CONVERSATION: Ric DeVore on his new foundation leadership role. PAGE 30
Notables: Women in Construction, Design, Architecture. PAGE 8
CRAINSDETROIT.COM I JUNE 6, 2022
CEO pay soars even with disclosure rule ‘Say on pay’ has done little to reduce salary gaps, experts say BY NICK MANES
Five years ago, a federal rule took effect mandating public companies disclose how much the CEO makes compared to a typical worker at the company. Aimed at bringing further transparency and perhaps reining in massive executive pay, multiple experts in the field of executive compensation now say the rule is little more than a minor headache for companies, and the disclosure is
MORE ON EXECUTIVE COMPENSATION ` The top 10 highest-paid CEOs in Southeast Michigan. PAGE 21 ` CEO pay bounces back after pandemic dip. PAGE 22 ` Crain’s lists of the top-paid CEOs and non-CEOs. PAGE 23 having little impact on the multimillion dollar salaries earned by successful CEOs. “My assessment is that it’s much ado about nothing,” Joshua Bright, a Detroit-area principal with consulting firm Pay Governance LLC, said
of the mandated disclosure. When the rule first came about, companies were very nervous about it, for a multitude of reasons, he said. Those days are over. See CEO PAY on Page 22
The three highest-paid local CEOs in 2021: (from left): Ken Booth, president and CEO of Credit Acceptance Corp.; Mary Barra, chair and CEO of General Motors Co.; and James Farley, president and CEO of Ford Motor Co.
MACKINAC POLICY CONFERENCE
DALE G. YOUNG FOR CRAIN’S DETROIT BUSINESS
AT A CROSSROADS
Detroit Pistons Vice Chairman Arn Tellem speaks at the Mackinac Policy Conference, which he chaired.
Mackinac wrap-up: Leaders know Michigan must do more to stay competitive
M
ACKINAC ISLAND — Leaders in Michigan left the yearly confab on Mackinac Island knowing that the state’s efforts to compete for jobs and people are coming up short. It’s not that there haven’t been wins, as confirmed by Ford Motor Co.’s big announce-
ment Thursday that it will add 3,200 jobs in Southeast Michigan. But the consensus is that the state is at a crossroads and more must be done or else it will lose, not gain, ground. The next steps aren’t clear, though John Rakolta Jr., chairman of the Detroit-based Walbridge construction company, wants a state commission of business leaders and others to
NEWSPAPER
VOL. 38, NO. 22 l COPYRIGHT 2022 CRAIN COMMUNICATIONS INC. l ALL RIGHTS RESERVED
| BY DAVID EGGERT
be created to propose a turnaround plan. He helped lead a coalition that lobbied for the 2016 state bailout and restructuring of Detroit’s school district. He has voiced concerns that Michigan isn’t prepared for the transition to electric vehicles and the multistate scramble to land EV plants. “Whatever we need to do, we need to do
something robustly. We need to do something big and we need to do it quickly and it needs to be done in a bipartisan way,” said Sandy Baruah, president and CEO of the Detroit Regional Chamber, which organizes the Mackinac Policy Conference.
AMAZON ISN’T GIVING UP SPACE IN DETROIT AREA
FUTURE OF LAWN TENNIS CLUB IN LIMBO
Real Estate Insider PAGE 4
PAGE 3
See MACKINAC on Page 28
NEED TO KNOW
CRAIN’S PODCASTS
THE WEEK IN REVIEW, WITH AN EYE ON WHAT’S NEXT
` DETROIT RIVERFRONT GETS $3 MILLION FOR NATURE COVE THE NEWS: The Fred A. and Barbara M. Erb Family Foundation has made a $3 million grant to the Detroit Riverfront Conservancy to create access to a new cove with habitat improvements and programming focused on water quality issues and stewardship of the Detroit River and Great Lakes watersheds. The Barbara Erb Cove at the Ralph C. Wilson Jr. Centennial Park in Detroit will become a hub for stewardship and Great Lakes learning, the foundation’s president, Neil Hawkins, said in a news release. WHY IT MATTERS: The Barbara Erb Cove will allow visitors can touch the water and get close to fish, wildlife and native plants, serving as a hub for environmental programming the conservancy said it is developing with partners including the Huron-Clinton Metroparks.
` MORE SMALL BUSINESS SUPPORT PLANNED
` DOOPED DONUTS LAUNCHES SHOP
THE NEWS: Wayne County and the New Economy Initiative are teaming up to expand small business support with a combined $54 million investment. The county is committing $32 million in American Rescue Plan Act funds to NEI to match $22 million in private foundation commitments. Those dollars will help put a small business support system in place throughout the county, helping to meet the needs in underserved communities including River Rouge, Ecorse and Inkster, replicating what NEI has done in Detroit. The organizations announced a new support hub, which aims to make pathways to wealth generation through entrepreneurship more accessible to small business owners in Wayne County and help them recover.
THE NEWS: One of the Ferndale Project’s properties, Dooped Donuts , opened on Friday (National Donut Day) its first brick-and-mortar location in the Madison Building at 1555 Broadway St. in downtown Detroit.
WHY IT MATTERS: Contingent on approval of the Wayne County Commission, the federal dollars from the county mark the first public commitment to NEI, a foundation-led economic development effort, since its 2007 launch. This partnership is especially important now because small businesses are still reeling from the effects of the COVID-19 pandemic, including the tight labor market and inflation.
WHY IT MATTERS: Started in 2020, Dooped Donuts initially offered products wholesale to metro Detroit coffee shops because of the coronavirus pandemic.
` VAN DYKE’S NEW FIRM FREED FROM RESTRAINING ORDER THE NEWS: A federal judge in Detroit dissolved a temporary restraining order and denied a request for a preliminary injunction, according to a docket entry. The actions were sought by Detroit-based public relations firm Van Dyke Horn LLC in a lawsuit against startup communications company VVK PR & Creative. Peter Van Dyke, a principal with VVK, was previously the CEO of Van Dyke Horn.
Catch up with Mackinac Policy Conference podcasts Crain’s set up along Media Row at the Grand Hotel last week to interview the biggest movers and shakers at the Mackinac Policy Conference. Following is some of the news we heard: ` “I’m a firm believer that if we don’t connect the next generation to nature and we don’t connect them to animals in the environment and biodiversity, and the diversity in humankind, then we’re kind of doomed.” — New Detroit Zoo CEO Hayley Murphy announced a $22 million, 7-acre KidZone consisting of an aerial trail 16 feet from the ground, a treehouse play structure and habitats for animals. ` “I think relationship building is what gets done on a golf course, and that’s what’s really going to happen here.” — Arn Tellem, vice chairman of the Detroit Pistons and chairman of the Mackinac conference, used his time with Crain’s reporter Kurt Nagl to talk about why he wanted to open the conference with a golf outing at The Jewel golf course at the Grand Hotel. ` “First and foremost, my goal is to help give people relief as quickly as we can.” — Gov. Gretchen Whitmer reiterated her openness to temporarily pausing Michigan’s 6 percent sales tax on fuel to help drivers facing high prices at the pump. To listen to all of the podcasts, visit crainsdetroit.com/podcasts. Attorney General Dana Nessel chats with reporter Dave Eggert for a podcast at the Grand Hotel on Mackinac Island. | DALE G. YOUNG FOR
WHY IT MATTERS: The order prevented VVK from using any Van Dyke Horn trade secrets or “Contacting or soliciting any VDH clients and/or employees. Now the The firm is free to resume meeting with clients.
CRAIN’S DETROIT BUSINESS
ICYMI: CRAIN’S PODCASTS
FROM THE
MACKINAC POLICY CONFERENCE Michigan Governor Gretchen Whitmer talks inflation relief for residents and budget priorities, including road repair and economic incentives for businesses with senior reporter David Eggert Detroit Mayor Mike Duggan talks bringing jobs to Detroit and benefits of development for the city’s residents with reporter Kurt Nagl Skillman Foundation CEO Angelique Power talks bringing young people into philanthropy with executive editor Kelley Root Detroit Pistons Vice Chair and 2022 Conference Chair Arn Tellem talks planning this year’s Mackinac conference and sports as an model for progress and civil discourse with reporter Kurt Nagl
Listen to these exciting conversations and more at
crainsdetroit.com/mackinac 2 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
TITLE SPONSOR
REAL ESTATE
HEALTH CARE
Future of Wessen Lawn Tennis Club in limbo after sale to Hantz Businessman hasn’t revealed plans yet BY KIRK PINHO
A man kneels to pray at a memorial at the sign of Oxford High School after the Nov. 30 mass shooting that killed four students. | PAUL SANCYA/ASSOCIATED PRESS
HOPING TO STOP THE BLOODSHED Public health experts wrestle with pandemic of gun violence BY DUSTIN WALSH
As COVID-19 slowly retreats, another kind of public health pandemic is re-emerging, health care experts say. The murders of 19 children in Uvalde, Texas, and 10 elderly patrons of Tops Friendly Market in Buffalo, N.Y., last month once again has shone a grim spotlight on what medical professionals call the ongoing public health crisis of gun violence across the U.S. As debate rises again about gun policies, hospitals and health care researchers are racing to understand and enact more effective programs and measures in hopes of stopping the bloodshed.
Those include identifying and addressing mental health warning signs as early as possible and teaching young people to recognize and regulate their emotions. Deaths from gunshot wounds are up more than 20 percent in the past five years, and preliminary reports suggest homicides and suicides by guns rose 10 percent throughout 2020. More than 100 people died by firearms each day that year. And guns are now the leading cause of death for children in the United States. “We have to be more intentional about recognizing firearm violence as a public health crisis,” said Justin Heinze, an assistant professor of health behavior and health educa-
tion at the University of Michigan and co-principal investigator at the National Center for School Safety. “We have to analyze the touch points for the youth who are engaging in this behavior, those who are 12 to 25, and find ways to treat the risk.” Heinze said firearm violence prevention measures exist, but they are not coordinated. A 1996 federal law known as the Dickey Amendment has banned the use of government funds for gun control advocacy, which made research grants on public health and firearms dry up, though $25 million for injury prevention was appropriated in 2020. See VIOLENCE on Page 25
“WE HAVE TO BE MORE INTENTIONAL ABOUT RECOGNIZING FIREARM VIOLENCE AS A PUBLIC HEALTH CRISIS.” — Justin Heinze, assistant professor of health behavior and health education, University of Michigan
Businessman John Hantz has purchased the Wessen Lawn Tennis Club, which was billed as the first grass tennis club built in the U.S. in more than a century when it opened eight years ago. The future of the property at 235 Wessen St. in Hantz Pontiac — which has 24 grass and four hard courts on about seven acres, plus an Olympic-size swimming pool, according to marketing materials prepared by a brokerage firm — is now in limbo as Hantz has discussions with city officials about its ultimate fate. Staff at the separate Wessen Indoor Tennis Club at 121 Branch St., which is co-owned by Brian DeVirgilio, said Wednesday morning that the lawn tennis club has been closed for months. It typically closes when the weather gets colder and reopens as it warms, although it has not reopened since its sale to Hantz in January for an unknown price. Vern Gustafsson, Pontiac’s planning manager, said no plans have been submitted to the city regarding the site’s future use. Mayor Tim Greimel said he has had preliminary discussions about it with Hantz, although he declined to reveal details about what that use or uses may be. Greimel said one of those Hantz is pondering may not be allowed. “There are some questions we had about whether current zoning for the site would allow that use and whether he has met some of the state legal requirements,” Greimel said, noting that use is not cannabis. See TENNIS on Page 27
MERGERS & ACQUISITIONS
Music entrepreneur saves U.P. helicopter maker from liquidation BY KURT NAGL
Chuck Surack, the wealthy entrepreneur and founder of Sweetwater Sound Inc., paid $10.5 million for a helicopter maker in the Upper Peninsula whose customers include the Royal Thai Army and Botswana Police Force. Why? Because he loves helicopters. Also, because he made it his mission to save Enstrom Helicopter Corp., a 65-year-old manufacturer in Menominee, from Chapter 7 bankruptcy liquidation. “To me, it was the jobs,” Surack, 65, told Crain’s in an interview. “I love that it’s a U.S. manufacturing
Chuck Surack with an Enstrom helicopter, on which he first learned to fly. |CHUCK SURACK
company on U.S. soil with U.S. people, and that’s exactly what we should be about in our country. I’ve turned around many other businesses, so I knew I could turn it back around.” Surack, who turned a mobile recording studio in his Volkswagen bus into an audio and instrument retail behemoth, first learned to fly a helicopter on an Enstrom around 14 years ago. Since relinquishing his role as CEO of Sweetwater last summer, Surack has further embraced his passion for aviation, although the dozen or so companies in his portfolio keeps him plenty busy. When Enstrom first filed for bank-
ruptcy in January, Surack was not all that surprised. The company had suffered 10 years of disinvestment after being bought by Chinese company Chongqing General Aviation Group, he said. From 300 or so employees making 100 helicopters a year for $50 million in revenue around 10 years ago, the company sank to less than half that headcount and just $20 million in sales last year, Surack said. The manufacturing plant — where nearly every part of the helicopter is made besides the engine and avionics — shuttered in December. See HELICOPTER on Page 27 JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 3
REAL ESTATE INSIDER
Amazon giving back space in some markets, but not Detroit The breakneck speed at which Amazon.com Inc. accumulated warehouse space seems to have caught up with the e-commerce giant. Kirk Bloomberg rePINHO ported on May 21 that Amazon is putting no less than 10 million square feet up for sublease (maybe even just for a year or two) or perhaps even terminating leases in New York, New Jersey, Southern California and Atlanta, based on conversations with sources. One of those sources told Bloomberg the figure could be at 30 million square feet. Yikes. But the sudden reversal seen in other markets hasn’t yet hit the Detroit region, where the Seattle-based company occupies or is building some 13 million square feet or more, at last count. My sources have told me in the last few days that Amazon hasn’t abandoned any of its space locally, whether on a short- or long-term basis. And it may not at all. One of those sources said Amazon has been more deliberate in the Detroit area, whereas in larger markets — like those being downsized — it gobbled up whatever it could get its hands on. In addition, that source noted that Amazon was ditching smaller spaces — 100,000 square feet here, 200,000 square feet there — and not mega-centers like the ones built on the site of the former Pontiac Silverdome (3.7 million square feet) and the former Michigan state fairgrounds in Detroit (3.8 million square feet). With the way the industrial real estate market has performed the last several years in the city and suburbs, the source said, it would be no huge
Amazon.com Inc. is reportedly scaling back some of its warehouse space in a handful of markets around the country, but that hasn’t impacted its footprint in the Detroit area. | COSTAR GROUP INC.
sprawling properties like those in Pontiac and Detroit. I’ve heard no rumblings that something like that is afoot. Bloomberg says Amazon has added some 200 million square feet during the pandemic alone. I emailed Amazon seeking comment.
Almost missed this one
A rendering of one of the hotel rooms planned as part of the Complex444 development envisioned next to Detroit Shipping Co. | DETROIT RISING DEVELOPMENT
challenge to backfill the vacated Amazon space, whether on a temporary or permanent basis.
However, the source cautioned, it would be a much different story if Amazon is backing away from
The Inn on Ferry Street is selling to a new ownership group and is expected to be managed by a company called Life House Hotels, based out of New York City. That second little tidbit about the management came from some business records trolling because Life House set up a couple entities starting with the letters “LH” followed by the address of The Inn on Ferry Street. What I didn’t realize last week, however, is that Life House also set
up a similar entity for the companion project of the Detroit Shipping Co. development, called Complex444, on Peterboro Street: “LH 444 Peterboro Manager LLC.” I reached out to Jonathan Hartzell, who is developer, director of acquisitions and programming, and general partner for Detroit Rising Development, the project’s developer. He declined comment on any sort of deal with Life House. The Peterboro project is currently envisioned to be a 21,000-squarefoot, three-story building with 14 micro-retailers in 250-square-foot units, plus a 32-room hotel, Hartzell said. There would also be a rooftop bar and entertainment space. The hotel is a new component to the $6 million Complex444, which was announced in August 2019 but has not yet started construction. Some of the retailers were announced in June 2020. Detroit Shipping Co. opened in 2018 after a $3.1 million build-out. A spokesperson for Life House Hotels said Tuesday morning that more details will be available at a future date.
Some new Gucci store details revealed The Michigan Chronicle got an interview with Gucci that published recently. Susan Chokachi, president and CEO of Gucci Americas, described the store as one that hopefully “serves as a convening point for downtown’s energy and the creative and unique character of Detroit’s many neighborhoods and the people who live there.” Crain’s first reported the store in January, which is set to open at 1274 Library St. in the Dan Gilbert-owned former L.B. King & Co. building. Contact: kpinho@crain.com; (313) 446-0412; @kirkpinhoCDB
FINANCE
Grand Rapids-based Acrisure valued at $23B in latest funding round BY NICK MANES
A rapidly growing and acquisition-hungry West Michigan insurance brokerage firm is now valued at $23 billion, more than tripling its valuation in just over one year. Acrisure LLC in Grand Rapids announced Tuesday that it closed on a Series B-2 funding round totaling $725 million in equity at a valuation of $23 billion, according to a news release. The valuation represents a 31 percent increase since the company’s last funding round in March of last year, which totaled nearly $3.5 billion, as Crain’s reported at the time. The most recent funding round was led by a wholly-owned subsidiary of the Abu Dhabi Investment Authority, and included participation from Guggenheim Investments and Oak Hill Advisors. The company’s offerings range from insurance, reinsurance, real estate services, cyber services, and asset management. The added investment announced this week is “validating and confirming” of the company’s trajectory 4 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
The headquarters of Acrisure in downtown Grand Rapids. | ROCKFORD CONSTRUCTION
and its technology offerings, according to Greg Williams, the company’s co-founder, CEO and president. “In terms of the things that we’ve done and the strategies that that we’re pursuing, and the vision for the future, as it relates to having a fintech business,” Williams told Crain’s in an interview last week following the investment announcement. “We’ve got multiple products and
services that we offer to our clients,” Williams said. “And therefore, a significantly larger total addressable market. And so I think it speaks to the opportunity that we have in front of us ... to have a tech-driven company.”” Acrisure has grown revenue from $38 million to more than $3.5 billion in just more than eight years with locations throughout the world, it said in the release.
The company has been growing via acquisition of independent insurance brokerages, and closed on 130 deals last year, according to the release. The most recent funding aims to allow Acrisure to continue on its M&A tear, while also furthering its use of technology and increasing its marketing and brand awareness. Early last year, the company announced it had secured naming rights for the Acrisure Arena, a sports and entertainment venue in Southern California. The new equity raise also allows the company to reduce its debt load, according to the release. “Acrisure has grown at a rapid pace to become one of the world’s leading insurance brokers, and our investment aims to support the company as it continues to execute on its strategy,” Hamad Shahwan Aldhaheri, executive director of private equities for the Abu Dhabi Investment Authority, said in the release. “This transaction adds to our extensive portfolio of investments across the insurance industry value chain, a large and attractive market backed
by long-term growth trends.” The funding and updated revenue figure of $3.5 billion in annual sales firmly solidifies the West Michigan-based company as among the largest privately held companies operating in Michigan. Bloomfield Hills-based Penske Corp. and Ilitch Holdings Inc. in Detroit topped Crain’s most recent list of the 200 largest private companies in metro Detroit, reporting annual revenue of $37 billion and $3.8 billion last year, respectively. Southfield-based general contracting company Barton Malow Holdings LLC was No. 3 with revenue of more than $3.3 billion in 2021. Amway Corp., the West Michigan multilevel marketing firm controlled by the DeVos and Van Andel families, last month reported 2021 revenue of $8.9 billion. The reported $23 billion valuation for Acrisure also puts the company near the top of privately held companies with known valuations in excess of $1 billion. Contact: nmanes@crain.com; (313) 446-1626; @nickrmanes
Mindful of what’s important At Bank of America, our employees’ emotional wellness is very important to us. We drive open and ongoing conversations to help break through the stigma around mental health. Whether it’s one-to-one professional counseling during critical life events or simple education and tips to manage daily stress, our goal is to ensure our teammates get the resources they need.
