![Dmi July 2020a](https://img.forconstructionpros.com/files/base/acbm/fcp/image/2020/08/dmi_july_2020a.5f2d7fec2e393.5f2d80035120f.png?auto=format%2Ccompress&fit=crop&h=288&q=70&rect=18%2C0%2C501%2C282&w=512)
The Dodge Momentum Index moved 3.4% higher in July to 124.7 (2000=1000) from the revised June reading of 120.5. The Momentum Index, issued by Dodge Data & Analytics, is a monthly measure of the first (or initial) report for nonresidential building projects in planning, which have been shown to lead construction spending for nonresidential buildings by a full year. During the month, the commercial component increased 5.3% while the institutional component was unchanged.
State and local government revenues have been squeezed as declines in economic activity have led to a drop in tax revenue just as costs related to the pandemic have skyrocketed. The institutional component is currently 28% below its December 2019 peak and 21% lower than its year ago level. Commercial planning is down 13% from its January 2020 peak, but is actually 1% higher than its year-ago level.
In July, 13 projects each with a value of $100 million or more entered planning. The leading commercial projects were the first two phases of the Centene Healthcare headquarters in Charlotte, NC, with each phase valued at $500 million. The leading institutional projects were the $320 million Dignity Health Hospital in Elk Grove, CA, and the $155 million first phase of the West Henderson Hospital in Henderson, NV.