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US Market Construction Update
Water and Sewer Construction


The demand for clean drinking water is at an all-time high in the United States. The enormous population growth since the beginning of the 20th century has placed ever-increasing demands on existing infrastructure. Moreover, population bases have migrated from primarily metropolitan areas into surrounding suburban areas that are illequipped to meet expanding residential and subsequent commercial construction. Spending in this sector increased only 1% in 2000, but we expect it to steadily grow in the coming years.

The 2001 federal budget provides $2.4 billion in discretionary funding for the third year of the Clean Water Action Plan. This amount is a 21% increase over the 2000 level, and it includes a $151 million (87%) increase in mandatory funding for the U.S. Department of Agriculture's Environmental Quality Incentives Program to help farmers prevent polluted runoff.


An increase of $45 million (39%) is provided to help states develop water pollution allocation plans (known as total maximum daily loads,) and an increase of $50 million (25%) is provided to reduce polluted runoff through U.S. Environmental Protection Agency state grant programs.

The budget also includes increases for the Forest Service to better address water quality problems on federal lands. In addition, the budget provides capital to finance water quality infrastructure. The budget proposes $825 million ($5 million more than in 2000) in EPA capitalization grants for Drinking Water State Revolving Funds (SRFs) which make low-interest loans to help municipalities meet the requirements of the Safe Drinking Water Act Amendments. These funds will help ensure that Americans have a safe, clean drinking water supply. Every state has now successfully established a Drinking Water SRF and begun disbursing loans to its communities.

 



The Associated General Contractors of Iowa
701 East Court Avenue, Suite B -- Des Moines, IA 50309
phone: 515-283-2424 fax: 515-244-6289
email: kclark@agcia.org

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