The economic forecast for Michigan's construction industry calls for continued sunny skies in the Lower Peninsula in 2001, but storm clouds may be starting to form in the U.P.

That's our assessment in a nutshell of our annual, and admittedly unscientific survey of the state of the state's construction industry. The current construction boom in Michigan was born in 1992 - and in nearly every corner of the state the building economy has improved steadily since then.

But as we reported in our last issue, there are a few early warning signs that the nation's economic engine may be running out of gas. The Wall Street Journal predicted a "bumpy landing" for the economy in the Midwest, with auto sales weakening, oil prices remaining high, and companies beginning to lay off workers.

For most of Michigan, though, the construction industry still looks terrific for 2001. There are numerous large projects that have started or are on the table. Travelers are still expected to help with the workload in much of the state. And local unions are continuing to be successful in organizing and winning better-paying contracts.

Here's a wrap-up of what's going on in various regions of the state:

Ann Arbor - "For us, 2000 was an unprecedented year for work. 2001 looks like it will be just as good. I'm very optimistic about the next 12 to 18 months." So said IBEW Local 252 Business Manager Greg Stephens, who said his local union was averaging about 100 travelers during the busy months last year.

The University of Michigan Life Sciences Building, a new forensic center in Ypsilanti Twp., new construction by Pfiser, and a new high-rise in downtown Ann Arbor are some of the bigger projects that add up to nearly $1 billion worth of work going on in Washtenaw County and its environs.

Flint - Work at the recently completed GM L-6 Engine Plant and a massive modernization project at the Chevrolet Truck and Bus plant here helped make 2000 a good year with full employment for IBEW Local 948 members, said Business Manager Charlie Marshall.

The prognosis for 2001: "good, but not as good as 2000," Marshall said.

New work at Mott Community College, a new technical center at U-M Flint, plus a good deal of other school and residential work will be employing Flint area tradespeople in 2001, Marshall said.

Grand Rapids/Muskegon - Plumbers and Pipe Fitters Local 174 Business Manager Doug Bennett said "we've been fortunate in 2000, with over 200 travelers, an abundance of work, plus we've organized 200 members." Full employment has continued into January, Bennett said, with major projects ongoing at two Consumers Power Plants, B.C. Cobb and Campbell, at the Sappi paper mill in Muskegon, and at the Zeeland Powerhouse.

"One thing we're pretty concerned about is having George Bush in office," Bennett said. "His dad issued executive orders outlawing Davis-Bacon and project labor agreements, and Clinton overturned them. Now we're wondering if George W. is going to do the same thing. If the Republicans don't get their way, 2001 is shaping up to be another excellent year for us."

Kalamazoo - "We never really cleared the bench in 2000, but if they were willing to travel, just about everybody who wanted to work, worked," said Plumbers and Pipe Fitters Local 357 Business Manager Bob Williams. "I guess you'd say last year was a pretty good year."

The year 2001, Williams said, "should be good, and could be great" if all the work that is on the table goes union. Those projects include a new 1,000 megawatt co-generation powerhouse in Covert, a new casino in New Buffalo, and a new powerhouse and science facility at Western Michigan University.

Lansing/Jackson - Start with ongoing construction at the $800 million GM Grand River assembly plant and the $1 billion-plus Delta Twp. platinum plant, "and we've had a tremendous year in 2000," said Laborers Local 998 Secretary-Treasurer Joe Gunther.

He the plethora of work has helped their local union membership to increase 10 percent to more than 600. Other jobs in the area include construction of the state Supreme Court building, a $68 million high school in Holt, and a great deal of school work.

In Jackson, the trades will be working on the $300 million K & M power plant and a new headquarters building for Consumers Energy.

"There's a lot going on in Lansing and in Jackson," said Plumbers and Pipe Fitters Local 313 Business Manager Jimmy Davis. "In 2000, work was excellent; we had full employment and put work about 250 travelers. Things look even better in 2001."

Saginaw Bay & areas north and west - A powerhouse expansion at the Midland Co-Generation Venture, a new powerhouse in West Branch, and a huge expansion at the Boyne Highlands make up some of the "real nice-size projects" that should keep Plumbers and SteamFitters Local 85 members busy in 2001, said Business Manager Mark Lee.

"2000 went fairly well, it wasn't a bad year," Lee said. "Most of our members were working somewhere around the state. For us, 2001 looks to be a better year."

Traverse City - "We stayed pretty busy in 2000, but it's looking like things are going to be a bit skinny until we get a few months into 2001," said IBEW Local 498 Business Manager Bernie Mailloux. "We should have a pretty good summer next year."

He said Munson Medical Center, the Manistee Casino, school projects and work at Medusa Cement in Charlevoix should help employment at Local 498 this year.

The Upper Peninsula - Upper Peninsula Construction Labor-Management Council Executive Director Tom Hogan said the last thing he wants to be is the bearer of bad tidings. "The year 2000 was a good year for us, and we held our own," he said, "but for 2001, prospects for work are slim at this time across the U.P." He said the U.P. is usually the first region in the state to feel a tightening economy, "and now, we're feeling it."

"There are some fairly good size projects coming up," Hogan said, "but nowhere near what we've seen in the past few years." Two large projects at Northern Michigan University and border crossing work in Sault Ste. Marie could be among the biggest employers for construction workers.

Michigan Building Trades Upper Peninsula Rep. Jack LaSalle said he expects 2001 "to be slower than it has been in the last four or five years." He said 2001 may turn out to be better than predicted if a few large projects start earlier than expected.