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Readers first for 30 Years Not scared of the big pumpkins Independent costume CRAIN’S shops dress up in their own way, DETROIT BUSINESS PAGE 3 OCTOBER 19-25, 2015 Medicaid Housing market change may rock HEATS UP insurers HAP Midwest among those taking a hit By Jay Greene [email protected] The financial impact from the potential loss of Medicaid contract business in Michigan could be massive next year for Detroit-based Henry Ford Health System and its 100,000-member HAP Midwest Health Plan, which accounts for half Sales,prices hit 10-year highs; of the five-hospital system’s profits. Lansing-based Sparrow Health experts don’t see a cooldown soon System, which owns Sparrow PHP, a 20,000-member Medicaid HMO, also could take a hit, though much By Chad Halcom Southeast Michigan were at 10-year highs smaller than what’s expected for [email protected] for each of those five months, soaring even Henry Ford, based on Medicaid con- ummer has flown by, but a gather- in markets where total sales volume was tract recommendations issued last ing heat in the Southeast Michi- weak. week by the state Department of gan housing market is unlikely to Experts say the tide is rising on several Health and Human Services. Scool soon, now that the backlog of factors: pent-up demand from buyers who Unless the recommendations are foreclosed homes is nearly gone and buyers sat out the last recession, sellers who also overturned in November in a hear- are looking to beat a creep in interest rates. waited and are no longer underwater on ing before the State Administrative Home sales across much of the area hit mortgages, and a clearing inventory of Board, Henry Ford Health and Spar- 10-year highs in three of the past five bank-owned homes. row will lose out as the state converts months, according to Realcomp II Ltd. The Realcomp reports that foreclosure prop- from a county-based Medicaid ap- Farmington Hills listing service reports that erties in the greater region decreased more proach to a 10-region system. home sales in a four-county region of metro or less steadily from 6.4 percent of sales in LON HORWEDEL At stake for all 11 of the state’s Detroit rose 8.4 percent for 26,174 sales for May to 5 percent in September figures re- Already sold is this home (top) in Hunter Pasteur Homes’ Medicaid HMOs are six-year con- May through September, compared with leased last week. StoneLeigh development in Lyon Township; (bottom) HQ tracts worth a total of $42 billion for 24,156 sales in the same period of 2014. “That’s almost back to normal,” said Dan Exteriors employee Jim Daniels works on a StoneLeigh the 1.7 million Medicaid members. Median sale prices for a larger region of SEE HOMES, PAGE 24 home. Officials for HAP Midwest and Sparrow PHP, which have scored high marks in national quality rat- ings, declined to comment. State Medicaid Director Chris Analysis: Why Tigers might be sold – and why they might not Priest told Crain’s the state will re- view decisions with Medicaid HMOs With a disappointing Detroit also some scuttlebutt in the busi- employed him as a minor-leaguer that have appealed, including HAP Tigers season now in the history ness community — that team in the early 1950s. Since 2006, he’s Midwest. But he said the recom- books, talk has turned to potential owner Mike Ilitch or his heirs could spent $1.5 billion on players to get mendations were based on a com- free-agent player signings and line- sell the baseball club he bought for that elusive championship. The prehensive review. up changes for next year. $85 million in August 1992. club’s front office in recent weeks There also are whispers — mostly The Ilitch family says it intends to has said such spending, rather than SEE MEDICAID, PAGE 21 bar talk and Internet chatter, but keep the team: “None of our busi- significant cutbacks, will continue nesses or teams are for sale. Careful BILL SHEA next season. planning has been done over many [email protected] So why sell? Sports industry in- © Entire contents copyright 2015 years by Mike and Marian Ilitch to Twitter: @bill_shea19 siders estimate the Tigers could by Crain Communications Inc. All rights reserved. ensure the Detroit Tigers, the Detroit fetch more than $800 million on the crainsdetroit.com Vol. 31 No 42 $2 a copy. $59 a year. Red Wings and our entire family of At age 86, Mike Ilitch appeared in open market. That could be a strate- businesses remain under ongoing good health Oct. 2 at the annual gy to offset what might be an enor- and long-term Ilitch ownership,” Goodfellows Breakfast, which hon- mous estate tax bill, and to provide said son Chris Ilitch, CEO and presi- ored Chris. But his health — and in- cash for the family’s wave of new in- dent of Ilitch Holdings Inc. tentions — often are a topic of spec- vestments in Detroit. However, plans can change and ulation among fans and pundits. Conversely, those investments there are compelling reasons to sell, Publicly, Mike Ilitch has been are a major reason to keep the despite the patriarch’s financial and outspoken about his hunger to win NEWSPAPER emotional investment. a World Series with the team that SEE TIGERS, PAGE 25 20151019-NEWS--0002-NAT-CCI-CD_-- 10/16/2015 5:00 PM Page 1

