 1403 to create the California American Freedmen Affairs Agency, which would supervise state reparations programs.
- Octopus farming: Bans commercial octopus farming and the sale of the farmed creature. Animal rights activists say the practice is inhumane, even though it hasn’t started yet in California, reports CalMatters politics intern Jenna Peterson. Read more about the bill in Jenna’s story.
- Youth treatment: Expands reporting requirements for state-run facilities that treat young adults over the use of restraints and “seclusion rooms.” In response to its passage out of the appropriations committee, media personality Paris Hilton, a proponent of the bill, says it is critical “to hold these facilities accountable and increase transparency.”
Retail Sales Strong In July
The AP reports that the Commerce Department reported on Thursday that retail sales “jumped 1% from June to July, the biggest such increase since January 2023, after having declined slightly the previous month.” Adjusted for inflation, “sales rose about 0.8% last month.” Reuters reports that June’s originally-reported reading of no change was revised downward to a 0.2% decline. The Wall Street Journal reports, “Economists surveyed by The Wall Street Journal had expected retail sales rose just 0.3% in July.” The Washington Post reports that the report, along with strong Walmart earnings, “helped assuage investors’ fears of an imminent recession. Last week, the markets plunged on fears that the economy was headed for a downturn after a dour July jobs report.”
St. Louis Federal Reserve Bank President Signals Future Rate Cut As Risks Come Into The Foreground
Bloomberg reports St. Louis Federal Reserve Bank President Alberto Musalem indicated the central bank might soon reduce interest rates. Musalem believes inflation is nearing the Fed’s 2% target and the labor market no longer poses a risk to inflation. “The time may be nearing when an adjustment to moderately restrictive policy may be appropriate,” he said in remarks Thursday in Louisville, Kentucky. However, he also said that he doesn’t believe that the Fed has waited too long to cut rates. “There are risks of cutting too early or too much,” he said. Barron’s also reports.
July inflation drops to 2.9%, supporting Fed rate cut
US inflation decreased to 2.9% in July, possibly encouraging the Federal Reserve to cut interest rates at its upcoming September meeting. The drop in inflation, paired with recent economic uncertainties and a weaker job market, further strengthens the case for easing monetary policy. Full Story: Bloomberg CNBC The Wall Street Journal
Dodge: Planning momentum on the rise in several markets
The Dodge Construction Network's Dodge Momentum Index rose to 216.3 in July, a 7.9% increase from from the revised 200.5 recorded in June. "While data centers have had an outsized influence on nonresidential planning activity in recent months, more momentum is building across many other major sectors and diversifying the story behind July's growth," said Dodge's Sarah Martin. Full Story: Dodge Data & Analytics
Hotel construction pipeline up 9% Y-O-Y in Q2
The US hotel construction pipeline grew 9% year-over-year in the second quarter, reaching a record 6,095 projects, according to a Lodging Econometrics report. That also marked a 0.5% increase from the preceding quarter, while projects now under construction rose 10% from a year before and projects scheduled to begin construction within 12 months were up 5%. Full Story: Construction Dive
Construction adds 25,000 jobs in July
The US construction industry added 25,000 jobs in July, according to the Bureau of Labor Statistics, even as other indications pointed to a slowing economy. Specialty trade contractors accounted for the largest share of new jobs at 18,700, 11,300 of which were in the nonresidential sector. Ken Simonson, chief economist for Associated General Contractors of America, observes that "both residential and nonresidential construction firms are adding workers, and the industry's 'wage premium' is growing relative to other sectors." Full Story: Engineering News-Record (tiered subscription model)
Democratic VP pick seen as strong on infrastructure
Infrastructure is seen a consistent focus in the record of Minnesota Gov. Tim Walz, newly selected by Vice President Kamala Harris to be her running mate in the 2024 presidential election. "He's been a strong stalwart for infrastructure investment of all kinds," says Tim Worke, CEO of Associated General Contractors Minnesota Chapter, noting that Walz was able to secure a state record $2.6 billion infrastructure package in his second term. Full Story: Engineering News-Record (tiered subscription model)
Water infrastructure projects authorized by Senate