After all, when our employees are at their best, they’re able to give their best to our clients and communities. My teammates and I are proud to work for a company that creates a supportive and emotionally healthy environment for all of us.
Matt Elliott President, Bank of America Detroit
What would you like the power to do?® Learn more at bankofamerica.com/detroit
Bank of America, N.A. Member FDIC. Equal Credit Opportunity Lender © 2022 Bank of America Corporation. All rights reserved.
COMMENTARY
FTC should examine real reasons for high drug costs
COMMENTARY
Civility is easy at the Grand Hotel; now comes hard part
M
ACKINAC ISLAND — Culture. Authenticity. Intentionality. Systemic change. The buzzwords emanating from virtually every session at this year’s Mackinac Policy Conference seemed to suggest the need for a transformational, even radical, approach to Michigan’s post-pandemic problems. Will it happen? Cynics watching the return of the annual schmooze-fest on the steps of the storied Grand Hotel might say no. Much of this year’s conference looked familiar: business and political leaders catching up over cocktails, introducing new colleagues, jostling for face time with CEOs. But something still felt different. The language, at times, was stark, more urgent. Sparks of raw emotion occasionally broke through. Speaking on a panel titled “Civility is a Priority for Progress,” U.S. Rep. Debbie Dingell, D-Dearborn, jolted the room with an emotional outburst on gun violence, recalling how she cowered in a closet as a child in fear of her father. “There are people who should not have guns,” she said, voice rising almost to a shout. “My father was one of them. I will talk (about) this with anyone and everyone so that no child should ever have to know what it was like to be in that closet, afraid you were going to die.” An uncomfortable silence followed — then applause. Other speakers were blunt about the need to upend old systems as the state struggles to regain its economic footing and attract talent. “We have to change everything we thought about how work gets done, how we are being equitable,” La June Montgomery Tabron, president and CEO of the Kellogg Foundation, said during a discussion on workforce development. “The work before us today is re-evaluate the employer-employee relationship.” The theme of restoring civility to achieve
Kelley
ROOT
Executive Editor change was threaded throughout the programming. Gov. Gretchen Whitmer, in her closing message Thursday, called for an end to the culture of “angertainment” and “ideology over ideas.” “We must put our collective success first and do the hard work of being uncomfortable,” she said. A worthy goal, to be sure. But in a jarring juxtaposition, her remarks were followed by a political debate in which GOP primary candidates sparred over seemingly intractable issues like abortion and gun control — closing a conference dedicated to lofty ideals of unity with a reminder that there are very real fights to come. Is civility even possible anymore, much less a real change in direction? Mackinac keynote speaker Jon Meacham, a Pulitzer Prize-winning historian, offered up the most philosophical perspective — and likely the most realistic. “I’m here to tell you that there was never a once upon a time in American history, and there’s never going to be a happily ever after … because history is us. It is a human enterprise,” he said. “And I’m sure you all are better people than I am, but I am fallen, frail and fallible. If I can do the right thing slightly more than half the time, that’s a hell of a good day.” It’s easy to have a “good day” while sipping wine on the Grand Hotel’s porch. But that’s not the real world. We have miles to go. A three-day conference may not move the needle. But perhaps just being in the same room together is a start.
T
he rising cost of health care is an issue that impacts families and businesses in Detroit, across the state, and throughout the country — particularly the seemingly ever-increasing prices of prescription drugs. Jonathan C. This is clearly a problem Kinloch is a that requires thoughtful Wayne County policymaking and percommissioner haps even some regulato(District 2), ry changes to ensure chairman of the Michiganders, and all Detroit/Wayne Americans, are able to acCounty Port Authority and cess the prescriptions they chair of the 13th need at prices they can afCongressional ford. District The Federal Trade Democratic Commission has begun Party. examining some of the factors that could potentially be contributing to the surging costs of prescription drugs. While a thoughtful inquiry could be a welcome and long-overdue step, it is critically important that the agency direct its inquiry to the market participants behind the spiraling costs of prescription drugs and examine the often-arbitrary prices and price increases set by major pharmaceutical companies and drug manufacturers themselves. Instead, the FTC is currently focusing its efforts on picking apart the relationship between Pharmacy Benefit Managers, or PBMs, and independent pharmacies. Through my role as Wayne County commissioner for District 2 — and my involvement in Service Employees International Union Healthcare Michigan — I have come to gain a greater understanding and appreciation of the critical role PBMs play in keeping prescriptions more affordable and accessible. In my experience, PBMs do not contribute to the rising costs of prescription drugs — in fact, they do the exact opposite. Essentially, PBMs act as a negotiator and liaison with major drug companies and pharmacies for nearly every kind of health care plan imaginable — from union-negotiated plans to self-insured and commercial ones to government-run ones like Medicare Part D and Medicaid. In addition to administering drug bene-
Write us: Crain’s welcomes responses from readers. Letters should be as brief as possible and may be edited for length or clarity. Send letters to Crain’s Detroit Business, 1155 Gratiot Ave, Detroit, MI 48207, or email crainsdetroit@crain.com. Please include your complete name, city from which you are writing and a phone number for fact-checking purposes. 6 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
fits seamlessly and nearly instantly, PBMs use their vast purchasing power to negotiate with drug makers and pharmacies for lower prescription drug costs for everyone with health insurance nationwide. When it comes to prescriptions, affordability is the key to helping patients stay on their drugs, which leads to better health. Not only does that help vulnerable or at-risk Michiganders live healthier lives, but it also helps ease the strain on our overburdened health care system. By negotiating lower prescription drug costs, PBMs help keep patients and entire communities healthier and more productive. Conversely, if patients can’t afford their medications, then they are less likely to take them on a regular basis and more likely to end up in poor health, undermining the quality of life — or even threatening the lives — of Michiganders while putting more of a strain on our entire health care system. That is why PBMs are such an important part of the health care landscape — they advocate for patients and work to make prescription drugs more accessible and affordable. SEIU uses a PBM to reduce prescription drug costs, and our plan’s PBM is doing just that, just as PBMs are for every Michigan health plan. The money that PBMs help Michiganders save every year by working with health care plans and negotiating with drug manufacturers is money that can go toward college savings, retirement, increased gas costs, family vacations or any number of other household priorities. In these turbulent economic times, PBMs are helping to make a real difference for patients by controlling costs to the greatest extent possible. If the FTC is serious about addressing the true factors that contribute to the skyrocketing prices of prescription drugs, then it should examine the price-setting practices of major pharmaceutical companies. Artificially and arbitrarily high prices and continuous price hikes — as well as an array of anticompetitive practices used by drug manufacturers — are the primary reason so many Michiganders struggle to afford their prescriptions, undermining access and adherence and leading to less healthy communities. That is what the FTC should really be looking into, not the role of PBMs, which are perhaps the single-biggest driver of lowering drug prices for patients and health care plans nationwide. If we are going to address the issue of high prescription drug costs once and for all, then we need to get to the root of the problem. We know where that is, so let’s start digging.
GETTY IMAGES/ISTOCKPHOTO
DANIEL SAAD FOR CRAIN’S DETROIT BUSINESS
BY JONATHAN C. KINLOCH
Sound off: Crain’s considers longer opinion pieces from guest writers on issues of interest to business readers. Email ideas to Managing Editor Michael Lee at malee@crain.com.
MACKINAC POLICY CONFERENCE
Detroit Zoo plans $22M KidZone with aerial adventure, treehouse BY KURT NAGL
MACKINAC ISLAND — The Detroit Zoo’s next major capital expenditure will be a 7-acre KidZone consisting of an aerial trail 16 feet from the ground, a treehouse play structure and habitats for prairie dogs, anteaters, bush dogs and maybe even giant tortoises. The KidZone, funded through philanthropy, will cost around $22 million, according to Detroit Zoo CEO Hayley Murphy. Crews are expected to break ground next spring and complete construction in 2024. It will be the first major project under Murphy, who took the helm a little more than six months ago as the first female CEO of the zoo. It is also one of the initial capital expenditures of the zoo’s strategic planning period, which also includes the Great Lakes Center for Nature in the works for Macomb County. The KidZone will serve as a community asset connecting kids to nature, which is key to their development, Murphy said during an interview with Crain’s during the Mackinac Policy Conference. “I’m a firm believer that if we don’t connect the next generation to nature and we don’t connect them to animals in the environment and biodiversity, and the diversity in humankind, then we’re kind of doomed,” she said.
“I’M A FIRM BELIEVER THAT IF WE DON’T CONNECT THE NEXT GENERATION TO NATURE AND WE DON’T CONNECT THEM TO ANIMALS IN THE ENVIRONMENT AND BIODIVERSITY, AND THE DIVERSITY IN HUMANKIND, THEN WE’RE KIND OF DOOMED.” — Hayley Murphy, CEO, Detroit Zoo
Other areas of the KidZone include a water feature for “splashing in the summer sun,” a sheltered seating area, a tots area and interactive exhibits with opportunities for kids to dig, play and explore tunnels, according to a project fact sheet from the zoo. It will also include a “reimagined barnyard” and farmland area where kids can learn more about Michigan’s agriculture. “Kids can actually go in to brush goats, and we’re looking at giant anteaters, giant tortoises,” Murphy said. Parents can also find refuge from the sun and an opportunity to relax in the KidZone. “There’s going to be a central parent region where parents can kind of decompress, charge their devices,
have some shade, grab a snack,” she said. The play areas will be fully accessible for kids with mobility challenges, as well. “It’s a chance for kids to just, quite frankly, play,” Murphy said. Contact: knagl@crain.com; (313) 446-0337; @kurt_nagl
The Detroit Zoo’s next major capital expenditure will be a 7-acre KidZone. | MICHIGAN.ORG
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JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 7
WOMEN IN CONSTRUCTION, DESIGN & ARCHITECTURE The women on this list have quite literally shaped the world we live in. They have designed grocery stores, doctor’s offices, schools, banks, classrooms. They have built sports stadiums, removed lead in residential neighborhoods, laid out roads and bridges. And they’ve done it while lifting up the next generation of women in the field, mentoring and training other architects, designers and women in construction for the opportunities ahead. METHODOLOGY: The leaders featured in this report were selected from nominations by a team of Crain’s Detroit Business editors based on their career accomplishments, track record of success in the field and effectiveness of their efforts, as outlined in a detailed application form. The honorees did not pay to be included on the list. Notable Women in Construction, Design & Architecture was managed and written by Leslie D. Green. For questions about this report, contact Special Projects Editor Amy Bragg: abragg@crain.com.
MICHELLE ARISTEO BARTON
REGINE BEAUBOEUF
President | Aristeo Construction
Senior Vice President and Director of Infrastructure and Mobility Equity | HNTB Corp.
Regine Beauboeuf has been promoted three times since joining the infrastructure solutions company HNTB in October 2018. Her first project was pursuing and managing Macomb County’s Innovate Mound project, which successfully led to a design/build consortium. Previously, Beauboeuf was vice president and Michigan Area Manager at Parsons Corp. and led the preliminary engineering program for the $4.2 billion Gordie Howe International Bridge. “Regine has a wealth of experience, a deep commitment to technical excellence and long history of service to her profession. Furthermore, Regine … is highly adept at building teams that embrace diversity and deliver excellence for her clients,” said Diana Mendes, president of Infrastructure and Mobility Equity at HNTB. Beauboeuf leads HNTB’s mentorship program, which partners with minority-owned and historically underutilized businesses and helps them realize their full potential in the transportation industry. She also mentors young women in the field. In addition, she serves on the board of the Conference of Minority Transportation Officials National and is past president of the Michigan chapter. In 2020, COMTO honored her as one of the Women Who Move the Nation. Beauboeuf is also vice chair of the Michigan Women Forward board of trustees and a member of The Links Inc.
Agostino Aristeo Sr. and his son Joseph Aristeo founded Aristeo Construction in 1977 with one pickup and $10,000. Now Michelle Aristeo Barton is responsible for the company her grandfather and father started and its 700 employees. Aristeo Barton has worked for the company, which specializes in construction for manufacturing, industrial, commercial and power industries, since 2007. She started as a human resources manager and worked her way up to president in 2018. Under her direction, Aristeo increased safety through training and new policy and worked on Ford Motor Company’s vehicle performance electrification center and the Mazda Toyota Manufacturing facility. In 2019, the general contractor won the Toyota Excellent Supplier Award for the Construction, Machine, and Equipment category. Aristeo Barton is a member of the Great Lakes Women’s Business Council and a mentor for its MentorWE program. “Michelle’s drive, passion for this business and ingrained understanding of the importance of Aristeo’s mission and culture have helped move this company forward,” said Joe Aristeo, co-founder and past president of Aristeo.
PAIGE AUBIN President and CEO | Paige Construction
NICOLE BLOCKER
In addition to construction services, such as painting, drywalling and insulation, Paige Aubin’s company also provides asbestos and lead abatement, mold remediation, COVID disinfection and hazardous waste removal. For example, Aubin’s company provided post-construction and COVID-19 sanitation for the Stellantis Mack, Warren Stamping and Warren Assembly plants. “One of our primary needs was a partner who specialized in deep cleaning large areas for both sanitation purposes as well as daily cleaning. We were put in touch with Paige Construction and were pleasantly surprised at their professional expertise in this area,” said Nick Kammer, performance manager for DTE Energy. Aubin is a past vice president and president of the National Association of Women in Construction Detroit Chapter 183 and now chairs the annual golf scholarship outing. She also serves on the board of ACE Mentors of Michigan, which helps high school students train for fields in construction.
Vice President | Plante Moran Cresa
Before joining Plante Moran Cresa, Nicole Blocker was director of operations at LS Brinker, where she was part of the construction management team for Little Caesars headquarters and a construction contractor for Little Caesars Arena. She has also been a project manager for the $850 million capital investment into the Detroit Medical Center and the $50 million expansion of Motown Museum. She has also led more than $100 million in projects for the Detroit Public Schools Community District and is the owner’s representative for its $80 million capital program to create warm, safe and dry learning environments. “Nicole’s extensive experience in contract negotiation, strategic planning, assembling high-quality talent and risk mitigation has resulted in reduced change orders, improved cost influences and on-time schedule delivery. It is, in fact, for these reasons that Nicole was chosen to lead the largest single capital investment in Detroit Public Schools Community District in decades,” said Machion Jackson, assistant superintendent of operations for Detroit Public Schools Community District. Blocker is a member of the Engineering Society of Detroit and a consultant for the Pretty Brown Girls nonprofit dedicated to educating and empowering Black and Brown girls.
AMY BAKER Principal Architect and Specifications Consultant | Amy Baker Architect
“Amy Baker is a bright constellation in the field of architecture. She is clear-thinking, articulate and supportive. Amy is also incredibly committed to her work and our profession,” said Mark Farlow, principal of Design at Hamilton Anderson Associates. Baker was the lead technical architect at HAA, where she played a vital role in the design of Little Caesars Arena before launching her firm three years ago. As a business owner, she designs offices, day care centers, multi-family residential, mixed-use business spaces, veterinary hospitals, spas and coffee shops. She also partners with architectural firms around the country. Early in her career, Baker worked in NORR’s Dubai office, led two of its LEED projects in Canada and became the youngest person to hold a department manager title in the company’s history. More recently, she provided specification work on the Marygrove Early Learning Center, Ferris State University Center for Virtual Learning and Detroit Public Theater and architectural work on Red Hook Coffee Shop, Hartz Building Condominiums and other mixed-use projects. Baker serves on the boards of the Air Barrier Association of America and the AIA Building Enclosure Council of Greater Detroit.
RITA BROWN CEO, Brown Construction Collective | Vice President of Development and Innovation, JMC Electric
Rita Brown’s company, Brown Construction Collective, specializes in metal detailing and management services. Many of her clients build steel structures or use other heavy metals for the building’s frame. As a detailer, she produces the documents necessary to manufacture steel parts, such as columns, beams and trusses. She is a founding member of the North American Professionals in Building and Infrastructure, and a member of the National Association of Women in Construction’s DE&I committee. As a former chair of the Associated General Contractors of America’s diversity and inclusion committee, Brown co-authored a white paper called “The Business Case for Diversity & Inclusion,” which was distributed to thousands of contractors nationwide.
21 PERCENT OF NATIONAL COUNCIL OF ARCHITECTURAL REGISTRATION BOARDS CERTIFICATE HOLDERS ARE WOMEN. Association of Collegiate Schools of Architecture
8 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
RESULTS BEGIN WITH
PERSPECTIVE Our community and infrastructure benefits from the unique viewpoint women bring to design, every day. Let’s celebrate all the women who impact our world for the better.
fishbeck.com | info@fishbeck.com
SARAH BRYAN
TAROLYN BUCKLES
STEPHANIE BURNLEY
KAREN BURTON
SARA CODARIN
ME
Executive Vice President
President and CEO, Onyx Enterprise Inc.
Co-CEO and General Manager
Co-Founder and CEO
Assistant Professor of Architecture
SlurryMonster LLC
Partner and President, A/E Collaborative
Devon Industrial Group LLC
SpaceLab Detroit
Lawrence Technological University
Chie Stra
When Stephanie Burnley started at the company her father, David Burnley Sr., founded, she was a project supervisor. “I met Stephanie through her dad, who has been a business partner of Walbridge for more than 22 years. When she started working at Devon Industrial Group, she was determined to learn all the facets of this industry, build strong relationships with others in the business and appreciate the nuances and details of great construction,” said Walbridge CEO Michael Haller. Burnley worked her way up to business development coordinator, financial coordinator and now general manager and co-CEO with her father. She’s particularly proud of her business development work on the Ford Motor Co.-University of Michigan Robotics Lab. Moreover, Burnley believes in giving back to the community. In 2020, she partnered with the Rhonda Walker Foundation to develop the Girls in Construction program, exposing high school juniors and seniors to various careers in the construction industry. Burnley also serves on the Michigan Minority Supplier Development Council and Michigan Women Forward boards.
Karen Burton launched her career as a designer and draftsperson for architecture firms in Flint before providing space planning and design for the General Motors Powertrain facility in Pontiac. As a freelance architect, she collaborated on large projects such as Ford Field, the Detroit Lions Headquarters and Training Facility, One Woodward and others. In 2016, Burton’s Noir Design Parti won a Knight Arts Challenge grant to document the work of Black architects in the region. In 2017, she opened SpaceLab, where “like-minded design and construction professionals” share ideas and collaborate on projects. “SpaceLab Detroit (promotes) interaction among SpaceLab members and the CRE (commercial real estate) community to improve the way spaces and buildings are designed, constructed and managed,” said Rachele Downs, vice president of Dominion Real Estate Advisors. Burton is a member of the National Association of Black Women in Construction board, treasurer of the National Organization of Minority Architects and co-chair of Urban Land Institute Michigan’s Pathways to Inclusion committee.
Sara Codarin’s studies at the University of Ferrara in Northern Italy focused on robotic applications to preserve cultural heritage. Her application case was the nearly 110-year-old Woodward Avenue Presbyterian Church in Detroit, while her digital fabrication testing was at Lawrence Tech. Now Codarin is collaborating with the nonprofit Citizens Robotics, whose focus is on developing affordable housing through 3D-printing technologies and upskilling workers in the construction industry. “Ms. Codarin’s research would help us better understand the performative characteristics of five different wall segments. This is necessary to advance the field,” said Citizen Robotics CEO Tom Woodman. “We need research like this to be sure we create homes with greater energy efficiency and lower cost of maintenance over time.” Codarin’s work includes leading the design of a 3D-printed home in an “under-budgeted” area in Flint. She also teaches three LTU undergraduate classes, holds a research fellowship and is the principal investigator of multi-disciplinary research about embodied cognition in robotic applications.
