February, 2010
Industry Leaders Document "Real World" Impacts of the ARRA
The highway, transit, rail and aviation investments in the American Recovery & Reinvestment Act (ARRA), enacted February 17, 2009, have been a lifeline in what was a very challenging year for transportation construction firms and their employees. Industry leaders have offered these testimonials about the impacts of the ARRA’s infrastructure provisions:
“The transportation components of the recovery act are a true success story and have helped prevent thousands of layoffs by transportation firms and their suppliers. The economic downturn has had a substantial adverse impact on our company and the entire industry. Our sales dropped significantly from 2007 to 2008. Without the recovery act’s transportation investments, our markets would have continued their freefall.”
James Van Buren, vice president and chief operating officer of New Enterprise, Stone & Lime Company, a Pennsylvania construction materials supplier, highway contractor, and traffic safety products and service provider, December 2009 testimony before the House Transportation & Infrastructure (T&I) Committee
“Without a doubt, the stimulus has helped keep my company afloat during one of the most difficult economic periods our industry has ever experienced. Gallagher was low bidder and awarded eight American Recovery & Reinvestment Act projects, totaling just over $15 million dollars between April and June of this year. These projects directly employed 259 hourly men and women on the crews, of which 29 were new hires.”
Charles Gallagher, president of the family-owned Gallagher Asphalt Corporation in Thornton, Ill., October 2009 testimony at a House T&I Committee hearing
“A great example of the recovery act’s success is a project from our company in Maine. Last year, we rebuilt a section of I-295 in Maine. The Maine Department of Transportation was not expecting to have the funds to complete the northbound section, but the recovery act’s enactment enabled them to put the project out to bid. As a result, we will rebuild and repave 23 miles of interstate within 120 days. The project will support 345 jobs in Maine. A second example comes from another Oldcastle company, Pike Industries, in northern New England. Pike has been awarded $105 million in projects in its three states. Much of this work is underway or will begin soon. After Pike won some early jobs in New Hampshire, they held a job fair in Concord advertising up to 50 jobs. Over 400 people showed up. Pike filled those positions and is expecting its stimulus work to save or create as many as 250 jobs.”
John Keating, president and chief operating officer for Oldcastle Materials East Region based in Leominster, Mass., in June 2009 testimony before the House T&I Committee
Source: ARTBA