2 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015

Andrew Liveris, was exploiting his serene woodland panorama. Ann MICHIGAN position to finance his lifestyle, fur- Loveless also won in 2013. Kate INSIDE ther his personal pursuits, or favor Gilmore of New York won via jury THIS ISSUE his family and friends. In more than vote for “Higher Ground,” for which BANKRUPTCIES ...... 23 CALENDAR ...... 16 2,000 pages of documents reviewed she transformed a former Grand CLASSIFIED ADS ...... 21 by the news service, new details and Rapids convent into performance DEALS & DETAILS ...... 20 allegations call into question how art with women swinging on swings MARY KRAMER ...... 8 BRIEFS Liveris has been running the $58 in open windows. The competition OPINION ...... 8 billion company, and how its inter- brought 1,550 entries to Grand OTHER VOICES ...... 9 Lawmakers approve aid for sort is tapping into the “tiny house” nal watchdogs battled with him Rapids this month. PEOPLE ...... 20 Flint to switch water source fad by opening an area devoted ex- over what they considered inappro- Ⅲ Michigan State University and RUMBLINGS ...... 26 clusively to high-end cabins, priate practices and perks. Plymouth-based corporate partner WEEK ON THE WEB ...... 26 Flint will receive $6 million in MLive.com reported. Ⅲ Executives from Grand Rapids- Fraunhofer USA are investing $5 mil- state funding to help switch its The 400-square-foot houses, based Lake Michigan Credit Union and lion in the expansion of the MSU- drinking water source after the dis- built by Wheelhaus of Jackson Hole, United Federal Credit Union of St. Fraunhofer Center for Coatings and Di- COMPANY INDEX: covery of lead and other problems Wyo., will start at $129,000, said Joseph announced a merger to amond Technologies in East Lansing, SEE PAGE 24 connected to water quality, The As- David Scheppe, the resort’s opera- form an organization with more where diamonds are grown for in- sociated Press reported. Gov. Rick tor and developer. An additional than $6 billion in assets with dustrial purposes. Snyder approved nearly $9.4 million studio shed can be purchased for 500,000 members in 78 locations in Ⅲ “Miss Margy,” the newly built by the Historic Hotels of America. in aid last week that includes $9,000. The buildings are placed on seven states, MiBiz reported. The ferryboat for transporting passen- Ⅲ Would it really be Christmas if money for water filters, inspections a 5,000- to 13,000-square foot lot deal is scheduled to close by year’s gers between Mackinac Island and Michigan’s official holiday tree did- and lab testing; the Senate and that can be leased for up to 15 years end. the mainland, made its maiden n’t come from the Upper Peninsula? House previously voted for the aid. for $450-$500 per month. Ⅲ Improving information tech- voyage last week, AP reported. The The state announced last week that Flint stopped getting its water “We’re an alternative to the con- nology in government could save 85-foot vessel, the first ferryboat to the 66-foot spruce from the western from Detroit’s system last year in a dominium,” said Scheppe, who op- Michigan $286.8 million over the be built in northern Michigan, is U.P. city of Wakefield, in Gogebic cost-cutting move but, as it awaits a erates the 150-acre campground next five years, according to a report named for the mother of Bill Shep- County, will arrive at the Capitol on new pipeline to Port Huron, has had annually from May through Octo- from the Washington, D.C.-based In- ler, CEO of the company that has Halloween morning, AP reported. trouble with water taken from the ber. “We are not off the grid.” Mean- formation Technology and Innovation long provided ferry service to and This year’s is the 21st state tree cho- Flint River. Returning to Detroit will while, Jamie McKay, Wheelhaus Foundation. The report said state gov- from the resort island. Meanwhile, sen from the U.P. The new tree will cost $12 million through June. Flint founder and CEO, told MLive that ernments should make it a top pri- Mackinac Island’s Grand Hotel was be lit Nov. 20 during Lansing’s Silver will pay $2 million for the project, its cabins are designed to be the ority to boost productivity with IT. named best historic resort for 2015 Bells in the City celebration. Ⅲ and the Flint-based Charles Stewart “BMWs of tiny houses.” Ⅲ Two submissions each won Mott Foundation pledged $4 million. $200,000 grand prizes at the sev- CORRECTIONS MICH-CELLANEOUS enth annual ArtPrize, The Associat- RV resort anticipates big ed Press reported. Textile artist Ann Ⅲ A 40 under 40 profile for Charlie Knoll on Page 19 of the Oct. 12 edi- demand for tiny houses Ⅲ An investigation by Reuters has Loveless and her husband, photog- tion incorrectly said that Knoll held a minority interest in an Illinois found that multiple employees of rapher Steven Loveless, from Beu- company as a teenager. Some houses are very small at Midland-based Dow Chemical Co. lah won the public vote for “North- Ⅲ A 40 under 40 profile for Anika Jackson on Page 17 of the Oct. 12 Traverse City RV Resort, but not so for have questioned whether the com- wood Awakening,” a large photo edition misstated the name of Prestige Automotive Group. their price tags. The Acme-based re- pany’s high-profile chief executive, print and quilt hybrid that depicts a