Sarah Bryan joined SlurryMonster as a marketing manager in 2016 and worked her way up to EVP. SlurryMonster is a waste management company that handles the recycling, collection, testing, hauling and disposal of slurry, the damaging byproduct of polishing concrete. She has helped grow SlurryMonster from a company of two to a $6 million national company that employs 11 people. Bryan considers her biggest win being a woman in the construction and concrete industry and advocates for and is a mentor to other women in construction. She recently launched the Women’s Association for Concrete Professionals and now serves as its executive director. The National Association of Women in Construction — Detroit Chapter 183 board recently elected Bryan to serve as a 2022-2023 director. “Sarah has become a beacon of hope and admiration for so many women in this industry. Through her efforts, she has really helped to pave a way for women — she is one of the toughest businesswomen I know,” said Lee Ann Harris, owner of Decorative Concrete Institute in Temple, Ga.
Tarolyn Buckles has more than 30 years of civil and structural engineering experience. In 2007, she founded Detroit-based Onyx Enterprise, a construction engineering consultancy. Now the firm also has offices in Cleveland and Atlanta and is the primary consultant for the Detroit Water and Sewerage Department on construction inspection, material testing and surveying projects. Her company has been integral to work on the M-1 Rail, Detroit Joe Louis Greenway, the I-94 modernization project, the Hudson’s skyscraper project, the Wayne County Airport Dingell Tunnel and the demolition of the Wayne County Airport Berry Terminal, among other projects. In 2019, Buckles, an alum of the Goldman Sachs 10,000 Small Businesses program, also partnered with architecture and engineering firm A/E Collaborative in 2019. In addition, she has led the planning of two diversity, equity and inclusion conferences for the American Society of Civil Engineers and is co-founder and chair of the National Association of Minority Consulting Engineers — Detroit Chapter.
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CONGRATULATIONS JACKIE Leadership. Innovation. Commitment. Integrity. Dedication. Collaboration. Trailblazer.
PRE-CONSTRUCTION CONSTRUCTION DESIGN
The Walbridge team is thankful for you, Jackie Jackson Burnley, and your leadership in the construction industry. 10 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
TECHNOLOGY REAL ESTATE SERVICES
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MELISSA COLLAR
RHONDA COLLINS
Chief Counsel and Vice President of Strategic Partnerships
Associate Director
Rockford Construction
Before joining Rockford Construction, Melissa Collar was a senior partner and a member of Warner Norcross + Judd’s real estate and construction team. In that role, she helped advise the Canadian government and Windsor-Detroit Bridge Authority regarding the $5.7 billion Gordie Howe International Bridge. Highlights of her career also include serving as legal counsel for the $295 million Grand Rapids Innovation Park and the $32 million Grand Rapids Downtown Market. After 26 years with the law firm, Collar joined Rockford, where she assesses risk management and leads the legal team as it counsels the company’s development, architecture, construction, brokerage and property management businesses. Collar actively advocates for women professionals. She co-launched Inforum’s West Michigan program and co-founded Women of Warner and Rockford’s Women’s Group. She is also secretary of the American College of Real Estate Attorneys leasing committee. “Melissa brings a drive for mentorship, diversity and knowledge-sharing, which supports our mission at Rockford to develop, build and manage spaces that make a positive impact on our team, our clients and our communities,” said Shane Napper, president of construction and COO of Rockford Construction.
Jones Lang LaSalle
“Rhonda Collins has served as the construction manager for the Detroit Riverfront Conservancy since 2013,” said Chiara Clayton, communications specialist for the Detroit Riverfront Conservancy. “(She) is a wonderful leader within our organization and is constantly raising the bar as an effective manager of numerous high-profile projects. Currently, Rhonda is leading three major construction projects for the Conservancy, including the Uniroyal expansion, Ralph C. Wilson Jr. Centennial Park and the Southwest Greenway.” Collins has worked in the construction industry for 30 years and is responsible for coordinating daily activities between her clients, architects, contractors and government agencies. One of the largest projects of her career was as one of three project managers on a 1.1 million-squarefoot project at C.S. Mott Children’s Hospital at the University of Michigan. The development included a 12-story patient tower and a 9-story clinic tower. Collins is co-chair of the teenage mentorship program for Delta Sigma Theta Sorority and a member of the Black and Women’s business networks at Jones Lang LaSalle.
BUILDING THE BEST IN REAL ESTATE... AND TALENT MULTI-FAMILY | MEDICAL OFFICE SENIOR HOUSING | LIFE SCIENCES CORPORATE | INDUSTRIAL | R&D CLASS-A OFFICE | MIXED-USE
CONGRATULATIONS SAMANTHA ECKHOUT for being recognized as one of crain’s 2022 notable women in construction, design & architecture
REDICO.COM | 248 827 1700
YOU
MADE NEWS IN CRAIN’S
UJIJJI DAVIS WILLIAMS
TRICIA DEMARCO
Founder and Principal
Detroit Market Lead
Jima Studio
Spalding DeDecker
“Ujijji … has been a leader in the Urban Design department for many years, and I am glad I still get the opportunity to work with her while she pursues her own practice,” said Michael Johnson, co-director of Urban Design, SmithGroup. “She is a sharp critical thinker, a skilled designer and a dynamic leader.” Ujijji Davis Williams launched her career as an assistant landscape architect and construction administrator and manager for the Central Park Conservancy in New York. At SmithGroup, she was project manager for numerous high-profile projects, including the Detroit Symphony Orchestra Sosnick Courtyard Concept, Milliken State Park and the Joe Louis Greenway master plan. Jima Studio came to life in 2021. Davis Williams’ firm focuses on developing beautiful, resilient and culturally relevant spaces for communities of color — from an urban farm in a New York public housing community to a neighborhood plan for a historic Black church in Detroit. Davis Williams is chair of the scholarship and special events committee for the Black Landscape Architects Network board and a member of the American Society of Landscape Architects board, where she serves on the editorial committee.
Tricia DeMarco, a civil engineer and urban planner, established the company’s office in the Milwaukee Junction neighborhood of Detroit. Some of the highlights of her career include leading the development of Henry Ford Health System’s 14-acre south campus development and managing the design for the Elliott Bay Seawall in downtown Seattle. She has also project managed the Gratiot and 7 Mile Neighborhood strategic plan and worked on the Albert Kahn Building and the expansion of the Pewabic Pottery Learning Center. Her work on the East Riverfront Master Plan earned her a 2018 American Institute of Architects award. “Tricia’s multi-faceted experience allows a practical understanding of development within Detroit through a lens of social, economic and environmental responsibility,” said Cassi Meitl, senior planner at Spalding DeDecker. “She is dedicated to creating street-level impact with special attention to the Detroit neighborhoods beyond the central business district.”
SHARE YOUR SUCCESS
WITH DIGITAL REPRINTS, KEEPSAKES AND MORE Contact Laura Picariello at lpicariello@crain.com or (732) 723-0569 to learn more about commemorative options.
CONGRATULATIONS, RACHEL MICHAUD on being named a 2022 Crain’s Detroit Business Notable Women in Construction, Design & Architecture award honoree! Your consistency in empowering women and the Gillespie Group team in professional and personal development while encouraging growth in leadership of our communuity and team is unnmatched. You are deserving of this recognition and we will gladly celebrate and honor the woman, friend and leader that you are. Congratulations, The Gillespie Group Family
JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 11
SAMANTHA ECKHOUT
CHRISSY FEHAN
ASHLEY FLINTOFF
DEENA FOX
NADINE GEERING
BE
Senior Vice President of Development
Creative Director
Principal of Strategy+
Executive Vice President
CEO
Redico
Pophouse
Director of Planning & Space Management
AECOM
D|Fab
“Beginning with our collaboration on a critical multi-year development project, throughout the time I have known (Samantha Eckhout), I have consistently witnessed in her a truly uncommon blend of leadership, uncompromising professionalism and character,” said Deena Fox, principal at AECOM. Eckhout is responsible for all facets of development for Redico. However, her primary area of focus is senior housing development and the construction of Redico’s American House senior living communities in the Midwest and Florida. One of Eckhout’s big wins: acquiring 11 parcels of land for a multi-family development in Ann Arbor, which required working with local government and many emotionally invested longtime homeowners. And under her direction, many Redico developments now incorporate green initiatives, such as solar energy. Eckhout donated her skills to the new Pope Francis Center in Detroit and is a member of the Urban Land Institute’s Local Product Council for Housing and Community Development.
“Chrissy is driving creative vision and encouraging us to not settle in the comfortable precedent but is looking for more perspective and the relationship that the work has with an individual,” said Sarah Davis, business intelligence director at Pophouse. Fehan works with a team of interior and industrial designers to create solutions for workplaces, hospitality and retail spaces. One of her most recent projects was developing a technology-forward hybrid workplace for Rock Ventures’ 50,000-square-foot space in One Campus Martius. She’s also working with Pensole Lewis College of Business & Design in Detroit, the only Historically Black College & University in Michigan, on designing student housing within the former St. Regis Hotel. In addition, Fehan is a lead mentor for the Pophouse-Cranbrook fellowship program for MFA students and a member of the women’s collective BasBlue. Before joining Pophouse, Fehan was a senior industrial designer for Taylor Kitchen Products and a furniture designer for Slate Design, both in Chicago.
Before joining AECOM in September, Deena Fox was a principal and studio leader for Rossetti overseeing the firm’s Return on Design analytics service and developing new business. Her responsibilities now include providing operational leadership for AECOM’s Equity + Infrastructure team in the firm’s Buildings & Places Strategy+ practice. She is leading the program team on a portfolio of more than 50 capital improvement and design and construction projects in Detroit as part of the $826 million American Rescue Plan Act. Her past work includes leading the team in the vision, site expansion, design and construction of the U.S. Open Grandstand Stadium in New York. Fox is a member of Urban Land Institute Michigan’s advisory board and co-chairs its Women’s Leadership Initiative. “She has a unique way of aligning others to work towards the same desired outcome by using both grace and intelligence. She is a consummate professional even under fire,” said Samantha Eckhout, senior vice president of development at Redico.
Nadine Geering has provided interior and graphic design expertise to D|Fab for more than 25 years. She is the design lead for interior design and branded environments for about 2 million square feet of retail space nationwide, handling more than 125 projects yearly. She specializes in décor engineering and manufacturing for commercial-branded spaces, such as Whole Foods Market, Kroger, Pet Supplies Plus and Cattleman’s Meats. She also works with restaurants, corporations, health care, education and entertainment industries. Her biggest win has been working with her teams through the design “process from concept to the built environment.” “Nadine has been an exceptional team member at D|Fab and key to our success. Her experience and vision will continue to strengthen and pivot our company to best serve our industry customers with creativity and innovation,” said D|Fab COO Jessica Roberts. Geering is a board member for Shop! Association Women’s League and serves on the International Interior Design Association and Retail Design Institute boards.
Man Smit
Wayne State University
Ashley Flintoff specializes in master planning and designing collaborative, integrated academic, research and student-centered spaces. “She is a vibrant presence on campus and is a key thought-leader with regard to how we leverage our built environment, our urban setting and our status as an anchor institution in the city of Detroit,” said R. Darin Ellis, associate provost for Academic Programs and associate vice president for Institutional Effectiveness at Wayne State. “Her expertise and leadership have been critical to the development of our 2030 Campus Master Plan. Her collaborative nature and inclusive approach brought together a wide range of voices across campus, and with careful attention to inclusion, there is now broad support and buy-in for the plan.” Flintoff, who works closely with the office of multicultural student engagement, led the planning of Wayne State’s STEM Innovation Learning Center. She is a founding board member of Volterra Detroit Foundation, a content reviewer for the Society for College and University Planners, a programming volunteer for the Association for Community Design, and a Cultural Center Planning Initiative member.
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12 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
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HELEN HICKS
CEO, Hannah & Associates Inc.
President and CEO
Managing Partner, Hannah-Neumann/ Smith
Macomb County Habitat for Humanity
Beverly Hannah Jones launched her architectural and interior design company nearly 30 years ago and built a strong relationship with Neumann/Smith. In 2013, they formed Hannah-Neumann/Smith. Lawrence Technological University recently named her to its board of trustees. She is the first Black woman architect to serve in this capacity. “Ms. Hannah Jones has built a successful practice based on design excellence and sound business practices,” said LTU President Tarek Sobh. “Her unique skill sets and breadth of experience will prove invaluable to the Lawrence Technological University board of trustees.” Her renovation projects include work on the WDIV-TV newsroom and offices, the Skillman Foundation’s Talon Center Building and the Salvation Army in Detroit and Livonia. Architectural projects include the 80,000-square-foot Curtis L. Ivery Health & Wellness Educational Center at Wayne County Community College. A Goldman Sachs 10,000 Small Businesses alum, Hannah Jones is a member of the Inform Yourself youth development company board of directors.
JACQUELYN JACKSON BURNLEY Assistant Vice President of Supplier Diversity Walbridge
Jacquelyn Jackson Burnley considers her most significant win “bringing awareness to the importance of diversity, equity and inclusion and creating a program strategy to integrate that at every level of the company.” “When presented with challenges that others might claim to be impossible, (Jackie) simply goes to work and gets it done. Committed to ensuring that diverse businesses have access to opportunities throughout all tiers of our supply chain, in every market we serve, Jackie transforms ideas, dreams and talent into sustainable economic growth,” said Walbridge CEO Michael Haller. Under Jackson Burnley’s direction, the company has received numerous honors, including diversity supplier awards from Ford Motor Company, FCA (Stellantis), General Motors and the Great Lakes Women’s Business Council. In addition, she sits on the boards of the Council of Supplier Diversity Professionals, the National Association of Women in Construction and the Michigan Minority Supplier Development Council, where she serves in and chairs numerous subcommittees.
“Helen Hicks is a fearless woman with the biggest heart of anyone I have ever known. She gives her best and expects the best from others. She gives her all by changing the world one person at a time,” said Ruselda Johnson, CEO of the Rhonda Walker Foundation. Hicks and her team of 18 employees work with volunteers, skilled tradespeople and future homeowners to build affordable homes. Under her direction, Macomb County Habitat for Humanity reduced the number of new builds and increased the number of rehabbed homes. In 2021, its 155 houses generated more than $365,000 in taxes and $9.3 million in state equalized value. In addition, Hicks closed a sizeable retail branch to pay off debt and opened a new branch in Shelby Township that attracted more donors and shoppers. She also opened a smaller store in Warren. Together, those branches generate 53 percent of the revenue needed to rehabilitate homes in the county. In 2021, the Macomb Chamber honored Hicks with its 2021 Diversity and Inclusion Leaders Award.
Congratulations to aige Aubin, of Paige Construction for winning Crain’s Detroit Business
“Notable Women in Construction, Design, and Architecture ”
RECOGNIZE INDUSTRY ACHIEVERS IN CRAIN’S
TRACEY JOHNSTON Interior Designer Integrated Design Solutions
Listing opportunities: Debora Stein at dstein@crain.com
A career highlight for Tracey Johnston is designing the interior of ProMedica Toledo Hospital’s 756,600square-foot replacement patient tower. The 13-story, 309-bed facility earned awards from the International Interior Design Association, the Commercial Interior Design Association and others. Johnston was also the lead designer on administration office renovations at Michigan State University’s Skandalaris Football Center. Now she is leading the design of the football facility’s public donor lobby, locker rooms, dining areas and athlete recovery spaces. Before joining IDS, Johnston was a senior interior designer and associate at HKS Architects. “Tracey is seen as a leader, assisting with staffing decisions, design management of projects and mentorship of junior staff. Junior staff members seek her out for advice, and senior staff can count on her to perform,” said Alexander Briseno, principal and design director at HKS Inc. In addition, Johnston is vice president of professional development for the Michigan Chapter of the IIDA board. She also serves on MSU’s interior design program advisory board.
JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 13
ANN KENYON
JENNIFER KOLSTAD
JILL LAUFFER
KRISTINE LINDSEY
KA
Vice President and Health Studio Leader
Global Design Director
Director of Commercial Construction & Engineering
Executive Vice President, General Counsel, Co-Owner
Seni of A
Ford Motor Company
CEI Michigan LLC
Inte
“Ford Land and Ford Motor have entrusted Jill with the largest project for Ford employees, and that is a testament to Jill and the value she offers to the corporation,” said Ford Land Global Director Jacqueline Shuk. Shuk said Jill Lauffer is leading the transformation for the automaker through projects that include the Rotunda Center collaboration site, the Ford Experience Center, a technology pilot at the Advanced Engineering Center, and the El Cristo Global Technical Business Center — Mexico. She manages more than 15 million square feet over 61 sites in southeast Michigan. Her projects include 10 major workspace renovations completed 10 major renovations that support 4,000 employees. Her team is also collaborating with Fairlane Estate and DTE to revive a 1920s-era water-power generator to charge an F150 Lightning one day. In addition, Lauffer is a mentor to young women in construction and engineering and committee chair for the Women of Ford Land.
Kristine Lindsey’s father and uncle founded CEI Michigan, a roofing and architectural sheet metal contractor, in 1969. She moved from practicing with a law firm to her role as general counsel for CEI in 1996. She helped sell the family businesses in 1999 and then repurchased them in 2006. Now, Lindsey runs the $30 million company with her brother, cousin and father. They have helped renovate the Michigan Union and helped build the GM Hamtramck Paint Shop, Ford Kansas City Stamping Plant and the U.S. side of the Gordie Howe Bridge. “She has not only facilitated projects in Michigan and the United States but has also helped CEI to secure and execute international projects with the federal government,” said Marc Jordan, business development director at CEI. Lindsey is a trustee on the Roofers Local 70 benefit funds board and sits on the claims and underwriting committees of North American Roofers Insurance.
“K 2013 for d in h rary her
SmithGroup Companies Inc.
Architect Ann Kenyon joined SmithGroup in 2008 and has dedicated her career to designing health care facilities locally and collaborating with her peers across the country. “Ann is known as one of metro Detroit’s preeminent health care design experts and is actively sought out for her knowledge, experience, and guidance by a vast array of clients. Her grasp of and passion for the health care realm is unparalleled,” said Teresa Miller, principal at Plante Moran Cresa. Kenyon designed the state’s only two proton therapy centers for Beaumont Royal Oak and McLaren Great Lakes Cancer Institute. She also championed the renovation and expansion of Sinai-Grace Hospital and served as principal-in-charge of the Henry Ford Brigitte Harris Cancer Institute. Her expertise in health system design led her to compile guidance on responding to COVID-19 and other possible pandemics. Kenyon is a member of the American College of Healthcare Architects and logistics chair of the Detroit Chapter of Women in Health Care.
14 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
Ford Motor Company
“Through research-driven design, (Jennifer Kolstad’s) mission is to envision the future state of a 120-yearold mobility company in the new world headquarters, global workplace, retail, hotel, manufacturing and community spaces,” said Dawn Booker, communications manager for Ford Land. Kolstad is the first woman and first architect and designer to attain a design leadership role at the company. She led the design of the Ford Experience Center in Dearborn and is currently integral to the company’s 2 million-square-foot Dearborn Campus Transformation Plan and Headquarters, Michigan Central Mobility District, Future of Retail and Future of Manufacturing projects. Before joining Ford three years ago, Kolstad worked for SOM, Gensler, HKS and ALDAR in the United Arab Emirates. While in the UAE, she designed the 2 million-square-foot, 800-bed Kuwait Children’s Hospital and 1 million-square-foot YAS Marina Formula One Hotel. Kolstad has earned awards from the AIA and IIDA for her work on the Texas Health Frisco, a hospital in Frisco, Texas.
