May 24: Construction Payment Index Reaches 94% of Pre-COVID Levels

Even as states continue to relax stay-at-home orders, COVID-19 continues to impact construction around the country. Levelset’s Construction Payment Index identifies industry trends both nationally and state-by-state. During the week of May 24, 2020, the index showed significant improvement in some states, while remaining stagnant or dropping in others.

Week of May 24, 2020: National Index at 94%

The national Construction Payment Index has continued on an upward trajectory since we began tracking data on April 12, where it stood at 72% compared to the average 6-month level before coronavirus.

Since May 18th, the national index climbed 4% to reach 94%. However, not every state saw improvement over the period. While the construction industry in some US states continues to improve, others saw continued decline related to impacts of COVID-19.

Most Impacted States

During the week, these states saw the biggest negative impact on construction projects and payments.

Least Impacted States

With social distancing and widespread stay-at-home orders declining, we’re seeing more states’ construction index back to their pre-COVID-19 number.

States with biggest improvement

After declining in the previous week, Wisconsin experienced the greatest index gains in the last week climbing more than 21% to 98%. This was driven by reductions in construction stoppages and disputes, and an increase in new projects. The Construction Payment Index in Michigan was among the most improved for the second week in a row.

States with biggest decline

Nebraska saw its overall index drop by 11% to 89%. Construction stoppages were the primary driver of this decline.

State Spotlight: Missouri

For the week of May 24th, the state spotlight is on Missouri. The state’s Construction Payment Index dropped 8%, declining to 65% of pre-coronavirus levels. The index decline is driven by an increase in construction stoppages and payment disputes.