How to Fix America's Construction Industry

" Billions of California Billy used everywhere I almost like I got you this when we talk about the money anyway. How much of that money is you know some of it just kind of cannot go away. How much though what we do to protect your money we're joined by -- pattern he is a leading construction industry attorney. He is also author of broken buildings -- busted budgets how to fix America's trillion dollar construction industry. Very welcome to the program to be around when there are billions and I feel like Carl Sagan you know billions and millions floating around. Some of your date I was reading in the notes suggest to me it is. It is impossible to assume there will be some of -- wasted how -- we minimize."

" The -- well we have to address the fact that our governments state and federal levels. All do not fully understand this sophisticated way have truly dysfunctional the construction industry is."

" But it American's -- their favorite drive by sites and -- is seminary guys sitting around walk couple people would seem to be working."

" Well we've all seen that scene but do we understand. That studies show that 50% of all the labor of course on a typical project in this country are wasted. Do the inefficiencies of late deliveries of materials. Then going up and down in the hallways waiting while other people get off the job so they can get on this is truly course through our nation over a 120 billion dollars."

" Yeah parts of your points construction industry documented to waist up to a 120 billion a year that is free. Stimulus largesse so one's got to imagine that number is -- we always hear from the administration we're going to document every dollar no you're not. Right I mean it's. It's going to be very difficult."

" We have to understand in this country that we deal with the construction industry that operates different from every other industry that you're going to be talking with on your program. It operates on the low bid basis contract is only get on to a project if they did. At or below coolest most people think that's a good thing where it's a good thing what they means they don't make money when they sign a contract. In order to stay in business in order to make a profit. In order to get another project. They need to make change what his claims and delay a project and that's inefficient and of course on me in cash. Acted on that low ball created you know -- some experts do what you want starting in -- you're encouraged to be inefficient. We are a nation that has grown -- our efficiency over the last 3040 years because of technology and good management. This industry has lost per employee. 22%. Of efficiency over the last what do you think we."

" Fixed price -- familiar solutions fixed price contracts. And sort of no extra stuff on bit -- you know that you're not getting getting elf but what's on the bid will take what's just happened and introducing any common sense. Yes no offense I mean but the big."

" News. Coming out of Washington all the states is that they have taken its 25%. Below what they estimated for the new stimulus package infrastructure work. Well 25%. Below. What was already low bid that number means we don't have a lot of roads and bridges to nowhere. They're not going to be opportunities for them to ask for extra money because the stimulus plan only allocates specific amount to each project. Well there are technologies out there that will anticipate problems before -- happened right before they happen but yet you argue we don't use enough of that. Because we just spend our time fixing the technology industry. And construction industry are oxy moron it's it's the lowest use of technology at any industry in the nation hardly any is used in the construction."

" Us and I hear what you say there is a lot of the stuff it's I mean I think most Americans know this is meant to create jobs to mean we need. We need repairs done but a lot of this is just work. This is about work you know and I mean about filling potholes that you know we could -- blog fix and you know in a week but they'll take a month because at least people are employed now from a then look I guess what people were angry that they they realize what's going on here."

" But what -- failing to link and they shouldn't be linked. Is the perilous state of our nation's infrastructure will buy one in four bridges is either structurally deficient or functionally obsolete. We bites requesting our nation through congestion over seventy billion dollars a year. In people waiting. In track."

" And bad for the environment idling their car traffic -- we need those bridges fix your argument is that the data shows they will be take longer to -- they should be. And -- cost when they should be to fix that and more important point -- stimulus bill is not about correcting our infrastructure. It's about jobs. I think we all agree on that very the pattern interesting stuff broken buildings busted budgets. Clearly an excellent book written by -- hostile ground Larry thank you for."