from Mark Smith, Advocate, California Builders Alliance
WSP Global has agreed to acquire TRC Companies for $3.3 billion, a move it says will make it the largest engineering and design firm in the US. "Joining forces will position our business for accelerated organic growth and create an integrated platform with industry-leading capabilities in advisory, engineering, and program management," WSP CEO Alexandre L'Heureux says.
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Full Story: Construction Briefing |
Engineering and construction mergers and acquisitions exceeding $1 billion are re-emerging in the US after a slow start to 2025, according to PwC. While M&A activity remains below 2024 levels, deal value has increased, driven by policy clarity and supply chain resilience. "Buyers are adapting to shifting US trade and industrial policy by using M&A to strengthen domestic capacity and reduce supply chain risk," PwC says.
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Full Story: Construction Briefing |
Granite Construction is optimistic about 2026 despite economic pressures such as tariffs, high interest rates and inflation. Senior Vice President of Construction Operations Brad Williams says the Infrastructure Investment and Jobs Act and private sector demand are driving a strong project backlog, and he expects an increase in adjusted EBITDA margin as Granite invests in automation and artificial intelligence. Williams also expresses confidence in the construction market through at least 2030.
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Full Story: Equipment World |
The AIA Architecture Billings Index has declined for a third consecutive month, with the November index falling to 45.3 from 44.3 in October. "There continues to be a significant amount of uncertainty in the economy, so it's not surprising that clients are hesitant to commit to new projects," says Kermit Baker, chief economist at the AIA. "Hopefully this decline in billings is short-term and design activity will begin to pick up in the new year."
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Full Story: The Architect's Newspaper |
Construction employment rose by 28,000 jobs in November, outpacing overall nonfarm payroll growth, according to the Associated General Contractors of America. Construction firms have added 58,000 jobs in the past year, mainly in the nonresidential sector. However, the industry faces a shrinking pool of authorized workers, with the number down by 1.2 million since January. The AGC recommends investment in workforce training and education as well as expanded immigration.
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Full Story: Associated General Contractors of America Engineering News-Record (tiered subscription model) |
The Trump administration's proposal to dismantle the National Center for Atmospheric Research in Boulder, Colo., has raised concerns among engineers and emergency planners about the potential impact on weather forecasting and infrastructure planning. The NCAR's data and models are vital for agencies such as the Federal Aviation Administration and the Army Corps of Engineers. The University Corporation for Atmospheric Research has not received formal guidance on the plan, and the National Science Foundation's budget request reflects a shift toward artificial intelligence and quantum science, with significant cuts to geosciences.
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Full Story: Engineering News-Record (tiered subscription model) |
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The US Department of Transportation has announced $1.5 billion in grants through the Better Utilizing Investments to Leverage Development program for fiscal 2026. The grants will be available to states and local agencies for projects that enhance safety, expand transportation options and improve infrastructure. Applications are due by Feb. 24.
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A group of Senate Democrats is criticizing the Environmental Protection Agency for the slow pace of loan closures under the Water Infrastructure Finance and Innovation Act, accusing the administration of creating bureaucratic obstacles. The financing slowdown is impacting multiple states, including California, Florida, Maryland and Nebraska, and lawmakers warn that it is stalling critical water projects needed to provide clean water and improve infrastructure.
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Full Story: E&E News |
Decorative concrete is evolving beyond simple overlays to become a key material in modern construction, combining aesthetics, performance and sustainability. "Decorative concrete now requires a hybrid skill set of aesthetic sensibility, materials science, environmental literacy, and digital fluency," writes Rich Cofoid of Euclid Chemical. "While the labor gap is growing, it's also an opportunity to invest in differentiation."
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Full Story: For Construction Pros |
The Colorado Department of Transportation has finished the largest wildlife overpass in the US, spanning six lanes of Interstate 25 near Larkspur. The I-25 Greenland wildlife overpass connects 39,000 acres of habitat and is expected to reduce wildlife-vehicle collisions by 90%.
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Full Story: KDVR-TV (Denver) |
The future of FEMA is uncertain after a federal court ordered the reinstatement of the Building Resilient Infrastructure and Communities program, which has funded nearly 2,000 projects with $4.5 billion. The Trump administration plans to appeal the ruling. Meanwhile, a crucial vote by the FEMA Review Council on the agency's future was canceled unexpectedly. The council's leaked recommendations include elevating FEMA to a Cabinet-level agency and privatizing the National Flood Insurance Program.
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Full Story: Engineering News-Record (tiered subscription model) |
Data center construction is increasingly constrained by grid access rather than land availability as utilities require significant power infrastructure upgrades before projects can proceed. A federal analysis prepared by Lawrence Berkeley National Laboratory indicates that electricity demand from data centers could nearly triple by 2030, driven by cloud computing and artificial intelligence, leading to regulatory measures such as Ireland's conditional grid-connection framework and similar actions in Northern Virginia and Texas. Developers are now incorporating on-site generation and battery storage early in project planning to meet these new requirements.
SmartTake: Data-center “sitework” is quietly morphing into utility-delivery work, and the real gating item is interconnection capacity and required substations/transmission upgrades, which pulls civil scope (grading, foundations, ductbanks, ROW/permits) onto the critical path before the shell ever goes vertical. Civil teams will likely treat grid access as a design constraint and schedule risk—pricing and phasing enabling power infrastructure early and future-proofing sites for behind-the-meter generation/storage or microgrid-style solutions so megawatts, not acres, determine when revenue starts. -- Evan
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Full Story: Engineering News-Record (tiered subscription model) |
Americans for a Clean Energy Grid has introduced the High-Capacity Transmission Permitting Tracker, a tool that shows the permitting status of major transmission projects. The tracker aims to address the lengthy and fragmented permitting processes that delay grid infrastructure development. It provides detailed information on roughly 200 projects, including their permitting stages, responsible agencies and core attributes.
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Full Story: Solar Power World |
President Donald Trump has signed the National Defense Authorization Act for fiscal 2026, allocating $900.6 billion to the Pentagon and national security initiatives, roughly $19 billion of which is allocated for construction projects. The legislation stipulates that the Department of Defense is authorized to use progressive design-build contracts for military construction projects.
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Full Story: WGY News Radio (Schenectady, N.Y.) Magnolia Tribune (Flora, Miss.) GovConWire |
California's new Wildland-Urban Interface Code is pushing builders away from wood-framed homes toward concrete construction to mitigate wildfire risks. The code, based on the 2024 International Wildland-Urban Interface Code, aims to make homes less vulnerable by addressing ignition points. Concrete homes, which are naturally fireproof, are becoming more attractive as wood construction faces rising costs and insurance challenges.
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Full Story: For Construction Pros |
AIS Infrastructure has announced the start of a $2 billion border infrastructure project across Texas, Arizona and California, indicating a revived phase of construction along the US-Mexico border. The projects, awarded by the US Department of Homeland Security and US Customs and Border Protection, include physical barriers, access roads and security systems. Fieldwork is scheduled to begin in January and last up to 36 months.
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Full Story: Engineering News-Record (tiered subscription model) |
Rudolph and Sletten has secured a $155 million contract to build the Diego Rivera Performing Arts Center at City College of San Francisco. The 78,000-square-foot facility will feature a 631-seat main theater, a recital hall and rehearsal spaces, with completion expected by fall 2028.
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Full Story: GuruFocus |
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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
