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The Dodge Momentum Index climbed 7.5% in August, reaching 301.4, driven by an 8.7% rise in commercial planning and a 5.4% increase in institutional planning. The index is up 30% year to date, with significant contributions from data centers, warehouses and hotels. Dodge Construction Network's Sarah Martin notes that the index indicates stronger construction activity in late 2026 or early 2027, despite ongoing economic uncertainty.
Construction employment fell by 7,000 jobs in August, remaining largely unchanged since December, according to the Associated General Contractors of America. The decline is attributed to project cancellations and delays caused by tariffs, labor shortages and heightened immigration enforcement. AGC Chief Economist Ken Simonson notes that nonresidential construction has stalled, and the unemployment rate for construction workers ties a record low of 3.2%, likely due to workers leaving the industry to avoid immigration enforcement.
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The Producer Price Index from the Bureau of Labor Statistics saw an unexpected 0.1% decline in August, marking the first drop since April. However, construction input prices have risen 2.3% year over year, and nonresidential construction input prices have increased 2.6%. Iron and steel prices have increased 9.2% year over year, and copper wire and cable prices have risen 13.8%.
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Full Story: Hardware + Building Supply Dealer |
Lumber futures have dropped 25% since August, contradicting expectations following new duties on Canadian lumber. Expert Russ Taylor attributes the decline to overproduction and stockpiling by mills in anticipation of the duties. While US housing starts have increased, demand for lumber remains low due to high interest rates, and Taylor predicts it will take months for the market to rebalance.
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Full Story: Mortgage Professional America The Wall Street Journal |
Construction Suicide Prevention Week has begun with contractors nationwide participating in events to raise awareness about mental health issues in the industry. The week includes stand-downs, moments of silence, and educational sessions such as toolbox talks and webinars. Construction has one of the highest suicide rates among occupations, according to the Centers for Disease Control and Prevention, highlighting the importance of ongoing mental health initiatives.
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Full Story: Construction Dive |
Leader calls construction labor crisis a ‘national security issue’
WASHINGTON — Shovels cannot break ground if no one’s there to hold them. Industry leaders stressed that takeaway at the Elevate 2025 conference on Sept. 4 in Washington, D.C., where George Guszcza, president and CEO of the National Institute of Building Sciences, framed the construction workforce crisis as a national security threat. “When you look across the entirety of the built environment, the gap that is created has risen to the level of a national security issue and requires us, as a country, to look hard, to look deep, to make sure that we are doing what is necessary,” Guszcza said. The discussion at the conference underscored that although many small-scale programs show promise, systemic alignment is still missing.
The Environmental Protection Agency plans to reform its New Source Review preconstruction permitting rules to expedite data center and power generation projects. The reforms will allow non-emissions-related construction, such as installing cement pads, to begin before a Clean Air Act permit is issued, says Lee Zeldin, administrator of the EPA. The initiative, part of the Powering the Great American Comeback plan, aims to boost industrial capacity while maintaining environmental safeguards amid industry concerns over permitting delays.
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Full Story: Construction Briefing |
New employees in industries such as warehousing, logistics and construction face a higher risk of workplace injuries during their first year, according to a Travelers analysis and OSHA. This trend is driven by limited experience, insufficient training, language barriers, and unfamiliarity with safety protocols, with a high demand for workers and an aging workforce exacerbating the situation.
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Full Story: Occupational Health & Safety |
Hitachi Energy has unveiled its HyFlex mobile hydrogen fuel-cell generator at a construction site demonstration in the Netherlands, where it charged a battery-electric excavator. The 500-kilovolt-ampere generator could save up to 800 tons of diesel annually and reduce carbon emissions by 2,900 tons, and it is nearly noise-free and emits only water.
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Full Story: Equipment World
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A House Appropriations subcommittee has proposed budget cuts for OSHA, the Mine Safety and Health Administration and the National Institute for Occupational Safety and Health. The proposal would cut NIOSH's budget by 14%, while MSHA would see a 10% cut and OSHA would see an 8% cut. The Senate has proposed maintaining or increasing funding for the agencies.
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Full Story: Safety + Health |
Anthony Pacilla, a master plumber with McVehil Plumbing, outlines strategies for profit growth in the utility construction industry, emphasizing value-neutral diversification and optimizing incentives and resources. Pacilla advises businesses to conduct market research, form strategic partnerships and expand services without compromising core competencies. He also highlights the importance of performance-based incentives, efficient resource management and cost optimization to maximize profitability.
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Full Story: Dig Different |
California Gov. Gavin Newsom has issued an executive order to expedite permitting for clean energy projects to qualify for federal tax credits that are set to expire. The order requires agencies to identify and fast-track solar, wind and battery storage projects that can meet the new federal deadlines of showing significant physical work by July 4, 2026, and being operational by the end of 2027. At a more local level, the city of Lancaster, Calif., is partnering with Labrynth to integrate the company's artificial intelligence-based permitting platform into the city's system to speed up approvals and eliminate bottlenecks. "This wasn't off-the-shelf software," says Lancaster Mayor R. Rex Parris. "It was co-designed to work for California's regulatory landscape and for the pace of development our community demands."
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Full Story: Engineering News-Record (tiered subscription model) Construction Dive |
Los Angeles International Airport is planning a major renovation of its central terminal area ahead of the 2028 Summer Olympics. The project, led by Hensel Phelps, Krueck Sexton Partners and Studio-MLA, includes improvements to 1.2 miles of roadway, new lighting, enhanced crosswalks and over 3.2 acres of new landscaping. The renovation aims to create a more appealing environment for passengers and address outdated infrastructure.
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Full Story: Urbanize Media/Los Angeles |
A proposal by California Gov. Gavin Newsom to expedite the construction of a 45-mile water tunnel beneath the Sacramento-San Joaquin River Delta has failed to advance in the state legislature, prompting Newsom to try again next year. While supporters such as the State Water Contractors and Californians for Water Security argue that the tunnel is vital for modernizing the water system and ensuring reliability amid climate change, opponents including environmental groups and Sen. Jerry McNerney say that the project is too costly and could harm the delta ecosystem.
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Full Story: Los Angeles Times (tiered subscription model) (9/11) |
California's high-speed rail project is set to receive $1 billion annually from the state cap-and-trade program for 20 years, securing funding for the Central Valley segment and potentially attracting public-private partnerships. The project, which is $100 billion over budget and has faced funding challenges, including the Trump administration's attempt to pull $4 billion, is seen as vital for the state's economy and transit innovation.
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Full Story: Los Angeles Times (tiered subscription model) (9/12) |
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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
