CIRB: California Monthly Construction Volume Continues Upward.

BURBANK, Calif. -- For the second straight month, heavy construction continues to keep California's total statewide construction volume on the plus side in September totaling $6.67 billion, up 0.6 percent for August 2004 and up 15.9 percent from September 2003.

According to statistical data gathered monthly by the Construction Industry Research Board (CIRB), large projects were responsible for heavy construction totaling $1.027 billion in September, up 78.4 percent from August. While a billion dollar month for heavy construction activity is not uncommon it takes large projects to make it happen. Large projects counted in September include a $113.2 million freeway project in Los Angles County, two rail projects in San Diego County totaling $232.4 million, an $81.9 million bridge project in San Diego County and a $52.6 million waste treatment project in Santa Clara County.

In addition, public works construction, which includes both public buildings (government owned) as well as heavy (civil works) construction is also up 32.6 percent from August 2004. Among the larger public building projects are a $30.8 million school project in Los Angeles County, a $41.1 million airport terminal expansion in Alameda County and a $28.1 million city building in San Bernardino County.

Ben Bartolotto, Director of CIRB, reports that heavy construction in the first nine months of 2004 totals $6.583 billion, up 15.2 percent or $868.8 million more in projects from the same period last year. And, as a whole, public works construction during the same nine month period totals $13.329 billion, up 3.3 percent from last year. Actually all construction sectors are up in the first nine months of 2004 except public buildings construction which totals $6.745 billion, down 6.1 percent or $439.4 million less from the same period last year. The federal fiscal year ended September 30.

Private building construction, residential and nonresidential for September totals $5.07 billion, down 6.5 percent from August 2004, but up 12.8 percent from September 2003. CIRB analysts report private building activity year-to-date totals $45.55 billion, up 14.7 percent from the year-ago period. Permits issued in September for private nonresidential building have a total construction value of $1.34 billion, down 8.8 percent following a strong month in August 2004. Bartolotto notes that in the first nine months of 2004, private nonresidential building remains robust totaling $11.839 billion, up $1.232 billion, or 11.6 percent from the same period a year ago. Year to date, three of the state's five major regions show gains in total nonresidential building. The largest gain is in Southern California, up $992.9 million and accounting for 80.6 percent of the statewide increase.

Finally, construction employment averaged 824,700 workers in September, up 5,000 from August and up 33,300 from September 2003. This increase represents 27.3 percent of the state's net payroll employment increase of 121,900 nonfarm jobs over the same period.