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CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 3

Indie costume shops not spooked by monstrous rivals

By Vickie Elmer and Rivan Stinson Special to Crain’s Detroit Business hile much of Michigan is buying chocolates and hearts for Valentine’s Day, Patrick Lynch is Wchoosing costumes he hopes customers will love in October. Between January and March, Lynch buys 50,000 items for his family-owned Lynch’s Inc. in Dearborn, adding much makeup and about 30,000 costumes to the 200,000 items in the shop during slower months. Halloween starts early at a handful of inde- pendent costume shops in metro Detroit, with trips to trade shows in Las Vegas or New Orleans and the Toy Fair in New York City to find com- pelling items and cre- ative options. They know the com- petition will sell the ba- sics — and that competi- tion includes almost RIVAN STINSON every chain store in Patrick Lynch says flapper dresses town. By late September, and other Roaring ’20s costumes pop-up chains, drug- are top sellers at his Lynch’s Inc. stores, supermarkets and discounters all promote children’s costumes and witches’ hats in weekly circulars. So the independents compete by offering extra services and more choices in costumes — plus shoes, wigs, and for those who want to impress their friends, higher-priced custom-made finery. “If you want to rent a theatrical-quality Darth Vader or

SEE HALLOWEEN, PAGE 22

New paramedics programs work to keep patients at home

By Jay Greene people at home with chronic dis- Huron Valley Ambulance and Liv- recently discharged heart failure cause they are financially penalized [email protected] eases before they wind up in the ingston County EMS joined with St. and chronic obstructive pulmonary under the 3-year-old Hospital Read- In new programs being tested hospital, or to do follow-up with pa- Joseph Mercy Health System and the disease patients from McLaren Ma- missions Reduction Program, throughout Southeast Michigan, tients recently discharged from the University of Michigan Health System, comb and Henry Ford Macomb hospi- which was mandated under the Af- the paramedics come to keep pa- hospital to keep them from coming both in Ann Arbor, to launch in Au- tals stay at home. fordable Care Act. tients out of the hospital. back. gust a three-year community para- Community paramedicine pro- More than half of Michigan’s hos- The practice, known as commu- Last year, Community EMS medic pilot project to make house grams are just one way hospitals are pitals — 71 of them — were fined nity paramedicine, is expanding in began a mobile health pilot pro- calls and try to keep non-acute pa- working with nursing homes, home this year a total of $25 million for the region as more ambulance gram with Botsford Hospital in tients at home rather than them health agencies, medical groups, having too many non-managed companies join Southfield-based Farmington Hills to use paramedics taking an ambulance to the hospi- admitting physicians and other or- care Medicare patients readmitted Community EMS in helping hospitals and telemedicine to assess the tal. ganizations to reduce readmission for heart attack, heart failure, pneu- reduce readmissions and unneces- health of chronic-disease patients In Macomb County, Medstar Am- rates and health care costs. monia and two new categories — sary emergency department visits. who develop non-emergency bulance also has begun a communi- Nationally, hospitals are strug- The idea is for paramedics to visit health problems. ty paramedicine program to help gling to reduce readmissions be- SEE PARAMEDICS, PAGE 22

