AGC Voices Displeasure to Congress on Proposed Spending Cuts

11/07/2005


The Associated General Contractors of America (AGC) has expressed concern about proposed discretionary spending cuts being reviewed by Congress. The cuts include reductions in federal investment in infrastructure programs.

AGC Senior Executive Director, Government and Public Affairs Jeff Shoaf, in a letter to the U.S. House of Representatives, said, “while we recognize the need to provide disaster relief funding, and support accomplishing this goal in a fiscally responsible way, AGC is concerned that spending reductions to federal construction accounts will diminish our ability to meet the nation’s critical infrastructure needs, including those resulting from the impacts of Hurricanes Katrina and Rita.”

The letter noted that deferring critical infrastructure investment today will only put off additional federal spending until later, when it will be necessary to respond to higher construction costs and address compounding capital and maintenance needs.

“Now is not the time to propose spending cuts to programs that protect against the impacts of natural disasters,” Shoaf said, adding, “A two percent reduction in federal construction programs would result in more than a $1 billion cut to critical infrastructure spending.”





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