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230 N. Washington Sq.
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Lansing, MI 48933
Phone: (517) 853-2545
Fax: (517) 853-2546
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ABC Praises House Passage of Stronger, More Flexible Graduation Requirements
Associated Builders and Contractors of Michigan (ABC) praised the Michigan House of Representatives on the passage of House Bills 4465 and 4466 to strengthen Michigan high school graduation requirements by allowing greater access to rigorous skilled trades and vocational training options.
"Passing legislation that offers high school students a real opportunity to complete CTE, skilled trades, and vocational training is an important educational improvement for Michigan and our future workforce," stated Chris Fisher, president of ABC. "Strengthening high school graduation requirements will help ensure that Michigan has a well-educated and skilled workforce that is able to meet the growing demand for highly paid, twenty-first century skilled trades jobs."
House Bills 4465 and 4466 revise Michigan high school graduation requirements so students have greater flexibility to pursue rigorous and relevant career-ready CTE, skilled trades and vocational educational options that count toward a high school diploma. The bills will also clarify the ability to pursue a personalized curriculum developed by the student, parents, teacher and school district to meet a student's specific needs.
"ABC is devoted to a well-educated and highly skilled workforce," added Fisher. "We are encouraged that a bi-partisan supermajority of lawmakers, business groups and education associations are supportive of this common sense issue and appreciate their commitment to opening up opportunities for students to succeed in a rewarding skilled trades career."
The legislation now advances to the Senate. |
South Carolina Becomes the 17th State to Ban Government-Mandated PLAs
ABC celebrated a victory June 10 after South Carolina Gov. Nikki Haley (R) signed a bill (S.438) into law that will prohibit state government entities from requiring contractors to sign a project labor agreement (PLA) with labor unions as a condition of performing work on public construction projects.
"There is no question that construction labor union bosses in other states are using these types of mandates to steer public construction projects to contractors who are willing to accept their onerous demands and this new law will protect South Carolina taxpayers from this kind of abuse," said ABC Carolinas Chapter President & CEO Doug Carlson.
PLA and other union-only mandates have been found to increase construction costs by an average of 12 percent to 18 percent-and more in some cases.
"The new law ensures taxpayers will get the best possible construction project at the best possible price by increasing competition, reducing waste and eliminating special interest handouts to labor bosses," said ABC Vice President of Federal Affairs Geoff Burr.
South Carolina is the 17th state to take action to protect taxpayers and the vast majority of the construction industry workforce from wasteful and discriminatory PLA mandates. It's the 13th state to enact reform since President Obama issued Executive Order 13502 in February 2009. The executive order encourages federal agencies to require PLAs on federal construction projects costing more than $25 million and allows state and local governments to require PLAs on federally assisted projects. |
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Non-Residential Construction Spending Increases in April
After a disappointing March, the nation's nonresidential construction industry bounced back moderately in April. According to the June 3 release by the U.S. Census Bureau, nonresidential construction spending increased 0.7 percent in April, with outlays increasing to a seasonally adjusted annualized rate of $552.45 billion. However, nonresidential construction spending is down 2.1 percent from one year ago.
Privately financed projects primarily drove spending gains in April, with private nonresidential construction spending rising 2.2 percent for the month and 0.6 percent on a year-over-year basis. Public nonresidential construction spending dipped 1.1 percent for the month and is down 5.2 percent compared to April 2012.
Eight of the sixteen nonresidential construction sectors posted increases in spending for the month, including power, up 7.8 percent; sewage and waste disposal, up 7.7 percent; and public safety, up 5.6 percent. Spending in other growth sectors was up less than 1 percent. Five sectors have registered increases in spending on a year-over-year basis, including lodging, up 16.6 percent; transportation, up 11.4 percent; manufacturing, up 2.1 percent; commercial, up 1.9 percent; and office, up 1.6 percent.
In contrast, eight nonresidential construction sectors experienced spending declines for the month, with the largest decreases were in religious, down 11.3 percent; conservation and development, down 5.6 percent; and communications, down 4.6 percent. Sectors recording the largest losses from one year ago include conservation and development, down 11.5 percent; educational, down 10.7 percent; and amusement and recreation, down 10.5 percent.
Residential construction spending slipped 0.2 percent for the month, but is up 18.3 percent from the same time last year. Total construction spending-which includes both nonresidential and residential spending-was up 0.4 percent for the month and is up 4.3 percent from April 2012.
Analysis:
"The dominant theme associated with today's report on the nation's nonresidential construction industry continues to be slow and steady," said Associated Builders and Contractors Chief Economist Anirban Basu. "While weather and other factors can impact monthly performance, the industry continues to be poised for slow spending growth.
"Nonresidential construction tends to lag the performance of the overall economy," added Basu. "The broader economy continues to expand at a roughly 2 percent pace and is closing in on completing four years of economic recovery. The implication is that nonresidential construction spending will also continue to recover, but only gradually.
"In the larger context, at least four aspects of the broader economy that are expanding more briskly than construction," Basu stated. "These include energy production, housing, consumer spending on automobiles and financial markets.
"The performance of these economic segments helps explain the increase in spending observed over the past year in categories such as power, commercial, lodging and office," said Basu. "With consumer spending continuing to rise and the nation continuing to add jobs each month, the expectation is that these and many other private segments will continue to recover over the course of 2013.
"Meanwhile, weak state and local government budgets continue to plague the recovery," Basu remarked. "Though some state budgets have improved materially in recent years, many states continue to wrestle with long-term deficits in their pension and healthcare funds, which will continue to suppress public construction investment in the near future."
For more economic information visit ABC's Construction Economic Update page. |
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Associated Builders and Contractors of Michigan is a statewide trade association, working in partnership with three local chapters, dedicated to providing Michigan with high-quality, affordable, safe and on-time construction. ABC of Michigan is an equal opportunity organization that opposes all discrimination in the construction industry including discrimination based on union affiliation. A leading construction industry voice with state government, ABC provides many member services including legislative advocacy, networking opportunities, member benefits, legal updates, business development and educational opportunities. |
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