Monday, August 31, 2009

ALI Releases Revamped Website

The American Ladder Institute (ALI), the national trade association representing the North American ladder industry, has released an upgrade of its primary Website, www.americanladderinsitute.org.

ALI.org is the primary source for consumers seeking ladder safety information. Professional and in-home users can access information about ALI’s standards, basic ladder safety procedures, and the value of ALI membership. ALI’s current safety programs, such as the new ladder safety Website and the soon to be released Multimedia Training Program are featured.

Board member Tom Schmitt of Louisville Ladder gives the site a thumbs-up. "The new site looks really good," he says. "I also found it easy to navigate through the material."

ALI is the American National Standards Institute (ANSI) approved developer of standards for the ladder industry. American National Standards are intended for use by manufacturers, consumers and the general public. ALI develops the following standards:

• A14.1 - Wood Ladders
• A14.2 - Portable Metal Ladders
• A14.3 - Fixed Ladders
• A14.4 - Job Made Wooden Ladders
• A14.5 - Portable Reinforced Plastic Ladders
• A14.7 - Mobile Ladder Stands and Mobile Ladder Stand Platforms
• A14.9 - Ceiling Mounted Disappearing Climbing Systems

All standards are available for purchase from ALI at www.americanladderinstitute.org.

Tuesday, August 25, 2009

FMI releases Nonresidential
Construction Index for Q3 2009

The NRCI index for the third quarter is 44.8 and essentially unchanged from the second quarter reading of 45.0. This result leads us to think we are seeing the bottom of this long recession for nonresidential contractors. However, there isn’t much this quarter indicating recessionary conditions, for nonresidential contractors at least, are going to end soon.

Most panelists see the short-term outlook as slightly less bad than last quarter, and we will take that as a good sign, even if a small one. A more important and telling sign is seen in this quarter’s results for the one to three year outlooks for major construction markets. Panelists have reigned in their longer-term optimism, which seems to signal they are expecting a protracted recovery.

The American Recovery and Reinvestment Act (ARRA) hasn’t yet been that stimulating for nonresidential construction and has led to a certain amount of frustration in the responses this quarter. The hope for a quick recovery has faded, and contractors are now slugging it out in the trenches trying to keep their backlogs full and facing increasing competition.

Nonetheless, this recession will end, and when it does, there is a growing sense that there will be a lot of changes in the industry. For instance, panelists expect much more work will come from the public sector than from private owners as the recession recedes, and the move to green construction continues to represent a growing trend.

NRCI Third Quarter 2009 Highlights:

* Overall Economy: Panelists sense the overall economy is improving significantly from last quarter with this NRCI component moving from 34.9 to 43.5. Note, this is still in recession territory, but moving in the right direction.

* Overall Economy Where Panelists Do Business: Looking closer at home markets, panelists are slightly less glum about the outlook than last quarter with a component index score of 37.1 compared with 34.5.

* Panelists’ Construction Business: In the early stages of the recession, when panelists were still working on long backlogs, their markets and businesses were markedly better than the overall economy. That has now changed as panelists’ backlogs have slowly declined from a median of nine months last quarter to eight months this quarter. Even though they expect those backlogs to continue to decline next quarter, they see their business as slightly improving to 35.7 compared with 32.2 last quarter.

* Cost of Materials: Although panelists still see material prices going lower, there are signs that, in general, material prices are beginning to stabilize with 60% of panelists reporting no change from last quarter, giving us a component index of 63.8 compared with 77.1 last quarter.

* Cost of Labor: Like materials costs, labor costs appear to be stabilizing and may even show some signs of rising as the index changed slightly from 54.7 last quarter to 52.2 this quarter.

* Productivity: Productivity increases remain in the positive range as contractors struggle to be more efficient in the face of greater competition and lower profit margins. The component index for productivity is down slightly to 62.4 compared with 63.3 last quarter.

* Delays and Cancellations: Delays and cancellations continue to plague nonresidential construction, and are currently unchanged from last quarter with delays running at 20% or four times a normal rate, and cancellations occurring at five times normal. As reported by one panelist, one reason this figure isn’t worse is due to projects being cancelled or delayed while still on the drawing board.

* Effects of the American Recovery and Reinvestment Act (ARRA): Only 21.9% of panelists are seeing some work trickle into their backlogs from the ARRA funds. Few panelists in the nonresidential construction markets expect the ARRA to stimulate their business. At best, it is helping to replace some work that would have been lost due to the recession. At worst, it may be causing delays in some publicly funded projects, creating a bureaucratic morass and leading to fierce competition in already tight markets.

Tuesday, August 18, 2009

WCOE announces fall meeting conference

Women Construction Owners and Executives USA has set its fall meeting for Monday, Sept. 14, 2009, at Caesars Palace in Las Vegas. The all-day conference will include speakers on the Las Vegas Construction Scene as well as a panel discussion on government policies, stimulus construction spending and disaster contract terms. Cost is $200 for non-members.

For more information contact info@wcoeusa.org or call 800-788-3548

Economy brings end to SAHBA-SACA affiliation

Due to ongoing economic stress in the home building and development industry, the 4 1/2-year business affiliation between the Southern Arizona Home Builders Association (SAHBA) in Tucson and the Southeastern Arizona Contractors Association (SACA) in Sierra Vista has ended by mutual agreement.

SAHBA and SACA affiliated on Jan. 1, 2005, to strengthen the political and economic impact of the region's building industry. SACA’s approximate 90 members in Cochise County were rolled into SAHBA's significant organizational, political, community service and educational structure.

SAHBA Interim President Art Flagg said the decision to end the alliance "was extremely difficult and done with deep regret. In just a short period of time, together we had raised the profile and credibility of the construction industry with State and local legislators, and the general public."

In addition to working on regulatory and legislative issues, the two associations had worked together on member education and events, community service and the SACA Home Show.

SAHBA represents 675 member businesses and 30,000 jobs serving the residential construction industry in Pima and Cochise counties.

Arizona Contractors Association Inc.
to present luncheon on weatherization

In June, Arizona's Weatherization Assistance was approved by the U.S. Department of Energy. This means nearly 40 percent (22.8 million) of Arizona's $57 million program is on its way to the State's Energy Office. Arizona will improve a minimum of 8,700 homes under this program.

Who Should Attend?
If you are a business (interested in partnering with this program), a vendor (interested in selling products, materials or supplies), an energy technician (interested in job opportunities), a construction worker (interested in job training) or a contractor (looking to move into the weatherization industry)

At this luncheon you will learn about the following:
* Arizona's Weatherization Assistance Program
* How your company can participate
* How to navigate through the Government Paper Work
* What it costs to be in the business of Weatherization


Visit http://weatherization.eventbrite.com to register and get more information on this event.