Total construction in 2008 and 2009 will be down 4% and 1% based upon large decreases in residential construction that will not be offset by gains in nonresidential and nonbuilding construction, according to FMI’s Construction Outlook: Second Quarter 2008 Report. The decline in 2009 will be driven by a decrease in nonresidential construction for the first time since 2003.

Water is an important concern in the United States. Aging infrastructure, population growth and net migration are fueling demand for new and replacement construction, especially in the Sunbelt and Rustbelt regions, the Construction Outlook reports. FMI projects that water supply and sewage and waste disposal construction will increase by 2% and 3% in 2008 and by 2% and 4% in 2009, despite a decrease in state and federal revenues.

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