Crain's Detroit Business, Sept. 18, 2017 issue by Crain's Detroit Business

SEPTEMBER 18 - 24, 2017

Shiffman has a passion for real estate

Lions’ Rod Wood gives tour of renovations at Ford Field Changes designed for new revenue. Page 3

Page 3

Health Care

Medical ownership spurs new battles Need to know 

State law requires doctors to own most

medical businesses. 

Owners of certain services such as

MRIs say the law doesn’t apply to them. 

A lawsuit is playing out that could

change enforcement.

By Jay Greene jgreene@crain.com

Dozens of for-profit MRI diagnostic centers, urgent care centers and cosmetic medical spas in Southeast Michigan are owned by businesspeople who aren’t doctors. This common practice has now come under scrutiny in a lawsuit that charges they are violating Michigan

laws that require medical facilities to be 100 percent owned and operated by either physicians, nonprofit hospitals or nursing homes. The legal challenge mounted by radiologists against the nonphysician owner of an MRI center in Oakland County, now on appeal in the Michigan Court of Appeals, seeks to answer this long-standing question.

The lawsuit — Michigan Radiology Society v. Oakland MRI and business owner Susan Swider — and letters of support from the Michigan State Medical Society allege major gaps exist in state government’s enforcement of laws governing the corporate practice of medicine. The Michigan Radiological Society argues that the proliferation of

business-owned MRI centers can threaten patient safety because of a lack of quality controls and also says it financially injures physician practices. It “forms a basis of unfair competition with properly licensed physicians that results in loss of income to doctors,” the lawsuit says. SEE CLINICS, PAGE 22

Detroit Homecoming 2017

Visions of possibility

More than 200 expats listen to a dinnertime chat between Detroit Homecoming Director Mary Kramer (left) and comedian and actress Lily Tomlin at the Michigan Central Station.

Tour plants investment seeds in Brightmoor Need to know

By Chad Livengood clivengood@crain.com

Expats get a look at a Detroit that has changed since they left. 

 Tour of Brightmoor opened some eyes to opportunities.

San Francisco software company owner Ranvir Gujral came to Detroit Homecoming last week hungry to invest in the city. A tour of the hydroponic leafy greens growing operation at Artesian Farms in Detroit’s Brightmoor neighborhood gave the Farmington Hills native a taste of a possible venture to

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Vol. 33 No 38

put his money into. “I’ve actually been looking to do an agriculture project in Detroit,” said Gujral, an angel investor who is co-founder and CEO of Chute, a small software development firm. The fourth annual Detroit Homecoming focused on connecting former metro Detroit residents with possible business opportunities in the city. SEE BRIGHTMOOR, PAGE 20

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Transit becomes Amazon bid focus By Chad Livengood clivengood@crain.com

The race to position metro Detroit for Amazon’s second headquarters has injected a new sense of urgency into addressing the region’s disjointed public transportation systems as leaders contemplate going back to voters next year with a different regional transit proposal. Detroit Mayor Mike Duggan and

the leaders of Macomb, Oakland, Washtenaw and Macomb counties had already been in talks for months about how to revise the regional transit proposal that voters narrowly defeated last November. And then online retail behemoth Amazon dropped its request for proposals that said access to mass transit options and connections to an SEE AMAZON, PAGE 21

Need to know

 Good transit options are a requirement for Amazon HQ2.  That’s spurring local leaders to talk about going back to voters in 2018.

INSIDE | PAGES 8-13

Special report: Arts and culture << Your guide to lesser-known public art and creative placemaking projects around Detroit.

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MICHIGAN BRIEFS

INSIDE

From staff and wire reports. Find the full stories at crainsdetroit.com

Companies struggle to find IT talent

International companies doing business in Michigan have a common challenge: The availability of talent, particularly in information technology fields. They’re generally positive about the state’s quality of life and the cost of doing business, said Tino Breithaupt, senior vice president for national and global business development for the Michigan Economic Development Corp., who is traveling with Gov. Rick Snyder on a trade visit to Japan and Germany. But the concern he has heard repeatedly from companies with operations in Michigan is that it’s hard to find talent and when they do, to find enough of it. “They’re saying they’re finding it, but they’re really having to dig deep to find it and it’s a struggle,” Breithaupt said from Germany, where he is attending the Frankfurt auto show. “The other thing that has been brought to our attention, too, is just the turnover of employees.” Michigan had more than 104,000 people employed in computer and mathematical occupations in May 2016, according to the U.S. Bureau of Labor Statistics, out of a total 4.2 million people nationally. The classifica-

graphic region, like the Pacific Northwest or Chicago or Silicon Valley, that Michigan is not? “The turnover thing seems to be more of a recent phenomenon,” he said, “so we’re going to have to pull some data and figure out where this problem is.”

PLANET M

Michigan Gov. Rick Snyder (center) discusses powertrains with Federal Mogul LLC officials at the International Motor Show in Frankfurt, Germany. The company employs 1,700 at five plants in Michigan. PlanetM via Twitter.

tion includes such professions as computer programmers, computer and information research scientists, computer systems analysts, network administrators and software and website developers. Breithaupt said he tells company executives that the state is working to better market job opportunities to students. The Snyder administration this summer rolled out a plan to help students explore careers starting in middle school, as well as recruit more people to become vocational teachers. And he talks to them to try to tease out the root of the problem. What’s causing turnover? Does young IT talent want to live in a particular geo-

Schuette announces run for governor

Michigan Attorney General Bill Schuette launched a bid for governor last week, entering as the Republican front-runner by promising to be a “jobs governor” who will cut income taxes and high auto premiums and not accept that Michigan's best economic days are in the past, the Associated Press reported. Schuette made the announcement at his annual barbecue in his hometown of Midland. Schuette — a 63-year-old former congressman, state senator, Cabinet official and appellate judge — has cast himself as a “voice for victims” as Michigan’s top law enforcement officer. His investigation into Flint’s crisis over lead-tainted water led to criminal charges against 15 current and former government officials. But Schuette also faced criticism after the scandal was first exposed that he did not move fast enough to bring charges. “My one goal, my singular ambition is to make Michigan a growth state, a paycheck state, a jobs state,” Schuette

told hundreds of supporters at the county fairgrounds. “To achieve this, we must have a jobs governor.” He called for lowering the state income tax from 4.25 percent to 3.9 percent and warned against electing a Democrat as governor, citing the “lost decade” under former Gov. Jennifer Granholm when the state shed hundreds of thousands of jobs across two recessions. Second-term Republican Gov. Rick Snyder cannot run again due to term limits.

Health, energy CEOs explain early challenges

Patti Poppe, Joan Budden and Wright Lassiter III head up a utility, a health insurer and health system in Michigan, respectively, but they all share the same leadership challenges as recently appointed CEOs: How quickly do they make changes or take steps to improve operations to take their companies to the proverbial next level. In a roundtable discussion at the Detroit Economic Club last week at the Westin Book Cadillac Detroit, the three CEOs — all in their jobs 20 months or less — talked about challenges they faced and approaches they took during their first few months as CEOs. For Poppe, who became CEO of Jackson-based Consumers Energy Co. on July 1, 2016, she understood advanced smart grid technology was go-

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ing to not only change Consumers internally from an operations standpoint, but also how it interacts with customers. “Utilities are not known for their great customer experience. We are changing this,” Poppe told the packed audience of more than 300 executives and invited students from area high schools. For Budden, who became CEO of Priority Health in Grand Rapids on Jan. 1, 2016, she spent the first several months listening to customers, legislators and employees. She replaced a retiring Mike Freed, who stayed on the job for several months to help with the transition. Lassiter, who assumed the CEO title of Henry Ford Health System in Detroit on Jan. 1 after being initially hired as president of Henry Ford in September 2014, had time to get to know the $5.5 billion company and its various constituencies. Lassiter, who had held CEO positions at other health systems previously, succeeded a retiring Nancy Schlichting as CEO.

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Health Care

WSU closer to forming new pediatric group

By Jay Greene

Need to know

Wayne State Medical School is making plans to create its own pediatric medical practice if an ultimatum to University Physicians, the university’s current pediatric affiliate, doesn’t pan out. Wayne State University President M. Roy Wilson last month told University Pediatricians, a quasi-independent clinical group affiliated with Wayne State, to terminate its

University Pediatricians.

jgreene@crain.com

JJWayne State has been at odds with

JJWSU ultimatum seeks UP to terminate deal with DMC. JJIts own pediatrics group could bring WSU tighter ties with Henry Ford.

deal with the Detroit Medical Center, or go off on its own as a private group.

UP officials have responded negatively to Wilson’s comments, Wayne State officials told Crain’s last week. It also appears the pediatric group that is the primary source of DMC Children’s Hospital of Michigan’s patient admissions is making alternative plans to affiliate with another university rather than to continue its historic relationship with the Wayne State University School of Medicine. UP President Mary Lu Angelilli, M.D., who is also a WSU faculty

member, declined comment when contacted by Crain’s. Jack Sobel, M.D., dean of WSU’s medical school, said he continues to prefer to find a solution to the apparent impasse with UP. But he has authorized David Hefner, WSU’s vice president of health affairs, to prepare for alternative solutions in case WSU is forced to decommission UP as a clinical affiliate sometime after Oct. 31. Hefner said Angelilli told Sobel

and WSU pediatricians that UP would not sign the agreements that Wayne State believes are required to comply with university bylaws and comport with federal reimbursement contracts. In a meeting last month with WSU and UP pediatricians, Wilson said they have a choice to make: Do you want to remain part of a university, or do you want to be in a private medical group practice? SEE WSU, PAGE 19

Real Estate

Sports Business

Bringing new life to pieces of ground Matt Shiffman has $75M in projects in Birmingham, Detroit By Kirk Pinho kpinho@crain.com

The new Miller Lite Tap Room on the north side of Ford Field’s suite level is part of the stadium’s $100 million renovation. It accommodates up to 200 fans via ticket deals through Miller.

Ford Field fixes cater to premium seat holders, boost cash flow By Bill Shea bshea@crain.com

It’s been a busy, expensive few months for the Detroit Lions. The team recently wrapped up its $100 million renovation of Ford Field, and on Aug. 28 gave quarterback Matthew Stafford a five-year, $135 million contract extension starting next season to make him the National Football League’s top-paid player. The Ford family certain can afford it. In addition to principal owner Martha Firestone Ford’s wealth as a shareholder in Ford Motor Co., the

Need to know

JJLions making major cash outlays JJFord Field renovations include suites, eats JJNaming rights offset some costs

team itself generates hundreds of millions of dollars in revenue from games and from the National Football League’s billions in shared revenues. But that doesn’t mean the Lions don’t have to carefully manage cash flow. They do. And the renovations

make that easier. The stadium renovation project was entirely privately financed by the Fords, a departure from the trend of sports team owners seeking public money for venue construction or renovations. Ford Field was built in 2002 using $125 million in tax dollars for the $500 million total cost, and the new Little Caesars Arena is getting $324.1 million in taxpayer-backed subsidies for its $863 million capital cost. Ford Field’s renovation is partially financed through an NFL program SEE FORD, PAGE 18

PHOTOS BY JACOB LEWKOW FOR CRAIN’S

Loge boxes, sold in groups of four seats, are new at Ford Field.

Passion for real estate runs in Matt Shiffman’s blood. Now his Birmingham-based Alden Development Group LLC has more than $75 million worth of projects in Birmingham and downtown Detroit to complete. The $45 million-plus Brookside Terrace on South Old Woodward in downtown BirNeed mingham and a to know $30 million-plus JJAlden redevelopment Development of the site that makes noise in formerly housed Birmingham, Peabody’s downtown Detroit restaurant on Woodward AveJJMatt Shiffman nue will both is son of Sun bring a pair of Communities CEO new five-story JJShiffman is also buildings to the a partner in Parc swank central restaurant in city. Campus Martius “From a family office perspective, it’s something we’ve been doing throughout the country,” said Shiffman, the 33-year-old son of Gary Shiffman, the chairman and CEO of real estate investment trust Sun Communities Inc. (NYSE: SUI) The Southfield-based company, which focuses on manufactured housing communities around the U.S., had $833.78 million in revenue last year, up 101 percent from $415.22 million in 2013. “I find the concept of creating a product and bringing new life into pieces of ground to be very fascinating and a lot of energy surrounds it.” SEE SHIFFMAN, PAGE 19

MUST READS OF THE WEEK New cockpits take flight

Homecoming red flags

At last week’s Frankfurt auto show, two global seat-makers each unveiled cockpit concepts for self-driving cars. Page 4

This year’s Detroit Homecoming reminded Crain’s publisher and editor Ron Fournier of how hard it is for community leaders to work together. Page 6

Plan for former Joe Muer site in Detroit The Platform plans redevelopment of the former restaurant site on Gratiot. Page 7

C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

“The possibilities are limitless, and they are definitely enabled by a supplier that can handle the integration.”

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An Adient concept for seating in a self-driving taxi.

New cockpits take flight By David Sedgwick Crain News Service

FRANKFURT — When automakers introduce self-driving vehicles over the next decade, drivers may feel like Captain Kirk on the starship Enterprise. All controls will be mounted on the driver’s armrest. No dashboard knobs and buttons, no center-console controls and perhaps not even a storage bin between the front seats. At last week’s Frankfurt auto show, two global seat-makers — Plymouth-based Adient and France’s Faurecia, whose North American headquarters is in Auburn Hills — each unveiled cockpit concepts for self-driving cars, and the visions indicate an emerging consensus about the way drivers will control their vehicles. They also agree that suppliers will have to reinvent virtually every major component in the cockpit, including the steering wheel, climate control, airbags and audio system. To do that, the two have formed rival alliances. Faurecia, the world’s third-largest seat-maker, is working with ZF to design airbags and seat belts. Adient, the No. 1 global seat supplier, has formed partnerships with Yanfeng and Autoliv. “We would not have been able to do this alone,” Faurecia CEO Patrick Koller said during a press conference last week. “We have to think about ecosystems.” At the show, Faurecia revealed the first fruits of its partnership with ZF: a driver’s seat called the Advanced Versatile Structure. Since the front seats can swivel and retract, the seat belts are anchored to the seats rather than the B-pillars. Airbags are embedded on each side of the seats, and the seat backs house rainbow-shaped bags for the rear passengers.

For frontal protection, automakers likely would add a curtain that deploys from the roof, plus two-stage airbags in the dash. After an in-cabin camera pinpoints the front passengers’ positions, the two-stage airbags would deploy accordingly. The result: a protective cocoon for each occupant.

Less stuff, less storage Like Faurecia, Adient locates all controls on the driver’s armrest, and it dispenses with a center console. That allows the driver and front passenger to swivel up to 15 degrees. Adient went one step further, showing separate concept interiors for Uberstyle robo-taxis and privately owned vehicles. Adient’s envisioned private vehicle — dubbed AI 17 — has a standard four-seat layout, while the robo-taxi, called AI 18, is optimized for two people. The rear bench seat can stow itself, allowing the driver’s seat to slide all the way to the rear. The front passenger seat could then swivel 180 degrees to allow driver and passenger to chat face to face. “Eighty-five percent of the time, there are only one or two people in the car,” said Richard Chung, Adient’s vice president of global design. “We are catering to that.” Chung says robo-taxis wouldn’t need storage bins because passengers would carry their own gear — as in a conventional taxi.

One-stop shopping? The rival alliances are promoting their ability to design complete interiors. But will automakers go for it? Koller says Chinese automakers, Silicon Valley startups and other automotive newcomers will be eager to hand off interior integration to suppliers.

ADIENT

Need to know

JJSeatmakers know self-driving will mean whole new cockpit. JJAdient and Faurecia show off their concepts in Frankfurt. JJTeamwork seen as the key.

