Residential construction fell 8 percent in May compared to April, the second straight month of declines for the industry, according to a report by the Associated General Contractors of America using Census data. Nonresidential spending on construction also fell in May by 3 percent, but the rate of nonresidential construction was nevertheless up from a year ago, the trade group said. “Nonresidential construction remained much stronger than a year ago,” said Ken Simonson, chief economist for the AGC. “Private nonresidential construction was down slightly from April to May but up 13 percent compared to May 2005.” Private nonresidential construction, particularly in the areas of manufacturing, energy and power, hospital and retail projects, is expected to be strong for the rest of the year and into next year, said Simonson.