MUST READS OF THE WEEK Seeking transparency Low gear on high-tech Shades of Michigan’s fall As health care costs rise, Thirty years ago, most Michigan Crain’s readers like Daniel Lutz, president of employers and consumers push auto suppliers gave little thought to Prime Commercial Group in Farmington Hills, for better data on prices, services, using robots, other advanced share their photos of the season. Share yours, Page 11 technology, Page 6 too, www.crainsdetroit.com/photo 20151019-NEWS--0004-NAT-CCI-CD_-- 10/16/2015 1:03 PM Page 1

4 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 Top real estate execs take new jobs at area companies

By Kirk Pinho [email protected] Recent brokerage moves Commercial real estate has seen A rundown of some other notable brokerage moves in the past year: some shake-ups in the past two Arthur Itkis, from associate at CBRE Inc., Southfield, to real estate weeks in metro Detroit as two high- consultant at A.F. Jonna Development and Management Co., Bloomfield Hills profile executives have changed companies. Viktor Gjonaj,from principal at Signature Associates Inc.,Southfield,to associate First, Barry Swatsenbarg parted broker, Landmark Commercial Real Estate Services Inc.,Farmington Hills ways with Farmington Hills-based Peter Jankowski, from senior associate broker at Colliers International Inc., Friedman Integrated Real Estate Solu- Southfield, to vice president at Core Partners LLC, Bingham Farms tions LLC as its national director of Gary Grochowski, from senior vice president at L. Mason Capitani,Troy,to investment sales and loan sale advi- senior vice president and director of agency leasing, Colliers sory services to take a similar role in the Southfield office of Colliers Inter- Richard Ludwig, from senior vice president and director of retail brokerage national Inc. There, he is senior vice at Colliers to senior director at Fortis Net Lease, Farmington Hills president of investment and loan Renée de Spelder, from senior associate at Lee & Associates, Southfield, sale advisory. He started Oct. 5. to senior associate at Principal Associates, Southfield Then last week, Larry Emmons Ben Rosenzweig, from commercial real estate agent at Howard Schwartz left the South- Commercial Real Estate LLC, Farmington Hills, to vice president of brokerage field office of at Indigo Centers, Birmingham CBRE Inc. to join Jones Lang LaSalle as managing di- culture and only hires the best.” the New Center area to a four-head- rector, overseeing He was on the Newmark Grubb ed investment and development about 15 brokers, brokerage team that sold the Travel- group for $12.2 million. mostly represent- ers Towers I and Travelers Towers II Matt Farrell, principal, board ing landlords, in buildings in Southfield to Time Equi- member and Larry Emmons: metro Detroit. ties Inc. for $25.1 million as well as partner of Bing- Will oversee about Emmons, 50, the New York City-based company’s ham Farms- 15 brokers at JLL. had been CBRE’s purchase last year of the 104-acre based Core Part- senior vice presi- former Unity Studios site in Allen ners LLC, had dent of capital markets, a position Park for $12 million. high praise for he took two years ago after working Emmons was also a broker on Swatsenbarg in the Southfield office of Newmark the $22.5 million GE Capital sale of and Emmons. Grubb Knight Frank for three years. the 1.1 million-square-foot Allied Farrell worked Emmons, who said he left CBRE Commerce Center to Toronto-based Barry with both during on “very good terms,” said the IKO Industries Ltd. in 2012. Swatsenbarg: stints at the for- chance to manage a stable of bro- Swatsenbarg, 41, had been with Worked on Fisher, mer Grubb & kers led him to Jones Lang LaSalle. Friedman since January 2001, ac- Kahn building sale. Ellis and Fried- “The element that really tipped cording to his LinkedIn profile. Be- man. the balance for me was the ability to fore that, he worked in investment Farrell called Swatsenbarg a take the leadership at a peer com- sales for the former Grubb & Ellis “phenomenal broker with a deal at pany to CBRE,” he said. from 1998 to 2000 and was manag- the table.” Emmons plans to boost JLL’s ing director of the Trenchant Group Farrell said Emmons is a “good landlord representation ranks. from 1995 to 1997. administrator, and a good execu- “That’s going to be a big part of my He declined comment. tive-caliber guy.” recruiting effort,” he said. “Industrial, Among Swatsenbarg’s notable “Larry is a class act,” Farrell retail and office, in that order, and deals recently was this summer’s said. five, maybe 10, hires in a year. JLL is online auction sale of the Fisher Kirk Pinho: (313) 446-0412 very mindful of its reputation and Building and Albert Kahn Building in Twitter: @kirkpinhoCDB