Chung isn’t so sure. He says automakers may prefer a conventional “buffet” strategy, picking and choosing components from a variety of vendors. But Uber, Lyft and other ride-hailing fleets could upset industry tradition, said analyst Sam Abuelsamid of Navigant, a consulting firm based in Chicago. Because those vehicles will be in constant use, “items like seats, flooring and other interior components will wear out faster and need to be swapped out,” Abuelsamid said via email. Moreover, fleet owners might prefer removable interiors that could be swapped out to optimize the vehicle for taxi service, delivery vans, mobile offices or even party wagons. “The possibilities are limitless,” said Abuelsamid, “and they are definitely enabled by a supplier that can handle the integration.” One-stop shopping would not necessarily mean that Faurecia’s alliance would produce all components, said ZF chief Stefan Sommer during a briefing with reporters last week. But the alliance could more easily optimize a vehicle’s interior before its design is frozen. Given the complexity of self-driving vehicles, that may be an attractive proposition. Said Sommer: “That’s clearly the way we want to go.” This story originally appeared in Crain's sister publication Automotive News.

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OPINION

EDITORIAL

COMMENTARY

Luring Amazon, and Red flags over Homecoming not fooling ourselves A

mazon.com’s mammoth “HQ2” second headquarters is a transformational opportunity for Detroit — in ways far beyond the obvious jobs, economic impact and prestige. The competition also provides a golden opportunity to take an unflinching look at our region’s strengths and weaknesses, and coalesce around plans to fix our shortcomings. The extra attention this competition will bring also offers our business and civic leaders an opportunity to show the world, again, that this isn’t the Same Old Detroit, riven by regional rivalries and dysfunction. Amazon’s list of priorities for its headquarters is a road map for the future for Michigan. Its desires are nearly all companies’ desires: a ready and educated workforce, a functional transit system and walkability, excellent higher education, infrastructure and transportation hubs. Metro Detroit has many of these assets. We shouldn’t fool ourselves into thinking we have all of them. Our 40 years of failure Amazon’s desires in creating a truly regional are nearly all companies’ desires: transit system is Exhibit A, our declining educational attaina ready and ment Exhibit B. educated workforce, The Amazon bid should a functional transit serve as a galvanizing moment system and for our region, a moment for walkability, civic and business leaders to excellent higher search quickly and decisively education, for common ground and coinfrastructure and alesce around a plan. It’s important to remember transportation there is an inherent danger in hubs. this competition. Amazon’s proposal would have a bigger impact than the mammoth Foxconn plant awarded to Wisconsin last month. That state’s $3 billion package of subsidies to lure the plant has been justly lambasted as a massive overpayment. Amazon is talking about what could eventually be 50,000 jobs — likely to be far higher-paying than Foxconn manufacturing work. It’s likely the winning city will pay handsomely for the privilege of hosting those jobs. Michigan must avoid extending too generous a welcome mat. Even if we don’t win Amazon’s affections — and of course it is a long shot — the race for HQ2 offers a goal and a deadline to show to the world that Detroit is a city on the rise, and lay out specifics of how that rise will continue. The real prize is in the pursuit, and the benefits it can bring.

few years ago, after a conversation with several columnists, President Barack Obama walked around the Roosevelt Room, shaking hands and making small talk with each one. When he got to me, he asked about Detroit. “How’s your hometown?” I told him that for the first time in my lifetime, political, business and cultural leaders of metro Detroit are pulling together — and the city might actually reinvent itself. “I’m counting on it,” the president replied. At the time, Obama had several members of his administration embedded in Detroit city hall to work with the mayor’s office, business leaders and philanthropies to deliver federal resources that could help in the city’s recovery. It was an unprecedented effort, a model that the Trump administration would be wise to follow. One of the White House embeds was Kerry Duggan (no relation to the mayor), an aide to Vice President Joe Biden loaned out to Detroit. I bumped into her last week at Homecoming, the fourth annual gathering of Detroit natives who found their success outside Michigan. “You were right,” she told me. “We are pulling together.” Duggan can say “we” because she no longer lives in Washington. A consultant whose clients include Michigan State University, Duggan lives in an Eastern Market apartment with her husband and two young children. This was my fourth Crain’s-sponsored Homecoming. I came to the first two as an expat, a Detroit native living in Washington. Homecoming is where I met Mary Kramer and KC Crain, who hired me just in time for last year’s event. This year, I’m home. And I still think Detroit can reinvent itself. Nothing is certain, however, and this year’s Homecoming reminded me of how hard it is for community leaders to work together. The first red flag was Mayor Mike Duggan telling expats that billionaire businessman Dan Gilbert will lead a committee to make a Super Bowl-like bid to put Amazon’s second head-

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Opening night of Detroit Homecoming was held in the long-vacant Michigan Central Train Station in Detroit..

RON FOURNIER Publisher and Editor

quarters in Detroit. “We’re up at against really tough competition and really great cities,” the mayor said. “But if we all pull together, we ought to take a shot.” A few days earlier, Detroit Regional Chamber CEO Sandy Baruah told the Detroit Free Press, “The official effort resides with the MEDC, us and the City of Detroit.” He gave Gilbert a secondary mention — as a guy with a lot of office space. I’m told Duggan publicly backed Gilbert out of frustration with Baruah’s positioning. They appear to have sorted it out late last week. Good. The last thing Detroit needs is zero-sum gamesmanship. Another red flag at Homecoming: Fears expressed by some participants that Detroit’s economic growth will not be shared by everybody, specifically minority residents who stuck through the worst of times. At a roundtable I moderated across from the University of Detroit Mercy, a conversation about diversity took an unexpected twist when Chase

Cantrell objected to the word “inclusion.” Cantrell is founder of Building Community Value, an organization that develops vacant commercial space in majority African American neighborhoods. He is a young, black entrepreneur. Why the objection? “‘Inclusion’ is jarring,” he said, “because it implies being included in a system that the majority did not design.” In other words, black residents should not merely be included in community planning. They should be driving it. Finally, I was surprised to hear protesters at Homecoming’s opening night venue, the historic Michigan Central Station. Their shouts could be heard on stage, where Crain’s Mary Kramer was interviewing Lily Tomlin. Kramer told the comedienne that protests were about foreclosures and blight. Tomlin didn’t skip a beat. “Then let them in,” she said of the demonstrators. That didn’t happen, but Tomlin did go outside later to sign autographs. Quite a week for Detroit, and it got me thinking: If I were to bump into Obama again, I’d tell him Detroit is doing OK — we’re pretty much pulling together — and our hardest work is yet to come. You can count on it. Ron Fournier is publisher and editor of Crain’s Detroit Business. Catch his take on business at 6:10 a.m. Mondays on the Paul W. Smith show on WJR AM 760.

He had thousands of friends

ast week, Glenn Haege died. He was a young 70. I think most of us knew radio’s “Ask the Handyman,” and we knew him for years. I met him a few times, always on purpose at some show. He was there, thanking everyone and trying to help with their problems. That’s who Haege was: a problem-solver. I think he had the biggest Rolodex in the world before everyone switched to computers. He knew every manufacturer in the country and who ran the company.

KEITH CRAIN Editor-in-chief

He knew what their products did or did not do and then he knew the distributor as well as the retailer, and to

top it all off, he knew who could install it for you. And he also knew thousands of us: the folks who he had helped over the years and were devoted to his radio show. He helped hundreds, thousands, maybe tens of thousands who did not know who to talk to, who to trust, except they all knew Glenn Haege and they trusted him. I do not know when I first learned of Haege, but I was one of the legion of listeners who tuned in to find out if other people had the same problem that I had. Maybe I did not have

that problem, it was just nice to realize that there was somebody out there who knew everything and was willing to help us, whoever we were. I never met his family, but they have my deepest condolences. We share their loss. He was a part of our family as well. Somehow there was a link between Haege and us. There are a lot of shows that offer help in some area like your automobile, but it is not the same. My house, my basement is easier to talk about than my car. Or maybe it was because you were talking to an old friend who

would not lead you wrong. Every week, he had to generate thousands of dollars for local or national suppliers who were all part of his army. They will try to replace him, but do not bother. If you listened and you know him, then no one else will do. He was a one of a kind. It will not be the same without him. He was special. Thousands of us lost more than just a friend. And we will not know who to turn to when the basement floods, or the paint fades.

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The Platform plans redevelopment of former Joe Muer site By Kirk Pinho kpinho@crain.com

Peter Cummings says his Detroit-based The Platform LLC is under contract to purchase the former Joe Muer’s Seafood restaurant site on Gratiot Avenue near Eastern Market. The site, located on Gratiot between St. Aubin and the Dequindre Cut, is about four acres, Cummings, who founded The Platform with Dietrich Knoer, said Thursday night. The restaurant, which at one point served as many as 300,000 meals per year, closed in 1998, according to a 2011 Crain’s article. Cummings said a redevelopment

is planned to include retail along the Gratiot frontage and multifamily residential units along the Dequindre Cut frontage. However, specifics about the development plan have not yet been determined. “We are starting to work on site plans for that site, which is a key parcel, a gateway parcel to the city,” he said. It is currently owned by DVP LLC, which had planned to build a velodrome at the site but faced opposition from neighbors. Dale Hughes, who spearheaded that effort, instead moved his project to Mack Avenue at I-75. Construction started this year.

The Platform has targeted multiple Detroit neighborhoods for redevelopment projects, including the New Center area, Milwaukee Junction, Brightmoor/Old Redford, Islandview and others. Stephen Ross and the Ford Foundation announced a funding commitment to affordable housing in the company’s projects throughout Detroit. (See Page 20.) Kirk Pinho: (313) 446-0412 Twitter: @kirkpinhoCDB The former Joe Muer’s Seaford restaurant site on Gratiot.

HAP to exit individual insurance exchange By Jay Greene jgreene@crain.com

Health Alliance Plan has become the latest health insurer in Michigan to announce it will withdraw from the state’s individual health insurance exchange for 2018. It will continue to offer individual plans, but only off the exchange where federal subsidies are unavailable. HAP said market volatility and uncertainty at the federal level over the continuation of cost-sharing subsidies contributed to the decision. Only 1.4 percent, or 9,100, of HAP's total membership of 650,000 Need will be affected, to know the company said. JJCites uncertain“Market volatilty over federal ity and uncertaincost-sharing ties have made it subsidies difficult for insurers to effectively JJMay re-enter individual market if plan for and profederal policies and vide affordable individual health funding can plans,” said Terri stabilize price Kline, HAP presiincreases dent and CEO, in JJWill continue to a statement. offer individual HAP also said plans off the the changes do exchange not affect those who have employer-based insurance or those who are enrolled in Medicare, Medicaid, or self-funded plans. Other factors to leaving the so-called Obamacare exchange included uncertainty over enforcement of the individual mandate. Republicans in Congress have discussed a plan with Democrats to raise about $8 billion to fund the cost-sharing subsidies, but they want to eliminate the individual mandate and give states greater flexibility in offering lower-cost insurance plans. “We will continue to advocate for stability and affordability of coverage for consumers. HAP is prepared to re-enter the health insurance marketplace in the future — if and when the individual market stabilizes,” Kline said. HAP is a subsidiary of Henry Ford Health System, a Detroit based-integrated delivery system that also includes a 1,200-physician medical group.

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SPECIAL REPORT: ARTS AND CULTURE

WHERE THE ART IS

A guide to lesser-known public art and creative placemaking projects around Detroit By Leslie D. Green

Special to Crain’s Detroit Business

ost people know about Detroit’s museums, the Heidelberg project on Detroit’s eastside, the Joe Louis Fist on Jefferson Avenue, “Gateway to Freedom” in Hart Plaza and the James Scott Memorial Fountain on Belle Isle. For this guide to public art, Crain’s lists some of the lesser-known mural and sculpture projects around town, a few of which are also part of wider creative placemaking efforts. Rip Rapson, president and CEO of The Kresge Foundation, said true power and potential comes from marrying art and placemaking, which connects people with their public spaces and increases the likelihood they’ll want to stay committed to the place, invest in the place and build a future in the place. “There is energy in using art and culture and identity and all of the generations of community wisdom to make a place better,” Rapson said. Kresge is one of many nonprofits in the region engaging in community

problem-solving by financially supporting Detroit artists and helping them enhance and reclaim neighborhoods through creative placemaking. Take a look at a few projects and installations around town.

Northwest Rouge Park: Artists Larry Halbert and Shamlord Kaza (Yao) along with several area youths constructed the three faces of “Growing Together.” Surrounded by a circular path and landscaping on the corner of Rouge Park Drive and Spinoza streets, the marble sculpture stands 10 feet tall and aptly represents the idea of unity and collaboration. The project is part of College for Creative Studies’ community + public arts: DETROIT, which connects the community with professional artists to enhance neighborhoods. Mikel Bresee, director of community arts partnerships at CCS, said CPAD meets with stakeholder community members to discover what kind of art they want to accomplish and what the

neighborhood needs. In eight years, CPAD has completed 20 projects in Detroit with support from lead sponsor the Kresge Foundation along with the Skillman and Erb Family foundations, Community Foundation of Southeastern Michigan and Chase Bank. Bresee said CPAD has a stable of about 30 artists, selected by their ability to work on midsize projects outdoors. Each project costs between $40,000$60,000, and CPAD artists complete about two projects a year. Garden Bug: One patch of Detroit blossomed when artist Ouizi covered the Garden Bug, 18901 Grand River Ave., with a mural of vibrant flowers. The work was part of the Quicken Loans + 1xRUN Small Business Mural Project, an effort Helen Johnson, vice president of Strategic investments for Quicken Loans community investment fund, said was to support entrepreneurs and artists. Quicken worked with seven artists to design the murals and then team members from Quicken companies helped paint alongside the artists.

Northeast aRT Forest Mural Project: Walter Bailey is planting seeds to create aRT Forest Mural Projects in parks around Detroit. The first completed aRT Forest is in Krainz Park, on Healy and Hilldale streets on Detroit’s northeast side. Though Bailey is a well-regarded Detroit artist whose work has been exhibited at the Charles H. Wright Museum, he didn’t create any of the pieces. Instead, he and artists such as Eno Legat held a stencil class at the Farwell Recreation Center where teens, college students, adults and senior citizens learned the art of stenciling and together developed the themes they wanted to convey for their neighborhood art forest. The works they created, including murals of Sojourner Truth and Grace Lee Boggs, now stand in clusters of five two-sided canvases. Bailey, who is looking to start the second project at a park at Eight Mile Road and Fenlon Street, added that money from the Knight Arts Challenge,

for which he’s a finalist, would help him expand to 10 parks in the city. “We have a grand opportunity to grow visible, visual art across the city with themes and issues and artwork produced by the neighborhood in which they are installed. The art forest will rise as Detroit rises, and they will reflect the images in which they are installed.”

Eastside Kiwanis #1 Park: Head to 6531 Kercheval at Concord Street to see “Reading Room,” three 10-foot heads sculpted from a boulder that encompass a small circular plaza with stone seating, courtesy of CPAD. Though they assumed the land where the sculptures reside was a vacant lot, they later discovered it was an overgrown city park. Since CPAD artists, residents and volunteers cleaned up the park and added the art features, Bresee said, the Detroit Parks and Recreation Department is again mowing the lawn and residents are using it for events.

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KRESGE FOUNDATION

Young Nation’s The Alley Project, 8869 Avis St., was created in partnership with the University of Detroit Mercy’s Detroit Collaborative Design Center.

