Dodge Momentum Index Increases in November
The Dodge Momentum Index moved 2.9% higher in November to 155.3 (2000=100) from the revised October reading of 150.9. The Momentum Index, issued by Dodge Data & Analytics, is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. The increase in November was the result of a 6.5% increase in the institutional component, while the commercial component moved 0.7% higher.
The overall Momentum Index has staged somewhat of a resurgence over the last few months increasing nearly 15% from its lowest point earlier in the year. In fact, it is currently flirting with a new cyclical high. The month-to-month planning data continues to be lumpy in nature as the presence or absence of large projects leads to greater volatility. Nevertheless, the underlying trend of the Momentum Index continues to suggest that construction activity in 2020 will not crater but will moderately ease relative to this year’s level.
In November, six projects each with a value of $100 million or more entered planning. The leading institutional projects were the $208 million first phase of Virginia Tech’s Innovation Campus in Alexandria VA and the $144 million ThedaCare Orthopedic Center Hospital in Appleton WI. The leading commercial projects were a $180 million office building in Los Angeles CA and a $125 million JW Marriott Hotel in Dallas TX.
Small Business Growth in First Half of 2019
The Kabbage Small Business Revenue Index reports small businesses in the U.S. achieved revenue growth across every state and industry in the first half (1H) of the calendar year 2019. The Kabbage Index Value (KIV), a value used to track revenue growth of small businesses, increased almost 22 points, from 136.8 to 158.4, indicating U.S. small businesses’ median revenue grew 15.7% in the first six months of the year. This represents a 22% point increase compared to the same time period in 2018 and a large contrast from the second half of 2018 when small business revenue only grew 1.8%.
Drawing from real-time revenue data of more than 200,000 small businesses throughout the U.S., the Kabbage Small Business Revenue Index is an aggregated and anonymized analysis of small business performance. To measure ongoing revenue growth, the KIV adjusts accordingly to the monthly median-revenue growth of small businesses. With an initial Kabbage Index Value of 100 in January 2017, small businesses’ median revenue has grown a total of 58% through June 30, 2019.
Set apart from other small business research tools, the Kabbage Small Business Revenue Index tracks truly small businesses. Of all businesses evaluated, 83% have fewer than 10 employees with median annual revenues of $280,000.
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Changes to Crane Operator Testing Eligibility
The National Commission for Certification of Crane Operators (NCCCO) no longer will require a physical evaluation for workers to be eligible to take its certification exams. Per a Monday, November 18, 2019 press release, NCCCO will being relying on employers to determine whether their workers are physically qualified to operate the equipment as of January 1, 2020. NCCO notes that physical demands on a crane operator can change depending on the type and configuration of a crane, along with the work environment. NCCCO states that these are “facts known only to an employer rather than the certification body.”
Are You Working To Engage Young People in the Trades? Tell ASA About It!
We want to hear from you! Tell us how you are working to engage young people and new employees in the trades. Are you working with programs like Helmets to Hardhats? Does your company have a partnership with a local community college, university or apprenticeship program?? How do you connect with your local community?
The American Subcontractors Association is currently working to gather all of your amazing ideas to be able to share with other ASA chapters around the country. Let us know how you reach out to young, new talent, as well as your best practices in each initiative.
Have something exciting to share? Email us your ideas at communications@asa-hq.com. Call us today!