24 PERCENT OF AIA MEMBERS ARE WOMEN. American Institute of Architects
TWO IN FIVE NEW ARCHITECTS ARE WOMEN. WOMEN COMPLETE ARCHITECTURAL LICENSURE REQUIREMENTS 1.3 YEARS SOONER THAN MEN. Architectural Record
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KATY LITWIN
KALAYA LONG
KAREN MACDONALD
EILEEN MCCARTHY
RACHEL MICHAUD
Senior Associate and Assistant Director of Architecture
Owner Operator
Community Development Director of Operations
Partner and Vice President, McCarthy and Smith Inc.
Vice President and Partner
Wayne Metropolitan Community Action Agency
Partner and Vice President, Daniels Building Co.
Karen MacDonald manages Wayne Metro’s economic and community development projects and ensures clients have access to resources such as homebuyer education classes. She leads Wayne Metro’s Weatherization Assistance Program and directs the Green Jobs Rapid Cycle Impact Project, funded by the U.S. Department of Health and Human Services, to provide green jobs to Wayne County residents in skilled trades. In addition, in partnership with Wayne County, Samaritas and the Community Action Agency, MacDonald was integral to the construction of Freedom Village, a $1.2 million federally funded project that provides affordable transitional housing for refugees and immigrants. “The construction of a community project is not easy. The hardest part is aligning all the pieces leading up to the project’s groundbreaking. This is where Karen excels in her role and has been instrumental in Wayne Metro’s pursuit of creating spaces within the community that will make a lasting impact for generations to come,” said Wayne Metro CEO Louis Piszker.
Eileen McCarthy’s more than 38 years of experience led her to become the first woman inducted into the Michigan Construction Hall of Fame (2013) and the first woman chair (2019) of the Michigan Chapter of the Associated General Contractors. “The efforts of Ms. McCarthy contributed greatly to a much-needed change in Michigan Occupational Code Statute that previously required a residential builder’s license for projects constructed under the Commercial Building Code,” said AGC President Damian Hill. “Ms. McCarthy was instrumental in helping to craft language, draft legislation and testify in support of the bill, which ultimately became law.” McCarthy’s most notable projects include work on the Chicago Orchestra Hall, General Motors Renaissance Center and Comerica Park. However, she also has a niche in cemetery and mausoleum construction. She is a member of the board of trustees for the historic Elmwood Cemetery and a member of the Michigan Cemetery Association.
Integrated Design Solutions
“Katy Litwin joined our firm in 2013 and brought with her a passion for design and a depth of knowledge in higher education and contemporary workplace projects well beyond her years of experience. She has engaged and impressed a number of our firm’s key clients, including the University of Michigan, Michigan State University, Notre Dame University, Quicken Loans and United Shore Financial Services,” said IDS President Charles Lewis. Litwin’s work for Notre Dame included re-envisioning its football stadium and locker room facilities into a space celebrating heritage, team and culture. As lead project designer of Marygrove University’s campus re-imagining, she has collaborated with Marygrove Conservancy, the Detroit Public Schools Community District and UM on an integrated setting for kindergarten through high school students. Litwin’s first project with IDS was as lead designer on MSU’s Bio-Engineering facility. That project has won the AIA Detroit Interior Design Award and the AIA Michigan Building Design Award.
Blue Horizon Construction LLC
Kalaya Long launched Blue Horizon, a general contractor specializing in residential and commercial demolition, hazmat abatement and renovation, in 2019. “She and the team at Blue Horizon Co. perform lead removal for the city of Detroit and demolition for residential properties, all while creating safe and habitable homes for children and families. They pride themselves on hiring and working with returning citizens and helping sustain a future for Detroiters,” said Brianna Fischer, project manager for Rocket Community Fund. In addition, Long is a career coach and mentor to female students in Wayne State University’s MPrep program. She also supports Alternatives for Girls through volunteerism focused on literacy instruction and after-school program aid.
Gillespie Group
As vice president of a commercial real estate development and property management company, Rachel Michaud focuses on creating and launching new divisions and helping the company reach a $500 million portfolio by 2026. “She is the one who executes the business plans, holds team leaders accountable and is the steady force of the organization. Rachel’s professional investment not only within our development division but in the overall growth and continual advancement of our structure has been key to our success and will impact our community for generations to come,” said Gillespie Group President and CEO Patrick Gillespie. Recent projects include rehabilitating the Marshall Street Armory, which houses a mix of nonprofit tenants in Lansing, and Block600, a $41.5 million hotel, loft and grocery store development in the stadium district. The company is currently working on a medical services building. Gillespie Group also partners with the Mikey 23 Foundation, which provides hands-on training in skilled trades.
Extending our congratulations to
Rhonda Collins on being named one of Crain’s Notable Women in Construction, Design & Architecture 2022
From, Your friends and colleagues at JLL and the Detroit Riverfront Conservancy
JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 15
Thank you to honoree Tricia Ruby for the dedication and leadership that you bring to the construction industry. You inspire us with your vision, your service, and your energy!
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T 248.865.8855 | rubyandassociates.com
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JESSICA MILLER
TERESA MILLER
KIM
Project Manager
Principal
Pres
Black & Veatch
Plante Moran Cresa
Nail
Jessica Miller manages a variety of projects for Black & Veatch’s electrical power transmission and distribution utilities clients. The scope of those projects include engineering services, procurement and construction management services. Previously, Miller was director of capital projects for ITC, where her team completed more than $770 million a year in capital project work since 2014. When a derecho damaged more than 2,100 circuit miles of ITC lines in 2020, Miller was the operations section chief that led restoration efforts. “Modernizing and building electricity transmission infrastructure is at the core of what we do. It’s an incredibly complex process that involves many disciplines and skill sets. Jessica and her team navigate that process daily with a focus on ensuring that Michigan and the other states we serve have the right transmission infrastructure in place to meet our energy needs and ensure continued reliability,” said Joe Bennett, vice president of engineering at ITC. Miller, a mentor and STEM promoter, served as 2021 chair of the American Heart Association’s Go Red Goes STEM event.
Before leading the health care practice at Plante Moran Cresa, Teresa Miller was a program manager at the Walsh Group and vice president of construction of regional health care business at Barton Malow. Highlights of her career include managing the McLaren Proton Beam project in Flint, where she collaborated with construction professionals, physicists and others. Miller also was integral to surgery expansion programs at St. Joseph Mercy Ann Arbor, the Grand Rapids Innovation Park Medical Innovation program, planning and kickoff of the Whirlpool Global Testing Laboratory and programs such as the Royal Oak Emergency Department for Beaumont Health. “I’ve had the wonderful opportunity to work with Teresa Miller for over 10 years. With each project, not only does she bring professionalism and expertise but creative thinking in solving problems,” said Sarah Gilbert, COO of Bayfront Health St. Petersburg. Furthermore, Miller serves on the Construction Association of Michigan and American Heart Association boards. She is also treasurer for the Michigan Chapter of Women in Healthcare and a member of Habitat for Humanity’s Women’s Build steering committee.
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DANNIS MITCHELL
ALYSSA MOSKALA
NID
National Director of Community Engagement
Design Manager
Pres
EEI Global Inc.
Arbo
“I have worked in experiential design and with creative agencies for more than 27 years, all over the world,” said Sandor Koteles, vice president of Creative & Design at EEI Global. “When you witness a unique talent like Alyssa inspire and wow clients, it’s special to watch. Alyssa has built trusted and strong relationships with both colleagues and customers all while mentoring others.” Alyssa Moskala joined EEI as a 3D designer in 2013. Her niche is corporate interior design; experiential and exhibit design for trade shows and mobile tour layouts, such as outfitted trailers; and digital design, such as hybrid and virtual environments and concepting for augmented/virtual reality. Highlights of her career include developing a virtual showroom for Magna in 2020 when the North American International Auto Show was canceled. She collaborated with EEI’s digital team to create an interactive website with a navigable 3D model that displayed product tech sheets and featured videos. She also designed the interior of Dana’s Sustainable Mobility Center in Ohio. Moskala serves on the boards of the Auburn Hills Construction Board of Appeals and the U.S. Green Building Council Detroit Region.
N 2017 der nue first P
Barton Malow Builders
Dannis Mitchell works with health care, office, retail, education, sports and entertainment clients and community leaders on $1 million to $1 billion vertical construction projects. Mitchell is one of the youngest members of Barton Malow’s executive leadership team and a Crain’s Detroit Business 40 under 40 alum. Mitchell is a board member and co-chair of the Commercial Real Estate Women DEI committee and serves on the boards of Detroit Employment Solutions Corp., East Jefferson Development Co. and Council of Supplier Diversity Professionals, among other community involvement. She co-created the Motor City Contractor Fund Partnership with Rocket Community Fund and the Community Reinvestment Fund to provide technical assistance to Black Indigenous-People of Color contractors. She also created the Barton Malow Boot Camp, which provides experience and jobs for women and minorities, ages 18-24, in the skilled trades. “She continuously supports team members in every Barton Malow office around the country by striving to build relationships with clients, get involved in local organizations and support the pursuit process,” said Ritu Sandhu, director of marketing & communications at Barton Malow Builders. 16 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
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KIMLE NAILER
DEANA NEELY
JAIMELYN NEHER
President
Founder
Creative Design Director
Nail-Right Construction Company Inc.
Detroit Voltage
Neumann/Smith Architecture
Kimle Nailer’s Nail-Right provides finishing construction services for commercial businesses, including metal framing, drywall, painting and flooring. She partnered with Turner Brooks in 2016 to have Nail-Right provide the drywall finishing at Little Caesar’s Arena. In 2019, she worked with the Brinker Team to build the Detroit Pistons training center. Nailer makes it a point to employ Detroiters, returning citizens, Job Corps participants and high schoolers. “Kimle is a powerful force in the Detroit construction industry. She is the president of the National Association of Black Women in Construction, and it is her goal to bring more Black women into the trades,” said Michelle Matthews, Detroit technical assistance manager at Capital Impact Partners. As a member of the Michigan Women Forward board, Nailer is chair of its CDFI (Community Development Financial Institutions) committee and a member of its diversity committee. As president of the National Association of Black Women in Construction, she works with the Federal Procurement Center to help Black women win more contracts.
Deana Neely became an electrical contractor at 18 and worked for the Detroit Buildings, Safety Engineering Department. Since establishing her business in 2016, Forbes listed Neely on its 2021 Next 1000 list of “entrepreneurial heroes.” Her efforts have garnered her a $5,000 grant at the DTE Bright Ideas competition, $10,000 at the Essence Festival pitch competition and a $20,000 grant in 2021 from Siemens and the U.S. Department of Commerce Minority Business Development Agency. “I marvel at the growth and expertise Deana brings to the electrical contracting arena. She displays the class and toughness needed in this business,” said Kelvin Squires, Center Line Electric Inc CEO. Neely is a member of the U.S. Minority Contractors Association and National Association of Black Women in Construction boards.
Jaimelyn Neher’s biggest win has been gaining a platform “to empower and mentor young designers, specifically women and minorities” in the architecture industry. She leads a staff of 17 people. “Jaime is committed to the growth of diversity within the design and architecture profession. She believes that authentic design stems from storytelling through architecture,” said Kelli Herman, director of opportunity creation at Neumann/ Smith Architecture. Neher’s project highlights include designing a 122,000-square-foot multi-generational interior for Campbell Ewald as part of Detroit Design 139 and creating 1855 Place at Michigan State University, which includes a 102,000-square-foot mixed-use building and student apartments, plazas and food and retail spaces. She also designed the temporary architecture for a tennis tournament at Hard Rock Stadium in Florida. The project consisted of a 6,000-square-foot stadium, 12 tournament courts and 18 practice courts. In 2019, AIA Michigan honored Neher, a member of the National Organization of Minority Architects Detroit, for her work on the Microsoft Technology Center.
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NIDHI PURI
NICOLE RITTENOUR
TRACI ROBINSON
President and CEO
Architect and Owner, PUSH Design LLC
Arbor Corporation Inc.
Tactile Graphic Designer, Touch Graphics Inc.
Senior Project Manager — Construction Field Services
Nidhi Puri left Ernst & Young in 2017 to join Arbor Corporation. Under her leadership, the firm’s revenue increased 113 percent in the first year and five-fold since then. Puri is responsible for about 55 employees and contractors around the country who primarily provide construction management and engineering services for the defense industry. Arbor recently won a contract to provide heavy civil engineering, construction and flood hazard mitigation services to the Lake Mead National Recreation Area at Cotton Cove. Puri started Arbor’s Women in Construction & Business Internship program. She serves as a member of the Michigan chapters of the Association of the United States Army and Society of American Military Engineers and a founding member of the Northern USA-India Business Council, which is part of the Women’s Indian Chamber of Commerce and Industry. “Nidhi’s company, already reaping success in the commercial market, is poised to grow exponentially in the federal contracting field where women-owned, minority-owned successful engineering companies are at a premium,” said Vicki Selva, executive director of the Michigan Defense Center and a senior strategic adviser to the Michigan Economic Development Corp.
Nicole Rittenour’s tactile design work encompasses everything from exit signs to talking and touchable 3D models. Her clientele includes Amazon, Google, the National Park Service, the National Zoo and the Smithsonian Institution. For the latter, she created tactile maps that help people with visual impairments navigate the National Mall. As principal architect of PUSH Design, she primarily works on urban landscapes such as renovations and historic restoration. One example is her work transforming a Ferry Street mansion into BasBlue, a woman’s club and restaurant. “Nicole prides herself on helping clients navigate the complicated permitting process in Detroit. She directed design and construction for Third Man Store in Detroit and later, Third Man Pressing,” said PUSH project manager Marc Grassi. “For the past three years, she has been overseeing the redevelopment of the Burroughs Building in Plymouth. This project is an 865,000-squarefoot complex originally designed by Albert Kahn and opened in 1938 as a factory for the Burroughs Corporation.”
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Orchard, Hiltz & McCliment Inc.
OHM Advisors invited Traci Robinson to become a partner last year. She specializes in the construction management of roads and bridges, including road reconstruction, sewer rehabilitation and full bridge replacement. “Traci Robinson has worked with the city of Bay City on multiple projects during the past five years. Her work has been exemplary. She has managed both design and construction projects with the utmost professionalism and quality,” said Bay City Engineering Manager Rachel Phillips. In 2021, she led the company’s Transportation Diversity Recruitment Program, created in partnership with the Michigan Department of Transportation to expose and recruit underrepresented groups of students to transportation-related fields. Her next goal is to establish OHM’s Women Field Services employee resource group.
YOUR VOICE, AMPLIFIED. Customized solutions to expand your reach and align you with ideas that matter to your target audience. Contact Allie Jacobs at allie.jacobs@crain.com to learn more.
CRAIN’S CONTENT STUDIO DETROIT
JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 17
BUILDING FROM A SOLID FOUNDATION
TRICIA RUBY
TANYA SALDIVAR-ALI
NA
President and CEO
Foun
Congratulations, Traci Robinson, PE
Ruby + Associates Inc. Structural Engineers
Co-Founder and Business Development Director
2022 Crain’s Notable Women in Construction, Design & Architecture Awardee As a Senior Project Manager for the firm’s Construction Engineering group in the Saginaw office and a firm Principal, Traci has led a multifaceted career over two decades and been a passionate advocate of work zone safety. She has managed the delivery of many high-profile transportation projects, been an invaluable point of contact and trusted advisor for key clients, and instilled core professional values to her team and the next generation of leaders. We at OHM Advisors, the Community Advancement firm, are proud.
LEARN MORE ABOUT TRACI AND HER IMPACTFUL WORK
OHM-Advisors.com
Tricia Ruby started as a finance manager and worked her way up through CFO and COO before being named president and CEO in 2011. She is president-elect of the Construction Association of Michigan board and will be the second woman in 137 years to serve as a CAM president. Under Ruby’s leadership, the structural engineering company Ruby + Associates increased its staff by 140 percent and experienced 300 percent revenue growth. One of her big wins is working with Barton Malow to build General Motors’ $1 billion four-site body shop manufacturing facility. Ruby, who actively advocates for diversity and equity, is intentional about recruiting from Historically Black Colleges and Universities. She also co-founded the National Women in Leadership within the American Council of Engineering Companies. “Tricia has done an amazing job creating an inclusive environment for all Ruby + Associates employees to grow and thrive in the design and construction industry,” said Ruby + Associates Principal John Matuska.
AGI Construction
“It is with great pride to have watched Tanya quickly adapt to the construction acumen and grow into a recognized leader in the industry,” said Frank Venegas, founder and president of Ideal Group. Tanya SaldivarAli worked with the Detroit Hispanic Development Corp. until 2003 and officially launched AGI, a general contractor and project management company, with her husband in 2008. AGI focuses on building sustainable communities. Projects include building the Best Buy Teen Tech lab for the Detroit Hispanic Development Corp. and the relocation and expansion of the First Latin American Baptist Church. Moreover, Saldivar-Ali co-founded the Design-Build Green Hub, an incubator hub for minority contractors and Southwest Detroit residents. She hopes to fill workforce gaps in skilled trades, particularly in green construction and renewable energy industries, in part, by holding workshops on navigating construction and design-build careers. The development earned them first place in Design Core’s 2022 Detroit Design Challenge.
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CRAIN’S 2022 AWARDS & RECOGNITION PROGRAMS
RECOGNIZE SOMEONE EXCEPTIONAL! Register and learn more at crainsdetroit.com/nominate
LEASE | BUY | BUILD
Congratulations, Nicole & Teresa! CRAIN’S NOTABLE WOMEN IN CONSTRUCTION, DESIGN & ARCHITECTURE
Nicole Blocker
Teresa Miller, AIA, LEED AP
VICE PRESIDENT
PRINCIPAL
Nicole.Blocker@plantemoran.com
Teresa.Miller@plantemoran.com
18 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
CHRISTINE SCOTT
RACHEL SIKORA
President and CEO
Director of Consulting for Design and Construction
Paul C Scott Plumbing Inc.
Christine Scott started her career selling fleet cars to contractors and changed jobs to help her husband run Paul Scott Plumbing. She learned all facets of the business before becoming a journeyman plumber. She earned her plumbing contractor license in 2009. When her husband died in 2016, Scott and their sons kept the business going. “As the company’s president and CEO, Christine not only met that challenge but also helped expand the business through those difficult times. The thriving business includes a state-of-the-art office facility with an on-site training area. With workforce development another challenge, Christine felt she needed to train her own staff and others to fill the void in the plumbing industry,” said Eric Flessland, a shareholder at Butzel Long. Scott is chair of the Associated Builders and Contractors of Southeast Michigan board.
IFF
IFF promoted Rachel Sikora from senior project manager in March. Now she oversees the owner’s representative consulting practice in seven offices in six Midwest states. “Rachel Sikora leverages her education (MBA, public policy and political science degrees) and professional experience to affect transformational community development through a wide range of real estate planning, design and construction projects, especially to provide students with high-quality learning environments,” said Wendy Jackson, managing director of the Kresge Foundation. “This has included providing leadership on large-scale projects such as a half-billion-dollar urban public school district facility modernization program … and leading development for a first of its kind in its community $22 million early childhood education center serving at-promise children birth to age five.” Sikora was the lead project manager and owner’s representative on the $22 million Marygrove Early Education Center, working with Kresge, Starfish Family Services, the Marygrove Conservancy and others. She also managed program conformance for a 1 million-square-foot $305 million residential district at Ohio State University. In addition, she is a certified master gardener and steering committee co-chair for the Nonprofit Centers Network.