The 11-story “Unity” mural on the side of 28Grand was designed by Detroit artist Charles McGee. BEDROCK

Murals in the Market: More than 100 artists from Detroit and around the world have been blanketing the walls of Eastern Market buildings for a couple of years now. Find the found-items marching band by Detroit’s Pat Perry, “Blk Grl Fly” by Chicago’s Hebru Brantley, a loving lion and three-eyed Jerry the mouse by Atlanta’s Greg Mike and much more. And there’s more to come. With new support from the William Davidson Foundation and returning sponsors the John S. and James L. Knight Foundation and Eastern Market Corporation, the mural festival returns Sept. 21-28 with another 50 artists adding to the city’s rich mural collection. Sydney James: This College for Creative Studies graduate worked as a commercial artist and for television in California before returning to Detroit in 2011. By 2014, the Grand River Creative Corridor, which was working with street and graffiti artists, asked Sydney James to help “connect art from the ground.” By 2015, she was one of only a few women working with Murals in the Market. Since then, the artist said, offers for work have been nonstop.

James, a Kresge Arts in Detroit Fellow, certainly earns the attention. She pulls no punches in murals in Los Angeles, Atlanta and Detroit that are ferociously and disconcertingly real. “Black List” on the side of Cutters Bar and Grill (2638 Orleans St.) in the Eastern Market illustrates the lack of peace many African Americans are feeling. Her seemingly three-dimensional “Precious Freedom” is on a wall at Bagley and Trumbull streets in Woodbridge. Inside the old Federal Reserve building, 160 W Fort St., James created “Out of the Ashes, We Will Rise” by redesigning the Detroit flag using black ballerinas. She said her depiction of Detroit Tigers pitcher Justin Verlander, called “Verlander Room,” at Under Armour (1201 Woodward Ave.) brought her and the other commissioned artists, Tylonn Sawyer and Michelle Tanguay, a new audience. “That’s the thing about public art in general — people go to galleries to see specific things,” she said. “If you do public art, you don’t know who your audience is going to be. It’s unintentional.”

COLLEGE FOR CREATIVE STUDIES /COMMUNITY+PUBLIC ARTS:DETROIT

COLLEGE FOR CREATIVE STUDIES/COMMUNITY+PUBLIC ARTS:DETROIT

“The Illuminated Mural” was installed in 2009 as part of a CPAD grant, CCS graduate Katherine Craig’s mural at 2937 East Grand Blvd.

Southwest The Alley Project: Murals aren’t the only thing you’ll find at Young Nation’s The Alley Project, 8869 Avis St. Created in partnership with the University of Detroit Mercy’s Detroit Collaborative Design Center, there’s also an unrivaled energy as young people engage with their community. “It’s a place where people come to not only do art but to gather and be a touchstone to community,” said Kresge’s Rapson. Cesar Chavez: How many mosaic tiles does it take to illustrate an icon? Lisa Luevanos, Mary Luevanos and several youth artists would know. They crafted “Cesar Chavez — A Man of Justice,” a mural of the famed labor leader, in 2010 as part of a CPAD project for residents in southwest Detroit. Find it on the exterior wall of LA SED, 7150 W. Vernor St.

New Center “The Illuminated Mural”: Installed in 2009 as part of a CPAD grant, CCS graduate Katherine Craig’s mural at 2937 East Grand Blvd. was near de-

struction late last year. A developer sought to knock holes in the work until Craig sued, citing the Visual Arts Rights Act that grants protection to moral rights of artworks. The mural, sometimes called the “bleeding rainbow,” is 100-by-125 feet and covers an entire side of the 9-story building. CPAD’s Bresee said its salvation came when The Platform, owned by Peter Cummings and Dietrich Knoer, bought the building. Not only do officials at The Platform say they plan to keep the mural, but they plan to add exhibition space in the building as well. “A lot of times, people think art can be a hindrance to development,” Bresee said. “This example shows how public art can help shape the direction of development.”

Midtown Carhartt Detroit: Carhartt fully embraced the Detroit spirit when it opened its Detroit Flagship store, at 5800 Cass Ave. in Midtown, by including a 200-by-55-foot mural on its exterior wall. Reminiscent of Diego Rivera’s famed mural in the De-

Artists Larry Halbert and Shamlord Kaza (Yao) along with several area youths constructed the faces of “Growing Together” in Rouge Park.

troit Institute of Arts, Michael Burdick and James Noellert’s “Born in Detroit” depicts scenes from life in the city, including images of farmers in Eastern Market and autoworkers in the plant. Josephine F. Ford Sculpture Garden: Created in 2008 in collaboration with the Detroit Institute of Arts, this sculpture garden sits on the grounds of the College for Creative Studies at East Kirby and John R streets. Visitors will find works in a variety of styles and media, including Alexander Calder’s 1967 “The X and its Tails,” Richard Nonas’ 1997 “Hip and Spine (Stone Chair Setting)” and Beverly Pepper’s 1983 “Normanno Wedge.” Charles McGee: Fans of Charles McGee’s work and those who don’t yet know what they’ve been missing may not realize he has a sculpture standing sentinel outside the Charles H. Wright Museum of African American History. Erected in 2016, “United We Stand” shows seven intertwined abstract figures in bold black and white. SEE ART, PAGE 11

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SPECIAL REPORT: ARTS AND CULTURE

Scarab Club sparkles on its 110th anniversary By JoAnn Amicangelo Special to Crain's Detroit Business

In 1973, when high school student Carl Wilson explored The Scarab Club, an art house located in a three-story, Lancelot Sukert-designed building on John R in Detroit, he left because it felt staid. When the printmaker returned in 2012, however, he discovered a different vibe. “I found The Scarab Club to be anything but stodgy,” he said. “Now, it’s like home.” Wilson is one of a growing number of members and exhibiting artists at The Scarab Club, which marks its 110th anniversary this month. There is much to celebrate. In the past 12 months, the club gained an energetic new executive director, increased programming, exceeded 2016-2017 income expectations and diversified its audience. Founded in 1907 by a group of artists and art lovers as a gathering place for discussion, critique, inspiration and exploration of visual, musical and literary arts, The Scarab Club’s board of directors tasked Executive Director Ashley Hennen with bolstering the community’s awareness of the club.

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Changing perception Though located just behind the Detroit Institute of Arts between the College for Creative Studies and Michigan Science Center, few people seem to know The Scarab Club is a gallery and meeting space that is open to the public. Adrienne Nutter, owner of Grosse Pointe-based Fandangle Event Design, said that’s a perception the venue is actively trying to change. “You don’t need to have a membership. You don’t need to know anything about art to come in and appreciate the shows that are exhibited,” said Nutter, who joined the club last year and now serves on the board. “And the second people go down there and go to a lecture or to a party or event, they’re just enchanted and they want to come back for more.” She is passionate about the unique and intimate experience The Scarab Club offers over other art venues, experiences such as the ability to watch Detroit artists at work in the club’s studios and to purchase paintings on display. “You clearly can’t do that at the DIA,” Nutter said. New branding launched in spring 2016 has played an important role in bringing in new members like Wilson and Nutter. Membership increased 74 percent, from 305 in 2016 to 531 today, and 195 percent since 2010 when The Scarab Club had 180 members. However, new engagement-focused programming is what’s gaining the attention of a younger, more diverse audience. Last year, Hennen, in partnership with Detroit Research and Salon De’troit, launched the Regular’s Table, which pairs Detroit artists, thinkers and dabblers for intimate, informal conversation; Live at the Scarab Club, an exploration of Detroit’s rich musical heritage; and Future Artists, an after-school program facilitating engagement between the

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JACOB LEWKOW FOR CRAIN’S

The Scarab Club’s board of directors tasked new Executive Director Ashley Hennen with bolstering awareness of the club.

girls and young women living at Alternatives for Girls with female artists. Hennen said the new programming creates a framework for more people to participate in conversation around the arts, to understand what is happening in Detroit’s art community and to feel more connected to it. They also complement the club’s existing amenities and event calendar, which include three galleries; artists studios; 24 exhibitions a year; chamber, jazz and blues concerts; four sketch sessions a week; four big annual parties and more. The club’s 110th Anniversary Celebration on Sept. 29 brings the party count to five this year. Plans for the evening include chamber music, jazz from the Live at the Scarab Club

Showcase, live portrait sketching, a pop-up exhibit of Robert Hopkin’s works, an open bar and strolling dinner.

Intergenerational Though programming changes and new membership can prove challenging for existing members, Hennen has met with little resistance. “People have been really receptive and open and hungry for change here,” she said. “We’ve gotten a lot of positive feedback about the new programming we’ve brought on board and the new changes we’ve made.” Careful not to alienate older members while working to attract younger visitors, Hennen and her

team are intentional about creating opportunities to bring the two constituencies together. Past events like the members’ wine tasting and a dual exhibit opening — featuring the work of Feather Chiaverini, a CCS student, alongside the work of 2017 Plein Air Challenge participants, who tend to be long-standing members — help bridge that gap. “The double opening brought together an interesting cross-pollination of people who are all interested in the arts but are from very different demographics and perspectives,” Hennen said.

Growing support It was a positive year for The Scarab Club financially as well.

“Hidden gem” aims to be less hidden

Income for fiscal year 2016-2017, ending June 2017, was $421,362, exceeding Scarab official’s forecast of $298,064 by more than 40 percent. In contrast, the club ended the 20112012 fiscal year with an income deficit of $23,426. Hennen said membership dues, special events, grants, an anonymous donation of $50,000 and club rentals, which continue to be its largest source of revenue, are what put the Scarab Club over the top. “We will be using the $50,000 donation to retool our kitchen, which goes back to helping the revenue from rentals,” she added. Though The Scarab Club has a strong history of foundational support from the National Endowment for the Arts, Michigan Council of Arts and Cultural Affairs, Erb Family Foundation, Knight Foundation and Kresge Foundation, the board hopes to build its roster of private donors. “It’s not a tough sell when you consider its historical legacy and that contributions support Detroit’s cultural heritage, contemporary art and the current creative community,” said Hennen. The Erb Family Foundation agrees. “As a family foundation, part of our mission is to support the arts as helping to provide a great quality of life, a vibrant community,” said Jodee Fishman Raines, vice president of programs. The foundation granted the Scarab Club $30,000. “It is just a phenomenal, charming organization that was for a while, unfortunately, kind of a hidden gem.”

Strategic planning In October, Hennen celebrates her first year in her new role at The Scarab Club. As with other leaders of small nonprofits, she acknowledges the challenge of dividing her time between day-to-day operational concerns and strategic planning. Yet she is proud of what she and her two-person staff — a full time office and events manager and a part-time gallery director — and the volunteers have been able to accomplish. She and the board continue to develop a strategic plan that keeps the current momentum going. The underlying goal, however, will be to build awareness. “It’s the hope that five, 10 years from now people aren’t walking by our front door saying, ‘What is that place?’” Hennen said.

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SPECIAL REPORT: ARTS AND CULTURE

Dlectricity returns to light up Midtown Leslie D. Green

Special to Crain's Detroit Business

Taking a year off seems to have given Dlectricity organizers time to amp up the popular light-based art and technology festival. The event returns, from 7 p.m.-midnight on Sept. 22 and 23, with a smaller footprint; more female, minority and Detroit-based artists; and a super-charged show opener. Expect art and productions by 36 local, national and international artists, a return of the Light Bike Parade, large-scale videos on building facades, illuminated inflatable white rabbits, music, sculpture, robotic theater and a different take on Detroit. More than 75,000 people attended in 2012 and about 150,000 came to the 2014 event, which ran from the Detroit Institute of Arts and Detroit Public Library at Kirby Street down

Woodward to the Detroit Symphony Orchestra at Parsons. However, assembly on the new streetcar line last year derailed the 2016 festival. “The QLine construction took over all of Woodward and Midtown,” said Annmarie Borucki, special projects manager for festival producer Midtown Detroit Inc. “Woodward is the artery of the festival. There was no way we could have 200,000 people enjoying art installations along Woodward. It would have been too dangerous.” To make Dlectricity more walkable, she says the festival will end at the Museum of Contemporary Art Detroit. But they aren’t sacrificing content. Midtown Detroit must raise nearly $1 million dollars to hold Dlectricity, which is one reason the event happens every other year. This year, the

The popular Light Bike Parade returns for Dlectricity 2017.

nonprofit got two additional large sponsors — Zekelman Industries and the Richard & Jane Manoogian Foundation — and several new small sponsors. The result is more money for high-quality artists. Borucki named a few she’s sure audiences will like:

DLECTRICITY

J Louisiana native Rashaad Newsome is doing three installations and will kick off the festival with a New Orleans-style procession that will include a Ford F-150 wrapped in his artwork, the Cass Tech High School Marching band performing new music, low riders and dancers.

ART

from all over the world. Find “Ice Pop” by Athens-based “b.,” “Stranded in the Jungle” by Australia’s Dabs and Myla and the dream “Allure of the Sea” by Baltimore’s Logan Hicks.

FROM PAGE 8

New this year to McGee’s collection is an 11-story “Unity” mural at 28 W. Grand River in Capitol Park that Quicken commissioned. Don’t just glance at the energetic work by the 92-year-old artist — examine it for the many figures interlaced with bold strips and dots and shapes that at first glance make it look abstract. Robert Sestok: Born at Harper Hospital in Detroit 70 years ago, artist Robert Sestok has been living and working in the Cass Corridor most of his life. Two years ago, he opened City Sculpture Park (955 W. Alexandrine), home to 31 mostly welded steel sculptures varying in size and in shape he worked on over a 35-year span. Although public art isn’t always something people readily want, Sestok said it’s something they tend to appreciate. The Kresge Arts in Detroit fellow, who has exhibited his work at the Detroit Institute of Arts, the Museum of Contemporary Art in Chicago and the Kentler Gallery in New York, also has sculptures on Commonwealth, Putnam and Trumbull streets in the Woodbridge neighborhood. In 2016, Sestok returned to his roots as a painter when musician Jack White commissioned him to paint a mural at his Third Man Records studio (441 W Canfield St.). Called “powerful” by some and “rad” by others, the work is a graphic representation of something he might have created in 1970. “The mural is kind of a multiple idea about record production and the sounds that people make and record,” he said. “There were some ideas that involved sound waves and circular forms of records that were kind of in an assembly line process.”

Downtown Murals in The Belt: Wander this gussied-up alley that runs from Gratiot and Grand River avenues between Library and Broadway streets to find murals, paintings, sculptures

J Three times a night, Detroit group apetechnology will put on a Javanese culture-inspired, robotic, shadow-puppet performance with a Gamelan orchestra. J Midtown commissioned Philadelphia-based Klip Collective to develop “Librarian,” a new 3D mapping video that pairs storytelling with the architecture of the Detroit Public Library. Fest-goers will be able to look through View-Masterlike viewers and see various details of the library as depicted by the artist. Rip Rapson, president and CEO of event sponsor the Kresge Foundation, says public art events like Dlectricity open people’s eyes to features in the city they’ve never noticed. “How many times do people from the suburbs zip from their homes to their offices without noticing the Detroit Public Library or Detroit Institute of Arts?” he asked. “Dlectricity is taking an environment we’ve grown accustomed to and causing people to look at it differently and experience it differently. This sort of makes you stop, take it in and give it a sort of different context.”

One Woodward: One might argue the One Woodward building, designed by famed Detroit architect Minoru Yamasaki, is art in itself. But amble into the 32-story skyscraper on the way to a game, festival or business meeting and brighten your day with “Hopper” and “Large Door,” bold 12-by-9-foot acrylic paintings by Paul Kremer hanging in the lobby. Compuware Building: How and Nosm (brothers Raoul and Davide Perre) have been covering the sides of skyscrapers for years. Last year, the artists installed their chaotic, 185foot “Balancing Act” on the Compuware building. The yang to How and Nosm’s creation, located to the right, is Shepard Fairey’s mural “Peace and Justice Lotus.”

