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
High-rise Construction | Mar 24, 2015
Timber high-rise residential complex will tower over Stockholm waterfront
The four towers, 20 stories each, will be made entirely out of Swedish pine, from frame to façade.
Religious Facilities | Mar 23, 2015
Is nothing sacred? Seattle church to become a restaurant and ballroom
A Seattle-based real estate developer plans to convert a historic downtown building, which for more than a century has served as a church sanctuary, into a restaurant with ballroom space.
Government Buildings | Mar 23, 2015
SOM leads planning for Egypt’s new $45 billion capital city
To alleviate overcrowding and congestion in Cairo, the Egyptian government is building a new capital from scratch.
Healthcare Facilities | Mar 23, 2015
Can advanced elevator technology take vertical hospitals to the next level?
VOA's Douglas King recalls the Odyssey project and ponders vertical transportation in high-rise healthcare design.
Healthcare Facilities | Mar 22, 2015
New Joplin, Mo., hospital built to tornado-resistant standards
The new hospital features a window and frame system that can protect patients from winds of up to 250 mph.
Sports and Recreational Facilities | Mar 19, 2015
Populous design wins competition for UK's most sustainable arena
The live-concert venue will seat an audience of 12,000, which the firm says will be masked by “the atmosphere and intimacy of a 4,000-seat amphitheatre.”
Multifamily Housing | Mar 18, 2015
Prefabricated skycubes proposed with 'elastic' living apartments inside
The interiors for each unit are designed using an elastic living concept, where different spaces are created by sliding on tracks.
Sponsored | | Mar 17, 2015
Are face-to-face meetings still important?
One CEO looks pass convenience and advocates for old school, in-person meetings.
Healthcare Facilities | Mar 16, 2015
Healthcare planning in a post-ACA world: 3 strategies for success
Healthcare providers are seeking direction on how to plan for a value-based world while still very much operating in a volume-based market. CBRE Healthcare's Curtis Skolnick offers helpful strategies.
Mixed-Use | Mar 13, 2015
Dubai announces mega waterfront development Aladdin City
Planned on 4,000 acres in the Dubai Creek area, the towers will be covered in gold lattice and connected via air-conditioned bridges.