Help salute 40s winers

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6 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 30 years ago,suppliers were in low gear over high-tech

By Dustin Walsh LOOKING BACK: On Oct. 21, 1985, Crain’s reported on a survey that indicated many today,” Boyadjis said. “You can look [email protected] Michigan auto suppliers weren’t anticipating the growth of high technology. But their 30 years ahead and anything sup- While today’s automotive plants lack of foresight might be forgivable in hindsight. More at crainsdetroit.com/30 pliers say today will seem bogus. are on the cutting edge of technolo- “The fact is, tech moves at a gy — complete with 3-D modeling, speed that has doubled down three advanced robotics and cloud-con- According to the survey of 553 Ann Arbor-based Center for Automo- Mark Boyadjis, senior analyst of or four times over. It’s not surprising nected computer systems — the in- suppliers by the Industrial Technology tive Research. “The complexity of automotive technology and manag- that these guys would have said this dustry long struggled to adapt in the Institute of Ann Arbor, 30 percent had cars, and making a car, has gone way er at Southfield-based auto advisory about their own manufacturing.” early years of high-tech. no plans to install computers of any up since then. We’ve got more parts and research firm IHS Automotive Inc., Boyadjis pointed to the future A survey released 30 years ago, kind, 58.4 percent had no plans to per vehicle at a reduced volume per said the results aren’t surprising, product development cycle of San and covered in a Crain’s article titled use industrial robots, and 70.9 per- model. A plant unwilling to auto- given the speed of business in 1985. Francisco-based technology com- “Auto suppliers balk at high tech” on cent didn’t intend to install flexible mate simply wouldn’t make sense.” “When it comes to the changes pany Cisco Systems Inc., which de- Oct. 21, 1985, showed just how far manufacturing systems. However, suppliers 30 years ago the auto industry has experienced velops technologies only three years removed many of Michigan’s sup- “I’d wager most of those compa- faced a far different market in which over the last 30 years, the wildest in advance. pliers were from the incoming tech- nies aren’t in business today,” said technology was unreliable and ex- dreams of these suppliers wouldn’t “If the guys on the cutting edge of nological boom. Jay Baron, president and CEO of the pensive, according to the survey. have matched what’s on the road technology — in industrial, financial, telecommunications, etc. — are thinking in a three-year time frame, suppliers 30 years ago thinking about high-tech was nothing more than tossing ideas at a dartboard,” he said. The high cost of competing on the cutting edge was also too much for many suppliers, according to the survey. Of those surveyed, 32 percent re- sponded they could not justify the cost of investing in advanced tech- nologies, while 20 percent said re- training their workforce would be a problem. Mike Cicco, general manager for Rochester Hills-based robotics manufacturer Fanuc America Corp., told Crain’s last month that indus- trial technology has become much cheaper since the 1980s. Give your “Robots are employees simply more ca- pable, vastly what they more intelligent and much small- deserve. er than they used Mike Cicco: Bagels on to be,” he said. Robots are better. “This has really Fridays are opened up the potential for more productivity for manufacturers.” a nice This includes smaller manufac- touch too. turers that once couldn’t afford the high cost. Fanuc frequently fills orders for one robot at a time for mom-and- pop manufacturers looking for more advanced ways to compete, Cicco said. Other issues stem from user friendliness, said Jeff Burnstein, president of the Ann Arbor-based Association for Automation Advance- ment. “Technology simply might not have been ready for those users at that time,” Burnstein said. “The in- dustry lacked a robust integrator community and the training pro- grams we have today.” Burnstein said automotive sup- pliers currently make up 34 percent of industrial robots in North Ameri- ca, the largest of any industry. Blue Cross Blue Shield of Michigan and Blue Care Network offer Today, that’s translated into high- complete insurance solutions to protect the overall health and er-quality vehicles made more effi- well-being of your employees. ciently, Baron said. “The quality of cars today is un- GROUP HEALTH PLANS | SPECIALTY BENEFITS | BCBSM.COM/EMPLOYERS believably high,” Baron said. “To do this, you need repeatability and consistency, which happens Blue Cross Blue Shield of Michigan and Blue Care Network are nonprofi t corporations and independent licensees of the through automation … so thankful- Blue Cross and Blue Shield Association. ly technology won out.” Ⅲ Dustin Walsh: (313) 446-6042 Twitter: @dustinpwalsh DBpageAD_DBpageAD.qxd 9/21/2015 1:13 PM Page 1 20151019-NEWS--0008-NAT-CCI-CD_-- 10/16/2015 5:31 PM Page 1

