Pennsylvania Commercial Construction Intelligence Report for Week Ending September 4, 2026

Executive Summary

This week produced one of the most significant industrial construction announcements of the year in Pennsylvania: Chobani announced a $1.2 billion investment in a 1.5-million-square-foot Lehigh Valley manufacturing and warehouse campus, creating more than 900 jobs. The project will reuse the existing Upper Macungie Township facility formerly operated by Keurig Dr Pepper, but the scale of the investment points to substantial equipment, infrastructure, production-line and facility-upgrade work.

The second major story is energy. A new Pennsylvania Public Utility Commission forecast says industrial electricity consumption could increase an average 18.56% annually through 2030, driven largely by data centers and other large-load customers. In PPL Electric’s territory, industrial electricity use is forecast to rise an extraordinary 51.05% annually.

Meanwhile, PAX-1 in Cumberland County received approval for its first phase, showing that major data-center projects can still move forward despite Pennsylvania’s new regulatory environment and growing community opposition.

For contractors, the broader message is becoming clearer: Pennsylvania’s next construction cycle is increasingly tied to industrial facilities, power infrastructure, healthcare and institutional work—not traditional office construction.


1. TOP STORY: Chobani Announces $1.2 Billion Lehigh Valley Manufacturing Investment

The project

Chobani announced September 1 that it plans to invest approximately $1.2 billion over five years at its Upper Macungie Township manufacturing and warehouse campus.

The facility encompasses approximately 1.5 million square feet and was previously operated by Keurig Dr Pepper.

Chobani expects the investment to create more than 900 jobs and eventually process more than 3 billion pounds of Pennsylvania milk annually.

Pennsylvania is also providing $50 million in loans and grants through the PA SITES program to support infrastructure and site improvements.

Pennsylvania Department of Agriculture — Chobani Investment

Why it matters to contractors

This is not a traditional ground-up construction project, but $1.2 billion of investment into an existing industrial campus is still a major construction opportunity.

Expect potential demand for:

  • Production-line installation
  • Electrical infrastructure
  • Process piping
  • Mechanical systems
  • Refrigeration
  • Food-processing systems
  • Building renovations
  • Site/utilities work
  • Warehouse modifications
  • Automation
  • Structural modifications

Major takeaway

This may be one of the best examples yet of Pennsylvania’s industrial real estate being reused rather than replaced.

For construction companies, it reinforces the importance of tracking existing industrial facilities with expansion potential, not just vacant land and ground-up development.


2. PUC Forecast: Data Centers Could Drive 18.56% Annual Industrial Electricity Growth

The Pennsylvania Public Utility Commission released its 2026 Electric Power Outlook this week.

The report forecasts average annual electricity-use growth through 2030 of:

Customer ClassForecast Annual Growth
Residential0.52%
Commercial0.32%
Industrial18.56%

The PUC says the industrial increase is driven primarily by anticipated large-load customers, particularly data centers.

The PPL Electric territory stands out dramatically:

Industrial electricity use: +51.05% annually

Total electricity use: +20.51% annually

Pennsylvania PUC Electric Power Outlook coverage

Why it matters to contractors

This could be the most important long-term construction indicator in this week’s report.

The data-center story isn’t just about building giant computer facilities. It means construction of:

  • Power plants
  • Substations
  • Transmission lines
  • Distribution infrastructure
  • Gas infrastructure
  • Switchgear
  • Electrical systems
  • Backup generation
  • Cooling systems

The PUC notes that PJM’s 2025 Regional Transmission Expansion Plan identified approximately $3.56 billion of transmission projects in Pennsylvania, more than double the $1.64 billion identified the prior year.

Major takeaway

The power infrastructure supporting Pennsylvania’s industrial growth could become nearly as important as the buildings themselves.


3. PAX-1 Data Center Wins First-Phase Approval in Cumberland County

After months of intense public opposition, Middlesex Township supervisors approved the first phase of the controversial PAX-1 data-center project Wednesday. The development covers approximately 700 acres in Cumberland County. The approval followed approximately three hours of public comment.

WITF — PAX-1 approval

Why it matters

This is an important test of Pennsylvania’s new data-center regulatory environment. PAX-1 demonstrates that:

Regulatory scrutiny ≠ automatic project cancellation.