The Senate has approved a new Water Resources Development Act, which will provide roughly $6.7 billion for 13 new or modified projects for the Army Corps of Engineers along with 83 feasibility studies. The House and Senate versions of the legislation differ in that the latter includes language that would rework the cost-share ratio between general federal revenue and the Inland Waterways Trust Fund for inland waterway construction and major rehabilitation projects. Full Story: Engineering News-Record (tiered subscription model)
Permitting legislation may face hurdles
A permitting bill aimed at fortifying the electric grid and accelerating energy projects recently cleared the Senate Energy and Natural Resources Committee, but it could face a bumpy road ahead, as the White House's support for it is uncertain amid a volatile election year. Sen. Joe Manchin, I-W.Va., hopes "we'll have it done before the end of the year," but it's unclear if the bill's language to support clean energy will appease Democrats enough to get it to the finish line. Full Story: E&E News
How OSHA tackles heat-related safety issues
New rules proposed by OSHA to protect workers from excessive heat are not in effect, but the agency is nonetheless acting under its general mandate in this regard. David Sparkman examines what this means for employers and the penalties that have been and can be incurred when workers suffer heat-related illness or injury. Full Story: EHS Today
4 sectors posing tough challenges for contractors
While costs and shortages across the broader construction industry have eased, four sectors in particular continue to experience difficulties in the US and Canada, according to a report by JLL. The report explores the persistent challenges facing contractors with projects in advanced manufacturing, healthcare, life sciences and data centers, each with exacting design and geographic requirements. Full Story: JLL Real Views
Employers are being urged to update their electronic Form I-9 systems but may still use the most recent Form I-9 until May 31, 2027, according to the US Citizenship and Immigration Service. Form I-9 is used to verify a worker's identity and US work eligibility, with employers required to have one for each worker. Full Story: HR Dive
EPA GAO: Cyberattacks on water systems a major concern
A growing number of cyber criminals are targeting US water infrastructure and the Environmental Protection Agency must act fast to develop a strategy for safeguarding vulnerable sites, said the EPA Government Accountability Office in a new report. The White House and EPA are gathering input on water-focused cyber resilience efforts at the state level and working on a federal assistance program, but it isn't enough, asserts the GAO. Full Story: Construction Dive
DOL aims to clarify PLA wage rules
On Aug. 29, the Department of Labor will hold a webinar aimed at helping contractors comply with the Davis-Bacon Act and Service Contract Act's prevailing wage requirements for federally funded projects. Amid the uncertainty of an election year, it's possible that contractors are avoiding bidding on major federally funded projects until the longer-term regulatory landscape becomes clearer. Full Story: Construction Briefing
Market, high rates hobbling many EV industry projects
High interest rates and waning demand for electric vehicles are causing paused or delayed work on EV industry projects around the country. Sebastian Obando examines the situation and some examples, as observers note that phased construction on megaprojects is proving problematic with the need to seek new financing for each phase. Full Story: Construction Dive
7 of the latest technologies that accelerate projects
New technologies are helping contractors get the most productivity out of good summer weather. Construction Dive looks at seven of the latest offerings, including a more compact drywall robot, a scanning system to create digital twins in real time and a tool to help meet California's latest sustainability benchmarks. Full Story: Construction Dive
Latest developments in world of construction tech
The world of construction technology continues to evolve at a rapid pace. Jeff Yoders reviews some of the latest product introductions and business developments, including Ohio-based GPRS' recent acquisition of Boston-based Existing Conditions, a specialist in reality capture, 3D laser scanning and drone imagery. Full Story: Engineering News-Record (tiered subscription model)
US may waive Buy America rule for some gas items
The Pipeline and Hazardous Materials Safety Administration is seeking public comment on a proposal to temporarily waive domestic preference requirements under the Build America, Buy America Act for some products used in natural gas distribution. The agency says gas service risers and gas meters are currently "not manufactured in the United States in sufficient and reasonably available quantities or of a satisfactory quality." Full Story: Federal Register