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NADA SITTO
TARYN SULKES
LAUREN TOLLES
VALERIE VIG
GAIL VON STADEN
Founder and CEO
President and CEO
Owner
Principal and Owner
MWHS Design
Eagle Specialties LLC
Nada Sitto immigrated to the United States as a child. She worked her way up from front desk manager to regional manager of operations, sales and marketing at A&M Hospitality before joining Midwest Lodging Group, which builds and operates hotels, as director of operations. She launched her hospitality design and procurement company MWHS Design in 2019. MWHS has 13 projects underway, including renovations of six hotels and the design of eight new builds. One project is the 192-room Crowne Plaza hotel in Auburn Hills. Despite launching just before the pandemic, Sitto’s company has grown from a staff of two to a team of 12 and opened a 13,000-square-foot office in Bloomfield Hills.
Taryn Sulkes, president of the National Association of Women in Construction — Detroit Chapter, has led Eagle Specialties since its inception in 2014. The construction materials supplier specializes in toilet partitions, lockers, fire extinguishers and cabinets. “Her company has supplied products for projects such as Little Caesars Arena and parking garages, Little Caesars world headquarters, Detroit Medical Center, Fiat Chrysler Sterling Heights Assembly Plant, the Marathon Administration Building and many others,” said Karen Burton, CEO and co-owner of SpaceLab Detroit. In 2017, Sulkes bought out Eagle’s business partners and moved the company to a 9,000-square-foot space on Detroit’s west side. Sulkes earned the Diversity Champion Business Owner Award from the National Association of Women Business Owners Greater Detroit Chapter in 2019. She serves on the Michigan Minority Supplier Development Council board of directors and is vice president of the Sault Tribe Business Alliance.
Maison Birmingham and KSI Kitchen and Bath
President and Principal-in-Charge of Construction
Lauren Tolles worked in local architecture firms HF:architecture and McIntosh Poris Associates. She then ran her own interior design studio before launching Maison Birmingham, a custom cabinetry design studio, in 2016. The company also offers interior architecture, interior design, construction and project management. In 2019, Tolles and her husband acquired the home design and remodeling firm KSI Kitchen and Bath. Since starting, Tolles has earned 37 Detroit Design Awards. “She has collaborated with custom home builders such as LUXE Homes, TSA, Sterling Development, Cranbrook Homes, Brandywine Construction and Templeton Building Company, as well as a broad range of interior designers, such as Ellwood Interiors, Tutto Interiors, Marianne Jones and Katie Rodriguez Design,” said Dave Karras, director of marketing at KSI. “Lauren’s counsel is also sought after by many manufacturers in the interior design space.”
J.S. Vig Construction
Valerie Vig is responsible for all construction and financial planning operations at the 57-year-old construction company. Under her direction, J.S. Vig has numerous projects underway, including the University of Michigan Credit Union headquarters, Sartorius AG Center of Excellence in Ann Arbor, Pope Francis Center bridge housing campus in Detroit and Detroit Catholic Central High School’s new STEM addition. The company has also completed work on the UM’s Football Performance Center and golf course clubhouse. “I know that in addition to making sure that her subcontractors and employees are being supported, (Val) will also perform as to keep the best interest of the client and project in mind,” said April Pearsall, project manager at UM’s department of Architecture Engineering and Construction. Vig is a member of the Women Business Enterprise, Construction Association of Michigan and Washtenaw Contractors Association.
von Staden Architects
Gail von Staden joined her husband’s practice in 2009 after working as a senior associate at Gensler. Since then, von Staden Architects has quadrupled in staff, workload and revenue. Last year, they managed $60 million in construction value. Von Staden manages daily operations and projects that range from the United Wholesale Mortgage elevated walkway and a recording studio in a church to restaurants, single-family homes and corporate interiors. Corporate clients include Carhartt, White Horse Inn, Dana Automotive, Dickinson Wright and Domino’s Pizza and Little Caesars Pizza headquarters. “As the interior architect for the Little Caesars Global Resource Center, Gail made sure that the space achieved the overarching goals set for new construction buildings in District Detroit while meeting the needs of the Little Caesars business and enhancing the way we work,” said Little Caesars President and CEO Dave Scrivano.
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masmitCenJUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 19
LAURA WALKER
LACRESHA WARE
ELIZABETH WETZEL
SHANNON WHITE
Co-founding Principal, Other Work
Vice President of Engineering and Estimating
Co-Director of Transportation Design
Owner and Architect
Lawrence Technological University
FUNchitecture LLC
Elizabeth Wetzel was global director of Buick interior design and then design director of UX Product Design for General Motors brands worldwide. In 2017, Wetzel, who was the first female design director for GM, earned a place in the Michigan Women’s Hall of Fame. Her experience led her to co-leading the transportation design department at Lawrence Tech’s College of Architecture and Design. Wetzel created the school’s first multi-disciplinary design course where architecture, industrial design and transportation design students collaborate to build solutions for 2030 informed by new mobility products. She’s also teaching students to design an electric personal mobility device for airports. Wetzel “forged relationships and acquired significant funding from automotive industry OEMs and suppliers to support the student projects, the college, and the university,” said Lilian Crum, LTU’s director of Graphic Design. “These partnerships also benefited the students as they receive mentoring, lectures and demonstrations by real industry design professionals and leaders, which ultimately leads directly to students receiving internships and jobs.”
Clients seek out Shannon White’s FUNchitecture for master planning and design collaboration on new miexed-use developments. Her recent work includes designing a pediatric dentist’s office in Grand Blanc to have trees with tire-swing reading nooks and a custom Lite Britelike interactive in the waiting room. She also turned a former tire store into a neighborhood bar. “Shannon Easter White has done a phenomenal job bringing our vision to reality with our beautiful branches and breathtaking headquarters,” said ELGA Credit Union CEO Karen Church. “Her second-to-none talent, along with the way she incorporates fun into every meeting, makes it a joy to work with her. She has done an outstanding job branding each of our branches, whether retro or modern. Thanks to Shannon’s expertise and vision, our 68,000-square-foot headquarters is a masterpiece that we will be showcasing for many years to come.” In addition, White serves as a trustee for the Community Foundation of Greater Flint, the Ruth Mott Foundation, Flint Institute of Arts and YWCA Women’s Empowerment Center. She is also board treasurer for the American Institute of Architects.
Design Architect, SmithGroup
“Laura’s ability to translate local aspiration into sophisticated design is unmatched. Her integration of light, sound, texture, and color appeals to all senses, making her work accessible for all to enjoy. It’s rare to find a designer with a strong aesthetic,” said Ujijji Davis Williams, founding principal of JIMA Studio. In 2019, Laura Walker earned the AIA Detroit Young Architect of the Year award. She’s also particularly proud of winning the 2018 Design Center in a Box Competition from the city of Detroit and the Detroit Collaborative Design Center at the University of Detroit Mercy. Her projects at SmithGroup include award-winning work on the Michigan State Science and Technology building and LinkedIn’s Detroit office. In 2021, Detroit’s Planning and Development Department hired Other Work to partner with The Artist Village and East Warren Development Co. to develop a field guide for neighborhood design hubs. Walker serves on the leadership team for the National Organization for Minority Architects.
Gayanga Co.
“With decades of experience under her, LaCresha joined Gayanga Co. as chief estimator when the company had less than $1 million in contract awards,” said Gayanga CEO Brian McKinney Sr. “She is now … managing a 30plus (person) staff and over $25 million of work largely for the city of Detroit.” LaCresha Ware “successfully navigates through the politics of working” under Detroit’s blight removal demolition program and is a member of the National Demolition Association’s industry committee. In 2019, Ware founded the nonprofit Feed Detroit and partnered with Gayanga and Detroit’s Parks and Recreation Department to serve 1,000 Thanksgiving meals throughout the city. Since 2020, the nonprofit has been delivering groceries to those negatively impacted by the pandemic. Ware is a member of the National Association of Black Women in Construction, Delta Sigma Theta Sorority and the National Society of Black Engineers. The Michigan Chronicle named her one of its Women of Excellence this year.
11 PERCENT OF WOMEN IN THE UNITED STATES WORKED IN CONSTRUCTION FIELDS IN 2021. 27.1 PERCENT OF WOMEN WORKED IN ARCHITECTURAL, ENGINEERING AND RELATED SERVICES IN 2021. U.S. Bureau of Labor Statistics
IN OCTOBER 2021, THERE WERE 402,000 UNFILLED CONSTRUCTION POSITIONS, THE HIGHEST SINCE DECEMBER 2000. McKinsey
LACRESHA WARE VP & Director of Engineering and Estimating, BS in Civil Engineering, Lawrence Technological University Gayanga Co. would like to congratulate LaCresha Ware our Vice-President of Engineering and Estimating for being recognized as one of Crain’s 2022 Notable Women in Construction. As VP of Gayanga Co., Ms. Ware has overseen our growth as a construction startup to being the largest demolition contractor in the nation’s largest demolition program. What’s even more impressive about her, is as a 25-year veteran in the construction industry, she is dedicated to inspiring urban youth to consider opportunities in unconventional careers; she is a certified trailblazer….
20 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
As pandemic eases, CEO pay on upward trajectory For many CEOs of publicly traded companies in Southeast Michigan, 2021 was something of a makeup year to right the ship after the lost COVID-19 pandemic year of 2020. Many of those CEOs also saw solid bumps in their compensation. From salaries to stock awards and other executive perks, CEO pay is largely on an upward trajectory once more. Following is a breakdown of the compensation made available to many of the region’s highest-profile executives. By Nick Manes
1 Ken Booth President and CEO, Credit Acceptance Corp. 2021 compensation: $30.5 million
Booth, 54, took over as CEO of the Southfield-based subprime automotive lender in May 2021, after more than 15 years as the company’s chief financial officer. He succeeded longtime CEO Brett Roberts. Booth topped out this year’s list of top-paid public company executives in metro Detroit, bringing in total compensation of more than $30.5 million, most of it in the form of stock option awards. Over the last year, the company’s stock (NASDAQ: CACC) has climbed by more than 33 percent. From 2020 to 2021, the company saw its net income more than double, growing from $421 million to more than $958 million, and around the time Booth took over, reached a $27 million settlement with the Massachusetts attorney general over allegations it made deceptive loans, misled investors and engaged in unfair collection practices. Booth’s compensation stood at 459 times that of the median worker’s salary at Credit Acceptance, listed at $66,446.
2 Mary Barra
3 James Farley
4 Frederic Lissalde
Chair and CEO, General Motors Co.
President and CEO, Ford Motor Co.
President and CEO, BorgWarner Inc.
2021 compensation: $29.1 million
2021 compensation: $22.8 million
2021 compensation: $17.6 million
Barra, 60, again cracks the top five of metro Detroit’s highest-paid public company CEOs. The head of the Detroit-based automaker saw her total compensation jump about 23 percent from 2020 to 2021, hitting more than $29 million last year, when the automaker recorded a record profit of more than $10 billion. Barra’s compensation last year consisted of a $2.1 million base salary, more than $14.5 million in stock awards, more than $7.6 million nonequity incentive payments and awarded options totaling nearly $4 million. The CEO’s salary stood at 420 times that of the median GM worker’s salary of a little more than $69,000.
As chief executive of the Dearborn-based automaker since late 2020, Farley has made headlines for steering Ford toward its electric future, and in doing so, investing billions of dollars in Kentucky and Tennessee. Farley, 59, has quickly made his way up the list of top-paid metro Detroit public company CEOs. In 2021, the executive earned more than $22.8 million, which included a base salary of $1.7 million, $16 million in stock awards and various other forms of compensation. While Ford stock (NYSE: F) is down nearly 6 percent over the last year, Farley helped the company turn a corner after a rough 2020, going from a loss that year of nearly $1.3 billion to posting a profit of almost $18 billion last year. Farley’s salary was listed as 356 times that of the median salary at Ford, listed as $64,000.
Lissalde, president and CEO of the Auburn Hills-based auto supplier since 2018, saw his pay nearly double from 2020 to 2021, hitting $17.6 million last year. Over that same time, the company’s net income grew from $500 million to $537 million. Lissalde’s compensation last year consisted of a $1.26 million salary (up from $1.1 million the previous year), as well as more than $13 million in stock awards, $2.5 million in nonequity incentive and retirement payments, and more than $814,000 in “other compensation.” The CEO’s total compensation was listed as 554 times that of the median employee at BorgWarner, who made $31,740.
5 Jeffrey Brown
6 Kevin Clark
7 William Febbo
CEO, Ally Financial Inc.
Chairman and CEO, Aptiv PLC
CEO, OptimizeRx Corp.
2021 compensation: $15.5 million
2021 compensation: $14.7 million
2021 compensation: $14.6 million
Brown, in his seventh year as the chief executive of the Detroit- and Charlotte, N.C.-based auto lender, saw his pay increase by more than one-third from 2020 to 2021. During that same time period, Ally’s net income rose from $1 billion to more than $3 billion. Brown’s compensation consisted of a $1 million salary, $4.9 million bonus and about $9.6 million in stock awards. The compensation earned by Brown last year was 146 times that of Ally’s median employee, who is listed as making about $106,000 annually.
The top executive of the Ireland-based automotive supplier with operations in Troy saw his pay drop by more than half from 2020 to 2021, earning about $14.7 million last year. The pay cut largely stems from a 57 percent drop in stock options, year-over-year, which were $12.3 million in 2021. Clark’s total compensation was listed at 1,992 times that of the median worker at the supplier, which comes to about $7,400.
The biggest pay raise of the 10 highest-paid public company CEOs in metro Detroit went to William Febbo, the CEO of Rochester-based OptimizeRx. Febbo’s total pay surged by more than 1,000 percent from 2020 to 2021, hitting more than $14.6 million last year, with a base pay of $410,417. Febbo’s stock awards grew from about $639,000 in 2020 to more than $13.58 million last year. During that same time, the health care technology company went from a $2.2 million loss to $378,080 in profit. A median worker-to-CEO pay ratio was not available.
8 Doug Del Grosso
9 Gary Shiffman
10 Keith Allman
President and CEO, Adient PLC
Chairman and CEO, Sun Communities Inc.
President and CEO, Masco Corp.
2021 compensation: $14.24 million
2021 compensation: $13.83 million
2021 compensation: $13.4 million
The CEO of automotive supplier Adient since 2018 got a pay bump of just more than 26 percent from 2020 to 2021, hitting just over $14.2 million last year. Over that same time period, the Irish-domiciled company with operations in Plymouth rose from a $547 million loss to profits of more than $1.1 billion. Del Grosso’s pay last year consisted of a base salary of $829,500, stock options of almost $11.4 million and nonequity payments just shy of $2 million. Del Grosso’s compensation was listed at 758 times that of the median worker at the company, a figure that was not defined, but comes to about $18,789.
The longtime chief executive of the Southfield-based real estate investment trust saw a total pay boost of more than $2.5 million from 2020 to 2021, hitting just over $13.8 million last year. During that time, the REIT’s net income grew from more than $131.6 million to more than $380 million. Shiffman’s pay last year consisted of a salary of just over $850,000, stock awards of more than $11.17 million, and nonequity incentives of $1.8 million. The CEO’s pay stood at 776 times that of Sun Communities’ median employee, who was reported as making just more than $32,000.