But it also demonstrates that developers should expect:

  • Extensive public hearings
  • Local zoning battles
  • Community opposition
  • Longer approval timelines
  • Greater attention to infrastructure
  • Greater scrutiny of environmental impacts

Major takeaway

Contractors should be careful about assuming that a publicly announced data center is automatically a future construction job.

The new question is:

Has the project actually cleared the political, regulatory, power and financing hurdles required to build?


4. New Kensington Data Center Goes Live

TECfusions announced that its data center in New Kensington, Westmoreland County, is now operational and providing GPU capacity for AI and high-performance computing.

The company specifically highlighted the project’s approach as consistent with Pennsylvania’s new Governor’s Responsible Infrastructure Development (GRID) framework.

Pennsylvania Business Report — TECfusions New Kensington data center

Why it matters

This provides an early example of a Pennsylvania data-center developer positioning a project around the state’s new requirements. It also reinforces a potentially important distinction:

Pennsylvania may not be slowing all data-center construction equally.

Projects that can demonstrate responsible power, infrastructure and community planning may have an advantage.


5. Market Trend: Construction Is Becoming More Industrial

The biggest takeaway from this week’s developments is the continued transition toward industrial and mission-critical construction.

Consider the projects and indicators appearing in the last several weeks:

Data centers
PAX-1, New Kensington, AWS-related development and numerous other proposals.

Food manufacturing
Chobani’s $1.2 billion Lehigh Valley investment.

Advanced manufacturing
Continued investment across Pennsylvania industrial parks.

Healthcare/life sciences
Major hospital and health-sciences projects.

Power infrastructure
Growing demand for generation, transmission and distribution.

This is a very different construction market than Pennsylvania experienced during the office-building boom.


KCA MARKET SCORECARD

SectorOutlookKCA View
Data Centers🟢 Strong / ⚠️ RegulatoryHuge pipeline, but permitting risk
Power Infrastructure🟢 Very StrongMajor emerging opportunity
Industrial Manufacturing🟢 StrongIncreasing investment
Healthcare🟢 StrongReliable institutional market
Higher Education🟢 StableSignificant renovation pipeline
Public Construction🟢 Stable/StrongMultiple active opportunities
Office🔴 WeakContinued caution
Adaptive Reuse🟡 GrowingIncreasing opportunity
Skilled Labor🔴 ConstrainedMajor limiting factor
Materials🟡 WatchCost escalation remains a risk

KCA: 5 Things to Watch Next

1. Chobani’s $1.2B Lehigh Valley Build-Out

The headline is $1.2 billion—but the construction opportunity will be determined by how much of that investment goes toward facility upgrades, production equipment, utilities and infrastructure.


2. Implementation of Pennsylvania’s GRID Rules

Watch for the first major data-center projects to navigate the new requirements.

The most important details will be:

  • How long permitting takes
  • What developers must commit to
  • How power costs are allocated
  • How local approvals interact with state permitting
  • How pending projects are treated

3. Pennsylvania’s Power-Construction Pipeline

The PUC’s 18.56% annual industrial electricity-growth forecast should put power infrastructure near the top of KCA’s strategic radar.

Watch for:

  • New generation
  • Substations
  • Transmission
  • Natural gas infrastructure
  • Battery storage
  • Large-load interconnections

4. Institutional Construction as a Hedge Against Private-Market Weakness

West Chester University’s health-sciences project, Penn State projects and state-funded work demonstrate that institutional construction can provide contractors with diversification.


5. The Small/Midsize Contractor Squeeze

Most recent backlog data shows the national construction backlog falling to 8.0 months, with data-center contractors averaging 11.4 months versus 7.5 months for contractors without data-center work.

That gap is important.

The question for KCA is whether Pennsylvania’s small and midsize contractors can participate in the data-center and industrial boom—or whether the largest contractors will capture most of the work.


Bottom Line

Pennsylvania’s commercial construction market is increasingly being driven by industrial investment and the infrastructure required to support it.

The $1.2 billion Chobani investment, the PUC’s dramatic electricity-demand forecast, and continued data-center development all point in the same direction: Pennsylvania is becoming a major destination for large, power-intensive industrial facilities.

