Construction backlog increases in MO, other middle states

In the Associated Builders and Contractors' latest Construction Backlog Indicator, the member organization reports that the average construction backlog for the middle states region, including Missouri, increased 2.1 percent to 6.34 months in the first quarter, compared to 6.21 months in the same quarter of 2011.

The Construction Backlog Indicator is a forward-looking economic indicator reflecting the amount of work commercial and industrial contractors have signed on to perform in the coming months.

The middle states had the shortest backlog during the first quarter, while the South registered the highest backlog at 8.88 months, according to a news release.

"Construction backlog expansion in the middle states continues to be stifled,” ABC Chief Economist Anirban Basu said in the release. “Gains in industrial production have been sporadic during the past year – too scattered to induce the next wave of manufacturing-related construction projects."

The average U.S. backlog increased slightly to 7.4 months year-to-year, though it fell 5.4 percent from 7.8 months in fourth-quarter 2011.

“On the heels of a mixed bag of national economic news, (construction backlog) declined for the second quarter in a row,” Basu said in the release. “The lull in nonresidential construction momentum is not poised to end in the immediate term.

"The nation’s nonresidential construction activity will remain soft during the summer months, with flat to declining nonresidential construction spending.

Associated Builders and Contractors is a national association with 74 chapters representing 22,000 firms and nearly 2 million employees, according to the release.