After dip in 2020, North American crane count increases
Zachary Phillips
- After a decrease in the number of construction cranes in use across major cities in the U.S. and Canada, Rider Levett Bucknall’s Crane Index has found an increase in cranes to start 2021.
- Toronto still towers high with the most cranes in any North American city, with 208, up from 124 in Q3 of 2020. Of the 14 cities tracked by RLB, seven saw an increase in the number of cranes from the last report.
- Four cities are "holding steady" with no or only slight decreases in the number of cranes, while three saw what RLB described as "significant decreases" — though that could be attributed to the completion of major projects, it said.
The increase in the number of cranes is a good sign, according to RLB.
"The crane count appears to have rebounded from its previous dip, exceeding its count from this time last year," the report says.
Other findings from the report include:
- Commercial projects contributed to an overall increase of 24% in active cranes, making up 12% of the overall count.
- The number of tower cranes installed at residential and mixed-use projects increased to 69% of the overall count.
- Mixed-use had the second highest number of cranes dedicated to a sector, making up 20% of the overall count.
- Residential projects account for 49% of all cranes counted.
Toronto boasted the most cranes in these cities. Washington, D.C., surpassed Seattle as the city with the most cranes in the U.S. The city had 45 cranes, compared to Seattle and Los Angeles, which tied for second with 43.
San Francisco saw the biggest dip in the number of cranes in the city, falling from 24 cranes in Q3 2020 to 11 in Q1 2021. The drop likely reflects the completion of several apartment and condominium projects in the city; however, a COVID-induced decrease in occupancy rates for residential, office, restaurants and retail has depressed new starts, the report said.
Lamont unveils bipartisan deal to pay off huge unemployment trust debt
Keith M. Phaneuf
Gov. Ned Lamont unveiled a plan Tuesday that would preserve Connecticut’s debt-riddled unemployment trust fund by curbing benefits for workers and asking more from the business community as a whole.
But the deal, which was endorsed by both major business and labor coalitions, actually would reduce unemployment taxes starting in 2024 on about three-quarters of all businesses. Those that lay off high numbers of workers, though, would pay more.
“A robust, sustainably funded unemployment insurance system is Connecticut’s most important tool for keeping our families out of poverty and our economy in motion during a recession,” said Lamont, who announced the deal during a late-afternoon news conference outside of state Department of Labor offices in Wethersfield. “I appreciate legislators and stakeholders working together to develop a common path forward on this critical issue.”
Connecticut, like nearly all states, has run up hundreds of millions of dollars in debt to maintain unemployment benefits since the pandemic began in early March 2020.
The state has borrowed roughly $700 million from the federal unemployment trust to date, and the projections hold that Connecticut’s debt may exceed $1 billion before the majority of its population has been vaccinated.
The state was paying weekly benefits to more than 390,000 filers during the worst of the pandemic last spring, and the weekly caseload still tops 190,000. By comparison, Connecticut lost about 120,000 jobs during the last recession, which stretched from December 2007 through mid-2009.
To whittle down more than $100 million per year off that debt, according to state officials, the state will take several steps starting in 2024.
Full details of the plan, which needs legislative approval and will go before the Finance, Revenue and Bonding Committee later this week, were not available late Tuesday.
But the measure contains three major cost-cutting measures that limit future benefits for the unemployed:
- The minimum annual earnings required to qualify for unemployment would rise from $600 to $1,600, and then the number would increase annually according to the rate of inflation. Connecticut hasn’t raised the threshold since 1968.
- The deal also suspends four annual $18 increases in the maximum weekly state unemployment benefit beginning in 2024.
- And workers no longer could tap unemployment benefits until they exhaust any severance pay.
The compromise deal, which was endorsed by House leaders on the finance committee, Reps. Sean Scanlon, D-Guilford, and Holly Cheeseman, R-East Lyme, also asks more from businesses, which pay the unemployment tax that fuels the state trust.
Businesses currently are taxed on the first $15,000 they pay their employees. That base would rise in three years to $25,000.
A second change would expand the maximum experience rate — a component of the unemployment tax that penalizes companies more heavily as they lay off more workers.
To mitigate those rate hikes, though, state officials lowered other elements of the tax, including the minimum experience rate and a special “solvency” rate imposed on all businesses to keep the fund afloat.
The net result of these changes, according to Lamont’s office, is that 73% of all businesses would pay less in unemployment taxes, while the remainder would pay more.
The agreement won the backing of the Connecticut Business and Industry Association and the state chapter of the AFL-CIO, and the Connecticut State Building and Construction Trades Council.