LARRY PEPLIN FOR CRAIN’S

Robert Sestok’s City Sculpture Park (955 W. Alexandrine) is home to 31 mostly welded steel sculptures varying in size and in shape he worked on over a 35-year span.

Big news: You can’t get back copies of newspapers at the former Detroit News building, 615 W. Lafayette, anymore but you can see Leon Dickey’s “Love Letters,” a wall sculpture of seemingly rolled-up paper — large scale, of course — in one of the lobbies of the Albert Kahn-designed building.

In the works Tiff Massey: The internationally known artist, a Knight Arts Challenge Detroit finalist, plans to create “SPRING,” a sculpture to encourage reflection, on the grounds of the Charles H. Wright Museum of African American History, 315 E Warren Ave. CHARLES H. WRIGHT MUSEUM

“Cesar Chavez — A Man of Justice,” a mural of the famed labor leader, is on the exterior wall of LA SED, 7150 W. Vernor St.

Charles McGee has a sculpture outside the Charles H. Wright Museum of African American History.

and the like by local, national and international gallery and street artists, such as Tristan Eaton (“The Crime Fighter”), Shepard Fairey, Pose, Re-

Library Street Collective partnered to disrupt the gray constructs of the traditional parking garage with murals in myriad styles and sizes from artists

vok and Roids. Z-Lot: While nearby, head over to the Z-Lot. Bedrock Detroit and the

Great Rosedale Park: Knight Foundation grant winner Legacy Project is raising funds for “Great Art! Great Park!,” which would add art to the North Rosedale Park Community House and the park. Works would include a 25-foot metal sculpture by famed artist Charles McGee, a mosaic from Hubert Massey and works by area children.

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SPECIAL REPORT: ARTS AND CULTURE

Oct Orc thov they the ligh piec Han ing pret roya

A guide to fall arts and culture events in Metro Detroit This fall’s arts and culture calendar has something for everyone, from Mozart at The Masonic Temple to murder mysteries and a “rock star juggler.” Events are presented in partnership with CultureSource, the alliance for nonprofit arts and culture organizations throughout Southeast Michigan.

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Sept. 22-23. Midtown Detroit buildings and public spaces along Woodward from the DIA to MOCAD will light up after dark with immersive light and tech-based installations from international and local artists for Dlectricity, including Rashaad Newsome’s King of Arms Parade throughout the streets Friday night and Shade Composition at the Detroit Film Theatre Saturday at 8pm. (See Page 11.)

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“Corbeille de Fleurs” by Claude Monet is featured in “Monet: Framing Life” and “Church: A Painter’s Pilgrimage” at the Detroit Institute of Arts.

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Sept. 23. Cabaret 313 presents An Evening with Carmen Cusack at The Players Club Playhouse. Entering its fifth season, Cabaret 313 has earned a reputation for bringing top-notch musical talent to intimate Detroit performance venues. Cusack is a recent Tony-nominee for her Broadway debut in the Steve Martin and Edie Brickell musical, “Bright Star.” Sept. 25-Nov. 1. The Community House presents the Women of Influence Lecture Series, featuring conversations with Carolyn Cassin, President & CEO, Michigan Women’s Foundation; Jocelyn Benson, CEO, Ross Initiative in Sports for Equality (RISE) and Former Dean, Wayne State University Law School; Denise Brooks-Williams, President & CEO, Henry Ford Hospital, Wyandotte; and Barbara McQuade, Professor of Law, University of Michigan Law School and Former U.S. Attorney, Eastern District of Michigan. Sept. 26-30. September is now officially design month throughout Detroit, and that’s thanks in large part to its distinction as a UNESCO City of Design. The Detroit Creative Corridor Center (DC3) presents the annual Detroit Design Festival, a citywide celebration of creativity and design, including Eastern Market After Dark

O T N

ter’s “1001 Inventions: Untold Stories from a Golden Age of Innovation,” on view through January 7, explores scientific achievements across cultures dating from the 7th Century through the European Renaissance. Portrayed through more than 60 exhibits, live science shows, films and hands-on workshops, school-age visitors and adults alike will be inspired by the myriad of ways that science, creativity and innovation go hand in hand.

ANN ARBOR HANDS-ON MUSEUM

The 15th annual Creature Feature at the Ann Arbor Hands-On Museum, a night at the museum to get up close and personal with exotic animals, is Oct. 8.

September 28 and the 2017 Design Village.

ming, with regular art exhibits, music and lecture series. (See Page 10.)

Sept. 29. Founded in 1907 by several renowned sculptors and painters as a place for artists and art lovers to socialize and enjoy art just footsteps from the DIA, the Scarab Club is now celebrating 110 years. While much has changed in Detroit over the past century, the Scarab Club is a continuous source for cultural program-

Oct. 4-29. When “Shear Madness” hits the Meadow Brook Theatre stage, no two performances of this comedy slash murder mystery set in a hair salon will be the same, as audience members participate in trying to solve the crime. Oct. 7-Jan. 7. Michigan Science Cen-

Oct. 8. The 15th annual Creature Feature at the Ann Arbor Hands-On Museum is a night at the museum to get up close and personal with exotic animals from The Creature Conservatory, Leslie Science and Nature Center, Little Creatures Company and others. Oct. 12-14. The first performance of maestro Leonard Slatkin’s 10th anniversary season as music director of the Detroit Symphony Orchestra opens with Beethoven’s “Eroica” Symphony. Slatkin will conduct 13 performances throughout the 201718 season, including eight world premieres, and the winter French music festival in February. Oct. 14-22. Michigan Opera Theatre presents Giuseppe Verde’s classic opera, “Rigoletto,” in Jonathan Mill-

er’s interpretation that moves the story from 16th century Mantua to the streets of 1950s Little Italy, where the mafia reigns supreme. Oct. 14-March 18. From “Toy Story” to “Finding Nemo,” the folks at Pixar have created some of the most enduring film characters in generations. Head to The Henry Ford Museum of American Innovation for “The Science Behind Pixar” and learn about the science, technology, engineering and math (STEM) concepts that the Pixar artists and computer scientists use to bring their ideas to the big screen. Oct. 17-18. Frankie Valli and The Four Seasons hit the Macomb Center for the Performing Arts with the now-classic musical “Jersey Boys.” Oct. 20. Global Fridays, the Arab American National Museum’s regular multicultural music series, hosts Samer Saem Eldahr, the music producer and visual artist otherwise known as Hello Psychaleppo, the creator of the new genre Electro-Tarab, which fuses hip hop, dubstep and Arabic melodies together for a live set of Arabic electronic music and visual arts. Prior to the performance, Eldahr will also give an artist talk.

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C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7 Oct. 21. The Ann Arbor Symphony Orchestra plays melodies from Beethoven, Ellington and Handel when they present Ludwig & The Kings at the Michigan Theater. The highlight of the evening is a collection of pieces from Ellington, Bloch and Handel about King Solomon, focusing on three unique musical interpretations of the famous Hebraic royal.

boundaries and ideas of shoes.

Oct. 22. This fall, the Detroit Institute of Arts debuts not one, but two major exhibitions of late 19th century paintings — “Monet: Framing Life” and “Church: A Painter’s Pilgrimage.”

Nov. 17-19. The New York Philharmonic focuses on Leonard Bernstein during its second major UMS residency, with “Bernstein’s Philharmonic: A Centennial Festival.” During their weekend in Ann Arbor, there will be a slew of performances, lectures, master classes and more, including “The Young People’s Concert: Celebrating Leonard Bernstein,” conducted by Leonard Slatkin, Saturday afternoon, November 18th at Hill Auditorium.

Oct. 27. It’s not often one hears of a “rock star juggler,” but Marcus Monroe, the award-winning comedian and juggler, performing as part of The War Memorial’s Arts at the Alger series on Oct. 27, is just that. How does one mix juggling and comedy? This scrumptious dinner and a show will leave you wanting more. Opens Nov. 4. Shoetopia!, at the Valade Family Gallery at the College for Creative Studies in Detroit, explores the artistry and design of

Head to The Henry Ford Museum of American Innovation Oct. 14-March 8 for “The Science Behind Pixar” and learn about the science, technology, engineering and math (STEM) concepts that the Pixar artists and computer scientists use to bring their ideas to the big screen.

Nov. 12. The Detroit Chamber Winds and Strings presents a multidisciplinary performance to the story of Mozart’s last seven years of life, with violinist James VanValkenburg and photographer Michelle Andonian telling the story of Mozart and the Masons at the historic Masonic Temple.

“Rock star juggler” Marcus Monroe will be performing as part of The War Memorial’s Arts at the Alger series on Oct. 27.

footwear, mixing high fashion designers more commonly seen on the runway, like Comme des Garçons, with the work from renowned architect Zaha Hadid, pushing the

Nov. 18. The Julliard String Quartet makes their annual visit to Detroit with the Chamber Music Society of Detroit, with cellist Astrid Schween now in her second season with the renowned musicians who are known for their bold interpretations of classics.

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Joshua-Guerrero and Sydney Mancasola will perform in Giuseppe Verde’s classic opera, “Rigoletto,” at the Michigan Opera Theatre Oct. 14-22.

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Opens Nov. 18. The fall exhibitions at the Cranbrook Art Museum fuse art and street culture. “Ryan McGinness: Studio Views and Collection Views” pairs with his Wayfinding skate park, already open in downtown Detroit, by connecting design iconography, logos and other graphics. Additionally, this is the 30th anniversary of Keith Haring’s temporary mural created at the museum, marked with the exhibit “Keith Haring: The End of the Line” and the traveling exhibit Basquiat before “Basquiat: East 12th Street, 1979-1980.” Opens Nov. 17. Get your holiday shopping on with local talent, like the more than 125 featured artists in Holiday Market: Silver Belles, opening Nov. 17 at the Anton Art Center.

The Centhe s.”

Nov. 25-26. While “The Nutcracker” at the Detroit Opera House is a Thanksgiving weekend tradition, this year’s production, from the Cincinnati Ballet, presents an original interpretation of the beloved classics with contemporary twists — like a whimsical, high-tech set, acrobatics and dancing cupcakes — for Detroit’s only live orchestral production of the holiday favorite.

Arab eguosts prowise the Tarstep or a usic forrtist ALASTAIR MUIR

Dec. 8-10. As the weather gets cooler, the students from Mosaic Youth Theatre of Detroit celebrate favorite win-

ter moments in Detroit, past and present — from shopping at Hudson’s to skating at Campus Martius — in “Woodward Wonderland,” Dec. 8 through 10 at the Detroit Film Theatre. Dec. 15. Ever wonder what it’s like to see your favorite artist at work? During MOCAD’s Monster Drawing Rally, dozens of artists will create artwork during the annual live drawing and performance event that are then immediately for sale. Through Jan. 2, 2018. “Say It Loud: Art, History, Rebellion” at The Charles H. Wright Museum of African American History explores social upheaval through art in Detroit over the past 50 years. Through 2019. This past summer, the Detroit Historical Society and the Detroit 67 Project marked the Detroit Rebellion of 1967 with communitywide discussions, programs, lectures and in-depth examinations at the complex factors that culminated in this major moment in the city’s history. However, no tool is more powerful in understanding what occurred, and how to look forward, than hearing the oral histories from those who were there, which shapes the Detroit 67: Perspectives exhibit, on view at the Detroit Historical Museum through 2019.

C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

FOCUS

SPECIAL REPORT: HEALTH CARE

Richard Chesbrough, M.D., a retired radiologist who is a consultant in the case against Oakland MRI and Christine Derdarian, attorney for Michigan Radiological Society. LARRY PEPLIN FOR CRAIN’S

An ownership battle in fast-growing MRI business By Jay Greene

Need to know

The Michigan Radiological Society case against for-profit Oakland MRI and business owner Susan Swider is all about bringing attention to the state of Michigan’s lack of enforcement of its corporate practice of medicine laws and shutting down an allegedly improperly incorporated medical business, according to the lawsuit filed last year against the Troy-based imaging center in Oakland County Circuit Court. Based on a variety of state statutes, the corporate practice of medicine doctrine was conceived to limit ownership of medical facilities to licensed physicians or legitimate nonprofit entities, according legal experts. There are exceptions for nonprofit hospitals and both nonprofit and for-profit nursing homes. Last Dec. 15, Judge Daniel O’Brien of Oakland County Circuit Court ruled in favor of Oakland MRI. He

enforcement

jgreene@crain.com

 Radiologists association wants

 MRI center owners say their businesses are legal  Lawsuit is awaiting appeals ruling

said the for-profit imaging center is allowed to operate as a limited liability company and offer diagnostic imaging while owned and managed by a nonphysician. He also found that Swider is not required to be a licensed physician to own the MRI center. Now, the case is before the Michigan Court of Appeals. A hearing could be held this fall or early next year, said attorneys for Oakland MRI and the Michigan Radiological Society. But O’Brien’s ruling flies in the face of the opinions of many health care legal and medical experts, many of

whom told Crain’s laws exist to prohibit the practice of lay businesspeople owning for-profit medical facilities. These same experts say such laws are widely flouted nationwide. “If you are a lay, for-profit corporation, you cannot employ physicians to furnish medical services,” said Mark Kopson, chair of the health care practice at Plunkett Cooney in Bloomfield Hills. “The public policy behind the prohibition against the corporate practice of medicine is to prevent profit motives of for-profit corporations from affecting how medical care is delivered.” Kopson said the appeals court could either rule that the corporate practice of medicine doctrine does not prohibit lay ownership when licensed physicians provide the actual medical services, which would be “a de facto acknowledgment of changes in the health care industry over the past 40 years,” or it could

uphold the doctrine. But the court also could “effectively side-step the entire issue by affirming the trial court’s ruling that the plaintiff lacked standing to challenge the defendant’s operations,” he said. In its Jan. 4 appeal, the Michigan Radiological Society, through its attorney Christine Derdarian, said: “The trial court failed to reference the correct statutes and erred in its conclusion, an interpretation that resulted in a clear abuse of discretion.” Even if ultimately unsuccessful on appeal, the Oakland MRI case opens a window on an unevenly applied law and businesspeople who own and manage for-profit medical facilities that range from diagnostic imaging centers, cosmetic surgery centers and spas, dental offices and urgent care centers. Experts say there could be as many as 500 such medical businesses in Michigan in operation.

