Construction Spending Hits 17-Month High

Posted by on Jan 5, 2012

Press Release – from

Date: January 3, 2012

Both Single- and Multifamily Homebuilding Improve from October and Year Ago; Private Nonresidential Increases from November 2010 are Widespread; Most Public Categories Drop from Year-Earlier Levels

Construction spending totaled $807 billion in November 2011, the highest level since June 2010, as homebuilding, private nonresidential construction and public construction all increased compared to October, the Associated General Contractors of America reported today in an analysis of new Census Bureau data.  Association officials cautioned, however, that public spending will drop even further in 2012 because of delays in enacting needed infrastructure bills and planned cuts to many federal construction programs.

“Several segments of construction appear to be climbing out of a hole,” said the association’s chief economist, Ken Simonson. “The new year should reinforce recent year-over-year gains in apartment, power, manufacturing and private transportation construction. But November’s upturns in single-family homebuilding and public construction may not be sustainable.”

Simonson noted that total construction spending rose 1.2 percent in November from October and 0.5 percent from the November 2010 level.  Private residential construction posted increases of 2.0 percent and 3.4 percent, with gains in single-family, multifamily and residential improvements. Private nonresidential construction spending inched up a negligible amount from October but gained 4.5 percent compared to November 2010. Public spending rose 1.7 percent last month but declined 5.3 percent from a year earlier.

The construction economist added that the uptick in private nonresidential construction from November 2010 was widespread, led by manufacturing, up 12.6 percent; commercial (retail, warehouse and farm), up 12.0 percent; private educational, up 10.0 percent; private transportation, up 9.2 percent; and power (including oil and gas), up 8.4 percent.

Most public construction categories shrank over the past 12 months, although the two largest had mixed results, Simonson observed.  Highway spending increased for the sixth straight month, by 1.9 percent, but was 2.2 percent below the November 2010 mark. Public educational construction was up 0.5 percent for the month and 2.8 percent year-over-year. “Public construction segments face stiff spending cuts in 2012,” Simonson cautioned.

Association leaders said planned cuts to a range of federal building and infrastructure construction programs were likely to hurt the construction industry even as private sector demand finally rebounds.  They noted that the federal budget for 2012 includes a more than 6 percent cut for construction programs and added that Congress is years late in passing much-needed water, aviation and surface transportation legislation.

“If lawmakers don’t act swiftly, they risk undermining a long-awaited recovery for the construction industry that could put tens of thousands of people back to work,” said Stephen E. Sandherr, the association’s chief executive officer.  “These cuts aren’t helping balance the budget, but they are keeping a major segment of our economy in check.”

Johnson City Medical Center Construction

Posted by on Nov 25, 2011

RAINEY GENERAL CONTRACTORS – Renovations to the Retail Pharmacy, Gift Shop and Main Lobby are scheduled to begin in January at the Johnson City Medical Center for Mountain
States Health Alliance.

King’s Centre — Rainey Contracting Schedules Renovation Project

Posted by on Jun 14, 2011

Johnson City, TN — Rainey Contracting has scheduled an office renovation project to be completed this summer at King’s Centre in downtown Johnson City. Rainey Contracting Pre-Construction and Design / Build activities are underway to provide new offices in this historic downtown building.

Rainey Construction Co Plans X-Ray Room Addition

Posted by on Jun 14, 2011

Johnson City, TN — Rainey Contracting begins construction activities to provide McLeod Cancer and Blood Center with a new GE Silhouette VR System. Construction began in late May and is scheduled to be completed in Late June 2011.

Rainey Contracting begins Operating Room Renovation and CT Scanner Addition Project.

Posted by on Mar 26, 2011

Johnson City, TN — Rainey Contracting has teamed up with Local Architectural Firm Ken Ross to provide MCBC with a new CT Scanner in Johnson City, TN. Installation of a new GE Light Speed CT Scanner is expected in late March. Project is expected to be completed in April 2011.

Rainey Contracting Joins AGC Tri–Cities Branch

Posted by on Feb 20, 2011

Johnson City, TN — Rainey Contracting, LLC has joined the local Tri-Cities Associated General Contractors Chapter. The Associated General Contractors of America (AGC) is the leading association for the construction industry.

Read More

Construction Materials Cost Continues to Climb 0.9 Percent in January

Posted by on Feb 16, 2010

Press Release – from


Read More