December 2024 Vol. 79 No. 12
Inside Infrastructure
2024 election sets an interesting table
By Eben M. Wyman, Wyman Associates
On Nov. 5, Donald Trump was elected America’s 47th president, after what is considered one of the biggest political comebacks in recent history. Four years after leaving Washington as a pariah to many, Trump’s victory defied two assassination attempts, two presidential impeachments and more than a few controversial criminal charges. In the midst of a seriously divided electorate, Trump won 312 electoral votes and took virtually all of the key “battleground” states.
Republicans won control of the Senate, flipping four seats and will enjoy a 53-47 majority. In the end, House Republicans will take a 220-215 majority. For the first time since 2016, Republicans will have unified control of both Congress and the White House, once President-elect Trump is sworn in on Jan. 20, 2025. Here’s a look at some of the more important players in the House and Senate going into the 119th Congress.
Among the notable changes in leadership on the Republican side are Sen. John Thune (R-SD) will be taking over as Senate Leader from Mitch McConnell (R-KY), who is stepping down after a record 18 years in the position. Sen. John Barrasso (R-WY) was elected Majority Whip without opposition.
The dynamic on the side of Senate Democrats won’t change much. Sen. Chuck Schumer (D-NY) is expected to remain Democratic Leader, and Sen. Richard Durbin (D-Ill.) will continue his role as Democratic Whip in the Senate.
Top leadership positions in the House are not expected to change much either, where Speaker Mike Johnson (R-LA) will remain Speaker of the House, while Reps. Steve Scalise (R-LA) and Tom Emmer (R-MN) will remain Majority Leader and Majority Whip, respectively.
Committees of interest
Senate Energy and Natural Resources (ENR) Committee: The retirement of ENR chairman Sen. Joe Manchin (D-WV) and adjustments in the Senate Republican Leadership will result in entirely new leadership on the ENR Committee. Sen. Mike Lee (R-Utah) will likely take the ENR gavel, while Sen. Martin Heinrich (D-NW) is expected to serve as Ranking Member in the next Congress.
Senate Environment and Public Works (EPW) Committee: In an important change for the construction industry, the powerful EPW Committee will see significant changes. With outcoming Chairman Tom Carper (D-DE) retiring from Congress, current Ranking member Shelley Moore Capito (R-WV) will take the gavel as chair. However, Sen. Sheldon Whitehouse (D-RI), a vocal critic of construction operations, will take the role of Ranking Member on the committee with much jurisdiction over public works projects. This is an important post for EPW and one for the industry to watch.
House Energy and Commerce (E&C) Committee: Retiring E&C Committee chair Rep. Cathy McMorris Rodgers (R-WA) will be replaced by Rep. Brett Guthrie (R-KY), while Rep. Frank Pallone (D-NJ) will remain the Democratic Leader on the E&C Committee.
Transportation and Infrastructure (T&I) Committee: While Ranking Member Rep. Rick Larsen (D-WA) will remain Ranking Member of the T&I Committee, current Chairman Sam Graves (R-MO) was able to secure a waiver to circumvent term limits in order to continue to chair the T&I Committee in the 119th Congress.
Trump Cabinet
Secretary of Transportation (DOT): President-elect Trump’s pick for the top post at the Department of Transportation (DOT) is former congressman and television personality Sean Duffy. DOT sets the table when it comes to decisions about America’s transportation infrastructure, including the expansion and upgrading of highways, rail networks and airports. The former Wisconsin Republican lawmaker is one of several media contributors Trump has tapped for a cabinet post.
Environmental Protection Agency (EPA): Former New York Rep. Lee Zeldin (R-NY) was a member of Trump’s impeachment defense team, and Zeldin said he will seek to roll back regulations preventing energy development in the role, while also seeking to protect the air and water. Perhaps the president-elect said it best when he said that Zeldin “will ensure fair and swift deregulatory decisions that will be enacted in a way to unleash the power of American businesses," adding that Zeldin will still maintain "the highest environmental standards."
Secretary of Energy (DOE): Knowing that natural gas and oil fracking operations will be a big issue in the ongoing and high-profile debate over America’s “energy future,” Trump’s pick to lead DOE is Chris Wright, a CEO of a large energy company. Wright is an unabashed supporter of fossil fuels and has been credited by Trump for being a big part of the “American Shale Revolution.” If confirmed, Wright is fully expected to push Trump’s mission to boost domestic energy production.
Promise, but need for vigilance
The 2024 Election surprised a lot of people, and the results seem promising for the construction industry, but industry advocates should remain watchful of our government. Republican control will be good for American business, and the fact that 2025 will be all about tax policy will likely be a good year for industry.
That said, construction has a wide range of formidable challenges going into next year and for the foreseeable future, including:
- Implementation of the Infrastructure Investment and Jobs Act (IIJA)
- America’s energy future (natural gas being a very big part of that)
- Wastewater treatment
- Lead pipe replacement
- Broadband deployment
- Infrastructure project permit reform
- Innovative financing of infrastructure projects
- Climate issues
- Workforce capacity
- Immigration policy
- Role of technology, AI and robotics
- Cybersecurity
- Supply chain challenges
Republican control will likely mean good things for business in general, but the construction industry needs to stay on top of things. Congress should not be cutting funding for water and sewer systems, but should be increasing it. The IIJA, although opposed by many Republicans, was landmark legislation that will take significant steps toward repairing dilapidated infrastructure, deploying broadband service, and bolstering the American economy.
The construction industry should keep its eye on the prize.
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