Although the Michigan State Medical Society does not advocate limits on physician scope of practice for any medical specialty, the MSMS in 2016 issued a statement demanding Michigan enforce the laws for nonphysicians who own medical clinics and employ physicians or advanced practice nurses. A decision in favor of the radiologists could spur massive regulatory and enforcement changes in Michigan and possibly the nation, legal experts said. State laws and past attorney general opinions appear clearly to prohibit the state from issuing corporate documents for limited liability companies operated by businesspeople for the purposes of providing medical services under the state public health code, several legal experts told Crain’s. But attorney Chris Cataldo disagrees. Cataldo, of Jaffe Raitt Heuer & SEE LAWSUIT, PAGE 15

C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

LAWSUIT FROM PAGE 14

Weiss P.C. in Southfield, represents Oakland MRI and business owner Swider, a gemologist by training. Cataldo said Swider formed the medical imaging center according to state laws. “The court ruled with us,” Cataldo said. “The statutes are crystal clear on corporate practice, and we are right. If they don’t like it, they should be talking with the Legislature seeking to change state law or taking it up with the CON Commission, not with my client.” Cataldo also said the state of Michigan granted Oakland MRI a certificate of need license for its center 10 years ago. He said owner Swider doesn’t practice medicine. She hires and contracts with radiologists who read and diagnose the imaging scans. “My client is not a physician, but she applied for a CON 10 years ago, and the CON statute allows for nonphysicians to own various types of medical equipment. ... We have fully complied with all the laws in the state of Michigan.” But Derdarian said CON applications do not make ownership a part of their criteria for granting requests for covered services. “It determines whether there is a market need, do they have proper equipment and the location for the service,” said Derdarian. “This is a nationwide problem. The CON Commission and the state bureau of corporations are aware of the problem,” she said. “There are cracks in the system in granting CON permits and corporations. They need to be fixed.” Cataldo said state corporate practice of medicine laws address only companies formed as professional corporations. He said Oakland MRI was organized as a limited liability corporation, so it is not covered under the law. But Derdarian said the state allowed Oakland MRI to be organized under the wrong state statute. She said medical facilities are required to be incorporated and organized as professional corporations. Cataldo said he believes part of the reason for the lawsuit by the radiologists is to shut down MRI centers not owned by physicians to limit competition that cuts into their business. But Richard Chesbrough, M.D., a retired radiologist who is a consultant in the case against Oakland MRI, said lay business ownership of imaging centers sometimes leads to cases of Medicare and Medicaid fraud. “There has been an explosion of insurance fraud — resulting in some of the highest auto insurance rates in the country,” Chesbrough said. “Because the illegal centers are owned by the very attorneys, chiropractors and business associates that make their money via fraudulent claims.” As several federal medical fraud prosecutions have disclosed, Chesbrough said, elaborate kickback schemes have encouraged fraudulent patient referrals within a tight network of co-conspirators. “Legitimate imaging centers (hospital or doctor owned) are not part of this network, nor would they be willing to get involved with illegal kick-back schemes,” Chesbrough said. “In the case of doctors, they would be risking their license to practice medicine.” Cataldo said there have never been any allegations that Oakland MRI has done anything improper or illegal when it comes to care. “If they have a problem like that, they are going about it in the wrong way,” he said. “Preventing fraud is legitimate, but don’t go about filing spurious claims and using wrong statutes.”

Federal cases tied to state corporate medicine laws By Jay Greene jgreene@crain.com

A number of medical businesses owned by people other than doctors have been implicated in fraud cases tied to Medicare, Medicaid and private insurance. The issue has come into focus amid a lawsuit between a medical society and a privately owned MRI business (see Page 1). Those who say the law requires medical businesses to be owned by physicians, as Michigan law generally requires, say those that aren’t are more prone to fraud, which can drive up medical costs and auto insurance rates. Federal prosecutors in Detroit have cited Michigan’s corporate practice of medicine law in several cases against nonphysician owned medical businesses. In at least two examples, the U.S. Attorney’s office in Detroit included a recognition of Michigan’s corporate practice of medicine laws that forbid businesspeople from owning and managing for-profit medical facilities without the owners holding a medical license. In 2012, U.S. Attorney Barbara McQuade won a $1.1 million settlement under the false claims act against Universal Imaging Inc. and its two owners, Phillip Young and Mark Lauhoff. The federal complaint also noted that for-profit Universal “was required under Michigan law to be organized as a non-profit corporation to ensure the health and safety of pa-

tients.” Instead, Universal hid its true nature from the state by transferring its equipment to a for-profit entity, MRI Leasing LLC, with same owners, the complaint said. The federal lawBarbara suit, which started McQuade: Won out as a whissettlements in tleblower comfraud cases. plaint, was filed in Need 2006 by radioloto know gist Richard Chesn Critics say brough, M.D., and his wife Kim, who nonphysician had worked at ownership opens Universal. door to fraud The Chesn Enforcement is broughs alleged uneven; unclear that Universal and whether MRI its owners, who centers qualify were not licensed n State law bans physicians, conducted a medical medical facilities radiology busiby those who ness in violation aren’t doctors of the state’s corporate practice of medicine laws. Universal also was in violation of numerous Medicare rules relating to adequate supervision of diagnostic tests and generated 90 percent or more of its business by paying kickbacks to physicians. In addition, even though Universal refiled its articles of incorporation SEE CASES, PAGE 16

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PEOPLE

Uhl to leave Rock Ventures By Sherri Welch swelch@crain.com

CONSTRUCTION J Robert Bowen to construction executive, Turner Construction Co., from project executive. J Oscar Notz to business development engineer, Turner Construction Co., from project manager/superintendent, Turner Construction Co.

NONPROFITS/ ORGANIZATIONS Becky Puckett-Wood to vice president of corporate and member engagement, Inforum, from Michigan managing director, Experis, and Michele Shelton to vice president of leadership J

CASES

CONTINUED FROM PAGE 15

claiming “nonprofit” status, the company did not fulfill the stringent requirements. Prosecutors also alleged claiming the nonprofit exemption was a further attempt to defraud the government and violate Michigan law. McQuade also won $1.56 million in settlements with 14 licensed physicians who were paid kickbacks for their referrals to Universal. Because of the Universal case along with other similar ones, Christine Derdarian, an attorney representing the Michigan Radiological Society, also approached the U.S. attorney’s office in Detroit for help with its lawsuit against an Oakland County imaging center and other similar businesses, arguing that the issue of improper Medicare and Medicaid payments is at stake. “The U.S. attorney said if you can provide proof (Oakland MRI) is not licensed in accordance with state statutes, and there is a violator, at that point, the issue of (whether the center properly billed for) reimbursement of Medicare and Medicaid

development programs, Inforum, from regional talent management consultant, St. Joseph Mercy Health System.

To submit news of your new hires or promotions to People, go to crainsdetroit.com/peoplesubmit and fill out the online form. Please limit submissions to management- or partner-level positions.

Chris Uhl is stepping down from Rock Ventures LLC to join Chicago-based IFF as executive director of the eastern region comprised of Michigan and Ohio. IFF is a mission-driven lender, real estate consultant and developer focused on creating opportunities for low-income communities and people with disabilities. It’s been operating in Detroit since 2013. Uhl succeeds Kirby Burkholder, who has been promoted to president of IFF’s new Social Impact Accelerator Detroit division. In that role, he’ll oversee IFF’s research, real estate development and special social impact initiatives for IFF’s 10-state Midwest region, including Michigan, from a Detroit base. Uhl had served as vice president of

might be worth going after,” Derdarian said. “Technically, if they illegally formed, they don’t have a right to seek reimbursements from Medicare and Medicaid.” The U.S. attorney’s office in Detroit declined to comment on the Universal case, other similar cases or how the office views the state’s medical ownership laws. A spokeswoman, Gina Balaya, referred Crain’s to the U.S. Department of Justice, which also declined to comment. Chesbrough, a radiologist who is founder of Radiology Medical Consultants P.C. in Bloomfield Hills, said his research has shown at least 20 radiology centers in metro Detroit are owned by nonphysicians. “This is likely a significant underestimate, as the number of these practices grows yearly,” he said. “This does not begin to count the number of illegal medical practices, urgent care centers, mobile medical facilities, cosmetic centers, and even visiting physician organizations currently operating in the state.” Chesbrough said nonphysician owners of medical businesses create a public safety threat as often business interests outweigh medical judgment, leading to inferior or

deadly care. Business decisions include hiring lower cost, under-qualified staff, using outdated equipment or contracting with overworked or lesser-quality radiologists, he said. For example, take the case of Joanne Jackson, who unnecessarily died of breast cancer in February 2013. Jackson went to the mammography center in Southfield owned by a businessperson and was the victim of an incorrect mammogram reading. Chesbrough was the expert witness for the Jackson family. He said the lawsuit resulted in a closed settlement to Jackson. Chesbrough said a mammogram was conducted on Jackson and the radiologist saw a mass in the left breast. But a mix-up in the radiologist’s notes led the ultrasound technologist to conduct the follow-up test on the right breast and found no problems. Eleven months later, the untreated left breast cancer had spread to her bones. Two years later, Jackson died. The clinic remains open, Chesbrough said. “This is egregious harm, not theoretical” related to the corporate practice of medicine, he said.

J Christopher Werner to executive director, Catholic Youth Organization, from CEO, Werner Media Group.

EDUCATION J Michael Rinkus to chief academic officer, Walsh College, from interim chief academic officer, Walsh College.

ADVERTISING SECTION www.crainsdetroit.com/onthemove To place your listing or for more information, please call Lynn Calcaterra at (313) 446-6086 or email lcalcaterra@crain.com

INSURANCE Christina Schneider Sales Executive, Group Benefits

Oswald Companies Christina Schneider has joined Oswald Companies as Sales Executive, Group Benefits. With over 25 years of insurance industry experience, Schneider specializes in working with clients to plan, consult and deploy strategic benefit plans. In her role, she will be responsible for new business development along with the service and retention of existing accounts. Prior to assuming her new position at Oswald Companies, she was a Senior Benefits Consultant with LSG Insurance Partners.

HUMAN RESOURCES René Carpenter Director of Marketing

Ulliance, Inc. René Carpenter is responsible for the development and execution of Ulliance’s strategic marketing plan, including brand awareness, creative services, digital marketing, communications and social media planning, with a focus on expansion in existing and new markets. Prior to joining Ulliance, Carpenter was corporate communications manager at a Michigan-based insurance broker. Carpenter received a Bachelor of Science degree in marketing from Eastern Michigan University.

KNOW SOMEONE ON THE MOVE? For more information or questions regarding advertising in this section, please call Lynn Calcaterra at (313) 446-6086 or email: lcalcaterra@crain.com

community initiatives and then named vice president of strategic investments at Rock after joining the company in April 2016. Prior to that, he served as executive Chris Uhl: Joining director of the DeChildren’s IFF to lead eastern troit Fund for just more region than a year and vice president of social innovation for the Detroit-based Skillman Foundation for four years, helping the foundation move beyond grants to program-related investments in the form of low-interest loans from its grant budget and loan guarantees backed by $10 million of its endowment. Over the past decade more than a dozen business owners of medical facilities in Michigan also have been indicted or convicted of insurance fraud — both Medicare, Medicaid, commercial health insurance and auto fraud, Chesbrough said. For example, between 2007 and 2009, Emilio Haber, a nonphysician businessman, owned and operated two urgent care clinics in Southeast Michigan, Ritecare LLC and CompleteHealth LLC, both of which were licensed by LARA. During that period, Haber submitted $8.5 million in improper Medicaid claims and received approximately $6.3 million in reimbursement. The tests were medically unnecessary and completed with the use of kickbacks to patient recruiters and Medicare beneficiaries, according to court documents. In 2010, Haber pleaded guilty to conspiracy to commit health care fraud through his two clinics in Southeast Michigan. Haber was sentenced to five years beginning in 2012 and was ordered to pay $6.3 million in restitution. In a 2016 federal fraud case, radiologist Ramasami Gunabalan, who owned Bio-Magnetic Resonance Inc. in Madison Heights, testified in an June 23 affidavit that he participated in auto insurance fraud by receiving kickbacks from personal injury attorneys, chiropractors, physical therapists and transportation services for falsely giving “abnormal” MRIs. Gunabalan, who is serving five years in federal prison for violating various federal laws, stated in his affidavit he knew of at least five illegally formed imaging facilities run by businesspeople, all allegedly involved with fraudulent auto insurance-related claims. He did not name the imaging centers. Chesbrough said the Gunabalan case illustrates the connections between illegally incorporated imaging centers run by businesspeople and auto insurance and medical fraud. “Gunabalan clearly lays out the scheme where a personal injury attorney or a health care provider like a chiropractor directs an ‘injured’ patient to a specific imaging center to obtain an ‘abnormal MRI’ that results in a cascade of lucrative referrals for chiropractic treatments, physical therapy, transportation services and long-term follow-up care — all paid for by Detroit-area taxpayers, through some of the highest auto insurance rates in the entire country,” Chesbrough said. Jay Greene: (313) 446-0325 Twitter: @jaybgreene

SPOTLIGHT Fikany leaves Quicken Loans

John Fikany was to leave Detroit-based Quicken Loans Inc. at the end of last week to pursue a consulting career after joining the company as vice president of strategy development 18 months ago. Aaron Emerson, senior vice John Fikany president of communications for Quicken, confirmed that the former longtime Microsoft Corp. executive will depart the online mortgage giant, and that Quicken is Fikany’s first client. “I’m gonna be doing really what I’ve been doing for most of my career, which is helping people and companies get to where they want to be,” he said. “This has been a dream of mine for a long time, something I have been planning for years. Right now is just the right time to do it.” He also said he intends to become more active in the nonprofit and philanthropic community.

McClure’s hires former Garden Fresh CEO

McClure’s Pickles has hired John Latella, former CEO of Garden Fresh Salsa Co. Inc., for the new position of president. Latella, 44, started Sept. 5, said Bob McClure, who co-founded McClure’s Pickles with his brother Joe. During his time at Ferndale-based Garden Fresh, Latella helped the company grow its annual revenue to $110 million, according to a news release. Garden Fresh sold to Campbell Soup Co.’s Fresh division in 2015. Latella left after the sale but stayed on as a consultant for about a year, he said in an email. “With (Latella’s) significant experience in food and beverage, and family business, and growing a company to get it to eventually to a merger or sale to a larger entity, (Latella) is ready to help do that for McClure’s,” Bob McClure said.

Coe Press Equipment appoints CEO

Sterling Heights-based Coe Press Equipment has promoted Hunter Coe to CEO, succeeding his father and co-founder John Coe who was named chairman of the board. He began the new role Sept. 8. Hunter Coe, 35, will lead the family-owned business’ executive team and its strategic direction. The Rochester native was named president in 2015, a role that is now dissolved. The firm designs and manufactures a line of coil handling and roll feed equipment for the autmotive, appliance, lighting and metal processing industries, among others. “We have grown greatly over the past few years, and have adjusted our executive team as needed to best manage this business,” John Coe said in a statement. “During his tenure, Hunter has proven his leadership ability through relationship-building and expanding our reach into new markets.”

Page 2

CALENDAR MONDAY, SEPT. 18 Ford Motor Company Day. 11:15 a.m.-1 p.m. Adcraft Detroit. Featuring CNN’s Anderson Cooper. $50 Adcraft members; $75 nonmembers. Ford Conference & Event Center, Dearborn. Website: adcraftdetroit.com/events

TUESDAY, SEPT. 19 CEO Breakfast Tony Michaels, President and CEO, The Parade Company. 8-9:30 a.m. Troy Chamber of Commerce. A behind-the-scenes look at America’s Thanksgiving Parade. Hilton Garden Inn, Troy. $24 Troy chamber members; $34 nonmembers. Website: troychamber.com/events/ceo-breakfast-tony-michaels/ Inside the CEO Mind. 8 a.m. Detroit Regional Chamber. American Jewelry and Loan’s Leslie “Les” Gold and Seth Gold will share their perspectives as business owners and reality television stars. The Golds will discuss how their company separates itself from competitors. American Jewelry and Loan, Detroit. $30 members; $50 nonmembers. Contact: Marianne Alabastro, phone: (313) 596-0479; e-mail: malabast@detroitchamber.com; website: detroitchamber.com/events/

FRIDAY, SEPT. 22 2017 Entrepreneur and Small Business Conference: Pathways to Success. 8:30 a.m.-4:30 p.m. South East Michigan Entrepreneurs Association. Speakers include: Ryan Mack, CNN Commentator, Irene Spanos, director of Economic Development and Community Affairs Oakland County, and Edward Foxworth, Foxworth Marketing Group. Event also includes panel discussions, breakout sessions, breakfast, lunch and networking opportunities. University of Phoenix Southfield Campus. $49 until Sept. 8; $59 after Sept. 8 until Sept. 20; $79 late/onsite registration. Email: administrator@semea.info; website: semea.org/

UPCOMING EVENTS Women of Influence Lecture Series. 6:30-8 p.m. Sept. 25. The Community House. Carolyn Cassin, president and CEO, Michigan Women’s Foundation; general partner, Belle Michigan LP. $15. The Community House, Birmingham. Contact: Program department, phone: (248) 644-5832; email: program@communityhouse.com. 17th Annual Great Lakes Women’s Business Conference. 9 a.m.-6 p.m. Sept. 26. Great Lakes Women’s Business Council. The conference addresses the needs of business owners while delivering strategies for succeeding in a highly competitive market. Suburban Collection Showplace. $200 members. Contact: Betty Aliko, phone: (734) 677-1400; email: baliko@ greatlakeswbc.org; website: greatlakeswbc.org To submit calendar items visit crainsdetroit.com and click “Events” near the top of the home page. Then, click “Submit Your Events” from the drop-down menu that will appear. Fill out the submission form, then click “Submit event” at the bottom of the page. More Calendar items can be found at crainsdetroit.com/events.