Allman, the top executive at the Livonia-based home improvement manufacturing company since 2014, saw his pay drop by about 4 percent from 2020 to 2021, with total compensation of about $13.4 million last year. During that same time period, Masco’s profits fell from $1.2 billion to $410 million. The CEO’s compensation last year consisted of more than $1.27 million in salary, $6 million in stock wards, plus roughly $6 million in other forms of compensation. Allman’s total compensation was 267 times that of the median Masco employee, who was reported as making just over $50,000 annually. JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 21
Median CEO compensation rose 31 percent to $20 million at firms tracked by Equilar. | GETTY IMAGES
CEO pay bounces back after pandemic dip BY NICK MANES
COVID-19 took hold, said Joshua Bright, a Detroit-area principal with consulting firm Pay Governance LLC, which advises public and private companies on their executive compensation packages. “I don’t want to say (companies) set easy goals (for bonuses and other payouts), but I think there was so much uncertainty that they set lower goals, and then the recovery happened so much quicker that everybody kind of blew their numbers out of the water,” Bright said. “The bar was set low and the recovery was much higher than anyone could have anticipated.” The executive labor pool is largely reflective of the broad market for jobs. Increasing pay and other benefits is a necessity, according to Grim. “Kind of across the board, boards and HR folks are really
CEO pay remains steadily on the rise, despite any overtures toward a shift in 2020, when the COVID-19 pandemic and racial tensions suggested, for a time, that change could be afoot. Experts say those moves toward greater pay equity between the executive and working classes at the height of the pandemic likely amount to something that’s largely “reflective of the time,” and appear unlikely to stick, according to Melissa Grim, a partner at Honigman LLP and leader of the Detroit-based law firm’s employee benefits and executive compensation practice. The median total compensation for chief executives at publicly traded companies last year hit $20 million, nearly 31 percent higher than for the same companies a year earlier, according to an annual report by Equilar, which tracks “(IT’S) A TALENT MANAGEMENT executive compensa- ISSUE OF HOW CAN WE KEEP OUR tion. The report also C-SUITE FOLKS TO KEEP THEM ON found that while medi- BOARD WITH US?” an salary and other perks saw incremental — Melissa Grim, Honigman LLP growth, cash bonuses and stock awards had the largest thinking about, ‘how do we keep growth, increasing 46.4 percent people?’” she said. “The job marand 22.7 percent, respectively, ac- ket for most industries is so fierce cording to the Equilar report. right now … (It’s) a talent manageThose trends ring true to consul- ment issue of how can we keep our tants and other experts in the re- C-suite folks to keep them on gion who track executive compen- board with us? And so retention efsation. forts (like) beefing up incentives By and large, it comes as no sur- and compensation … that’s defiprise that pay and other perks for nitely on the rise.” CEOs is once again surging, given that the economy largely bottomed Contact: nmanes@crain.com; out in the spring of 2020 as 313) 446-1626; @nickrmanes 22 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
CEO PAY
From Page 1
“Now, it’s check a box,” Bright said. Adopted in 2015 and taking effect three years later, the mandated CEO pay ratio report was born out of the Dodd-Frank Wall Street Reform and Consumer Protection Act five years earlier. Taken together, the rule and the broader Dodd-Frank law stemmed from the populist anger in the wake of the Great Recession and Occupy Wall Street movement just years earlier. A news release in 2015, when the CEO pay ratio was adopted, touted the new rule as providing “companies with flexibility in calculating this pay ratio, and helps inform shareholders when voting on ‘say on pay.’” Experts, however, say that the rule amounts to little more than “disclosure-as-soundbite,” according to a 2019 study by researchers at the UCLA School of Law and Emory University School of Law. “We find that in its current formulation, the rule is ineffectual and potentially counterproductive when viewed as a means of generating useful and reliable information for investors, or influencing firm behavior on matters of worker and executive compensation,” the study report says. The researchers note that because it’s unlikely Congress will act to strengthen the rule, regulators — namely the U.S. Securities and Exchange Commission — should move to adopt a rule that mandates more narrative around the reported pay ratio. Doing so would provide “more context, nuance and explanation,” according to the research report. The lack of context around the reported pay ratio is a major issue for Bright of Pay Governance. The problem, he said, is the “subjective” nature of the actual reported ratio, and the lack of definition of what an “appropriate” ratio should be. To that end, data from Standard &
Poor’s — which was analyzed by Crain’s for CEO pay in metro Detroit, as well as pay ratio figures — show two companies in the region as particularly standouts with large ratios. Aptiv PLC and Lear Corp., both metro Detroit auto suppliers with global footprints, reported their CEO compensations to be 1,992 and 1,642 times that of their “median worker,” respectively. Those figures are more than double the next largest ratios that appear on the S&P data analyzed by Crain’s. However, experts and the companies themselves contend that while the numbers may be eye-catching, it’s hard to look at the ratios from an apples-to-apples perspective. “For those (companies) that operate in multiple countries, calculating the median employee can be fraught,” Michelle Leder, a public companies expert and financial journalist, wrote in a Bloomberg column in May. “Those that employ a lot of people in relatively low-wage emerging economies, for example, will naturally look worse. Warren Buffett’s Berkshire Hathaway (most recent pay ratio, 6 to 1) has pointed out such problems in its last five proxy statements.” That’s a similar argument to the one made by global supplier Aptiv, with operations in Troy, in its last proxy filing. “We believe that there are a number of reasons why our pay ratio is not comparable to that of other companies, including that other companies may have a median employee that works in the U.S., may outsource manufacturing, may have different types of workforces, may operate in different countries, or may utilize different compensation practices,” the filing says. “Further, in calculating their own pay ratios, other companies may utilize methodologies, exclusions, estimates, and assumptions that substantially differ from Aptiv’s calculation methodology.” Taken together, the pay ratio rule has been a “failed experiment,” wrote
Leder, who runs Footnoted, a website that tracks SEC filings. “I don’t say this lightly. I had high hopes for the requirement: As recently as last year, I suggested that it might yet embarrass companies into addressing pay inequality,” Leder wrote. “But as often happens, the reality hasn’t matched the laudable intentions. Many companies, afraid of reporting too high a ratio, have manipulated it into meaninglessness. It’s not really comparable across different types of businesses.” For companies, there is some concern about the optics of having a large CEO-to-median-worker ratio, but the rule is largely a way that board members think broadly about executive compensation, said Melissa Grim, a partner at Honigman LLP and leader of the Detroit-based law firm’s employee benefits and executive compensation practice. “It’s another data point that a (compensation) committee is taking into account when they think about CEO compensation,” Grim said. Further research suggests that there is good reason compensation committees and top executives should be highly cognizant of their pay ratio, and actively working to make it a smaller figure: It can impact the bottom line. A study published in 2020 by researchers at the University of Michigan’s Ross School of Business found that companies with higher CEO pay ratios will likely be deemed as inefficient operators in the eyes of shareholders. “If the firm is doing things that are inefficient, that are not in the best interest of the shareholders, that would be reflected in the cost of capital,” Nejat Seyhun, a UM professor of finance, said in a statement at the time the report was published. “We found that holding all else constant, as CEO power increases, it’s costing the shareholders more money.” Contact: nmanes@crain.com; (313) 446-1626; @nickrmanes
CRAIN'S LIST | TOP-COMPENSATED CEOS Ranked by fiscal 2021 compensation NONEQUITY INCENTIVE/ RETIREMENT 2021/2020
OTHER COMPENSATION 2021/2020
OPTION AWARDS 2021/2020
CEO PAY RATIO 2022
MEDIAN EMPLOYEE'S TOTAL COMPENSATION
COMPANY NET INCOME 2021/2020
SALARY 2021/2020
BONUS 2021/2020
STOCK AWARDS 2021/2020
$30,526,345
$888,176 $572,126
NA NA
NA NA
$0 $1,306,758
$14,538 $16,410
$29,623,631 NA
459
$66,446
$958,300,000 $421,000,000
MARY BARRA
$29,136,780
$2,100,000 $1,995,000
NA NA
$14,582,198 $13,093,722
$7,644,000 $4,203,608
$873,075 $615,655
$3,937,507 $3,750,002
420
NA
$10,019,000,000 $6,427,000,000
JAMES FARLEY
$22,813,174
$1,700,000 $1,425,000
$0 $0
$16,078,486 $5,055,073
$3,672,000 $449,100
$1,362,688 $697,316
$0 $4,175,565
356
$64,003
$17,937,000,000 ($1,279,000,000)
FREDERIC LISSALDE
$17,592,090
$1,260,000 $1,100,417
NA NA
$13,017,485 $6,364,686
$2,499,840 $1,564,420
$814,765 $819,249
NA NA
554
$31,740
$537,000,000 $500,000,000
JEFFREY BROWN
$15,545,746
$1,000,000 $1,000,000
$4,900,000 $3,675,000
$9,599,579 $6,903,212
$0 $0
$46,167 $43,862
NA NA
146
$106,166
$3,060,000,000 $1,085,000,000
KEVIN CLARK
$14,744,780
$1,462,272 $1,141,924
NA NA
$12,295,011 $28,502,508
$745,759 $1,425,715
$241,738 $197,182
NA NA
1992
NA
$590,000,000 $1,804,000,000
WILLIAM FEBBO
$14,619,576
$410,417 $350,000
NA $261,187
$13,583,077 $638,985
$610,482 $261,187
$15,600 $15,400
NA NA
NA
NA
$378,080 ($2,207,130)
DOUGLAS DEL GROSSO
$14,242,424
$829,500 $953,634
NA NA
$11,390,360 $8,166,116
$1,955,250 $1,693,696
$67,314 $455,315
NA NA
758
NA
$1,108,000,000 ($547,000,000)
GARY SHIFFMAN
$13,828,288
$851,957 $521,027
NA NA
$11,171,661 $9,208,679
$1,800,000 $1,383,674
$4,670 $29,043
NA NA
776
$32,037
$380,152,000 $131,614,000
KEITH ALLMAN
$13,410,774
$1,274,354 $1,291,969
NA NA
$6,043,341 $6,309,617
$3,268,700 $3,916,942
$594,207 $421,097
$2,230,172 $2,062,316
267
$50,305
$410,000,000 $1,224,000,000
RAYMOND SCOTT
$13,306,375
$1,246,667 $1,144,000
NA NA
$8,057,060 $10,020,830
$1,905,000 $1,446,594
$417,636 $423,344
$1,680,012 $1,680,001
1642
$8,106
$373,900,000 $158,500,000
MAJDI ABULABAN
$11,422,337
$833,562 $621,539
$1,000,000 NA
$8,566,713 $2,394,109
$1,001,318 $730,000
$20,744 $20,583
NA NA
NA
NA
$3,754,000 ($243,561,000)
DAVID DAUCH
$11,176,460
$1,150,000 $991,875
NA NA
$4,879,478 $4,442,271
$4,238,325 $2,946,510
$908,657 $463,772
NA NA
294
$38,032
$5,900,000 ($561,300,000)
GERARDO NORCIA
$11,128,277
$1,276,923 $1,192,500
NA NA
$6,524,979 $5,614,868
$3,106,299 $3,700,221
$220,076 $98,033
NA NA
82
$136,472
$907,000,000 $1,368,000,000
MURRAY KESSLER
$10,529,261
$1,236,000 $1,219,500
NA NA
$7,749,994 $7,749,982
$1,444,014 $1,928,593
$99,253 $69,155
NA NA
150
NA
($68,900,000) ($162,600,000)
SACHIN LAWANDE
$9,307,212
$1,030,000 $892,667
NA NA
$6,499,949 $4,295,383
$1,287,500 $1,287,500
$489,763 $285,652
NA $1,499,995
506
NA
$41,000,000 ($56,000,000)
JEFFREY (JAY) CRAIG 1
$8,689,164
$833,333 $846,667
$0 $0
$6,657,734 $4,999,980
$1,112,164 $285,600
$85,933 $217,044
NA NA
194
$39,786
$199,000,000 $245,000,000
TIMOTHY MAYLEBEN 2
$8,227,286
$265,152 $700,000
NA NA
NA $1,420,021
$0 $210,000
$3,975,889 $76,919
$3,986,245 $4,518,084
36
$217,116
($269,108,000) ($143,551,000)
MATHEW ISHBIA
$7,808,350
$600,000 $600,000
NA $6,500,000
NA NA
$6,640,000 $0
$568,350 $142,280
NA NA
NA
NA
$98,445,000 $3,382,510,000
SHELDON KOENIG 3 Esperion Therapeutics, Inc.
$7,776,226
$565,909 $23,182
NA NA
$1,619,698 NA
$150,000 $0
$13,000 NA
$5,427,619 NA
36
$217,116
($269,108,000) ($143,551,000)
CHRISHAN (CHRIS) SEBASTIAN VILLAVARAYAN 4
$7,587,961
$822,500 $553,073
$0 $0
$5,274,186 $1,464,990
$1,404,931 $153,369
$86,344 $109,355
NA NA
194
$39,786
$199,000,000 $245,000,000
22 23 24 25 26
JOEL AGREE
$7,372,502
$875,000 $792,788
NA $1,500,000
$3,499,957 $3,500,056
$2,947,365 $1,446,744
$50,180 $46,025
NA NA
73
$100,744
$122,273,000 $91,381,000
RICHARD ALLISON
$7,138,002
$904,000 $929,423
NA NA
$2,556,092 $1,057,918
$2,504,080 $2,736,910
$269,792 $227,573
$904,039 $1,343,406
401
$17,782
$510,467,000 $491,296,000
ROGER PENSKE
$6,981,685
$1,400,000 $700,000
NA NA
$5,000,000 $5,000,000
$0 $0
$581,685 $279,555
NA NA
132
$52,712
$1,187,800,000 $543,600,000
DAVID SLATER
$6,493,954
$518,977 $434,615
NA NA
$4,499,533 $646,555
$1,369,380 $692,557
$106,064 $125,348
NA NA
NA
NA
$307,000,000 $312,000,000
BRIAN HARPER
$6,261,712
$789,904 $678,029
NA $823,438
$3,531,108 $6,544,214
$1,937,500 $0
$3,200 $3,200
NA NA
72
$87,321
NA ($10,233,000)
27 28 29 30 31 32 33
PHILLIP EYLER
$5,972,977
$862,500 $840,000
NA NA
$3,801,502 $2,650,016
$1,000,500 $630,000
$308,475 $200,557
NA NA
412
$14,482
$93,434,000 $59,690,000
DARYL ADAMS
$5,147,927
$782,500 $710,500
NA NA
$2,554,773 $1,978,913
$1,776,000 $1,764,000
$34,654 $42,354
NA NA
119
$43,273
NA NA
LARRY HEATON
$5,099,819
$100,000 NA
$50,000 NA
NA NA
$0 $0
$38,004 NA
$4,911,815 NA
NA
NA
($18,383,170) ($16,911,780)
JEFFREY EDWARDS
$5,087,944
$1,000,000 $1,038,462
NA $840,000
$2,738,195 $2,004,732
$0 $0
$209,745 $126,150
$1,140,004 $900,001
338
$15,036
($322,835,000) ($267,605,000)
THOMAS AMATO
$4,582,126
$711,538 $665,000
NA NA
$2,615,535 $2,612,732
$1,228,370 $1,274,000
$26,683 $24,938
NA NA
122
$37,489
$57,310,000 ($79,760,000)
ALESSANDRO DINELLO
$4,476,497
$1,000,000 $1,000,000
NA NA
$1,135,945 $412,268
$2,250,000 $2,250,000
$90,552 $71,909
NA NA
69
$64,709
$533,000,000 $538,000,000
PETER QUIGLEY
$3,938,608
$840,000 $689,232
NA NA
$2,734,149 $839,987
$320,628 $0
$43,831 $21,474
NA NA
445
$8,850
$156,100,000 ($72,000,000)
NAME COMPANY
TOTAL COMPENSATION 2021/2020
1 2 3 4 5 6 7 8 9 10 11 12 13
KENNETH BOOTH
14 15 16 17 18 19 20 21
Credit Acceptance Corp. General Motors Co. Ford Motor Co.
BorgWarner Inc.
Ally Financial Inc. Aptiv PLC
OptimizeRx Corp. Adient plc
Sun Communities Inc. Masco Corp. Lear Corp.
Superior Industries International Inc. American Axle and Manufacturing Holdings Inc. DTE Energy Co. Perrigo Co. plc Visteon Corp. Meritor Inc.
Esperion Therapeutics, Inc.
UWM Holdings Corp. (United Wholesale Mortgage)
Meritor Inc.
Agree Realty Corp. Domino's Pizza Inc.
Penske Automotive Group Inc. DT Midstream Inc.
RPT Realty (Ramco-Gershenson Properties Trust) 5 Gentherm Incorporated Spartan Motors Inc./The Shyft Group 6 Zomedica Corp.
Cooper-Standard Holdings Inc. TriMas Corp.
Flagstar Bancorp Inc. Kelly Services Inc.
$1,895,294
$23,657,987 $11,802,054 $9,848,772
$11,622,074 $31,267,329 $1,265,572
$11,268,761 $11,142,423 $14,001,941 $14,714,769 $3,766,231 $8,844,428
$10,605,622 $10,967,230 $8,261,197 $6,349,291 $6,925,024 $7,242,280
$23,182
$2,280,787
$7,285,613 $6,295,230 $5,979,555 $1,899,075 $8,048,881
$4,320,573 $4,495,767
$4,909,345 $4,576,670 $3,734,177 $1,550,693
SOURCES: S&P Global Market Intelligence, (Marketintelligence.spglobal.com) and SEC filings | Top compensation for CEOs at publicly held companies in Wayne, Oakland, Macomb, Washtenaw and Livingston counties. Incentive plan/retirement column is total of nonequity incentive-plan compensation, nonqualified deferred compensation and change in pension value. NA = not available. NOTES: 1. Former CEO. Transitioned to role of executive chairman on Feb. 28, 2021. Was succeeded by Chris Villavarayan. 2. Former CEO. Stepped down as CEO in May 2021. Succeeded by Sheldon Koenig. 3. Succeeded Timothy Mayleben as CEO in May 2021. 4. Succeeded Jay Craig as CEO on Feb. 28, 2021. 5. Formerly Ramco-Gershenson Properties Trust. Rebranded as Ramco-Gershenson Properties Trust effective Nov. 13, 2021 and moved headquarters to New York City. 6. Effective June 1, 2021, changed its name to The Shyft Group Inc. (NASDAQ: SHYF) after divesting its Emergency Response business.
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CRAIN'S LIST | TOP-COMPENSATED NON-CEOS Ranked by fiscal 2021 compensation SALARY 2021/2020
BONUS 2021/2020
STOCK AWARDS 2021/2020
NONEQUITY INCENTIVE/ RETIREMENT 2021/2020
OTHER COMPENSATION 2021/2020
OPTION AWARDS 2021/2020
$18,662,706
$1,700,000 $1,700,000
$0 $0
$13,785,209 $6,293,472
$1,080,000 $2,329,279
$2,097,497 $1,260,109
$0 $4,463,682
MICHAEL AMEND
$12,781,136
$227,275 NA
$800,000 NA
$11,499,993 NA
$218,880 NA
$34,988 NA
$0 NA
3
MARK REUSS
$12,535,747
$1,300,000 $1,235,000
NA NA
$6,180,076 $5,217,207
$3,038,800 $1,795,992
$348,119 $227,702
$1,668,752 $1,487,501
4
JOHN FIELD
$10,848,080
$159,092 NA
$500,000 NA
$9,999,987 NA
$121,680 $0
$67,322 NA
$0 NA
5
CHARLES PEARCE
$10,305,631
$689,272 $572,126
NA NA
NA NA
$0 $1,306,758
$21,443 $16,400
$9,594,916 NA
6
ARTHUR SMITH
$10,305,628
$689,272 $572,126
NA NA
NA NA
$0 $1,306,758
$21,440 $16,400
$9,594,916 NA
6
DANIEL ULATOWSKI
$10,305,628
$689,272 $572,126
NA NA
NA NA
$0 $1,306,758
$21,440 $16,400
$9,594,916 NA
8
PAUL JACOBSON
$9,578,648
$1,000,000 $83,333
NA NA
$4,860,724 $4,475,128
$2,250,000 $88,600
$155,422 $7,610
$1,312,502 $525,001
9
DOUGLAS BUSK
$9,488,763
$640,000 NA
NA NA
NA NA
$0 $0
$21,440 NA
$8,827,323 NA
10
JOHN LAWLER
$9,428,325
$1,014,500 $715,000
$750,390 $0
$5,035,993 $1,971,478
$2,507,444 $3,093,967
$119,998 $108,227
$0 $0
11
STEPHEN CARLISLE
$8,980,204
$850,000 $711,136
NA NA
$4,617,717 $3,390,773
$1,933,800 $1,152,390
$331,811 $160,155
$1,246,876 $875,009
12
DOUGLAS PARKS
$8,835,477
$850,000 $767,500
NA NA
$4,617,717 $3,543,682
$1,933,800 $1,237,613
$187,084 $163,025
$1,246,876 $1,021,888
13
KATHERINE RAMUNDO
$7,420,615
$517,045 NA
$600,000 NA
$6,077,331 NA
$187,850 $0
$38,389 NA
NA NA
14
JOSEPH FADOOL
$6,234,806
$810,000 $703,750
NA NA
$3,945,083 $1,691,034
$1,205,280 $694,328
$274,443 $248,196
NA NA
15
KEVIN NOWLAN
$6,121,645
$800,000 $686,667
NA NA
$3,837,318 $1,691,034
$1,190,400 $678,193
$293,927 $284,205
NA NA
16
JOHN MCLAREN
$6,053,466
$621,152 $397,614
NA NA
$4,130,649 $3,541,800
$1,300,000 $1,050,000
$1,665 $8,836
NA NA
17
JOSEPH MASSARO
$5,982,286
$983,750 $857,917
NA NA
$4,543,905 $9,107,543
$340,000 $607,750
$114,631 $100,080
NA NA
18
KAREN DEARING
$5,895,884
$559,614 $323,641
NA NA
$4,130,649 $3,541,800
$1,200,000 $850,000
$5,621 $6,490
NA NA
19
MELINDA WILNER
$5,792,238
$370,700 $337,000
NA $50,000
$470,813 NA
$4,885,286 $5,523,512
$65,439 $5,000
NA NA
20
STEFAN DEMMERLE
$5,588,623
$760,000 $582,250
NA NA
$3,477,210 $1,492,146
$1,130,880 $572,903
$220,533 $215,871
NA NA
21
ALEX ELEZAJ
$5,359,312
$353,100 $321,000
NA $250,000
$104,625 NA
$4,857,315 $5,504,360
$44,272 $5,000
NA NA
22
MICHAEL SIMONTE
$5,218,653
$750,000 $646,875
NA NA
$2,025,088 $1,843,637
$1,937,775 $1,437,102
$505,790 $288,483
NA NA
23
DOUGLAS TIMMERMAN
$5,179,465
$600,000 $600,000
$1,860,000 $1,280,000
$2,671,837 $1,903,222
$0 $0
$47,628 $46,464
NA NA
24
DIANE MORAIS
$5,083,689
$600,000 $600,000
$1,800,000 $1,240,000
$2,647,473 $1,853,184
$0 $0
$36,216 $35,113
NA NA
25
JEFFREY JEWELL
$5,070,251
$404,638 $373,462
NA NA
$3,686,558 $1,210,955
$904,504 $507,355
$74,551 $54,507
NA NA
26
JENNIFER LACLAIR
$4,872,931
$600,000 $600,000
$1,800,000 $1,148,000
$2,429,525 $1,753,235
$0 $0
$43,406 $41,199
NA NA
27
DAVID MEADOR
$4,809,501
$789,231 $770,077
NA NA
$1,895,147 $1,900,080
$2,069,266 $2,322,064
$55,857 $58,438
NA NA
28
FRANK ORSINI
$4,646,339
$816,000 $781,333
NA NA
$2,337,543 $3,610,431
$824,000 $644,954
$188,767 $190,045
$480,029 $480,026
NAME COMPANY
TOTAL COMPENSATION 2021/2020
1
WILLIAM FORD
2
executive chairman Ford Motor Co. chief enterprise technology officer Ford Motor Co. president General Motors Co. chief EV & Digital Systems officer - Ford Model e Ford Motor Co. former special assistant to CEO Credit Acceptance Corp. chief analytics officer Credit Acceptance Corp. chief sales officer Credit Acceptance Corp. executive VP & CFO General Motors Co.
chief treasury officer Credit Acceptance Corp. VP & CFO Ford Motor Co.
executive VP & president of North America General Motors Co. executive VP of global product development, purchasing & supply chain General Motors Co. senior VP, chief legal officer, chief compliance officer & secretary Aptiv PLC VP & president, GM of Emissions,Thermal & Turbo Systems BorgWarner Inc. executive VP & CFO BorgWarner Inc.
president & COO Sun Communities Inc. senior VP of business operations & CFO Aptiv PLC executive VP of special projects, treasurer & secretary Sun Communities Inc. executive VP, COO & director UWM Holdings Corp. (United Wholesale Mortgage) VP and president & GM of PowerDrive Systems BorgWarner Inc. executive VP, chief strategy officer & director UWM Holdings Corp. (United Wholesale Mortgage) president American Axle and Manufacturing Holdings Inc. president of Dealer Financial Services Ally Financial Inc. president of Consumer & Commercial Banking Products Ally Financial Inc. executive VP, CFO & chief accounting officer DT Midstream Inc. CFO Ally Financial Inc.
former vice chairman & chief administrative officer DTE Energy Co. executive vice president & president, Seating Lear Corp.
