The Texas Aggregates & Concrete Association (TACA) welcomed more than 520 attendees to its 68th Annual Meeting June 15-17 at the JW Marriott San Antonio Hill Country Resort & Spa. Highlights included presentations by the National Stone, Sand & Gravel Association (NSSGA) and FMI Capital Advisors, helping TACA member companies navigate a complex economic, political and post-pandemic environment.
“There are many opportunities for the Texas aggregates industry – one of the most productive in the nation and well positioned to bring to market the materials needed to satisfy the state’s enormous growth,” said Michele Stanley, NSSGA’s vice president, government and regulatory affairs. “New funding by the Infrastructure Investment and Jobs Act (IIJA) is one of them.”
Stanley said that states will have about a 30% increase in funding for highway and transportation programs through the $1.2 trillion IIJA, which includes $550 billion in new infrastructure spending above baseline levels. Over the next five years, Texas will receive $31.23 billion in federal highway and transit funds, $1.2 billion for airports and access to $125 billion in competitive grants.
“Texas is a very attractive place for population growth and that means a strong demand for construction materials,” said Rob Mineo, director, FMI Capital Advisors. “However, headwinds include inflation’s impact on profitability, increasing interest rates, a looming recession, supply chain disruptions, labor shortages, the Russia-Ukraine conflict and any resurgence of COVID. Nevertheless, the construction materials industry is well positioned to weather a potential macro-economic downturn.”
TACA President and CEO Josh Leftwich agrees that the IIJA will bring enormous opportunities to the Texas aggregates industry. “This monumental bill promises vital investment in our roads, bridges, trains, broadband access, drinking water and much more. Our industry will continue to work closely with regulators, legislators, local communities and all stakeholders to provide the materials Texas needs to achieve its enormous growth.”