But the market isn’t uniformly strong.

Traditional commercial construction remains more challenging, while data centers, power, manufacturing, healthcare and institutional construction are carrying much of the momentum.

For construction companies, the opportunity is substantial—but so is the workforce challenge.

The contractors best positioned for the next cycle will likely be those that can combine skilled labor, apprenticeship capacity, complex-project experience, safety performance and the ability to scale quickly as Pennsylvania’s industrial construction pipeline develops.

Pennsylvania Commercial Construction Intelligence Report for Week Ending Augst 21, 2026

Executive Summary

This was a significant week for Pennsylvania commercial construction policy, even though the number of major new building announcements was relatively modest.

The biggest development by far was Gov. Josh Shapiro’s August 18 executive order imposing new requirements on data-center development. The order immediately removes data centers from Pennsylvania’s Fast Track permitting program, requires local approval before state permits can be issued, requires developers to make legally binding commitments on power, workforce, environmental protection and community engagement, and prohibits nondisclosure agreements involving data-center projects.

For contractors, this could be a major change to the state’s largest emerging private construction market.

At the same time, the week produced several meaningful building projects: a $68 million Duquesne University health-sciences building, a $31.7 million advanced-manufacturing expansion in Armstrong County, and the opening of a $50 million Allegheny General Hospital emergency-department expansion.


BIG STORIES:

  1. Pennsylvania Puts New Guardrails on Data-Center Construction

August 18 — Gov. Josh Shapiro signed Executive Order 2026-05.

The order represents a substantial change in Pennsylvania’s approach to AI/data-center development.

Under the new requirements:

  • Data centers are removed from the state’s Fast Track permitting program.
  • DEP will not issue permits until required local approvals have been obtained.
  • Developers must make legally enforceable commitments under the state’s GRID — Governor’s Responsible Infrastructure Development — standards.
  • Developers must pay the full cost of new generation, transmission, distribution and other infrastructure needed to serve their projects.
  • Developers must engage local communities and pursue community-benefit agreements.
  • Developers must hire and train local workers.
  • Projects face stronger water and environmental requirements.
  • Data-center developers cannot use nondisclosure agreements with state agencies.
  • The state will publicly track data-center proposals that have engaged with DEP.

The administration says more than 100 data-center proposals have been publicly reported in Pennsylvania, but only five projects currently have all permits necessary for their first phase.

Pennsylvania Governor — Executive Order on Data Centers

Why contractors should care

This is potentially the most consequential construction-policy development of 2026.

The order could:

Slow projects down:
Removing data centers from Fast Track permitting could lengthen preconstruction schedules.

Eliminate speculative projects:
Developers without firm financing, power arrangements or end users may have difficulty moving forward.

Change project economics:
Developers must absorb infrastructure costs rather than shifting them to ratepayers.

Create additional construction work:
The requirement to provide power and infrastructure could create opportunities for electrical, utility, civil, generation and transmission contractors.

Increase local hiring requirements:
The workforce component could favor KCA contractors with established apprenticeship and workforce-development capabilities.

KCA perspective:
The important distinction is that Pennsylvania is not banning data centers. The state is trying to separate credible, financeable projects from speculative proposals.

That distinction will be important for KCA’s advocacy.


2. Construction Costs Remain a Concern

New July data show construction input prices increased 0.1% month over month but remain 7.4% higher than a year earlier. Nonresidential construction inputs were up 7.2% year over year.

There were specific warnings that lumber and iron/steel prices were rising and that diesel prices had jumped more than $0.50 per gallon after the period used to calculate the July index.

AGC’s analysis put the year-over-year increase in nonresidential construction input prices at 7.1% and highlighted continuing pressure from tariffs and metals prices.

AGC — July Construction Materials Prices

Why it matters

Contractors should be cautious about interpreting the 0.1% monthly increase as “stable pricing.”

The annual number remains high, and fuel, steel, copper and other materials could create additional pressure on:

  • Estimates
  • Contingencies
  • GMPs
  • Subcontractor pricing
  • Escalation clauses
  • Project schedules

3. Backlog Is Sending a Warning Signal

AGC reported that its national Construction Backlog Indicator fell to 8.0 months in July, down 0.8 months from both June and a year earlier.

