The quarterly Contractor Confidence Index (CCI) survey conducted by the Associated General Contractors (AGC) of St. Louis reflects contractors’ long-range optimism for the industry in the St. Louis area and other areas where they are seeking construction projects.
The third quarter survey, completed on Sept. 30, reveals that contractors report construction business conditions as “better or much better” over the last six months, moving up to 61.2 points from the 58.2 points reported in the second quarter on a scale of 0 to 100 with 50 indicating no change. Looking ahead at a 12-month horizon, contractor confidence rose to 55.9, as compared to 50.8 reported in the second quarter survey.
At the same time, short-term confidence that is focused on gauging construction conditions six months from now slipped to 51.3 in the third quarter survey, as compared with 54.7 in the second quarter. However, confidence over construction business conditions 18 to 24 months from now showed an uptick to 56.6 in this third quarter survey, as compared to 53.1 in the second quarter survey.
Economic recovery for many of the AGC member contractors reporting is long overdue. This most recent AGC CCI survey indicates that St. Louis contractors are holding fast and their confidence is building about their long-term future.
As financial markets become stronger, some momentum is building in the private sector. There is still uncertainty in the public markets, particularly in transportation, but efforts are continuing on many fronts to address this critical transportation need.
This online survey was developed by the AGC of St. Louis earlier this year. The most recent survey marks the second CCI report. The CCI index is released quarterly and is designed to be an additional tool to help business, government and institutional leaders plan for the future.
It’s clear that St. Louis needs to see more robust economic activity to sustain a healthy building community. We need good-paying jobs to retain the construction talent in our industry.
The expertise is here. Now we need the projects. Uncertainty in Washington, D.C. and a flat business climate is hurting everyone, but our membership is becoming more optimistic about their future.