As the recession plods on with very few signs of recovery, construction industry groups have actively started pressing President Obama and Congress to pass bills that will stimulate job growth in the construction industry. The letter, sent jointly from 45 groups to the president and leaders from both parties, outlines the need for some kind of stimulus in the industry.
Worse, the jobs outlook continues to be grim. Various industry forecasts show no recovery in construction for the remainder of this year. Most construction projects valued at less than $5 million are stalled due to lack of financing, and more broadly, 21 percent of all construction projects are stalled due to the lack of available financing.
The groups then outline a series of proposals they say will stimulate new construction and create jobs. The Air Conditioning Contractors of America outlines the proposals.
- Pass surface transportation, aviation, water resources, and clean water and drinking water infrastructure authorizations to create immediate jobs and rebuild our country.
- Provide certainty to the marketplace by passing appropriations bills for the remainder of fiscal year 2012.
- Extend expiring tax provisions in order to give businesses the confidence to engage in longer-term planning such as the 25c tax credit.
That’s a pretty long list of prominent groups that – although they obviously have a lot to gain from legislative action – have a good measure of clout and represent a wide swath of people in the construction industry. This being an election year, it’s tough to see how anything is going to happen in the short term, but it’s incredibly easy to see why action is needed quickly.