The most important finding for KCA members: contractors working on data centers reported 11.4 months of backlog, compared with 7.5 months for contractors without data-center work.

National economists described the data-center boom as masking weakness in other construction segments.

Why it matters to Pennsylvania

This is perhaps the clearest national data point explaining the Pennsylvania market:

The construction market isn’t uniformly strong.

It is increasingly divided between:

High-growth:
Data centers, power, industrial, healthcare and selected infrastructure.

More challenged:
Traditional office and other financing-sensitive private development.

This makes diversification increasingly important for contractors.


Market Intelligence: What This Week Tells Us

The Pennsylvania construction market is becoming more specialized.

The strongest projects announced or advanced this week fall into four categories:

1. Data centers

Huge potential pipeline—but increasingly subject to political, zoning and infrastructure constraints.

2. Healthcare

Large, dependable capital programs from major health systems.

3. Advanced manufacturing

Smaller than data centers in dollar value, but geographically diverse and important to regional economies.

4. Public/institutional construction

Universities, transportation agencies and public authorities continue generating opportunities.

That diversification is important because the data-center market now carries substantially more regulatory risk than it did even a few months ago.


KCA’s 5 Things to Watch Next

1. What happens to Pennsylvania’s data-center pipeline?

This is the biggest question.

Watch for developers to:

  • Withdraw speculative projects
  • Seek local approvals quickly
  • Announce power-generation arrangements
  • Modify project sizes
  • Increase community-benefit commitments
  • Challenge or adapt to the new permitting requirements

KCA should be watching the projects that remain viable—not simply the number of projects proposed.


2. Senate action on data-center legislation

The House has moved legislation, while the Senate has been reluctant to act.

The question now is whether the Senate responds to the Governor’s executive action or whether the regulatory framework remains primarily executive/administrative.


3. Power infrastructure associated with data centers

The next major construction story may not be the data-center buildings themselves.

Watch for:

  • Gas plants
  • Substations
  • Transmission
  • Distribution upgrades
  • On-site generation
  • Battery storage
  • Nuclear power arrangements

The companies that build the power infrastructure may have as much opportunity as the companies constructing the data centers.


4. Healthcare capital spending

The Duquesne and Allegheny General developments reinforce the strength of the healthcare/health-sciences market.

Watch for additional hospital expansions and outpatient projects from Pennsylvania’s major health systems.


5. Contractor backlog outside data centers

The national backlog data deserves close attention.

If the data-center market is masking weakness elsewhere, KCA members should be looking carefully at where non-data-center work is actually expanding—particularly healthcare, manufacturing, higher education and public capital projects.


Bottom Line

This was a policy-heavy week that could have major construction implications.

Pennsylvania did not shut the door on data centers—but it changed the rules of entry.

The new GRID requirements mean future projects will need to demonstrate power availability, financial credibility, local approval, workforce commitments, environmental responsibility and community support before moving through the state’s permitting process.

For KCA members, that creates both risk and opportunity.

The risk is that speculative projects disappear or legitimate projects experience longer approval timelines.

The opportunity is that projects that survive the new requirements are more likely to be real, financed, power-secured projects—and therefore projects that actually reach construction.

Meanwhile, healthcare, advanced manufacturing, higher education and public construction continue providing the diversified pipeline Pennsylvania contractors need.

Pennsylvania Commercial Construction Intelligence Report for Week Ending August 14, 2026

This week’s Pennsylvania commercial construction story is increasingly about scale, power and workforce.

Three developments stand out: a $252 million St. Luke’s Heart Hospital nearing opening in the Lehigh Valley; a newly disclosed $500 million-plus AI data center development in northern Pennsylvania that would pair computing with on-site natural-gas generation; and PPL/Blackstone’s plan to support Pennsylvania data centers with as much as 5 GW of new gas-fired generation, representing potentially $15 billion in investment through 2032. At the same time, political opposition to data centers is rising sharply, making zoning, permitting, energy and community engagement increasingly important to the construction pipeline.

On workforce, Pennsylvania has opened applications for $3 million in new FIT apprenticeship funding, while the state’s construction market continues to face the challenge of supplying enough skilled workers for data centers, healthcare and industrial projects.

