Fear has arisen that the economy will continue to stall, especially in the transportation sector, as much of the American Recovery and Reinvestment Act (ARRA), a.k.a. “the stimulus” funding has already been awarded.

Although there was talk of a second stimulus bill, there is currently nothing in the works.

But if California — often the leader on many fronts, including trends — is any indication, highway work is still being awarded and points to signs of additional recovery.

Granite Construction Incorporated, one of the nation’s largest diversified heavy civil contractors and construction materials producers, has been awarded a $24 million contract for the reconstruction of 13 miles of Highway 101 near San Jose, Calif. The California Department of Transportation awarded Granite the project, which is being funded by the stimulus bill passed nearly a year ago.

Scope of the project includes grinding and repaving the northbound and southbound lanes of Highway 101 between Silicon Valley Road and the Guadalupe River Bridge in Santa Clara County.

The project is scheduled to begin May 2010 with an estimated completion date of August 2010.

That’s good news for the construction industry, good news for our nation’s infrastructure system, and encouraging news for the U.S. economy.