Building apprenticeship funds rejected

CARSON CITY - Gov. Brian Sandoval says it doesn't make sense to pump money into construction trade apprenticeship programs after thousands of workers were laid off during the recession and while the state's building industry remains in the doldrums.

After questions by Sandoval, the Board of Examiners on Tuesday took no action on two contracts totaling $450,000 for apprenticeship programs at both ends of the state that train plumbers, electricians and carpenters.

Though the job training money comes from the federal government, Sandoval says he believes the money could be better spent to train for jobs in more promising sectors, such as health care.

After assurances from a Department of Employment, Training and Rehabilitation official that the money can be redirected, the board let the items die without action. While some sectors of Southern Nevada's economy have shown improvement, the construction industry has continued to struggle with limited demand for new development.

Commercial vacancy is running at record-high levels in Las Vegas. New-home construction is at a 30-year low, and some 72,000 construction workers have lost their jobs in the last five years, said Jeremy Aguero, principal of Applied Analysis business advisory firm.

"The governor has the better of the argument," Aguero said. "We're not short on construction workers. If we're going to train people for work, it's better to train them for other jobs. Where we see the most openings is in web development and information technology."

Construction employment in June slipped to 36,500 in Las Vegas, down 2.1 percent from 37,300 a year ago, according to DETR. Continued difficulties in the financial activities sector are at least partly related to the weakness, DETR economist Jim Anderson said.

The United Brotherhood of Carpenters continues its apprenticeship program in Las Vegas at a $22 million training center at 6801 Placid Road. The 178,000-square-foot center houses state-of-the-art technology for training skilled trades.

Review-Journal writer Hubble Smith contributed to this report.