Industry Watch

• Report: Reconstruction in Iraq, Afghanistan fails to achieve goals
  A new government report has found that reconstruction plans in Afghanistan and Pakistan lacked a cohesive strategy and clear lines of communication among U.S. departments. The report, which is still in draft form, found the programs had not met the goals of rebuilding and modernizing infrastructure and described the reconstruction effort in Iraq as a failure. The Washington Post (12/15) , The New York Times (12/13)

• California fund moves forward with $2.1B mixed-use project
  Investment fund Stockbridge Real Estate Funds will proceed with plans to demolish a race track and build a a three-phase, $2.1 billion mixed-use redevelopment in Inglewood, Calif. Executives hope the economy will have recovered by the time the development is completed. Stockbridge has enough capital to begin construction in August and is confident that it can acquire more funding at a later date, executives say. Los Angeles Business Journal (free registration) (12/15)

• Weak market could delay completion of WTC until 2013
  The recession could force the Port Authority of New York and New Jersey and private developer Larry Silverstein to delay construction of the World Trade Center until 2013. "We definitely have challenges on the commercial side of the project about timing and raising capital. Those are the things we are talking to Silverstein about," said Port Authority Chairman Anthony Coscia. Meanwhile, the economic recession has made it difficult to secure financing for office projects. Nevertheless, Silverstein has indicated that he will build the project despite obstacles in the market. The Wall Street Journal (12/15)

• Maryland County reaches agreement for natural gas power plant
  Maryland's Charles County has reached an agreement with Competitive Power Venture to build a $500 million natural gas power plant considered a vital part of energy planning for the Washington, D.C., region. The agreement calls for CPV to purchase polluted reclaimed water to cool a facility that will power about 600,000 homes. Construction on the project is expected to start next summer, and CPV is looking for money to finance the 14-mile pipeline for the water. The Washington Post (12/14)

• Other News

• Rutgers cuts size of stadium expansion
  The Star-Ledger (Newark, N.J.) (12/12)

• Northern Kentucky works on $70M infrastructure dream list
  The Cincinnati Enquirer (12/14)

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Market Update

• Florida, Utah have greatest need for infrastructure funding, group says
  More than a quarter of the $64.3 billion in infrastructure projects that could be funded through an economic stimulus package are located in Florida and Utah, according to a list compiled by the American Association of State Highway and Transportation Officials. Meanwhile, declining revenue has forced several states to delay or cancel infrastructure projects. In addition, observers say it is unlikely that lawmakers will approve the full $64.3 billion in funding. Engineering News-Record (12/11)

• AGC calls for stimulus to include road, bridge and other infrastructure work:  The Knoxville News-Sentinel (Tenn.) (free registration) (12/15)

• Construction spending dips in Minnesota, mirroring national trends
  Spending on construction projects continues to decline in Minnesota, with one industry report showing a 36% drop in the dollar value of nonresidential construction through the end of October from year-earlier levels. The trend is pervasive throughout the U.S., and even governments and nonprofits are struggling to get bonds approved to finance construction projects. Experts say they do not expect a recovery in the construction market any time soon. Star Tribune (Minneapolis-St. Paul, Minn.) (12/14)

• Oil firms hold off on exploration projects
  Oil companies are holding off on signing new contracts for steel and labor for drilling rigs as they wait for the costs of such projects to come down. "If you're looking at a go/no-go decision now, and steel prices are going down, a typical deep-water project gets a quarter of its cost from steel," noted IHS Energy analyst Candida Scott. "If in six months you're going to see that cost come down, it gives pause to the amount of money you're about to spend." Houston Chronicle (12/13)

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Product Innovation & Technology

• Northwest utilities hope to build up green wind power
  A large public-works project in the Northwest could spread green wind power throughout the region and create 50,000 new jobs. Large wind farms are now generating 2,000 megawatts of electricity in Washington, Oregon and Utah. However, limited capacity on existing transmission lines is creating challenges for utilities interested in developing renewable energy resources. The Idaho Statesman (Boise) (12/14)

• Hydropower reemerges as a viable alternative to fossil fuels
  The growing emphasis on clean energy and the high cost of coal has renewed interest in hydropower. Pennsylvania Power and Light is among the utilities investing in hydropower, and it will spend $350 million on what will be the first new hydroelectric plant in the East in 20 years. delawareonline/USA Today (12/14)

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Hot Topics

Top five news stories selected by AGC SmartBrief readers in the past week.

• Dam project reveals remnants of California ghost town (San Jose Mercury News (Calif.))

• Industry trends in the downturn: A snapshot (The McKinsey Quarterly)

• More than 5,000 road projects ready for funding, group says (Las Vegas Sun)

• Report predicts construction downturn through 2010 (Associated Construction Publications)

• Comments by Illinois governor taint construction project (Chicago Tribune)

• Results based on number of times each story was clicked by readers.

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News From Washington

• Obama plan to boost the economy includes transportation projects
  Transportation projects will play an important role in helping the economy recover under President-elect Barack Obama. In addition to rebuilding roads and bridges, Obama's approach includes building better trains capable of moving goods more efficiently, encouraging people to get out of their cars, and using less gasoline. "Now is the time to invest in our future and strengthen our core infrastructure," Obama wrote in a recent letter to groups interested in transportation and environmental issues. "With unemployment rising, these investments are even more important." USA TODAY/The Associated Press (12/13)

Association News

• Managing your environmental responsibilities
  Easily identify and fulfill the federal environmental requirements for your construction and development projects with this guidebook. You'll find seven self-audit checklists in this book, originally published by EPA in 2005, to help you evaluate your compliance status through all three stages of your project, from pre-bid to pre-construction and construction. Includes Part I and II. 236 pages. 2006. To purchase copies, visit www.agc.org/bookstore, item #3215.

• AGC offers construction Tool Box Safety Talks DVD
  This DVD contains more than two hours of video (30 titles) of the most used Tool Box Safety Talks for construction jobs. You'll be able to select videos by title with just one click. Each video topic is an average of five minutes in length. Topics include: Chemical Safety, Compressed Gas Safety, Construction Equipment Maintenance, Crane Signals, Cut-off Saw, Safety, Environmental Hazards, Eye & Face Protection and much more. To purchase copies, visit www.agc.org/bookstore, item #0550D.

SmartQuote

Opportunity is missed by most people because it is dressed in overalls and looks like work." -- Thomas Edison, American inventor