Following an intense winter season, the Associated Builders and Contractors' Construction Backlog Indicator (CBI) revealed a 3.2% decline during the first quarter of 2015.
According to ABC, construction firms across the country reported a revenue-weighted average CBI of 8.4 months, 0.3 months below the final quarter of 2014.
The Northeast saw its backlog decline by 10.2%, a change of 1.04 months from the fourth quarter of last year. The Middle States reported a 0.7% decline to 0.05 months in construction backlog and the West experienced a 25.3% drop or 1.88 months. The South was the only region to report an increase in construction backlog as it rose 5.9% or 0.55 months.
"Weather and a myriad of other factors always make the first quarter CBI difficult to interpret," said ABC Chief Economist Anirban Basu. "A brutal winter may have postponed project-related work, including the signing of contracts. The first quarters of 2012 and 2014 also experienced CBI declines that effectively were reversed during the ensuing second quarters."
Additionally, sharp reductions in oilfield investment affected companies in the Middle States while the West Coast port slowdown impacted firms on the western side of the country. However, the backlog should re-establish an upward trend as the year's warmer months approach and ports return to normal.
Despite the backlog decline, continued job growth, low fuel prices, and wage gains are expected to lead to an increase in consumer spending.
Related Stories
| Jan 31, 2012
AIA CONTINUING EDUCATION: Reroofing primer, in-depth advice from the experts
Earn 1.0 AIA/CES learning units by studying this article and successfully completing the online exam.
| Jan 31, 2012
28th Annual Reconstruction Awards: Modern day reconstruction plays out
A savvy Building Team reconstructs a Boston landmark into a multiuse masterpiece for Suffolk University.
| Jan 31, 2012
Chapman Construction/Design: ‘Sustainability is part of everything we do’
Chapman Construction/Design builds a working culture around sustainability—for its clients, and for its employees.
| Jan 31, 2012
Fusion Facilities: 8 reasons to consolidate multiple functions under one roof
‘Fusing’ multiple functions into a single building can make it greater than the sum of its parts. The first in a series on the design and construction of university facilities.
| Jan 31, 2012
Suffolk Construction to manage Lawrence & Memorial Hospital Cancer Center project in Waterford, Conn.
Leading construction management firm overseeing one of first healthcare projects in the country to utilize innovative IPD process.
| Jan 31, 2012
Perkins Eastman’s Miller appointed Chairman of the AIA International Committee
International expertise leveraged as global industry resource.
| Jan 31, 2012
KBE selected for school project in Waterbury, Conn.
Located adjacent to the existing elementary school, the $28 million, 82,000 s/f Pre-K to eighth Grade school is expected to host its first students in the fall of 2013.
| Jan 31, 2012
Construction Law Firm Allensworth & Porter, LLP adds May to the firm
Prior to joining Allensworth & Porter, May served as the staff attorney for the Texas Civil Justice League, and was responsible for drafting, analyzing, and tracking civil justice and business-related legislation during the 82nd Legislative Session.
| Jan 31, 2012
Skanska USA Civil promotes Bradley to southeast general superintendent
In Bradley’s new position, he will manage field operations for all Skanska Civil projects in the southeast.
| Jan 30, 2012
Siemens and Air-Ex Team deliver building controls training to Mt. San Antonio College students
Siemens contributes training modules and technology to support hands-on courses.
