Calling on Congress in 2010

The advocacy group Building America's Future and various stakeholders recently called on Congress to facilitate private investment, economic growth and the creation of jobs through transportation and infrastructure investments. The bipartisan group includes some high-profile members with strong words for Washington.

"A diverse group of organizations and elected officials are standing together to illustrate the support and urgent need for smart infrastructure investment to get our economy moving in the right direction," said California Governor Arnold Schwarzenegger, co-chair of Building America's Future.

"We would prefer to see Congress pass a fully reformed six-year transportation bill," said Pennsylvania Governor Ed Rendell, co-chair of Building America's Future. "We are urging Congress to front load some transportation investments now so states and cities can complete fix-it-first projects and improve the safety and efficiency of our roads, bridges and transit systems while at the same time creating jobs."

"Funding infrastructure projects that are in the pipeline and can be started in the next year is one of the most effective ways Congress can support job creation and economic growth," said New York City Mayor Michael Bloomberg, co-chair of Building America's Future. "But we have to go further, with long-term reform of how projects get built in this country. One way to do that is through creation of an independent, nonpartisan entity -- a national infrastructure bank -- that would fund our most vital needs based on merit, not politics."

"Transportation infrastructure investment is a proven job generator and the transportation resources provided by the American Recovery and Reinvestment Act are having an unprecedented impact in contributing to economic recovery," said T. Peter Ruane, President and CEO, American Road & Transportation Builders Association (ARTBA). "As such, transportation infrastructure should be a foundation of any job creation package under consideration." -- Mark S. Kuhar

President signs FY 2010 DOT spending bill

Although there has been little movement on an infrastructure reauthorization bill, President Obama signed a FY 2010 DOT Appropriations bill on Dec. 16, according to NSSGA. The DOT spending bill served as an “omnibus” appropriations bill carrying six other spending bills with it. The bill funds highways at $41.8 billion and includes $650 million in additional highway funding for the states. This is an increase from $40.7 billion in 2009. Transit is funded at $10.73 billion in FY 2010, an increase of $602 million over 2009. The Airport Improvement Program (AIP), which funds improvements at airports, is funded at $3.5 billion including $500 million for “significant transportation project” grants in a wide variety of modes. In a speech earlier in December at the Brookings Institution, Obama noted that the White House is in the process of considering new ideas to accelerate the pace of private-sector hiring, with a major component of that being a boost in infrastructure spending beyond what was included in the American Recovery and Reinvestment Act economic-stimulus package passed last year. -- Mark S. Kuhar

USGS releases third-quarter production stats

The USGS released its third-quarter production statistics, and although the double-digit year-over-year decreases are consistent with previous quarterly reports released this year, the numbers aren't quite as bad as some feared. An estimated 586 million metric tons (Mt) of total aggregates was produced and shipped for consumption in the United States in the third quarter of 2009, a decrease of 21 percent compared with that of the same period of 2008. The estimated production for consumption in the first nine months of 2009 was 1.45 billion metric tons (Gt), a 25 percent decrease compared with the same period of 2008.

Of the aggregates total, an estimated 335 Mt of crushed stone was produced and shipped for consumption in the United States in the third quarter of 2009, a decrease of 20 percent compared with that of the same period of 2008. The estimated production for consumption in the first nine months of 2009 was 852 Mt, a 24 percent decrease compared with that of the same period of 2008.

Of the aggregates total, the estimated output of construction sand and gravel produced and shipped for consumption in the third quarter of 2009 was 250 Mt, a decrease of 21 percent compared with that of the same period of 2008. The estimated production for consumption in the first 9 months of 2009 was 597 Mt, a 27 percent decrease compared with that of the same period of 2008. -- Mark S. Kuhar

Equipment shipments stabilize

Construction equipment shipments from U.S. factories have been stable for five months through October signaling the possibility that the bottom of the recession for the equipment market is near, according to Jim Haughey, Reed Construction Data. After a 55 percent fall in shipments since early 2006, another 5 percent decline is expected by spring. This final phase of the recession results from the pause in housing late in 2009 when the extension of the homebuyer tax credit was delayed and the slowdown in the flow of shovel ready stimulus spending.

Shipments have averaged 6 percent higher than orders since May. Although factory and dealer inventories are declining rapidly, the equipment inventory/sales ratio is still double the level typical of a normal market environment. This inventory overhang will restrain production and import increase until well into next year. It also signals that fleet managers still lack the confidence, credit or both to begin upgrading their aging fleets. No significant pickup in equipment shipments is expected until the end of 2010. Then an equipment-shipments gain of more than 20 percent is forecast from the end of 2010 to the end of 2011.

As high as this is this is sluggish for a volatile capital-goods market early in a recovery period. The 2011 surge in sales is far beyond additional capacity required for expanded construction activity. The surge will be primarily driven by the catch up to earlier postponed scheduled fleet upgrades.

Over the next year, equipment demand will rise strongly for single family site development and for exports. Demand will be up slightly for transportation facility, highway, bridge and water work. But equipment demand will continue to decline for power and energy related projects. Equipment demand will sink for six more months for nonresidential and multi family building work with some of the loss regained in the following six months. -- Posted by Mark S. Kuhar

Digging up the past

A few weeks ago, Paul Vassalotti of Cross Plains, Wis., e-mailed to ask if we have photos available from a 1926 issue of Pit & Quarry. Vassalotti was searching for information about his great grandfather’s sand-and-gravel operation in Massachusetts – Riverside Sand and Gravel. We didn’t have the photos he was looking for, but he was nice enough to share some information about his search methods. My grandfather was also in the sand-and-gravel business, so I was happy to have these tips:

• Ask relatives and former employees. Both have yielded information for Vassalotti.
• Local library. He found a story about a 1930 fire at the plant. Many library web sites now make available access to databases and other useful information.
• City directories. He found information in these directories over several years.
• Registrar of deeds. Vassalotti researched all of the land purchases and was able to see when company land was bought and sold.
• City hall tax records. Shows the value of property and taxes paid.
• City hall building permits. He was able to find building permits that were still on file. This information helped date the building of plants.
• Incorporation papers. Found incorporation papers filed in Boston.
• Old property maps. He found maps of his great grandfather’s property.
• eBay. He purchased truck photos and a matchbook related to the company.
• Aerial photos. Vassalotti obtained aerial photos of the site from 1938, 1955 and 1957. The images were ordered from the U.S. Geologic Survey.
• Online searching. Try Google, Bing and other search engines. His great grandfather’s business was next to a train station. He found a train enthusiasts’ web site that had a photo of a train station with Riverside Sand and Gravel in the background.
• Google Books. Vassalotti found some information using this tool.
• Historical equipment associations. Members helped by sharing truck and plant photos of the operation.
• Pit & Quarry and other magazines. He found related articles from 1926.

– Darren Constantino