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Core Assurance Manager (Multi Pos), PricewaterhouseCoopers LLP, Detroit, MI. Examine accnting records, docs, & tangible equipment of clients. Req BS or foreign equiv in Acctng, Bus Admin or rel + 5 yrs of post- bach’s progress rel work exp; OR MS or foreign equiv in Acctng, Bus Admin or rel + 3 yrs of rel work exp. Must have US CPA lic or foreign equiv. Travel up to 40% req.

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DIRECTOR SALES: JOB CODE-DS-01 New business dev acti that incl competitive analysis, market research, reach out to suspe, pros etc .Account Mgmt & Service Mgmt build & manag client rel at CXO level, Own & poten review A/C’s receivable status from new A/c’s as per cash flow plan Drive incr deal sign margins thru consultative selling, single source deals & co-ord sales strategy Eng client with inno solu around digital, cloud based & hybrid IT p’forms Collaborating with presales, bid-mgmt & practice leaders to table proact & reactive prop for cust’s Work close with inside sales team & focus on MHA’s for the region work with mkt to build custd campaigns for MHA’s Ens reach out to analysts, advisors & cust connects via social media to keep them apprai of Harman ser in the cloud analyt & mobility space U’stand HCS serv offer & GTM plan S’case HCS’s solu as s’tegic fit for cust org thru workshops boot camp & strat meet Incr market share & wallet share of acc with cust Drive res f’cast for A/C from both conf opp as well as opp in pipeline Close new busn & win new logo’s for region. Bachelor deg (or for equiv) in Comp Sci, Eng, Elect, Mgmt/Admin or close rela deg with 8 yrs of exp in client facing role in and/or a consul firm with a/c /engagement mgmt role Alt: Master’s deg (or for equiv) in Com Sci, Eng, Elect, mgmt/Admin or clos rel deg with 6 yrs of exp in client fac role in and/or a consulting firm with a/c /engagement mgmt role, Should have Past exp in new busn dev/hunt -Exp across indus verti -U’stand & exp in work in a global/offshore outsourcing busn model - Proven abil to contr to new busn dev eff & lead 7 manage mult tasks in dynam envi to grow book of busn within terri -Must be det oriented & able to manage & m’tain all facets of complex assignments -Should have demon abil to m’tain & grow client r’ships at C level -Should have demonst problem solv skills with apti to iden strat solu to busn prob with e’prise-wide impli.

Pls send CV’s to: Harman Connected Services Attn: Gokul /Job Code DS-01 2002 156th Avenue NE #200, Bellevue, WA 98007 Or ple email to: gokul.d@harman.com with position name & job code Work loc: Novi, MI May have long term assig in other loc in U.S. incl Livonia, MI.

PRINCIPAL ENGINEER: JOB CODE PE-03 He/she will be exptd to func as lead on some. U’standing of Mult med on Android & Linux bas sys with u’lying connec techn of USB, Bluetooth, TCP/IP and Ethernet AVB. Prep high level dsgn in cons with arch, rev detail dsgn, participate in code rev & test plan gen. resp for the delivery of the qlty reusable & mod SW acc to the proj pln. dev new features, debug issues & write test case for unit test. Iden pri, updat trking & root cause doc etc. Con code and dsgn review, appr changes. Work prog mngr to dev proj plan,to manage proj risk & secure domain deliv. Req: Bach’s deg or forgn equi in Comp Sci, App, Electronic or T’com Eng with 5 yrs ext exp in SW des & dev on Mob Smartpho ot In-Veh Infot plat in lang of C/C++ or Java with Excel skil in Obj Orien pgm and Des Pat. Alter: MS deg or forgn equi in ComSci, Appl Electr or T’com Eng with 3 yrs of ext exp in SW des and dev on Mob Smartph / In-Vehi Infot platform in lang of C/C++ or Java with Exc skil in Obj Orie Pgm and Des Pat. Exp incl: Min5 yrs of exp of emb Lin dev, fam with POSIX APIs. Min 2 yrs of exp of Mult med from InVehicle Infot or smartph. Exp in IVI Mul med and Conn, fam with BT Mul medspec A2DP, AVRCP; fam with MTP; fam with Apple spec IAP1 & IAP2. Fam with Aud/Vid CODECs (lAAC/MP3/MJPEG/H.264). Exp of inte of Cine Med Eng & GraceNote Metadata Eng. Fam with Android Stagefright eng & OpenMAX FW. Fam with EAVB protocols (IEEE 802.1ba, IEEE 802.1 1588, IEEE802.1AS, IEEE802.1Qat, IEEE 802.1.Qav, IEEE 1722). Hnds on Exp of stream aud vid in veh entert sys via EAVB. Exp in des & build larg comp SW in a real-time emb multi-inter env. Shld be well ver with OS conc OOP Des Patt & ov of the sys comp of Linux, Android.

Work location: Livonia, MI. May have long ter assi in other loc in U.S. incl Novi, MI areas. pls send CV’s to: Harman Connected Services Attn: Gokul /Job Code PE-03 2002 156th Avenue NE Suite 200 Bellevue, WA 98007.

September 18, 2017 17

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C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

FORD FROM PAGE 3

that allows the Lions to keep the ticket sales revenue that otherwise would be shared with the rest of the league, Lions President Rod Wood previously told Crain’s. Wood, hired in November 2015 to run the team after years as the family’s investment adviser with Ford Estates, quarterbacked the stadium renovation project. He also oversaw the contract talks that resulted in Stafford’s enormous new contract. Team policy forbids him to speak about the financial details of either. Wood gave Crain’s a personal tour of the stadium renovations on Thursday.

The changes are a mix of technical, physical and aesthetic upgrades aimed at bolstering fan and corporate sponsor satisfaction — which keeps the cash flowing. “From a financial perspective, cash is king. It really rules the roost,” Lions CFO Allison Maki told Crain’s in 2015. While generating a lot of revenue, the Lions also have substantial expenses. The player payroll will float around $160 million-plus this season, and the stadium has a large operational bill. An example of how the Lions manage their cash flow is Stafford’s new deal: He gets a $50 million signing bonus, but $16.5 million is deferred until February.

JACOB LEWKOW FOR CRAIN’S

Detroit Lions President Rod Wood talks about one of the 129 suites inside Ford Field that were completely renovated before this season as part of a $100 million stadium refresh.

Revamp creates cash Refreshing the stadium, especially the experience for the largest spenders, is another way to ensure the money flows. While some changes, such as new food options like HopCat on the stadium concourse, are for general fans, most are directed to premium seating holders, i.e. club seat and suite buyers. Those fans — and the corporate entities that usually lease suites — are stable sources of incomes for pro sports teams. They sign multi-year deals that prop up the Lions’ cash flow regardless of how the team does on the field.

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The heart of the renovation was the complete refurbishment of the stadium’s 129 suites. They got new interior looks, furniture, seats, carpet, fixtures and lighting. Every suite now has a place to sit down to eat, and there are touch-screen ordering systems for food and drinks. Gone are food trays heated with Sterno candles; they’ve been replaced with induction-top counters. On the stadium’s south side, the interior halls for the 112 suites were redesigned to be brighter and to reflect the industrial feel of the site, which was a J.L. Hudson Co. warehouse that was partially incorporated into the stadium as office space. “We wanted to make the decor honor the warehouse look,” Wood said. The club level is now much brighter, and the space outside the suites and four-seat loge boxes has been renovated to become more open. That boosts revenue potential, too. “By changing the flow, we were able to add two new concessions stands,” Wood said. One is a Bloody Mary booth and the other is an El Asador Steakhouse location. The food concepts and stands are run by Chicago-based Levy Restaurants, the stadium’s concessionaire since it opened. The Lions and Levy split food and retail concession revenue under undisclosed terms.

The 17 suites on the stadium’s north side, and a pair of clubs, replace what had largely been a dead space on game days. “It was always considered second class,” Wood said. That renovated south side of the stadium is helping the team offset the $100 million renovation via naming rights deals. For example, Southfield-based Plante Moran PLLC is paying an undisclosed sum to put its name on the 12 theater-style “Plante Moran Terrace Suites” that were built on the fifth level of the stadium’s north side (visitor bench side). That’s a business-minded area now, according to Wood. The dozen corporate suites open to a common area with hot and cold food where fans can mingle. “There could be business and relationships that come out of it,” he said. Chicago-based beer giant Miller-

Coors is another major corporate naming rights sponsor on the stadium’s north side. It bought a club space’s name in July. So did Comerica Bank, putting its name on a two-story club and set of north-side suites. No financial details were released on either deal. Wood is seeking a corporate name sponsor for the remodeled Corner Bar and Grill in the stadium’s northeast corner. The space includes a 90foot bar and a wall of lockers painted in Lions colors and sporting huge video screens. It’s the stadium’s first sit-down restaurant for non-premium seat fans, Wood said. “You don’t have to be a member of a club to have a nice sit-down experience,” he said. Potential naming rights deals for the space have fallen through because the offers didn’t meet the Lions’ expectations. “We’re not going to give it away,” Wood said. In another move to cater to premium seat buyers, all 7,000 club seats were replaced with slightly less thickly padded chairs from Grand Rapids-based Irwin Seating Co. The thinner seats will allow more legroom, Wood said, which had been an ongoing complaint from fans.

Long rumored There were rumors of a Ford Field revamp for years, but it didn’t take life until 2016. Wood pitched the stadium renovation to team owner Martha Ford and her family last summer. They signed off on it, and the demolition work began shortly after the final game in January. The project was made public in February, and construction began in earnest in March. Final elements were being finished this past week. Detroit-based Rossetti Associates Inc. is the project architect and Detroit-based Turner Construction Co. is the general contractor. Grosse Pointe Farms-based Media Swing handled the array of new interior wall graphics. Wood is mum about what’s next for him and the Lions. “There are a few things I’m working on, none of which I can talk about yet,” he said. “Nothing on the magnitude of $100 million.”

C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

SHIFFMAN

WSU

Shiffman has also been making a splash in downtown Detroit as part of the new ownership group of the Ford Building on Griswold Street and as a partner in Parc restaurant on Campus Martius, along with Zaid Elia. Shiffman also said “two or three” other downtown Detroit projects are forthcoming, but declined to reveal specifics other than that they were acquisitions and redevelopments. Millions are expected to be spent renovating the Ford Building in the coming years. Shiffman said about half of the roughly 180,000-square-foot Brookside Terrace’s 27 condominium units have been sold to undisclosed but high-profile buyers, with prices north of $1,000 per square foot and empty nesters being the primary target market. The project, which also includes retail space fronting Old Woodward and event space, is expected to be complete next year. The Peabody’s 162,000-squarefoot redevelopment at 34965 Woodward Ave. is expected to have 10 to 12 apartments ranging from 1,365 to 2,450 square feet on the fourth and fifth floors, with a mix of office and retail space below. The project received preliminary site plan approval last week. Sam Surnow, president of Birmingham-based real estate firm The Surnow Co., called Shiffman “one of the more prominent developers in the area.” “The Brookside project is the very

“If you want to leave, that is fine, but we will have a practice plan,” Wilson said at the meeting on Aug. 18. Several pediatricians at the meeting understood Wilson meant that Wayne State is preparing to create its own pediatric practice plan and then recruit UP group pediatricians who came to Wayne State to teach, perform research and see patients. At the time, Hefner told Crain’s that Wilson is upset that UP violated university bylaws last November by signing a teaching contract with Detroit Medical Center’s Children’s Hospital, which is owned by for-profit Tenet Healthcare Corp. of Dallas. Under a 2003 implementation agreement, contracts with WSU-affiliated groups must include the university, Hefner said. If the new academic pediatric group is formed, several sources told Crain’s they believed nearly half of the 220-member University Pediatricians group would join. About 170 pediatricians are university faculty members. Rumors have flown that pediatricians were told by a DMC official that they would lose admitting privileges at Children’s Hospital if they leave UP to join a new academic group. DMC denies hospital officials made any such statement to pediatricians, said John Truscott, a DMC spokesman with Lansing-based Truscott Rossman. In response to talk about it, Ewald sent an email Sept. 8 to UP doctors to clear the air. She told pediatricians

FROM PAGE 3

KIRK PINHO/CRAIN’S DETROIT BUSINESS

Matt Shiffman said about half of the roughly Brookside Terrace’s 27 condominium units have been sold.

best location in Birmingham for condominiums, and will drive significant economic value to the city through taxes and more people living in the area.” He called the Peabody development one that “will be a great office project that will attract more Class A tenants and rents that enhance the market overall.” The architecture firm on both the Brookside Terrace and Peabody’s project is Birmingham-based AIA Architecture. Rochester-based Frank Rewold and Son Inc. is the construction manager on the Brookside. Kirk Pinho: (313) 446-0412 Twitter: @kirkpinhoCDB

that Children’s will continue to allow admitting privileges to physicians on its medical staff. “Our medical staff is open to all physicians who share our mission and meet our professional standards,” said Ewald in the email that Crain’s obtained. Many non-UP affiliated physicians have medical staff and admitting privileges at Children’s, including doctors with Henry Ford Health System and Beaumont Health. If UP becomes a private group, Hefner said WSU has been told by Angelilli that they would seek other academic affiliates, Michigan State University or the University of Michigan.

Henry Ford potential Options explored by Wayne State include admitting to Children’s Hospital because the physicians already hold staff privileges. But they also could admit to St. John Hospital and Medical Center in Detroit and possibly one of Beaumont Health’s several hospitals, Wayne State and pediatrician sources said. Another long-range possibility exists, however: Henry Ford Hospital, several pediatrician and other health care sources told Crain’s. Henry Ford is the closest hospital besides the DMC campus to WSU’s campus in Detroit. Last fall, Sobel told Crain’s that frustration with a three-year teaching and clinical services contract with DMC led university officials to begin affiliation talks with Henry Ford Health System and its 1,200-physician medical group.

