?EUR??,,????'??This figure is especially impressive in that Hurricane Katrina disrupted some construction late in the month,?EUR??,,????'?? said Ken Simonson, chief economist for the Associated General Contractors of America (AGC). ?EUR??,,????'??Construction activity will be affected for many months to come by the traumatic impacts of Katrina and Rita. Contrary to what some people have said, I do not expect a quick rebound in construction in the hurricane zone.?EUR??,,????'??

During the first eight months of 2005, construction spending amounted to $723.7 billion, nine percent above the $664.2 billion for the same period in 2004.

Spending on private construction was at a seasonally adjusted annual rate of $858.4 billion, 0.4 percent above the revised July estimate of $855.3 billion. Residential construction was at a seasonally adjusted annual rate of $614.6 billion in August, 0.2 percent above the revised July estimate of $613.5 billion. Nonresidential construction was at a seasonally adjusted annual rate of $243.8 billion in August, 0.8 percent above the revised July estimate of $241.8 billion.

In August, the estimated seasonally adjusted annual rate of public construction spending was 250.2 billion, 0.5 percent above the revised July estimate of $248.9 billion. Educational construction was at a seasonally adjusted annual rate of $64.9 billion, 0.9 percent below the revised July estimate of $65.5 billion. Highway construction was at a seasonally adjusted annual rate of $66.9 billion, 1.4 percent above the revised July estimate of $66 billion.

Simonson said there will be a lot of emergency work as a result of the hurricanes, such as the repairs to levees, highways and bridges, rail lines that are already underway, but that residential and private nonresidential projects could be delayed for several months, or even years.