Business

Ky. trade group says construction indicator weak

National and regional data released this week on construction backlog indicates the South, including Kentucky, hasn't felt the full effects of the federal stimulus, a trade group said.

The Kentuckiana chapter of the Associated Builders and Contractors said the national Construction Backlog Indicator rose to 6.1 months in July from 5.6 months in June. However, in the South, the CBI fell for the fourth straight month to 5.1 months in July.

Construction backlog is the amount of work that companies are contracted to complete. A high value, measured in months, means work projects are due to begin soon, while low backlogs mean there are fewer projects under contract.

"I have little indication that the stimulus has had much effect on the construction industry in Kentucky and Southern Indiana," said William Parson, CEO of Associated Builders and Contractors of Kentuckiana, which represents nearly 500 contractors, subcontractors and others in the states. "Some infrastructure work is occurring, but general contractors and specialty contractors have been left out. The bulk of the projects that are out for bid are public projects already in the works that have nothing to do with the stimulus."

  Comments