$16,046,542
NA
$9,963,402
NA
$1,895,284
$1,895,284
$1,895,284
$5,179,672
NA
$5,888,673
$6,289,463
$6,733,708
NA
$3,337,308
$3,340,098
$4,998,250
$10,673,290
$4,721,931
$5,915,512
$2,863,170
$6,080,360
$4,216,097
$3,829,685
$3,728,297
$2,146,279
$3,542,434
$5,050,659
$5,706,789
SOURCES: S&P Global Market Intelligence, (Marketintelligence.spglobal.com) and SEC filings | Top compensation for non-CEO executives at publicly held companies in Wayne, Oakland, Macomb, Washtenaw and Livingston counties. Incentive plan/retirement column is total of nonequity incentive-plan compensation, nonqualified deferred compensation and change in pension value. NA = not available.
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24 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
DEALS&DETAILS ` CONTRACTS ` TAG MultiMedia, Clawson, a digital marketing agency, has a partnership with CodeBaby Inc., Milwaukee, a customer engagement technology company, to bring Conversational AI Avatars to life for small businesses. The technology creates virtual representatives of business owners and customers. Websites: tagmultimedia. net, codebaby.com ` AdAdapted Inc., Ann Arbor, an advertising service, partnered with LiveRamp, San Francisco, Calif., a data connectivity platform. Websites: adadapted.com, LiveRamp.com ` Sunvera Group, Bingham Farms, a management services organization for ophthalmology practices, has a partnership with William S. Goldstein, M.D., Shelby Township. Websites: 2020vision.com, SunveraGroup.com ` Oakland Schools Technical Campuses, career technical education campuses that serve high school students in Oakland County, has an agreement with the Arizona College of Nursing, Southfield, to allow students who successfully complete OSTC’s Health Sciences program and meet Arizona College of Nursing’s requirements to be accepted into the nursing program. Websites: ostconline.com, arizonacollege.edu
` EXPANSIONS ` KSI Kitchen & Bath, Wixom, a kitchen and bath design and remodeling firm, has opened a new design center at 1600 East Beltline NE, Grand Rapids. It is KSI’s second location in West Michigan after acquiring Starlite Kitchens of Byron Center in March 2021. Website: ksikitchens.com ` Censys, Ann Arbor, a computer security service, is expanding to Europe with a new office in Dublin, Ireland, after a $35 million Series B funding round announced in January. Website: censys.io ` CookOut News LLC, Rochester Hills, launched a digital media company cookoutnews.com, to cover the business side of the outdoor cooking industry which includes grills, outdoor pizza ovens, griddles, smokers, fire pits and camp stoves. Website: cookoutnews.com ` Affordable Dentures & Implants, Kinston, N.C., a tooth replacement services provider, opened a location at 50664 Waterside Drive, Chesterfield Township. Website: affordabledentures.com/locations/mi/ chesterfield
` MERGERS & ACQUISITIONS ` SyBridge Technologies, Southfield, an industrial technology company, acquired Wachusett Precision Tool, Fitchburg, Mass., manufacturer of prototype, pilot and production molds for medical and consumer packaging. Websites: sybridgetech. com, wachusettprecisiontool.com ` ATC Drivetrain, Farmington Hills, remanufacturer of automotive powertrain and drivetrain systems, acquired Global Battery Solutions, a Holland, Mich., provider of battery life-cycle management and EV component services. Website: atcdrivetrain.com
Demonstrators protest during the National Rifle Association annual convention in Houston — days after the nation’s second deadliest school shooting at Robb Elementary School in Uvalde, Texas. | MARK FELIX/BLOOMBERG
VIOLENCE
From Page 3
Intervention efforts include those that occur in the emergency department when a victim of gun violence is admitted or during depression screening at primary care physician offices. “We start a lot of these conversations with physicians and parents, but there’s not a lot of cross-coordination,” Heinze said. “Wouldn’t it be great if hospitals could interact and warn counselors? We think there is opportunity for information sharing to have these conversations at a more communitywide level.” There are effective gun violence prevention measures in place across the U.S, including the Advance Peace program in Stockton, Calif., and the national Lock2Live program. Advance Peace uses outreach to educate and counsel individuals at high risk for gun violence in their neighborhood and mediate conflict. Lock2Live uses emergency-room doctors to educate suicide patients on safe gun storage to mitigate suicide attempts. However, broad connection of efforts between hospitals and the community is more difficult because of privacy concerns and the Health Insurance Portability and Accountability Act of 1996 law that prevents the sharing of medical information, including mental health status, without patient consent. The potential for an overreaction or potential misidentifying of a threat also holds consequences. “You have to work to avoid biases on which student may or may not be a threat and shape a conversation around it,” Heinze said. “This shouldn’t result in a sheriff’s officer knocking on your door. Or that method (should be) used sparingly. This
has to be done in a restorative way and paired with prevention. The bridge between schools, community organizations and hospitals, to avoid experiencing or perpetrating violence is a worthy cause to pursue.”
Identifying potential shooters Mitigating violence from those who end up in hospitals showing signs of being homicidal or suicidal is relatively common, but identifying potential perpetrators of mass violence isn’t as easy, said Barbara Wolf, corporate director of behavioral health education and physician well-being at McLaren Health Care and an associate professor of psychiatry and family medicine at Michigan State University. Doctors at McLaren Lapeer Region Community Medical Center and McLaren Oakland in Pontiac treated several victims of the mass shooting at Oxford High School on Nov. 30 last year that claimed the lives of four students. “If someone with homicidal or suicidal thoughts presents themselves in the ER, we can resolve that by recommending inpatient psychiatric care,” Wolf said. “But most active shooters are not identified as mentally ill, and mental illness doesn’t equal violence. They are more likely to be attacked than be attackers. I think if somebody wants to shoot up a school, they are not going to present themselves to an ER.” Researchers at Columbia University in New York created a database of 14,785 mass murders between 1900 and 2019 in an attempt to determine whether those shooters were mentally ill. Their study, released last year, revealed that 11 percent of all mass murderers and only 8 percent of mass murderers using a firearm suffered from a serious mental illness.
Instead, most mass murderers in the U.S. were more likely to have dicey legal histories and drug abuse related to non-psychiatric symptoms, the study said. However, those with suicidal thoughts do often see a primary care physician within 30 days of a suicide attempt, Wolf said, presenting opportunity for continued integration of primary care with behavioral health. “We’ve been doing this for 20 years, but there’s been an increased push for more integrated primary care where we have a behavioral health consultant in the primary care offices. If the primary care physician gets a sense that something is up, they can have a warm handoff with that behavioral health professional who has more of an expertise.”
A dearth of caregivers
tion is on prevention. Saying people are mentally ill because they shoot someone isn’t accurate. They are disturbed and are upset and angry. We know all kind of mental exercises to decrease stress hormones that are elevated when someone is full of rage. If we can teach everyone to stop themselves, we can help them become less likely to act on that rage.” Wolf pointed to the work The Crim Foundation is performing in Flint and across Genesee County following the Flint water crisis that induced lead poisoning in residents, including school children. Lead is a neurotoxin known to impact child development. Research shows increased lead in the body can cause behavioral problems in youth. Research also suggests meditation and emotion regulation practices can improve the capacity to control behavior. So the nonprofit has worked with more than 10,000 school children in Flint and the surrounding area on meditation, yoga and other mindfulness work in hopes of curtail-
But Michigan lacks enough mental health professionals to truly create a fully integrated primary care system, Wolf said. A 2019 analysis of the “I’D LIKE TO SEE SCHOOL CHILDREN state’s mental health profession- LEARNING ABOUT MENTAL HEALTH als found that 25 FROM THE FIRST GRADE AND THEY of Michigan’s 83 counties have not CAN SELF-REGULATE.” a single psychia- — Barbara Wolf, corporate director of behavioral trist and 10 coun- health education and physician well-being, McLaren ties with neither a Health Care and associate professor of psychiatry psychiatrist or and family medicine, Michigan State University. psychologist. In 2021, roughly 421,000 Michiganders ing any behavioral problems due to did not receive needed mental health lead poisoning. “That’s proactive,” Wolf said. “You care, according to a study by the Nacan’t start working with someone tional Alliance on Mental Illness. Wolf said if the caregiver shortage that’s homicidal a week before they could be rectified, a focus on preven- lose control. This sort of practice can bring long-term solutions to a crisis tion at an early age is appropriate. “I’d like to see school children we’re reacting to right now.” learning about mental health from the first grade and they can self-regu- Contact: dwalsh@crain.com; late,” Wolf said. “The right conversa- (313) 446-6042; @dustinpwalsh JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 25
REAL ESTATE
Property owners have chance to profit from foreclosures A summer 2020 state Supreme Court decision that allows people whose homes are taken through tax foreclosure to claim the proceeds of their sales could see its first major implementation this year, following a year of muted foreclosure action. Local leaders say the implications could be wide, affecting everything from county governments’ bottom lines to programs intended to help keep people housed. New state law followed the order in Rafaeli v. Oakland County, which said former property owners had the right to collect surplus proceeds after a property that has been taken through tax foreclosure is sold. It came about after two Oakland County property owners sued to get thousands of dollars the government collected in excess of back taxes owed — in the case of Rafaeli LLC, the property sold for $24,500 after it was foreclosed for nonpayment of $8.41 in back taxes plus $277.40 in interest, penalties and fees. Andre Ohanessian owed $6,000 in taxes, interest, penalties and fees; that property sold for $82,000. The case has been appealed to the Michigan Court of Appeals after the Oakland County Circuit Court dismissed it after it was remanded. Last year, Wayne County Treasurer Eric Sabree said, only five property owners filed interest claims, and none of them did so before the deadline. This year, the numbers are so far small, but toward the end of May, there were a dozen claims filed in the county. The deadline for filings is July 1. There were 4,264 foreclosures in the county this year, including 3,695 in Detroit. Sabree said everyone who was foreclosed on received a postcard telling them they had the option to file claims. As such, he said he expects the number of claims to increase “pretty soon.” In the past, he said, the county government “made a lot of money” from the sale of foreclosed property that would go to Wayne County’s general fund. Alex Alsup, vice president of research and development for Regrid, estimated the county received $56 million in profits from
GETTY IMAGES/ISTOCKPHOTO
BY ARIELLE KASS
foreclosure sales between 2012 and 2016. Those funds could take a hit if enough property owners file claims for any profits from sales, though it will be some time before the toll is clear. Months after the claims are due, owners are required to file a motion with the Circuit Court to claim any proceeds from the property auction, which takes place later this year. But, Alsup said, windfall auction profits are not the only, nor the primary, source of profit from the tax delinquency process for county treasurers. For the same period between 2012-2016, Alsup estimated the Wayne County Treasurer’s office collected $159 million in interest, penalties, and fees on delinquent tax payments. A spokesperson for Oakland County said just two claims had been filed toward the end of May; in Macomb County, Deputy Treasurer of Collections Paige Bachand said nine had been received. Bachand said in an email that the profits from property auctions tend to be small: In 2019, the county brought in $126,544; in 2018, it was $136,214. The county lost $9,486 in 2017. There was no money made or lost in 2020 and no sale in 2021.
She said the county entered into more than 900 payment plans to prevent foreclosure and prefers to give property owners options. The county “is well positioned to withstand any potential negative effects from the new claim procedure,” she said. In Washtenaw County, Treasurer Catherine McClary said the county lost money on sales more often than not. An analysis from 2008 to 2019 showed the net loss was $250,000, she said. “Everybody thinks this is a moneymaker,” she said of the auction. “This is really not a moneymaker.” McClary called the change a “supremely good law,” saying she thought it was beneficial to everyone. The government can still collect back taxes and fees, but property owners are able to benefit if there’s additional value in what is sold. “It always bothered me that the government could take your property and you didn’t get any equity out of it,” she said. “The new law has really changed that. I think it’s tremendously for the better.”
The downside But not everyone agrees. Sabree, with Wayne County, said he likes the
law as a person — “It’s a justice to them, it’s a mercy,” he said of its effect on residents — but he feels differently as a treasurer. “As a treasurer, I don’t think it’s a good thing, of course,” he said. “They’re taking money from the county.” And Sabree said the change could have implications for the Make It Home program, wherein the city pulls some properties off the auction list in order to sell them to residents already living in them for the cost of back taxes. If owners file claims, he said, the costs will rise. More than 1,400 homes occupied by people other than the owner were foreclosed on this year in Detroit, and 401 owner-occupied homes were foreclosed on in the city. In a statement, Dan Austin, a spokesperson in Detroit’s Housing and Revitalization Department, said the city will continue to offer Make It Home, but it would be up to the tenant to determine whether they wanted to move forward if a landlord filed a claim form, and dependent on available resources. “In other words, a claim of interest filing would not prevent the city from continuing forward with the Make It Home process, so long as the tenant
and prospective homebuyer understands and accepts the purchase price,” he said. Nick Allen, a PhD candidate in urban planning at the Massachusetts Institute of Technology and a former employee in Detroit’s Economic Growth Corporation, said the law could also reward people who “milk” properties, charging rent but failing to pay taxes and collecting proceeds from a sale. Some people who use tax foreclosure to strategically clear titles and eliminate tax debts could benefit further through the change, he said. “The auction is used in these kind of strategic ways all the time,” he said. “They deplete it, then it enhances the returns they would get.” Alsup questioned how frequently that would be the case, saying with a strong housing market, it wouldn’t make sense to hope that a property sold for a profit at auction and that the claim process would benefit the owner. “It seems to me it would be a very poor business decision,” Alsup said. But Allen said for those who really don’t have the ability to pay their taxes, the change is helpful. Jaimie Cavanaugh, an attorney for the Libertarian think tank Institute for Justice, said the Michigan law could be a guide for other states dealing with similar issues. Cavanaugh said there is no reason for governments to keep excess funds beyond back taxes. The law ensures that property owners aren’t left with nothing, she said, after losing their property. And Jeff Aronoff, principal in the public law group at Miller Canfield, said the law strives to fix a power imbalance found when the government has the ability to take someone’s property. Its full uses and the fallout thereof remain to be seen as governments take in fewer dollars and make adjustments to their operations. Aronoff said it’s not yet clear how widely understood the law is and how many people will try to use it. “I think we’re just learning,” he said. “It’ll be interesting to watch and see.” Contact: arielle.kass@crain.com; (313) 446-6774; @ArielleKassCDB
REAL ESTATE
5-story building planned for old Birmingham post office parking lot BY KIRK PINHO
The old Birmingham post office building parking lot is slated to be the next site where a developer wants to put up a new building in the tony Oakland County town’s central business district. Surnow Co., a Birmingham-based developer with its offices in the redeveloped post office property at 320 Martin St., has submitted plans to put up an 80-foot high, 53,000-squarefoot building on the rear of the 0.57acre site with first-floor retail space totaling 5,400 square feet, office space totaling about 19,200 square feet on the second and third floors and six residential units on the fourth and fifth floors, according to planning board documents. There would also be 52 under26 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
A conceptual rendering of the five-story building slated to rise on the rear of the old post office property in downtown Birmingham. | BIDDISON ARCHITECTURE
ground parking spots with an automated parking system akin to the one built at the former Detroit Free Press building in downtown Detroit owned by billionaire developer and mortgage mogul Dan Gilbert, the Birmingham Eccentric reported. Nine of those spaces would be reserved for building residents. Sam Surnow, president of Surnow Co., said although the project is “still in the planning stages,” he and his brother, Max Surnow, vice president of the company, “are very excited to bring the Surnow Co.’s best project yet to the city of Birmingham.” Birmingham-based Biddison Architecture is the architect. It’s the latest plan for a new mixeduse building in the city. Construction has begun on the five-story building at South Old
Woodward and Brown Street that is expected to house a new RH (formerly Restoration Hardware) store, and immediately west of that, there is a Ron Boji plan to build another five-story building totaling 102,000 square feet at 294 E. Brown. The 65-foot tall Boji development would include 38 residential units on the top two floors, along with retail and office space plus below-grade parking with 59 spaces, according to planning board documents. In addition, there is a vision in the Triangle District on the other side of Woodward Avenue east of downtown to build 157 residential units on a development site that consists of an office building and a Citizens Bank. Contact: kpinho@crain.com; (313) 446-0412; @kirkpinhoCDB
HELICOPTER
From Page 3
“I definitely have a soft spot in my heart having started on an Enstrom,” Surack said. “They’re a great helicopter. They’re the safest helicopter.” Those feelings were common among the community. When Elisabeth Von Eitzen, partner at Warner Norcross + Judd LLP’s Kalamazoo office, was called on to serve as legal counsel for the bankruptcy trustee, she quickly learned it was an unusual case. “They, like everyone else, had troubles during the COVID era and needed to reorganize or shutter its business,” Von Eitzen said. “They filed for Chapter 7, which is complete liquidation, but the value of this entity was being an ongoing operation.” Since its founding in 1957 by Rudy Enstrom, the company has made and serviced thousands of helicopters designed for leisurely travel and training. Its manufacturing process and parts are specific to Enstrom and have little value without the company existing. The bankruptcy proceeded in February without a stalking horse bidder, and an auction took place March 2. The winning bidder with a $10.5 million offer was MidTex Aviation LLC. “Everyone’s preference would be that buyer come in and buy substan-
tially all the assets because obviously that’s better for the city and the employees,” Von Eitzen said. But MidTex had a problem. It couldn’t come up with the financVon Eitzen ing. Surack said MidTex owner Kevin Griffin lost his investor and approached Surack. Surack, whose portfolio already includes three aviation companies, was interested in Enstrom but not partnering with Griffin, so he offered to take over the deal. Griffin gave up the purchase agreement last month, and Surack became the new owner. The process, however unusual, ended ideally, Von Eitzen said. “That has not happened in my 17 years being a bankruptcy lawyer,” she said. Saving businesses is nothing new for Surack, though he admits that reviving a manufacturer in the remote U.P. will be a unique challenge. Generally, there seems to be a curious attraction to saving small town manufacturing in Michigan’s upper half (like Stormy Kromer). “It’s quite a ways up there, but they’ve been doing it since 1957, so it’s now multiple generations old,” Surack said. “I knew I could turn it back around — just a matter of apply-
ing principles and working on the details. I was very confident that I could save the business.” The company reopened last month with 15 or so management employees, Surack said, and the next step is to bring back the rest. He’s hoping for 50 within the next few weeks. Surack said it will likely take an investment of $7 million to $8 million in the first year, and maybe another $6 million the next year, to help lift Enstrom off the ground again. “Walk before we run, but we have to start making parts,” Surack said. After that, he said the goal is to build 24 helicopters next year. The company will continue targeting hobbyists, leisure travelers and foreign armies, who use the easy-to-operate helicopters for training. “Filling them is not the problem, we just got to get them produced,” he said. The company will be top priority, Surack said, and he expects to be in Menominee a few days a month. Surack said he owns a home in Petoskey but has no other business pursuits or ties to the state otherwise. “We’re going to get back to ground zero where we’re making them again, and then we’re going to get to where we’re making them newer, better, nicer,” he said. Contact: knagl@crain.com; (313) 446-0337; @kurt_nagl
Chuck Surack sits inside an Enstrom helicopter, which he first learned to fly on. | CHUCK SURACK
Advertising Section
CLASSIFIEDS To place your listing, contact Suzanne Janik at 313-446-0455
JOB FRONT POSITION AVAILABLE
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REAL ESTATE COMMERICAL PROPERTY
MARKET PLACE The Wessen Lawn Tennis Club Inc. property opened in 2014 at 235 Wessen St. in Pontiac. An affiliate of serial entrepreneur John Hantz purchased it earlier this year. | COSTAR GROUP INC.