8 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 CRAIN’S DETROIT BUSINESS Biz should back state plan to OPINION make sure 3rd-graders can read ast week, the state House merce. Today, six of nine school passed a bill intended to en- board members in Nashville were Lsure that third-graders know endorsed by the business-led PAC. how to read before they move on to Now, a focus on student achieve- Snyder must take the fourth grade. It needs approval ment has become part of Nashville’s by the Senate. Gov. Rick Snyder like- brand, Hill told the gathering. ly will sign it. Making sure kids can read is an Opponents object to holding kids idea that the entire business com- back a grade, but the real thrust is to MARY KRAMER: munity can and should rally lead on energy issues intervene and offer special instruc- Publisher around. That’s one reason I volun- tion to get kids to a third-grade teered for the Education Trust’s he Lansing debate on replacing Michigan’s 2008 energy level. If poor readers move on to the front line of education reform in Michigan Achieves Leadership law is heating up, but it’s been hard for the general public fourth, when kids start learning two states to talk about the paths that Council. The goal is simple: To Tto follow. Does Michigan need mandates for generating content in specific subjects, they led their states to be, in the case of make Michigan a top 10 education may never catch up. Massachusetts, the highest-perform- state by 2030. energy from renewable sources like wind and solar? Should utili- Already, some school districts are ing state in the country and, in Ten- As Hill told the group, Nashville ties be required to continue to help customers reduce energy urging parents to contact lawmak- nessee, the fastest-improving. The has 500 to 1,000 technology jobs use? Should customers have broader choice on providers for ers to kill the retention proposal. small meeting was held in Lansing. open at any given time. The busi- electricity? These issues are complicated. It’s also hard to know That may be one of the reasons Some highlights: ness community is working to en- whose information to trust. Michigan has dropped to 38th in Business leaders in Tennessee sure that local talent can fill those Legislation currently pending would eliminate the renew- fourth-grade reading, according to saw lousy schools as a talent issue slots — “we don’t want those jobs to national assessment tests. My guess and acted. Leaders from the four go elsewhere.” able standard and mandate for energy efficiency programs. is most people probably think their largest cities created a political ac- Separate bills would either continue or eliminate choice of an kids’ schools are great, their kids are tion committee to support board Mary Kramer is publisher of Crain’s electricity provider. doing fine and Michigan’s problems candidates who supported reform. Detroit Business. Catch her take on Here’s a rundown on the three main issues: are in the big cities, not in their sub- “Other groups were dumping business news at 6:10 a.m. Mondays Electric choice. Current law allows 10 percent of power sales urban systems. But the numbers money in the state, spouting con- on the Paul W. Smith show on WJR don’t show that. spiracy theories,” said Marc Everett to be bought from sources other than the state’s primary utilities, AM 760 and in her blog at Last week, The Education Trust- Hill, chief policy officer for the www.crainsdetroit.com. DTE Energy and Consumers Energy. Demand has outstripped Midwest brought in warriors from Nashville Area Chamber of Com- availability, and large users, in particular, would like that percent- age increased or eliminated. Utilities say broadening choice un- fairly burdens their customers with infrastructure costs. LETTERS Our take: There’s a lot of conflicting information about the con- sequences of widely increasing choice, so we don’t believe that should be done at this time. However, it makes sense to allow local Cheaper electricity helps small businesses governments, school districts and public universities to shop on the open market. The ones who have participated in the choice Editor: Send your letters: Crain’s Detroit When they write, “today the program so far have saved money, which means more tax dollars Lindsay VanHulle’s Oct. 2 blog, Business will consider for world wants solar panels and wind “PSC: Energy efficiency programs publication all signed