Market Intelligence

The Pennsylvania Construction Market Is Becoming Increasingly Two-Tiered

The strongest current opportunities are increasingly concentrated in:

1. Data centers and AI infrastructure
Large projects with extraordinary demand for electrical, mechanical and structural trades.

2. Power and energy infrastructure
Generation, transmission, substations and dedicated energy systems supporting large loads.

3. Healthcare
Large health systems continue making significant capital investments.

4. Public and institutional construction
Universities, schools, municipalities and state agencies continue producing renovation and infrastructure opportunities.

At the same time, contractors need to watch the effect of rising input costs and the uneven distribution of data center work. Earlier data showed contractors with data center work carrying substantially longer backlogs than firms without it, while smaller contractors were much less likely to have data center projects under contract.

KCA’s 5 Things to Watch Next

1. Pennsylvania Data Center Legislation

Watch whether the General Assembly revisits data center taxation, local moratorium authority, energy/water reporting and other regulatory proposals when lawmakers return.

2. Alpha Compute’s Northern Pennsylvania Project

The proposed 200-MW campus and associated gas-generation infrastructure could become a significant new construction opportunity if financing, permitting and the land transaction advance.

3. PPL/Blackstone Power Investments

Watch for the first specific project announcements from Invitium Energy. A 5-GW turbine commitment could translate into a major new power-construction pipeline.

4. FIT Apprenticeship Funding

Construction companies should determine how the new $3 million program can be used to expand registered apprenticeships and pre-apprenticeship programs.

5. Healthcare & Institutional Capital Spending

The St. Luke’s Heart Hospital project is a reminder that major healthcare construction remains active. Watch for additional hospital expansions, university capital projects and public-building work as Pennsylvania’s 2026-27 budget moves into implementation.

Bottom Line

The biggest Pennsylvania commercial construction story is no longer simply “data centers.” It is the infrastructure required to build and power them.

This week’s Alpha Compute announcement and PPL/Blackstone’s generation strategy demonstrate how AI investment is expanding into power generation, natural gas, electrical infrastructure, site development and mission-critical construction.

At the same time, Pennsylvania’s healthcare, higher education and public construction sectors continue providing a more diversified project pipeline. The biggest constraint remains people—making the state’s new apprenticeship funding particularly important.

For KCA members, the opportunity is substantial, but so is the need for contractors to be positioned early on workforce capacity, public procurement, data-center permitting and the power infrastructure behind Pennsylvania’s next generation of commercial construction.

Pennsylvania Commercial Construction Intelligence Report Week Ending August 7, 2026

Executive Summary

Commercial construction activity in Pennsylvania remained steady this week, with healthcare, industrial development, public infrastructure, and AI-driven investment continuing to generate opportunities. While there were relatively few billion-dollar announcements, several projects moved into planning, funding, or procurement stages that KCA members should monitor closely.

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KCA Intelligence Outlook Watches:

Watch #1

AI Data Centers

Expect continued announcements through the remainder of 2026 as utilities complete power studies and developers secure additional sites.


Watch #2

RACP Projects

Hundreds of funded projects should begin entering design and construction procurement over the next 6–18 months.


Watch #3

Federal & State Infrastructure Funding

Additional transportation, water, and energy investments remain likely as agencies finalize FY2026 funding allocations.


Watch #4

Construction Workforce

Skilled labor availability continues to be one of the biggest risks to project delivery schedules across Pennsylvania.


Watch #5

Interest Rates & Private Development

If financing conditions improve later this year, expect increased activity in private commercial office, hospitality, and mixed-use developments.

Bottom Line

Pennsylvania’s commercial construction market remains healthy, driven by public investment, industrial expansion, healthcare projects, and AI-related development. While this week featured fewer headline-grabbing project announcements, the pipeline of funded work continues to grow. For KCA members, the greatest opportunities over the next several months are expected to come from RACP-funded projects entering procurement, continued industrial development, healthcare renovations, and the expanding AI data center market.

KCA Commercial Construction Intelligence Report, July 31, 2026, Edition

This was a quieter news week for project announcements, but the week’s report highlights several significant funding announcements and continued momentum in Pennsylvania’s commercial construction market. While there were relatively few major private-sector project announcements over the past seven days, state capital investments and AI-related industrial development continue to drive opportunities.

