MCAA Regional Report, Region H
Words: Ron AdamsCalifornia - Joel Guth
Hawaii - Stanley Wada
Nevada - No State Chair
Economic Conditions/Forecasts
California
As reported by the Times, residential activity continues its downward spiral as demonstrated by reduced prices, sales and building permits while foreclosures are beginning to rise. According to Construction Update, Los Angeles, San Francisco, and San Diego are expected to see home values erode by 6.9%, 6.5% and 8.2% respectively through 2007, which is on the heels of a 2006 decline. All is not bad. Capital business investments as well as public works projects have kept California out of an outright recession.
Hawaii
According to Mr. Brian Awakuni of Hawaii Masonry Institute, the state has seen a down turn in residential, especially high-end residential. Commercial, state and federal projects are supporting the current market.
Even though Hawaii is experiencing a downturn in residential construction, it was reported that the 4th quarter foreclosures fell 78%, the largest drop in the nation and unemployment is at 2% - a record low.
A large military project known as the "Striker Brigade Project" under construction has come upon opposition by native Hawaiians and environmental groups. This in-turn has stopped further construction except completion of work already underway. Release of the full project is pending court ruling.
Nevada
Reports by the Office of Federal Housing indicate housing has slumped significantly throughout the state with forecast predicted by Business Week of an additional 8% decline in values for 2007.
Commercial and public works projects continue with good pace. This is especially the case with projects underway or on the drawing boards for the LV Strip where their combined estimated value is in the billions over the next 5 years.
OSHA & Safety
California
In regard to regulations, the City of San Francisco passed a law effective January 1, 2007 that prohibits all masonry dry cutting within city limits. In addition, CalOSHA has been tasked through threatened legislation by State Senator Alarcon to develop a standard to protect construction workers from silica dust by September 2007 or the Senator will legislated a law forbidding dry cutting. An industry advisory team made up of some dedicated and tireless volunteers from the California Conference of Mason Contractors Association (CCMCA) and other California industry representatives have been welcomed by CalOSHA to work together on developing a standard. The Advisory Committee and CalOSHA have developed a workable draft standard that addresses worker safety while allowing contractors flexability in the use of various engineering systems to contain silica dust in the workplace. It appears that a workable standard will be in place by the established deadline thanks to the sole efforts and financial
contributions from members of CCMCA and other California related industries.
Hawaii
No report as of this writing.
Nevada
No report as of this writing.