Growing in numbers
Spurred by continued increases in federal funding, the highway construction market should grow 3 to 6% in 2002, according to an economic forecast issued by the Washington, D.C.-based American Road & Transportation Builders Association (ARTBA). ARTBA Vice President of Economics & Research Dr. William Buechner, who issued the forecast, said the $33 billion for highways in the fiscal year 2002 transportation appropriations bill expected to be approved by Congress and President Bush is the primary reason for the market growth. "Transportation continues to be the construction market sector least affected by an economic recession," Buechner said. "Most other segments of the construction market are expected to be down in 2002 as a result of the recession. However, the guaranteed increase in federal funding for highway, bridge and transit projects provide a solid--and growing--base for transportation investment next year." Buechner forecasts that the total value of transportation construction work performed in 2001 wil be a record $79 billion, up $7 billion over the 2000 total. State transportation departments will see a 6.5% increase in federal transportation dollars in 2002 under TEA-21. If Congress includes a $2.5 to $5 billion highway component in the stimulus package now being debated the growth of the highway construction market in 2002 could increase an additional two percentage points.