Executive Summary

Top Story: The Commonwealth’s nearly $445 million in Redevelopment Assistance Capital Program (RACP) awards continues to shape the project pipeline, with funding supporting 356 projects statewide. These awards will move numerous public, institutional, and community construction projects toward procurement over the coming months. READ MORE.

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Major Project Announcements & Groundbreakings

1. Statewide RACP Awards Continue to Feed the Construction Pipeline

The Shapiro Administration’s recent RACP announcements remain the most consequential construction news affecting Pennsylvania contractors.

Highlights include:

  • $122.5 million for 129 projects in Southeastern Pennsylvania.
  • $109.3 million for 68 projects across South Central Pennsylvania and the Lehigh Valley.
  • $134.4 million for 100 projects in Southwestern Pennsylvania.
  • $26.1 million for 17 projects in North Central and Northwestern Pennsylvania.

Why it matters: RACP funding supports design and construction of economic development, workforce, healthcare, public safety, cultural, and infrastructure projects. Contractors should begin monitoring engineering and bidding opportunities as recipients move projects into procurement.

2. York County Receives Multiple Construction Investments

Among the newly highlighted RACP projects:

  • Central Market York expansion
  • Keystone Kidspace construction
  • New Spring Garden Township emergency services facility
  • Redevelopment of the former Zion Lutheran Church into an event venue

Combined funding totals approximately $6.7 million.

Why it matters: These are the types of medium-sized public projects that frequently generate opportunities for regional general contractors and specialty trades.

Data Centers & Industrial Development

AI Infrastructure Continues to Dominate Long-Term Outlook

Although there were no major new Pennsylvania data center announcements this week, activity remains strong around previously announced developments, including:

  • Carlisle (Pennsylvania Digital I)
  • Lancaster County (CoreWeave)
  • Salem Township (AWS)
  • Archbald
  • Lawrence County

Developers continue advancing permitting, planning, and site development activities.

Why it matters:

  • Heavy civil work
  • Electrical contractors
  • Concrete contractors
  • Structural steel
  • Mechanical systems
  • Utility infrastructure

This remains Pennsylvania’s strongest private commercial construction sector.


Healthcare, Higher Education & Institutional Construction

No major healthcare or university building announcements emerged during the past seven days.

However, many recently funded RACP projects include:

  • Higher education improvements
  • Community facilities
  • Public safety buildings
  • Workforce development facilities

These projects are expected to move toward design and bidding during the second half of 2026.


Contractor & Developer News

No major Pennsylvania contractor mergers, acquisitions, or executive leadership announcements surfaced during the reporting period.


Public Funding & Legislative Developments

RACP Funding Round Officially Updated

The Commonwealth updated its 2025 RACP funding round information and award listings.

The current application window has closed, and additional awards may still be issued before the funding round officially concludes.

What contractors should do:

  • Monitor local project recipients.
  • Engage owners early.
  • Watch for RFQs, design contracts, and bid advertisements.

Bid Opportunities

No significant statewide commercial bid packages were announced during the past week.

Contractors should continue monitoring:

  • Department of General Services procurement opportunities
  • PennDOT lettings
  • Local school district capital projects
  • Municipal facility improvements
  • RACP-funded projects entering procurement

Workforce, Labor & Apprenticeship

The dominant workforce issue remains availability of skilled craft professionals.

Demand continues to be strongest for:

  • Electricians
  • Carpenters
  • Heavy equipment operators
  • Concrete workers
  • HVAC technicians
  • Project managers

Large industrial and data center projects are expected to keep labor demand elevated through 2027.


Safety

No major statewide commercial construction safety incidents or regulatory developments were identified during the past week.

Contractors continue preparing for late-summer heat exposure and maintaining emphasis on fall protection, excavation safety, and workforce wellness.


Market Outlook

Current Trends

Strong

  • Data centers
  • Industrial construction
  • Public capital investment
  • Infrastructure-related work

Moderating

  • Office construction
  • Private commercial financing-sensitive developments

Growing

  • Energy infrastructure
  • Mission-critical facilities
  • Public building modernization

KCA Watch List (Next 30–90 Days)

This information was sent to KCA members. For information please contact the KCA – Jon@KeystoneContractors.com.

