National Resources Defense Council Lawsuits Could Bring A Boom in Sewer Plant Construction

According to the National Association of Clean Water Agencies, two lawsuits filed in federal courts in New York and Louisiana could spur a $280 billion boom in sewer plant construction and renovation, if courts rule that the USEPA must regulate sewer effluent nutrient content more stringently.  NRDC challenges EPA regulations permitting each state to set numeric limits for nitrogen and phosphorous in sewer effluent, and attacks USEPA’s refusal to act on its 2007 petition requesting the addition of nutrient removal to current secondary treatment requirements under the Clean Water Act.

NRDC is asking the courts to require USEPA to issue and enforce a requirement that every sewage treatment plant in the United States use the best available technology to limit phosphorous and nitrogen in sewage effluent, in order to reduce giant sized algae blooms in the Gulf of Mexico and Chesapeake Bay.

Asian Carp Could Mean Construction Bonanza

The Great Lakes Commission and the Great Lakes and St. Lawrence Cities Initiative have released a million dollar study by Omaha based HDR, Inc. of methods for physically blocking the spread of predatory Asian Carp into Lake Michigan through the Chicago Area Waterway System. The study proposes three different options for physical obstruction of carp migration through the water system originally built to keep raw Chicago River sewage out of Lake Michigan.

The options all involve sheet pilings and impermeable land bridges within the navigable waterways, with the two more expensive options including intermodal cargo transfers and recreational boat lifts to maintain navigability. Costs of the various construction projects are predicted to range from $3.3 billion up to $9.5 billion, with a time line of 10 years before breaking ground, and completion in 2029.  The Army Corps of Engineers is also studying the Asian Carp problem, and in a letter to Assistant Secretary of the Army for Civil Works Jo-Ellen Darcy, 31 Congressmen and Senators have asked her to include the HDR study in the Corps project to speed up the fish barrier.

Federal Construction Budget Tradeoffs

No matter where you may believe the federal Highway Trust Fund spending level will ultimately rest on the spectrum between the House measure’s $34.6 billion annually and the Obama administration’s $79.2 billion annually, the sad fact is that these appropriations are offset by dramatic cuts to other federal construction spending programs, to the ultimate long term continuing injury to this important sector of the American economy. Obama’s own budget proposal cuts $450 million a year from transit construction funding in Illinois alone.

HR 7 takes us “back to the dark ages,” according to Transportation Secretary Ray LaHood, eliminating all funding for building bike paths, bike lanes and pedestrian safety projects. With the current Highway appropriations expiring March 31, 2012, the industry is undoubtedly looking at another series of short term extensions, making government and industry planning impossible until a long term funding measure is ultimately passed through both houses.

Meanwhile, even the comparatively generous Obama budget slashes Defense Department construction spending by 20%, Corps of Engineers civil construction projects by 13%, clean water state revolving funds by 20%, drinking water state revolving funds by 8%, Veterans Administration construction by 10%, and airport improvement grants by 28%. While the heavy civil sector of the US construction economy will feel these cuts most severely, resultant price increases in construction materials and equipment, due to the loss in sales volume, will impact all construction businesses across the country. Our national elected leadership continues to fail our industry.

Water Infrastructure Reauthorization Moves to Senate Floor

The Senate Environment and Public Works Committee voted 17-2 to report to the floor S 1005, the legislation reauthorizing $20 billion for the Clean Water State Revolving Fund and $14.7 billion for the Drinking Water State Revolving Fund , to fund approximately 1,700 water infrastructure projects per year through 2014. The bill includes Davis Bacon prevailing wage requirements.