TENNIS
From Page 3
Messages were left with a Hantz representative seeking comment; a broker with Auburn Hills-based Team Core who worked on the deal declined comment Wednesday morning. William Massie is the registered agent on PLTC I Realty Investment LLC, which sold the property in March to an entity called Hantz Pontiac I LLC registered at Hantz’s Southfield business address. Massie also declined comment, citing a nondisclosure agreement. The club received attention nationally in outlets like the New York Times, as it opened in a city that, much like Detroit at the time, had financially struggled and fallen under the control of a series of emergency financial managers.
Massie told tennis.com in 2018 that only half of the 24 grass courts were in use at any one time, giving the other half “proper rest.” This isn’t serial entrepreneur Hantz’s first foray into sports-related business ventures. His menagerie of business ventures has included Hantz Golf Clubs of Tecumseh, Hantz Golf LLC, the DiLaura Brothers LLC bowling equipment distributor, bowling instruction company Bowling IQ LLC and the Detroit Ignition indoor soccer team, which hasn’t played in more than a decade. He also started Goals and Giving, which promotes soccer to Detroit kids. In Detroit, he is perhaps best known for the controversial Hantz Farms area on the lower east side, an assemblage of land he started putting together more than a decade ago in the area generally bounded by Mack
Avenue to the north, Van Dyke Avenue to the west, St. Jean to the east and Jefferson Avenue to the south. Critics viewed it as an effort by Hantz, a white businessman who at the time lived in Detroit’s posh Indian Village neighborhood (he sold his home in 2019, according to land records), to snag cheap property from a majority Black city on the precipice of the largest municipal bankruptcy in American history. As part of the deal, Hantz was required to tear down blighted homes and maintain the properties — plus plant trees for the eponymous tree farm. In September, Crain’s reported that Hantz had sold off more than 100 of his properties in the area for an estimated $2.8 million.
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From Page 1
A number of private-sector and government leaders met privately for lunch, where Baruah said a discussion on competitiveness “was what I thought we were going to hear turned up to 11.” Talent and education were a significant focus. The problems are known. The state ranks near the bottom in student reading scores and graduation rates. It has low labor force participation and an aging population. “People aren’t going to come to the state when they look at those statistics and they don’t have the talent here,” said Sandy Pierce, chair of Huntington Bank Michigan. Tina Freese Decker, CEO of the newly merged Beaumont HealthSpectrum Health, also highlighted education as playing an important role in development. She pointed to the health system’s $19 million program with Grand Valley State University to build a pipeline of nurses amid an exodus from the profession due to COVID-19 pandemic stresses. Prioritizing mental health means is also pivotal for recruiting and retaining talent, she said. “We need to be more innovative, and I also think we need to focus on well-being,” Freese Decker said. “We need more access to the services. We also need to focus further upstream.” The shifting economic development strategy across governors hasn’t helped either, though there’s hope that a new incentives fund for critical industries and site preparation will be lasting and consistently funded. Business Leaders for Michigan is calling for improvements to the K-12 system, an increased number of workers with degrees or credentials and additional infrastructure spending. The group wants to make Michigan a leading state for business attraction and retention. That includes preparing large tracts of land in advance for companies considering expansion and developing a statewide program to provide fast, flexible customized training for companies. “We are playing catchup. But we are catching up. Twelve, 15 years ago, Michigan was a bottom 10 state across almost every dimension. Today, we are middle of the pack. … So there’s great opportunity, great optimism but we’ve got to do better,” said Howard Ungerleider, Dow’s president and chief financial officer. Jeff Donofrio, who leads Business Leaders for Michigan and spent the week talking about its “Compete to Win” plan, said businesses expanding in states like Ohio, Indiana and Kentucky have pointed to ready-touse sites as a factor. “We have got to get these shovel-ready sites in place as quickly as possible,” he said. “We haven’t invested in that same way in Michigan. So we’ve got to really make up for lost ground.” Tech entrepreneur Dug Song, co-founder of Duo Security in Ann Arbor and now at Cisco Security, said Michigan does not have a strong reputation for being a tech hub even though it has all the assets and potential to be one. “We have all that here, but we don’t bear that reputation,” he said. “There’s a lot more that we have to do. We have to fight harder for the jobs in manufacturing. We have to fight harder for the jobs of the future.” 28 | CRAIN’S DETROIT BUSINESS | JUNE 6, 2022
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Celebrities and other golfers play on the Grand Nine course at the Grand Hotel on Mackinac Island before the start of the Mackinac Policy Conference on Tuesday. | PHOTOS BY DALE G. YOUNG FOR CRAIN’S DETROIT BUSINESS
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Up ABOVE: Pistons great Ben Wallace watches his tee shot on the first hole as celebrities and other golfers play on the Grand Nine course at the Grand Hotel on Mackinac Island. BELOW: At KC Crain’s party at the Grand Hotel at the Mackinac Policy Conference on Wednesday.
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W Guests rub elbows at an event at the Grand Hotel’s stables on Mackinac Island before the start of the Mackinac Policy Conference.
The state’s divided political climate is detrimental, however, with too many people focused on what Gov. Gretchen Whitmer called “angertainment.” The alleged plot to kidnap her over COVID-19 pandemic orders hurt Michigan’s image nationally and comes up when companies consider locating in Michigan, according to several officials. “You’re meeting with a company that wants to invest millions in your state and the first question is, ‘Do you really want to kill your governor in Michigan?’ How in the world do you start a business conversation with that?” said Maureen Krauss, president and CEO of the Detroit
Regional Partnership. Whitmer, for her part, is trying to move forward while facing re-election — emphasizing short-term proposals to boost education spending and recruit and retain educators while also outlining longer-term goals for the year 2100. The hope is that there’s a spirit of cooperation among political, business, educational and other leaders to proceed in a cohesive way. “It’s going to be really important so our residents believe we have assets that are valuable to others and we can build on them,” Pierce said. — Crain’s Detroit Business reporter Kurt Nagl contributed to this report.
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MACKINAC POLICY CONFERENCE ROUNDUP Gores pledges millions for new national charity Detroit Pistons owner Tom Gores said he will commit $100 million and create a new national charitable organization inspired by a $20 million donation for a recreation center in Detroit that was announced Wednesday. Gores, who is also chairman and CEO of California-based Platinum Equity, made the announcement at the end of a discussion at the Mackinac Policy Conference, though details of the new organization were not immediately clear. “So, in the next several months, and I think probably by
the end of the year, I want to create an organization that the community center is just the first of it,” Gores told broadcaster Mike Tirico during the on-stage interview. “I’ll personally put $100 million in myself. This is an announcement.” The announcement follows the Pistons’ $20 million commitment to fund a new community center in Rouge Park on the west side of Detroit. The 25,000-square-foot, multi-use facility is to be the first in an expected series of initiatives for the Tom Gores Family Foundation
Mike Tirico (left) and Tom Gores. | PHOTOS BY DALE G. YOUNG FOR CRAIN’S DETROIT BUSINESS
State awards Ford $135 million in incentives Michigan on Thursday awarded Ford Motor Co. $135 million in incentives as part of the automaker’s plan to add about 3,200 jobs and spend an additional $2 billion over the next two years. The package, which was approved by the Michigan Strategic Fund board, includes a $100.8 million Critical Industry Program grant from the new Strategic Outreach and Attraction Reserve fund that was created late last year. The company also will receive a $34.4 million State Essential Services Assessment exemption. The announcement came Thursday on the island, with Gov. Gretchen Whitmer saying Ford is investing, making strategic decisions about the future of mobility and “lead-
ing the way.” Of the 3,030 jobs expected to be created in exchange for the grant, more than 65 percent will support new electric vehicle production or related activities across four existing plants and at a packaging center that will be built in Monroe, according to the Michigan Economic Development Corp. The SESA exemption will support the addition of 230 jobs. The announcement came eight months after Dearborn-based Ford announced plans to build three EV battery factories and an assembly plant in Kentucky and Tennessee, creating an estimated 10,800 jobs. It was a major blow and led Whitmer and lawmakers to create the SOAR fund and initially seed it with $1 billion.
Michigan Senate Majority Leader Mike Shirkey (with microphone) speaks during the announcement of Ford Motor Co. investment in Michigan plants. Joining him are (from left) Gov. Gretchen Whitmer, Ford Motor Co.’s chief policy officer and general counsel Steven Croley and MEDC CEO Quentin Messer and Senate Minority Leader Jim Ananich.
Republican candidates for governor debate Republicans running for Michigan governor pledged Thursday to cut state spending, with one saying the personal income tax can be eliminated and another going so far as to call for eradicating the entire general budget that funds police, prisons and social services. There were no fireworks among the four participants in the debate, the third so far in the GOP primary. It was held a week after a stunning shakeup: Half of the 10-person field failed to qualify for the August ballot due to forged signatures. Kevin Rinke, a Bloomfield Hills businessman, said spending has risen by 30 percent during Gov. Gretchen Whitmer’s term. That happened during a time of unprecedented federal funding due to the COVID-19 pandemic and surging state tax revenues.
Mattawan chiropractor Garrett Soldano said he would reduce the budget “every single year” as governor. He questioned state funding of public universities, saying they should raise money privately. Tudor Dixon, a conservative former TV news host from Norton Shores who previously worked in the steel industry, called it a “bloated budget” but noted there is a lot of one-time federal coronavirus relief. She pointed to record-high spending on education that is being touted by Whitmer. Oakland County pastor Ralph Rebandt said he would eliminate the $11.8 billion general budget and get rid of economic development incentives he called “corporate welfare.” He suggested that prisoners “should be paying their own way.”
From left: Businesswoman Tudor Dixon of Norton Shores, pastor Ralph Rebandt of Farmington Hills, businessman Kevin Rinke of Bloomfield Township and chiropractor Garrett Soldano of Mattawan take turns stating their positions during the Republican gubernatorial debate in the big tent on the lawn of the Grand Hotel at the Mackinac Policy Conference on Thursday.
Updated plans for Detroit Center for Innovation An Equinox hotel in downtown Detroit is part of the blueprint for the new Detroit Center for Innovation planned by real estate mogul Stephen Ross and the Ilitch family. Ross, chairman of New York City-based developer Related Cos., said the hotel will be designed to host visiting professional sports teams, capitalizing on the city’s unique position as home to four pro franchises. “It’ll be an Equinox hotel with gyms, and all the sports teams will be staying there,” Ross said. “There’ll be a special floor for them to work out because all four of the major sports are located right there.” Ross offered additional details of the project Wednes-
day during a discussion at Mackinac moderated by renowned sportscaster Mike Tirico. Keith Bradford, president of Ilitch-owned Olympia Development; Andrew Cantor, executive vice president of development of Related Companies and president of Related Michigan; and Lt. Gov. Garlin Gilchrist II also participated. The Detroit Center for Innovation, which will include a University of Michigan graduate campus, has been in the works since 2019, but the location and dynamics have changed. When a collaboration with Dan Gilbert at the former Wayne County jail site fell through, Ross found a partner with the Ilitches, who have struggled to actualize their ambitious vision for the District Detroit.
A rendering of the Equinox hotel development on Henry Street near Little Caesars Arena in the District Detroit.. | RELATED COS. AND OLYMPIA DEVELOPMENT OF MICHIGAN
Whitmer praises Troy manufacturing hub The World Economic Forum’s decision to locate its first U.S. center for advanced manufacturing in Troy was hailed Wednesday by Gov. Gretchen Whitmer and other top officials who said the research hub will create additional economic opportunity for Michigan. “It will increase the gravitational pull for jobs and for talent and for investment,” the governor said during the policy conference. The Michigan Strategic Fund board last week committed $3 million to support the facility, which will work to revolutionize traditional manufacturing. Oakland Coun-
ty is kicking in $3 million, too. The World Economic Forum, a nonprofit headquartered in Geneva, Switzerland, is billed as the international organization for public-private cooperation. Its U.S. center, which will open Monday in partnership with Troy-based Automation Alley, joins a network of 15 centers spanning four continents. The facility will be headed by Automation Alley Vice President Cynthia Hutchinson. The announcement builds on the forum’s plans to establish a new global Centre for Urban Transformation in Detroit.
Gov. Gretchen Whitmer (left) joins Oakland County Executive Dave Coulter to celebrate the World Economic Forum’s decision to locate its first U.S. center for advanced manufacturing in Troy.
Earned income tax credit expansion gains support Business groups on Thursday got behind legislation to expand a state tax credit for lower-wage workers, backing a key facet of Gov. Gretchen Whitmer’s budget plan that recently garnered legislative support. The earned income tax credit would rise from 6 percent of the federal credit to 20 percent under the Democratic governor’s proposal, where it was before a Republican-enacted tax overhaul slashed business taxes and raised individual taxes a decade ago. Though she has un-
successfully called for boosting the credit since she took office, a multibillion-dollar revenue surplus has increased the odds that it will be part of a tax cut package that is under negotiation. The Michigan Chamber of Commerce and the Detroit Regional Chamber urged legislators to make it a priority in talks, contending it would aid businesses that are struggling to fill jobs and satisfy lawmakers from both parties.
Jim Holcomb, president and CEO of the Michigan Chamber of Commerce, speaks in support of expanding the state’s earned income tax credit. | DAVID EGGERT/CRAIN’S DETROIT BUSINESS JUNE 6, 2022 | CRAIN’S DETROIT BUSINESS | 29
THE CONVERSATION
Ric DeVore on why he’s succession planning for his new job Ric DeVore, president of the Community Foundation for Southeast Michigan, only joined the foundation in April, but he’s already got big plans for it. He will honor the Community Foundation’s historic focus on endowment-building and convening initiatives that benefit the region. But he is also thinking about ways to engage next-generation philanthropists who didn’t grow up with money. DeVore, 66, is also busy thinking about the next place he’ll take a famous football coach doll he shares with his friends. | BY SHERRI WELCH ` What drew you to the role at the Community Foundation after a more than 30-year career in the finance industry? I really think it’s the legacy I could leave behind. When I am thinking of my career, if I could have as my legacy taking this great organization and ratcheting it up in the city I grew up in and love, that’s a pretty good gig. ` Are there any similarities between what you are doing now and what you did in the banking industry? There are some. You think about investment performance, audit issues, strategic planning and governance. Those are all things that are carryovers from a banking background and all extremely important. We’re like a holding company. We have donor-advised funds and kind of a smorgasbord of things we do. It’s a complicated entity, quite frankly. One of the things that really stands out to me is just how qualified a lot of my employees are. A lot of them have a master’s degree, a law degree. They could probably make more money somewhere else, but they’re doing this work because they care about the outcomes. ` What are your plans for the foundation? Stay the course or new strategies? We’re going to do a new strategic plan, go back to private foundations to see if there are other things we can do. We need to go back to small nonprofits we’re helping build their endowments. I want to be able to practice what we preach, to grow the part of the endowment we have discretion over. We have just shy of $1.4 billion in assets right now. The discretionary amount we have is about a third of roughly $100 million in grants last year. When we’re
Ric DeVore, president, Community Foundation for Southeast Michigan
who are in the business of philanthropy, don’t do a real good job on succession planning. So what we are doing is in all of my standing board committees (the investment committee, audit committee), in addition to having a chair, we’re appointing a vice chair. Not only does it lower your risk, it’s an opportunity to get more diversity into the team. ` What would surprise people who don’t know you? It’s interesting that people tend to paint you with the current paintbrush. They look at who you are right now vs. where you came from. I’m a first-generation college person. My father graduated high school; my mother had to drop out during the Depression. I come from a pretty modest background, both my wife and I. I think that’s what grounds us. We realize it’s a privilege to be where we’re at.
convening, we have to put skin in the game, too — not the same amount as Ford or Kresge, but something. I want to honor the past, but going forward, one of the things on our plate is making sure we’re relevant to the first-generation philanthropists. We have in our arsenal lots of things that are attractive to those philanthropists. We’re involved with environmental, social justice and quality of life issues. I think we’re relevant to that person, but how do we get the message out? One of the things is we’re going to have some young leaders. That 30-something person who works for Merrill Lynch, how do we get him or her endorsing the Community Foundation? We convene things like Endowment 101. Now we’re going to shift that and have the audience be people just starting off at wealth management firms that
might be advising the next generation of people accumulating wealth. If you were to ask me what do I want to have as my legacy it would also be about this generational teaching of philanthropy on a smaller scale, not just for the ultra rich. We would like to get some momentum behind restoration of the state tax credit (for donations to community foundations and other charities.) ` Your board chair James Nicholson has said one of your first charges is to develop a succession plan. Interesting task for a new CEO, right? For my job, Jim’s expectation is that within three years that person will be working for the Community Foundation. Given my age, that makes all the sense in the world. Looking around, I think foundations, people
` What do you do to catch a break when you aren’t working? This always gets me in trouble because there are a lot of green and white guys out there. I went to U of M. There’s a group of guys, half from Penn State and half from Michigan. We go to every UM-Penn State game, every year since 1994. We go to the same places, same restaurants every time. Over the years, we’ve been to different kids’ weddings. We have this weird tradition we’ve been doing since 1997. There’s a little (former Penn State football coach) Joe Paterno doll that’s about 18 inches long. The winning team gets possession of Joe. The idea is that you take Joe somewhere and he gets his picture taken. Joe has been to Paris, to Disney World. He showed up at my daughter’s wedding. It’s goofy and sophomoric. But we do it just because it’s kind of our thing, something we have a lot of fun with.
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Van Dyke Horn public relations firm rebrands as 98Forward AMID A LITIGIOUS BREAKUP with a now-former CEO, a Detroit-based, Black-owned public relations firm is moving “forward” with a rebrand. Van Dyke Horn LLC announced Tuesday morning that it will change its name to 98Forward. The new name and branding largely stems from the year the agency was founded, 1998, according to a news release. “98Forward allows us to put the best elements of our legacy upfront while connecting with the present and innovating for the future — we are here to stay,” Marilyn Horn, president and CFO of the firm, said in the release. “Our team is our greatest asset — eight of our 11 team members are longtime employees. Our entire team has been thoroughly engaged in the renam-
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The staff of 98Forward, formerly known as Van Dyke Horn. | ARA HOWRANI, HOWRANI STUDIO
ing and rebranding process, a true collaboration with different perspectives and skills — the foundation of our agency.” The rebranding for Van Dyke
Horn — which has its offices in the Fisher Building in Detroit’s New Center area — came just one week after it filed a lawsuit in federal court against former CEO Peter Van Dyke.
Van Dyke abruptly left the firm in early March, and started a new firm weeks later with two others. The lawsuit claims that Van Dyke started his new firm, Detroit-based VVK PR & Creative LLC, with trade secrets and clients stolen from the Van Dyke Horn firm. A judge last week granted a temporary restraining order against the VVK principles, prohibiting them from interacting with Van Dyke Horn clients, among other things. Van Dyke Horn was founded in 1998 as Berg Muirhead and Associates and was bought by Horn and Van Dyke in 2016. The firm’s client roster includes the city of Detroit and its transportation department, as well as Invest Detroit and the Hudson Webber Foundation, according to its website.
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