Turner study seeks insights into heat exposure
Two hundred construction workers in the Midwest will be the subject of a study by Turner Construction to determine how summer heat affects them. Their vital signs will be monitored on the job to help determine how best to mitigate the effects of heat exposure. Full Story: Construction Dive
Millennials struggle more than boomers in housing market
Today's housing market is the toughest in decades, with millennials and Generation Z consumers struggling to buy starter homes. Home-buying affordability recently dropped to its lowest level since 1985, but unlike the 1980s, current buyers face high home prices and low supply. While mortgage rates are lower than the 18% seen in the 1980s, home prices have soared over 50% since 2019. Full Story: The Wall Street Journal
Lift platform makers take safety cues from users
Customer feedback is a key element for makers of lift platforms as they work to improve safe operations of their equipment. Lori Ditoro examines how different companies are responding to these and other concerns by offering greater reach, replacement of hydraulic components with electrical power, full-body harnesses and telematics and the internet of things. Full Story: For Construction Pros
FEMA, HUD adjust flood rules to changing climate
New federal rules for construction projects take into account the greater threat of flooding due to climate change. Sabine Rogers examines the rules issued this year by the Federal Emergency Management Agency and the Department of Housing and Urban Development and how they assess flood risk and apply to federally funded projects. Full Story: US Green Building Council
New program lets operators train on virtual Cat equipment
Simformotion has introduced Cat Simulators Collaborative Worksite Training, which lets as many as nine users simultaneously operate virtual excavators, dozers and trucks. The program aims to enhance teamwork and efficiency on jobsites by letting operators practice without the risk of injury or equipment damage. The system records performance and compares it against Caterpillar benchmarks. Full Story: Equipment World
Safety manager guides young women to construction
Carla Wynn, safety manager for Oklahoma City-based T&T Industrial's federal and state regulations, is bringing her 30 years of experience to bear as an instructor for middle-school girls considering a career in construction. In an interview, Wynn reflects on her career and the advice she offers younger women, noting that "construction is not just a man's world anymore." Full Story: Construction Dive
Calif. light-rail extension 90% complete
The project to extend California's Foothill Gold light-rail line in the San Gabriel Valley by 9 miles has reached the 90% completion mark. New photos issued by the Foothill Gold Line Construction Authority reveal the latest progress, with a finish now expected in a little more than five months. Full Story: Urbanize Media/Los Angeles
Construction begins on Reno, Nev., bridge replacements
Construction has begun on the Arlington Bridges Project in downtown Reno, Nev., to replace two deteriorating and nearly century-old spans over the Truckee River. Funding for the project comes under the bipartisan infrastructure law. Full Story: Transportation Today
Balfour Beatty building $140M Calif. airport skybridge
Construction has begun on a $140 million walkway at Sacramento International Airport. Balfour Beatty US is building the 1,312-foot skybridge with four moving walkways, four escalators and three elevators to link terminal B to concourse B. Full Story: Global Construction Review (UK)
L.A. Olympics name Autodesk retrofit platform
Autodesk has been selected as the Official Design and Make Platform of the Los Angeles Olympics in 2028 for its role retrofitting existing buildings to accommodate the event. Los Angeles will be following the Paris Olympics model of retrofitting existing structures for the games, with LA28 embracing more than 40 venues for competitions and other purposes. Full Story: The Architect's Newspaper
$5B FTA grant advances BART extension
A Federal Transit Administration grant of $5.1 billion is advancing plans by California's Bay Area Rapid Transit to carry out the second phase of its Silicon Valley Extension, according to officials. The project is expected to create 75,000 construction jobs, as well as long-term positions as it adds four more BART stations. Full Story: KGO-TV (San Francisco)
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Mark Smith
Advocate
California Builders Alliance
5370 Elvas Avenue ǀ Sacramento, CA 95819
Cell: 916.335.5072
Email: mark.smith@calbuilders.org
Email: mark@smithpolicygroup.com