In an interview last week, Wright Lassiter III, CEO of Henry Ford Health System, confirmed that Henry Ford and Wayne State are engaged in talks to improve training of medical students, resident and faculty physicians. He said he welcomed expanded talks that could include pediatrics. “We continue to work through that and explore ways to work with Wayne State on clinical activities,” said Lassiter. Lassiter also confirmed that there have been talks among physicians about a closer relationship between Henry Ford’s medical group and WSU’s 500-member University Physician Group, its faculty practice plan. “That is something a lot of people have talked about. We are not at any point in announcing that decision,” he said. Lassiter also said that Henry Ford has considered reopening its inpatient pediatric department at Henry Ford Hospital. The unit closed in 2002. At the time, Henry Ford ceded pediatric inpatient services — except for routine care — to Children’s Hospital. It now refers all major cases to Children’s. HFHS has 80 pediatricians at more than 20 practice locations in Southeast Michigan and in the Jackson area. Between 40 percent to 50 percent of admissions to Children’s come from Henry Ford doctors, said Charles Barone, M.D., chair of pediatrics at Henry Ford. Jay Greene: (313) 446-0325 Twitter: @jaybgreene

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SPECIAL REPORT: DETROIT HOMECOMING

Stephen Ross, Ford Foundation to invest in Platform projects By Kirk Pinho kpinho@crain.com

Billionaire developer Stephen Ross and the New York-based Ford Foundation are teaming up with The Platform LLC to make a $27.5 million investment in bringing housing to Detroit neighborhoods. Ross, a Detroit native and New York real estate developer who also owns the Miami Dolphins, announced a $7.5 million investment and the Ford Foundation a $10 million investment during the Detroit Homecoming event Thursday night. Their investments add to $10 million from The Platform, a development company formed by Peter Cummings and Dietrich Knoer. The Platform Neighborhood Initiative is bringing affordable housing, plus market-rate apartments, to areas outside of the significant development that’s already taken place in the downtown and Midtown areas. Neighborhoods targeted for the af-

fordable housing projects include: Islandview, Brightmoor/Old Redford, Live6, New Center, TechTown, Milwaukee Junction, North End, Eastern Market and the Riverfront. “If you have a real estate personality as prominent as Stephen Ross and an institution like the Ford Foundation making these kinds of commitments, it says as much about the city of Detroit as it does The Platform,” said Cummings. He said Ford Foundation CEO Darren Walker and Ross, who also owns the Miami Dolphins, met a few weeks ago on other business and began discussing Detroit Homecoming and potentially making an investment. Ross agreed to call Cummings, a longtime acquaintance, and the deal was set in motion. “It’s an expression of his confidence in the kind of work we are doing and the dynamic market we have in Detroit,” Cummings said.

The partnership is also “yet another example of the commitment Darren Walker and the Ford Foundation have to Detroit.” Cummings and Ford Foundation CEO Darren Walker engaged Ross in a conversation about the special moment Detroit is in, said Xav Briggs, who is vice president of economic opportunity and markets and oversees the foundation’s Mission-Related Investment Fund. “The city is resurging. (But) by the same token, not everybody is a part of that.” The three investors each bring something, Briggs said: Platform with the neighborhood development plan, the Ford Foundation with its mission-related investment and broader strategy to support equitable revitalization in Detroit, and Ross with a connection to his hometown and the ability to influence future investment.

Dan Gilbert asks Stephen Ross, Draymond Green about national anthem protests By Bill Shea bshea@crain.com

Detroit real estate mogul and NBA team owner Dan Gilbert broached the third rail of sports Thursday evening: Racial inequality protests by pro athletes during the pregame national anthem. Gilbert sat behind a desk, talk show host-style, on the stage at the Detroit Institute of Art’s Film Theatre to a host a chat with billionaire real estate baron and Miami Dolphins owner Stephen Ross and Golden State Warriors star Draymond Green. Ross is a Detroit native and University of Michigan mega-donor, and Green is from Saginaw and played college basketball at Michigan State. The trio were assembled as part of the fourth annual Detroit Homecoming, a gathering of former Detroiters produced by Crain’s Detroit Business. They discussed Detroit’s recovery and business and their college rivalries, but then the two billionaires and a millionaire took the light-hearted conversation to a serious place. Gil-

bert asked the pair about former San Francisco 49ers quarterback Colin Kaepernick kneeling last season during the national anthem to raise awareness of racial injustice in the United States. The mention of Kaepernick drew applause and cheers from some in the audience. Ross, who created a national anti-racism initiative a few years ago, backs the right of players to protest. “This is a country where people are allowed to express themselves,” he said. Ross’ Miami Dolphins lost their starting quarterback during training camp but opted to sign Jay Cutler, the longtime Chicago Bears passer who’d been cut by the Bears, as a replacement instead of Kaepernick because Dolphins coach Adam Gase had coached Cutler in the past. “I would have hired (Kaepernick),” Ross said, then explaining that his coach wanted Cutler because of their familiarity. Athletes kneeling during the an-

them has become a national topic, with plenty of heated opinions for and against Kaepernick, who remains unsigned. He’s the biracial adopted son of white parents, and a cadre of sports pundits say Kaepernick has been blackballed by NFL owners because his protests are a distraction. The protest is important, Ross said. “It started a conversation that needed to be had,” Ross said, adding that he believes Kaepernick will get signed. “It’s unfortunate it hasn’t happened yet.” Gilbert noted that some people support Kaepernick’s agenda but oppose his form of protest because they see the flag as a symbol to honor the military. He said his father, a veteran, would be spinning in his grave over the kneeling. Green, 27, is African-American and backs Kaepernick’s use of his celebrity platform to spark change. “America is the land of the free,” he said. “I don’t see the big deal about him taking a knee. He didn’t burn or throw down the flag.”

Startups win $40,000 at pitch competition By Kurt Nagl knagl@crain.com

Four startups in Detroit won $10,000 awards at Homecoming Detroit on Friday for projects focused on improving the health and lives of residents. RecoveryPark Farms Inc. received the most votes from Homecoming attendees and was named the Hardest Working Entrepreneur. The nonprofit startup, founded by Gary Wozniak, aims to rebuild vacant land and create jobs in Detroit. Detroit-based Alerje LLC, founded by Javier Evelyn, also won an award. Its goal is to increase the quality of life for people with food allergies by merging a digital health approach

Need to know

JJFour local businesses won $10,000 each. JJA dozen local entrepreneurs speed-marketed their ideas to a crowd of influential Detroit expats. JJThe Homecoming event was inspired by Urban Science CEO Jim Anderson.

with the Internet of Medical Things. Detroit Vegan Soul also took home a $10,000 award. Co-owned by Kirsten Ussery, the business’ mission is to improve health by providing nutritious vegan food in the city. The final winner was the startup It Comes Naturally LLC, a natural skin care company founded by Iyinoluwa

Omishope. The awards were distributed following the Urban Entrepreneur Showcase pitch competition on Thursday, which saw a dozen local entrepreneurs speed-market their ideas to a crowd of influential Detroit expats. The pitch competition was inspired by Urban Science CEO Jim Anderson, a Homecoming Host Committee member who donated $25 million to Wayne State University’s College of Engineering to support local entrepreneurs. Detroit-based Ally Financial Inc. sponsored the $20,000 cash award, which Anderson then matched for a total of $40,000.

BRIGHTMOOR FROM PAGE 1

Expatriates who once called Detroit or its suburbs home were exposed to different ways they can put their money and influence into the city’s ongoing revitalization. Sessions at the three-day conference focused on efforts underway to link Detroiters with new opportunities for employment and entrepreneurship. The neighborhood tours Thursday afternoon came hours before Detroit native and billionaire real estate developer Stephen Ross and the Ford Foundation announced $17.5 million in new investments in affordable and market rate housing outside of the greater downtown area. The $7.5 million Ross committed is the New York real estate mogul’s first major investment in the city where he was born. Detroit Homecoming participants had the chance to go on one of three neighborhood tours in Brightmoor, the Dexter-Linwood area around Central High School and the Livernois and McNichols corridors, which is known as LiveSix. And some walked away determined to get in. Gujral said he plans to follow up with Artesian Farms owner Jeff Adams about how an investment could help the small indoor farm grow its lettuce, spinach, kale and basil production. After touring the facility on Artesian Street on the city’s northwest side, Gujral and other expats had a chance to sit down with Adams and drill into the mechanics and financials of his business during a “speed meeting” at Motor City Java & Tea House on Lahser Road. In just over two years, Artesian Farms has snagged contracts to sell its pesticide-free greens in Plum Market, Westborn Market, Papa Joes, Arbor Farms and 15 Busch’s stores in Southeast Michigan, Adams said. Annual sales are approaching $200,000, Adams said. “It’s a quick conversion of cash,”

C R A I N ’ S D E T R O I T B U S I N E S S // S E P T E M B E R 1 8 , 2 0 1 7

AMAZON FROM PAGE 1

PHOTOS BY ADAM SPARKES FOR CRAIN’S

A group of Detroit expats who learned about business opportunities in Brightmoor met at Motor City Java and Tea House.

Above: Detroit expats toured Artesian Farms, an indoor leafy greens growing business in Brightmoor.

Left: Amady Gueye, owner and chef at Maty’s, Detroit’s only Senegalese restaurant, welcomes the Detroit Homecoming tour group.

Adams told Gujral during the speed meeting. Gujral admits he’s a small investor. But he sees the energy around Detroit’s perceived comeback as an opportunity to at least play a small part in it. “I think the idea of having a brand around Detroit farming is incredible,” he said. The neighborhood tours were organized based on feedback from participants at last year’s Detroit Homecoming who said they wanted to get out of the greater downtown area. The Rev. Larry Simmons, executive director of the Brightmoor Alliance, said his tour exposed expats to different opportunities and needs in the city’s long-neglected neighborhoods while giving entrepreneurs in his community the chance to pitch an outsider on how they’re trying to make a living. “As we talk about including members of the neighborhoods in the revival of Detroit, these opportunities are indispensable,” Simmons said. “They sharpen the skills of the residents and they broaden the understanding of investors about what’s possible in Detroit.” Southfield native Jeff Sklar, a corporate and entertainment law attorney in Los Angeles, said the threeday conference got him thinking about how he could use his connections on the West Coast in entertainment and media industries to leverage investment in Detroit. “Not only I am having a good time, but I think there’s a lot of ways I could contribute,” said Sklar, co-chairman of the Los Angeles-based law firm Sklar Kirsh. “That’s something I’ve got to figure out.” Sklar has family in Oakland County and visits metro Detroit four times a year. “I had never really thought that there was a way I could contribute to the renaissance,” he said. “And now I intend to do it.” Chad Livengood: (313) 446-1654 Twitter: @ChadLivengood

international airport were critical components to its plans to plant up to 50,000 workers in a city outside of its hometown of Seattle. “What Amazon has proposed is a reminder that any major site location in our region which adds a good number of employees requires better public transit than we have,” said Paul Hillegonds, chairman of the Regional Transit Authority of Southeast Michigan. “We’re simply not well-connected. And growth, which we all want, will require better connections.” As Duggan tapped Quicken Loans Chairman Dan Gilbert to lead a Super Bowl-like bid for Amazon, discussion at last week’s Detroit Homecoming gathering of business leaders and former Detroiters centered on how the city could overcome long-shot odds of being the winning city. “The prospect of the Amazon headquarters underscores the reason regional transit has to be addressed,” said Jim Martinez, spokesman for Wayne County Executive Warren Evans. Duggan said there will be a transit team within Gilbert’s committee tasked with addressing how Amazon employees would get around. “Everyone recognizes that our challenges in regional transit are one of the key hurdles to overcome,” said Sandy Baruah, president and CEO of the Detroit Regional Chamber. Baruah, who is playing a supporting role in the bid for Amazon, said there could be “creative solutions” to existing mass transit shortcomings detailed in the Amazon proposal. “Dan and the mayor have a plan for this, and I don’t step on them,” Baruah said. In an interview at Detroit Homecoming, Duggan declined to say how Detroit and the region might address its mass transit issues in the Amazon proposal, which is due Oct. 19. But as the Amazon proposal gets written, Duggan and the four county leaders have hired transportation consulting firm HNTB Corp. to present options by October for revising the 20year, $4.6 billion transit plan that was defeated last year by about 18,000 votes. One option on the table is ask the Legislature to change the state law to narrow the footprint of the RTA to only served densely-populated areas of the four counties, Hillegonds said. “It gets a little complicated splitting up Macomb,” he said. The regional leaders want the consultant’s report by next month because a change in law would likely need to be passed before the 2018 election year schedule in Lansing sets in. “I believe we have a very narrow window to seek any change in statute, which would be this fall legislative session,” said Hillegonds, a former speaker of the Michigan House.

‘Awful lot of waste’ At Detroit Homecoming, during discussion about Amazon, Duggan used an audience question about public transportation to call for a joint-operating agreement between the Detroit Department of Transportation (DDOT) and the Suburban Mobility Authority for Regional Transportation (SMART), which he once ran. Duggan said there’s “an awful lot of waste” running three bus systems in

Detroit from the Regional Transit Authority RefleX, SMART and DDOT. SMART operates in the suburbs, DDOT buses run routes within the city and RefleX is a regional limited-stop bus line run by both systems between the city and suburbs. “I don’t know if it’s possible, but in my mind we ought to see if we can put these together in one centrally run bus system,” Duggan said. The RTA set up the RefleX service along Woodward and Gratiot avenues as a pilot to demonstrate faster-moving bus service with fewer stops can speed commutes along metro Detroit’s busiest cross-county corridors, RTA interim CEO Tiffany Gunter said. Part of the pitch to Amazon could be that the company itself could be “a change agent” by investing in the mass transit system its tens of thousands of new employees would take to work every day, said Eric Larson, CEO of the Downtown Detroit Partnership. “If they want to be a community where they could meaningfully make a difference, where they could visibly see the positive impact that can come corporate philanthropy — because that’s really what it will take — there’s really not a better model and there’s no better time than Detroit,” Larson said.

Lack of unity Last November, the RTA’s 1.2-mill transit tax proposal won a majority of votes in Wayne and Washtenaw counties, but was sunk by Macomb County’s 39.9 percent approval margin along with a slight deficit in Oakland County. The campaign was overshadowed by the presidential election and was criticized for not having enough input from locally-elected officials with the influence to help win votes. “The last time, the problem was the three county executives and I weren’t very deeply involved in that plan,” Duggan said Wednesday at Detroit Homecoming. “We’re not going to have that happen again.” Under state law, seven of the nine members of the RTA board have to vote in favor of a millage proposal for it to go on the ballot. The board consists of two voting members each from Macomb, Oakland, Washtenaw and Wayne counties and one voting member from Detroit. Hillegonds, an appointee of Gov. Rick Snyder, serves as the non-voting chairman of the board. Hillegonds is seeking to avoid a repeat of last year when Oakland County Executive L. Brooks Patterson and Macomb County Executive Mark Hackel raised late concerns about the proposed bus rapid transit service just months before it went on the ballot. Local officials also are cognizant that a lack of unity on regional transit may not bode well for getting Amazon’s planned $5 billion investment and 8 million square feet of office space that the company says it needs over the next 15 years. “That cohesion will clearly be an important part of the headquarters pitch,” Martinez said. Even if Amazon passes on Detroit, the exercise of examining transportation needs for future business development is “a very good thing,” said Carmine Palombo, deputy executive director of the Southeast Michigan Council of Governments. Chad Livengood: (313) 446-1654 Twitter: @ChadLivengood

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Christine Derdarian, an attorney in Sylvan Lake representing the Michigan Radiological Society, said the corporate practice of medicine doctrine was created to protect the public and recognize that “learned professions” such as medicine, law and the clergy operate differently than other businesses. “(Physicians operating medical service practices) require a tremendous amount of training because lives are at stake,” Derdarian said. “Investors and entrepreneurs are drawn to (owning medical service companies because of the money from) Medicare, Medicaid and commercial payers.” Chris Cataldo, an attorney with Jaffe Raitt Heuer & Weiss in Southfield who represents Oakland MRI, said the radiologist society simply wants to limit legitimate competition. “We followed all the rules the state put before us,” said Cataldo of Oakland MRI. He contends the laws apply only to individuals delivering medicine without a license, not the owners of medical facilities that manage the services. (See story, Page 14.) Gaurang Shah, M.D., past president of Michigan Radiological Society, said the society is suing Oakland MRI out of principle because of the proliferation of business-owned imaging centers and other medical centers in the past decade. He said the board has nothing against Oakland MRI or Swider specifically. “We believe that patient safety and welfare of the patient is best served by having a physician own (the medical facility) rather than a businessperson,” said Shah, who is an associate professor of radiology and director of clinical functional MRI at the University of Michigan. “Businesspeople have responsibility to their shareholders, and that takes precedence over patient welfare. This is why the law was enacted.” On its face, Michigan state law appears clear, as illustrated by Attorney General Bill Schuette’s successful legal action to shut down three abortion clinics because the medical facilities were owned by nonphysician businesspeople. In addition, the U.S. attorney’s office in Detroit has successfully prosecuted and convicted several fraudulent medical clinics owned by businesspeople. (See sidebar, Page 15.) It has cited Michigan’s corporate practice of medicine doctrine in court filings, suggesting the federal government recognizes Michigan’s laws on ownership of medical facilities. Under the law, physicians, lawyers, dentists and ministers are required to incorporate their practices or medical facilities either as a professional services corporation or a professional limited liability corporation and they must be licensed, several legal experts and state officials told Crain’s. The types of professionals are listed in the state’s “learned professions doctrine.” At least two attorneys, however, who have ties to business owners of imaging centers, told Crain’s that the law is unclear and may not apply to certain types of services. They say imaging centers are not specifically listed as being covered as medical facilities and that they only offer “technical services,” not professional medical services. The attorneys say contracted or employed radiologists perform

Chris Cataldo: Says ownership model is legal.