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Pennsylvania Construction Recap – The Top Stories for the Week Ending July 24, 2026

Here are the top Pennsylvania construction stories this week. To read this newsletter on a new platform click: PA’s Top Construction Stories.

Philadelphia Energy Retrofit Program Creates Major Construction Opportunities: A significant municipal energy modernization program is underway that will renovate 14 city-owned buildings through Pennsylvania’s Guaranteed Energy Savings Act (GESA). Construction began this summer and is expected to create approximately 300 jobs, with more than half of the work performed by local contractors. Mechanical, HVAC, electrical, and building systems contractors are expected to benefit. READ MORE.

Large Project Opportunities Continue to Enter the Bidding Pipeline: Commercial contractors seeking new work continue to see opportunities across Pennsylvania in healthcare, education, industrial, municipal, and mixed-use developments. Project lead services are reporting a steady flow of commercial projects available for bidding throughout the state. READ MORE.

Commonwealth recently announced nearly $445 million in RACP funding for 356 projects statewide: Pennsylvania is the only state in the Northeast with a growing economy, based on analysis done by Moody’s Analytics, and the region’s top state for business, according to CNBC. This RACP funding strengthens communities by assisting with construction jobs. READ MORE.

Stay Safe, Stay Informed & Keep Building Pennsylvania!

Pennsylvania Construction Recap – The Top Stories for the Week Ending July 17, 2026

Here are the top Pennsylvania construction stories this week:

AI Data Centers Continue to Dominate Pennsylvania’s Construction Pipeline: Large-scale AI data center development continues to reshape western and northeastern Pennsylvania because of the state’s available power infrastructure and land. The latest national attention focused on Salem Township, where hundreds of millions of dollars in land acquisitions are fueling future data center construction. READ MORE.

Labor Demand Continues to Increase: The workforce challenge remains one of the industry’s biggest constraints as large industrial projects compete for skilled labor. KCA research indicates strongest demand for: electricians, carpenters, heavy equipment operators, HVAC technicians, concrete finishers and project managers. For a national perspective READ MORE. In Pennsylvania, the KCA made a big workforce development announcement: KCA has an announcement. #BuildtheFuture #ConstructionCareers #KCAbuildsPA.

KCA’s Response to the State Budget: Last weekend the Pennsylvania General Assembly and Governor Shapiro approved the 2026/2027 State Budget. KCA appreciated the fiscal restraint of the budget. Click here to read the entire KCA Statement on the 2026/2027 State Budget.

Stay Safe, Stay Informed & Keep Building Pennsylvania!

KCA Statement on the 2026-27 Pennsylvania State Budget

HARRISBURG, PA — The Keystone Contractors Association (KCA) appreciates the completion of Pennsylvania’s 2026-27 State Budget and is encouraged by its overall fiscal restraint.

From the perspective of Pennsylvania’s construction industry, we are pleased that the Commonwealth maintained its commitment to fiscal stability by preserving the Rainy Day Fund. Maintaining healthy reserves strengthens Pennsylvania’s financial position and helps provide confidence for taxpayers, employers, and the businesses that build and maintain the Commonwealth’s infrastructure.

We are also encouraged that the budget contained relatively few major policy changes. While there are many important issues facing Pennsylvania, significant policy decisions deserve careful analysis rather than being rushed through the budget process.

In particular, KCA believes it was prudent not to advance major initiatives like the legalization of recreational marijuana as part of this year’s budget negotiations. KCA does not support the legalization of marijuana, but we do understand that complex issues like this carry long-term economic, regulatory, and workforce implications and should receive thoughtful public debate, stakeholder feedback and legislative committee reviews before becoming law.

Pennsylvania has experienced the consequences of rushing major policy initiatives before. When casino gaming was legalized during the Rendell administration, the process moved quickly, and several casino licenses were awarded to investors whose financial capacity had not been fully vetted. One project ultimately experienced significant financial problems, leaving construction contractors and suppliers with substantial unpaid work. The financial losses were severe enough that two Pennsylvania construction companies ultimately went out of business.