“These reforms are long overdue,” said David Roche, president of the trades council and general vice president of the Connecticut AFL-CIO. “In the land of steady habits, I’m encouraged by the compromise we were able to reach that will help to ensure the solvency of the unemployment trust fund. Over and over again, workers across this state have demonstrated their willingness to engage in good faith discussions to reach solutions.”
Chris DiPentima, president and CEO of the CBIA, called the package “historic” and said it would provide businesses the stability they need to recover from the pandemic.
“This package represents the most significant set of reforms in the history of the state’s unemployment system,” he said. “Many of the changes represent reforms CBIA has advocated for since the end of the last recession to address one of the business community’s top concerns — the need for more predictable, certain, and stable policies.”
But business and labor didn’t get everything they wanted.
Advocates for both sides have urged Lamont and legislators to use state borrowing or budget reserves to pay off at least a portion of the $712 million debt. There is no state contribution as part of the deal.
Connecticut’s bonded debt-per capita already is one of the highest in the nation, but the state does enjoy one of the largest reserves in the country. The slightly more than $3 billion Connecticut has in its rainy day fund is equal to 15% of annual operating costs.
Bronin wants $47M in federal stimulus aid to fund Hartford’s economic development efforts
Zachary Vasile
artford Mayor Luke Bronin said Monday that he will seek to spend about 40% of the estimated $117 million the Capital City could receive from the recently passed American Rescue Plan to fund economic and community development efforts.
In a statement released alongside his proposed $584 million city budget for fiscal year 2021-2022, Bronin put forward a three-year allocation plan governing how the federal aid would be divided up and put to use.
The largest single share, amounting to $47.3 million, would go toward stimulating economic development and growth in Hartford, including funding “key neighborhood investments” and supporting public-private partnerships, such as those overseen by the Capital Region Development Authority.
The plan also sets aside $15.3 million for business support and activation, and $9.5 million for critical infrastructure, including investments in water and sewer systems and the city’s flood control system.
Bronin said he sees the federal dollars as an opportunity to make “investments to lift up our entire community.” He cautioned against using the money to fill gaps in Hartford’s budget or increase spending in ways the city’s tax base will not be able to maintain.
According to the mayor, funds allocated under the American Rescue Plan must be spent by Dec. 31, 2024.
The allocation plan must be approved by the city council before it can take effect.
Bronin’s recommended budget, also released Monday, represents a 2.85% increase from the current-year budget of $567.8 million.
The mayor said his budget prioritizes basic city services, including public safety and core public works functions. It is balanced, he added, does not rely on any one-time revenues, and does not increase the city’s mill rate.
The proposed spending plan is also subject to the City Council’s approval.
Waterbury aldermen approve contract for largest paving project in 40 years
Lance Reynolds
WATERBURY – The Board of Aldermen on Monday approved what officials are calling the largest milling and paving project in the city in the past 40 years.
An $8.4 million contract with Tilcon, a statewide asphalt contractor, will allow about 25 miles worth of city roads to be milled and repaved, improving major roadways, City Finance Director Michael LeBlanc told aldermen during a regular meeting. The project should begin next month, city Purchasing Director Kevin McCaffery said. Any work not done this year would be completed next year, LeBlanc said.
The $8.4 million contract is more than double the city’s “typical” commitment to milling and paving, LeBlanc said. The city’s share will be $1.2 million under the state’s Local Capital Improvement and Municipal Revenue Sharing Account programs.
“This is the most aggressive paving program in all the years I’ve been here,” Mayor Neil M. O’Leary said. “We need it. The roads are in tough shape.”
Roy Cavanaugh, who the city recently hired as its new engineer, said he has been surveying the roads that are targeted to be included in the project. Repairs will also include drainage, milling, pavement markings and street signage, he said.
If roads are deemed to be in poor conditions after they’re milled, Tilcon will repair them as part of the contract, LeBlanc said. Delays in the project would be due to officials ensuring the sub-bases and catch basins on the roads are properly prepared for the final coat of repaving, he said.
“We are looking to avoid scenarios where essentially the road gets repaved and you have a situation where the sub-base is in poor condition,” LeBlanc said. “The time is going to be taken to make sure the sub-base is in good form.”
An inspection team is being finalized for the project, O’Leary said.
Alderman Victor Lopez said he typically hears from residents citywide regarding the roads, especially after the winter, when potholes often increase. He said he’s happy to see Bucks Hill Road, County Club Road, and North Main and South Main streets to be included in the project.
“To see that there’s such an aggressive plan, and I can tell there’s been a lot of planning behind making sure this job gets done, it’s a quality-of-life issue,” Lopez said. “We should all be very happy (with the plan).”