Gaurang Shah: Lawsuit out of principle.

those services and sometimes bill separately for their services. However, various Michigan laws “prohibit a for-profit entity, either a corporation or a limited liability company, from practicing medicine or employing a physician to provide professional medical services,” according to a 2014 opinion by the State Bar of Michigan Health Care Law Section. The various laws clearly state that “only licensed physicians may own and manage medical service businesses,” said Patrick Haddad, cochair of the health law practice with Kerr Russell in Detroit. Russell represents the Michigan State Medical Society. There is an exemption for nonprofit entities like hospitals owning covered physician services. In 2015, the Michigan Legislature also exempted all types of nursing homes, both nonprofit and for-profit.

Ownership defended Business owners and legal representatives of MRI centers told Crain’s they are operating legitimate and legal operations. Joshua Katke, CEO of M1 Imaging Center in Berkley, said he doesn’t believe state law required him to be a physician to own his three imaging centers. In July, M1 Imaging acquired Great Lakes MRI of Michigan in Warren and also operates LIV Open MRI in Livonia. But Katke told Crain’s after discussing the issue with MRS he now believes licensed physicians should be the only ones allowed to own imaging centers. He is supporting possible state legislation to clarify public health code rules. He also has reorganized his three imaging centers and sold his ownership interest to radiologist Chinton Desai, M.D., his medical director. Katke remains as the centers’ CEO. “We want to be on the right side of this issue. ... Dr. Desai (is) the sole owner” of M1, Katke said. “I believe only licensed doctors should own imaging centers.” Katke said he adopted this position last fall based on his belief that physician ownership of MRI centers can ensure high quality care. He said lay ownership can create conditions where insurance fraud and abuse could occur. But Katke said he disagrees with the radiological society’s interpretation of the corporate practice of medicine doctrine. When he owned the centers, he said he complied with the law, incorporating as a limited liability company and obtaining a certificate of need. When Katke owned M1 and employed Desai as medical director and contracted with other radiologists, he said he wasn’t practicing medicine. He said he submitted global payment bills to health insurers that included charges for technical services by his office staff and professional services performed by the radiologists. He received the insurance payments and then transferred the professional fee portion of the payment to the radiol-

ogists, he said. On M1 Imaging, Shah said: “If Dr. Desai owns the imaging centers, he is following the letter of the law. That is fine with us.” But to clarify Chesbrough: the law because Says practice of the controverhas risks. sy, Katke said he has drafted a bill to change the public health code. The bill would require ownership of imaging centers be held by licensed physicians. Katke said he has discussed the proposed bill with State Sen. Arlan Meekhof, R-West Olive, the Senate majority leader. Meekhof told Crain’s he is considering sponsoring the bill. Shah said the radiological society doesn’t feel a need to go to legislators for clarification of the law because he said it is already clear.

Lack of enforcement Derdarian and Richard Chesbrough, M.D., a retired radiologist who is a consultant in the case against Oakland MRI, said they have alerted LARA officials since 2012 and the attorney general’s office since last year about business entities violating the state’s corporate practice of medicine laws. Because of this, they said the radiological society decided to initiate the lawsuit. But in a Sept. 22, 2015, opinion from Mike Zimmer, the former LARA director, current state laws on the corporate practice of medicine are clear and “unambiguous” and require “no further clarification.” Zimmer also cited opinions from former state Attorney General Frank Kelley going back 37 years that “it is not a lawful purpose of a corporation to contract with other persons to provide medical care through the officers, agents or employees of the corporation.” Derdarian said Zimmer’s letter confirmed state law prohibits unlicensed individuals or corporate entities from offering medical services unless their businesses are wholly owned or managed by physicians. “The problem here is if businesspeople apply under limited liability or the business corporation act, there is not sufficient information asked for on the form to trigger action by the state,” Derdarian said. “People are slipping through the cracks.” LARA officials declined to comment on the 2015 Zimmer letter, citing advice of its lawyers. But a LARA spokesman, Jason Moon, said the following in a statement: “LARA works to ensure that businesses offering covered medical services are incorporated according to state law. When we discover or receive information that a business entity has unlawfully incorporated, we first attempt to bring the business into compliance.” If LARA receives a complaint about an unlawfully incorporated business, Moon said LARA would refer the complaint to the Michigan attorney general’s office. Julia Dale, LARA’s bureau director for corporations, securities and commercial licensing, said LARA has referred an unspecified number of complaints of improperly organized companies to the attorney general’s office. In June 2016, after the Michigan Radiological Society gave up trying to alert LARA to problems with its business application review process,

the society filed a complaint to Schuette about for-profit Oakland MRI, Derdarian said. However, Schuette declined to use the same state corporate practice of medicine statutes to take action against Oakland MRI and Swider, a gemologist by training who does not hold a medical license, as he did against the abortion providers. Derdarian, who was an assistant attorney general for 28 years under Kelley and former Gov. Jennifer Granholm, said Schuette is hypocritical because he has taken action on abortion clinics owned by businesspeople. “They can select what cases to pursue. Like a cop selecting one car to stop and ticket and let the others go,” she said. For example, Schuette shut down three abortion clinics owned by non-physicians — Summit Women’s Center in Detroit in 2016, the Health Care Clinic in Delta Township and the Women’s Choice Clinic in Saginaw in 2011. “To protect the public, state law requires that medical and other professional services be provided through corporations owned by licensed professionals,” said Schuette in a press release in April 2016. In May 2016, Rose Ramirez, M.D., at the time president of the Michigan State Medical Society, issued a letter demanding state government enforce its corporate practice of medicine laws. “We insist on active enforcement of existing Michigan law and will no longer accept physicians working for, or contracting with, unscrupulous business professionals, illegally structured corporations or entities associated with organized crime,” Ramirez wrote. Schuette’s office declined to comment, citing ongoing litigation. When asked about complaints filed by Chesbrough and the Michigan Radiological Society that LARA isn’t reviewing applications related to the corporate practice of medicine closely enough, Dale said she is unaware of any such complaints. “It has not been brought to my attention,” she said. Dale said LARA reviews a number of business incorporation applications and each is different. Kim Gaedeke, LARA’s director of the bureau of professional licensing, said it is “very infrequent” that the bureau advises Dale’s corporation bureau of problems with applications that were filed as an LLC but should have been filed as a PC or PLC because they are medical service companies. “There is personal responsibility. They know what the law is and should file appropriately,” Gaedeke said when asked about companies that attempt to disguise their true business operation. Bret Jackson, president of the Economic Alliance for Michigan, said the state should do more to enforce the corporate practice of medicine laws. He said the proliferation of hospitals and imaging centers can lead to unnecessary and costly medical procedures, driving up health care costs for businesses and insurance premiums. “No matter who owns the facilities we want to make sure patients are treated with appropriate care,” Jackson said. “Any motive that is different from that objective we’d be concerned about.” Jay Greene: (313) 446-0325 Twitter: @jaybgreene

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HFHS issues AI challenge to companies in Israel

BEDROCK LLC

The redevelopment of the former J.L. Hudson’s site in downtown Detroit was updated Wednesday. As now envisioned, the project is to include 240,000 square feet of office space (down from 275,000), 330 apartments (up from approximately 250),100,000 square feet of retail space plus 120,000 square feet of event space and an exhibition and skydeck totaling about 90,000 square feet.

Hudson’s site project swells

n updated vision for Dan Gilbert’s planned redevelopment of the J.L. Hudson’s site downtown calls for a taller, more expensive building than previously proposed, but Detroit’s most influential real estate developer needs more time to complete it. Jozef Guziewicz, vice president of construction for Gilbert’s Bedrock LLC, said the residential tower is now planned to be above 800 feet, taller than the 734-foot tower unveiled in February as part of a $775 million redevelopment of the long-vacant site. The project is now expected to cost about $900 million. The building’s height grew because some of the residential units in the previous plan would have had views obstructed by Gilbert’s One Campus Martius office tower, so now all of them will be above the 15-story building across the street. In addition, although construction is still expected to begin in December, Gilbert’s team is asking the Downtown Development Authority board for more time beyond December 2020 to complete it, Guziewicz said during a meeting last week at the Guardian Building downtown. No vote was taken. As now envisioned, the project is slated to include 240,000 square feet of office space (down from 275,000), 330 apartments (up from about 250), 100,000 square feet of retail space plus 120,000 square feet of event space and an exhibition and skydeck totaling about 90,000 square feet. Beyond the height and cost of the project, perhaps the most significant change is that the 2-acre block is no longer expected to be one large building, but instead two: One of about nine stories, and the 800-foot primarily residential tower, separated by a public alley space with retail to provide direct access from Woodward to Farmer Street.

Detroit digits A numbers-focused look at last week’s headlines:

26 percent The ratio of Michigan employers who are optimistic about business conditions improving in the next six months, according to a new survey by the American Society of Employers.

1,000 The number of people Amazon Inc. plans to hire for its $5 billion Shelby Township distribution center.

$3.3 million The amount the Kresge Foundation announced it is giving in grants to support day-to-day operations of 21 revitalization-focused Detroit organizations.

BUSINESS NEWS J Lululemon Athletica is opening its concept store aimed at local engagement in downtown Detroit on Sept. 22. J Little Caesars Arena opened last week with big crowds, excitement and protests against Kid Rock’s inaugural act. J Olympia Entertainment Inc. and Olympia Development of Michigan LLC announced a new app to help guests at The District Detroit and Little Caesars Arena park and organize their visits. J About $6 million of new housing development is set for the Woodbridge Farms Historic District in Midtown Detroit, if all goes according to plan for the Procida Diggs Development Group. J Bedrock LLC plans to tear down a 30,000-square-foot community center along Washington Boulevard to make room for a new parking deck. J Happier Camper, a startup that

makes customizable vintage-style trailers, opened its Midwest distribution center and showroom in Corktown. J The historic, 33-story Westin Book Cadillac Detroit hotel is getting a multimillion-dollar rehab next year. J Lynne Krueger and her husband Gerald Krueger, the owner of Detroit-based American Community Developers Inc., have purchased the Grosse Pointe Hunt Club and plan to renovate. J The monthly community crowdfunding dinner Detroit Soup is becoming a program of business accelerator Build Institute. J The storied architecture firm Yamasaki Inc. is back in Detroit with a new 3,000-square-foot headquarters office in the Fisher Building in the New Center area. J The Kroger Co. plans to take over a lease on a lot in St. Clair Shores occupied by Kmart and build a new, larger grocery store there. The Kmart would be demolished, but it isn’t yet clear when it would close. J Financial media outlet Benzinga is rallying local support for its Detroit Fintech Association as it looks to formally introduce the group to the city’s banking and emerging technology industries.

OTHER NEWS J The University of Michigan athletics department has added new compost and recycling bins around the Big House as part of its “zero waste” campaign at home football games. J State officials said Michigan’s unemployment rate rose by two-tenths of a percentage point to 3.9 percent for August even as the number of people in the workforce declined for the fourth straight month, the Associated Press reported.

OBITUARY J Glenn Haege, a longtime host of the “Handyman Show with Glenn Haege” and a columnist for The Detroit News, died of cancer last Monday. He was 70.

enry Ford Health System’s innovation leader Scott Dulchavsky, M.D., has issued a challenge to startup companies in Israel to co-develop health care technology with the Detroit-based health system that involves artificial intelligence. Dulchavsky made the AI challenge announcement Thursday in Tel Aviv at the 4th Annual mHealth Israel Conference. The competition is limited to Israeli companies. “We really want to push the limits this time,” said Dulchavsky, CEO of the Henry Ford Innovation Institute and chairman of surgery at Henry Ford Hospital, in a statement. “The massive amount of health care data available now is driving AI and machine learning applications at an astounding rate. With the academic and research acumen we have at Henry Ford, we are uniquely positioned to be part of this revolution.”

Henry Ford’s new Global Technology Development Program is designed to identify cutting-edge health care technologies from Israel and co-develop and launch them for adoption in the U.S. market, said Mark Coticchia, vice president and chief innovation officer for Henry Ford. “The mission of Henry Ford Innovations has always been to improve patient care and reduce costs,” said Coticchia in a release. “AI concepts like machine learning and neural networks can help us do both by analyzing and interpreting complex medical data better than humans alone.” The challenge winner will receive project funding up to $75,000, ability to work with notable mentors and subject matter experts and an introduction to the U.S. market. The program is sponsored by the William Davidson Foundation.

What gifts should Detroit bear to Amazon’s Bezos?

he race to lure Amazon’s HQ2 is turning into a gift competition, apparently. An economic development group in Tucson, Ariz., sent a 21-foot saguaro cactus on a flatbed truck to Amazon founder Jeff Bezos in Seattle. Why? “We want to break through the clutter and be noticed by Amazon,” Joe Snell, president and CEO of Sun Corridor Inc. told the Arizona

Daily Star. We’re not sure cluttering up Bezos’ lawn is the way to go, but it does raise the question: What would Detroit’s unique gift be? A replica of the giant tire on I-94? Girders from the Silverdome? Fresh-picked cattails from Belle Isle? Maybe you can help. Send your suggestions to Crain’s Managing Editor Michael Lee at malee@crain.com.

Benson eyes a run for secretary of state

ometimes your boss gets out in front of you. That was case Thursday night at Detroit Homecoming when Miami Dolphins owner and native Detroiter Stephen Ross lavished praise on Jocelyn Benson, CEO of his Ross Initiative in Sports for Equality. Benson left her perch last year as dean of the Wayne State University Law School to run Ross’ effort to improve race relations through professional sports. But Ross suggested Thursday night during a talk about sports at Detroit Homecoming that Benson may not be sticking around much longer. “We’re probably going to lose her because she’s probably going to run for Secretary of State of Michigan,” said Ross, a billionaire real estate developer. Benson, a Democrat and election law expert, lost a race for Secretary of State in 2010 and passed on a rematch with Republican Secretary of State Ruth Johnson, who is barred by term limits from seeking re-election next year. In an interview Friday, Benson

Jocelyn Benson.

WAYNE STATE UNIVERSITY

said she’s “seriously considering” another bid for the seat. “I think that’s no secret,” Benson told Crain’s. “I have a job that I love right now, and I’m weighing various options.” Benson, 39, said she’d likely make a decision on whether to run within “the next several weeks or maybe a month.”