That experience serves as an important reminder that economic development initiatives must be paired with strong financial due diligence and responsible oversight. As an advocate for construction employers, we cannot stress enough how important it is for careful planning to protect both taxpayers and the businesses that invest their people and resources into these projects.

KCA looks forward to working with the Shapiro Administration and the General Assembly on policies that strengthen Pennsylvania’s construction industry, promote responsible economic growth, and ensure the Commonwealth remains financially sound for years to come.

About the Keystone Contractors Association

The Keystone Contractors Association (KCA) is a leading Pennsylvania commercial construction association representing contractors, specialty contractors, suppliers, and industry partners. KCA is dedicated to advancing the construction industry through advocacy, workforce development, education, safety, and member services while helping build a stronger Pennsylvania.

Media Contact:
Jon O’Brien
Executive Director
Keystone Contractors Association
717-884-2801
Jon@KeystoneContractors.com

Pennsylvania Construction Recap – The Top Stories for the Week Ending July 10, 2026

Here are the top Pennsylvania construction stories this week:

Pennsylvania Demographics Continue to Affect Hiring: The Pennsylvania Chamber continues warning that workforce availability—not unemployment—is becoming the state’s biggest economic challenge. Some notable figures: For every 100 jobs open, only about 77 qualified Pennsylvanians are available; and, an aging workforce and slower population growth are reducing the available labor pool, particularly in the skilled trades. READ MORE.

Northeast Pennsylvania Reports Ongoing Workforce Challenges: A recent regional economic report found construction activity remains relatively strong in Northeast Pennsylvania, but contractors continue identifying workforce shortages as one of the industry’s primary constraints on growth. READ MORE.

KCA Surpasses $100,000 in Scholarships: The Keystone Contractors Association (KCA) proudly announced that it has awarded more than $100,000 in college scholarships since launching its scholarship program in 2022, marking a significant milestone in its commitment to developing Pennsylvania’s next generation of construction industry leaders. Designed with a singular mission, the KCA Scholarship Program is unlike any other in the Commonwealth. KCA proudly refers to it as “Pennsylvania’s Scholarship” because every dollar invested stays in Pennsylvania. READ MORE (CPBJ is password protected. If you cannot view article, click to read KCA release).

PHOTO CAPTION: KCA Education Committee Chairman Jim Darr with the 2026 KCA Scholarship winners: Kevin Brown, Lindsay Baer and Keely Nunn.

Stay Safe, Stay Informed & Keep Building Pennsylvania!

Pennsylvania Construction Recap – The Top Stories for the Week Ending July 3, 2026

Construction is one of America’s most patriotic industries because we build the nation, live the values that made America great and leave every community stronger than we found it. For 250 years, builders have helped write the American story – and we’re proud to continue that legacy today.

In honor of 250 years of the United States of America, this week’s recap features three reasons why Pennsylvania’s construction industry has a deep tradition of patriotism that is rooted in its history, workforce and mission.

  1. Construction Literally Builds America: No industry has a more direct connection to the nation’s growth than construction. Pennsylvania contractors build and maintain the infrastructure that keeps America moving. Construction professionals don’t just work in America—they build the places where Americans live, work, learn, and serve. That creates a strong sense of pride and purpose.
  2. The Industry Shares America’s Founding Values: Construction reflects many of the same values that have defined America for 250 years. Many contractors are family-owned businesses that have been passed from one generation to the next. Pennsylvania has construction companies that are fourth-, fifth-, and even sixth-generation family businesses. Those traditions mirror the American story of entrepreneurship, perseverance, and building something lasting for future generations. Some of our industry’s values:
    • Hard work
    • Self-reliance
    • Personal responsibility
    • Teamwork
    • Freedom to build businesses and careers
    • Opportunity through the skilled trades
  3. Construction Has a Strong Tradition of Service: The construction workforce has long included military veterans, volunteer firefighters, first responders, coaches, community leaders, and civic volunteers. Many construction professionals see their work as serving their communities, not just earning a living. Building a safer bridge, a new school, or a veterans’ facility has a lasting impact on people’s lives. Construction companies regularly:
    • Rebuild communities after a natural disaster.
    • Donate time, equipment, and materials to charitable causes.
    • Support local schools, youth sports and community organizations.

Happy 250th Birthday America!