letters to the turbines ... ,” they do not speak for are used to serve students and the community. All customers, re- should save Michigan customers me or the world. gardless of vendor, should contribute to maintaining infrastruc- editor that do not defame $4.2 billion,” notes that energy ef- individuals or organizations. Letters There is proposed legislation to ture. ficiency investments made by may be edited for length and clarity. have 47 percent of Michigan pow- Renewable standard. Utilities met the goal of producing 10 electric and gas utilities in 2014 ered by green, renewable energy by Email: [email protected] percent of energy from renewable sources by 2015. The utilities will save consumers at least $1.1 2030. This means that many resi- argue that pending federal carbon pollution standards make a billion. dences and businesses would be off These savings are just the tip of the grid and directly connected to higher standard moot. Gov. Rick Snyder has advocated for in- the iceberg when it comes to bene- renewable energy. creasing renewable targets to as much as 24 percent of a utility’s fits from increased energy efficiency Fifty percent of the base load electric portfolio by 2025, but he hasn’t asked for a mandate. and clean energy usage in Michi- generation, 24/7 reliable electrical Our take: The Legislature should set a new renewable stan- gan – and that’s great news for small generation would be shut down. dard that can sunset when and if the new federal standards businesses. Where would residences and busi- The new Clean Power Plan en- nesses get electrical power when it come into play. Otherwise, publicly traded utilities could be courages further energy efficiency is not supplied by green, renew- vulnerable to investor pressure to put current profits ahead of measures, which lower electricity ables or grid reliables? long-term investment. The Public Service Commission bills and put money in the hands of Isn’t that wonderful? should give utilities broad leeway to choose the best way to consumers so they can spend at This means the public utility meet the standards. local small businesses. Plus, cheap- mandate of base load generation, Energy efficiency programs. DTE and Consumers now must er electricity means small business- 24/7 reliable electrical energy must es can spend more money on hiring be repealed. offer efficiency programs to cut their use each year by 1 percent of and growing. Residences and businesses retail sales for electricity and 0.75 percent for gas. The programs are The Clean Power Plan also prom- would have electrical energy when funded by surcharges on bills. Utilities argue a mandate isn’t needed ises to help entrepreneurs tap the the sun shines and the wind blows because they will continue to offer the programs. growth potential of the clean energy sufficiently. Residences and busi- Our take: These are widely used and projected to save cus- industry. Michigan was fifth in the nesses would experience rotating country for clean energy job creation following the Clean Power Plan. brownouts and blackouts. Michi- tomers more than $1 billion over the life of the programs, so we in the first quarter of 2015, and we’ve Trent Varva gan would experience Third World believe they should continue to be mandated. And there’s history secured $3 billion in private invest- Michigan outreach manager, Small Business electrical supply. to be considered: When the PSC dropped a similar mandate in ments in the clean energy industry Majority, Northville Is this what American citizens 1995, many programs were eliminated until they were mandated over the past seven years. want? again under the 2008 law. By embracing the Clean Power What happens when the sun Do American citizens under- We do believe that large companies that fund programs them- Plan, we can increase those invest- doesn’t shine,and wind is low? stand where we are going with ments so entrepreneurs have ac- green, renewable energy? If this is selves should be able to more easily opt out of the surcharges cess to the newest markets and lat- Editor: not what is going to happen, tell me than they can under the current law. est technologies. This is in response to Jim Dulzo’s how green renewable energy is Where does Gov. Snyder stand on this legislation? At least some Entrepreneurs are itching for and Dan Worth’s Sept. 28 Other going to be 24/7 reliable? of it conflicts with his stated preferences. The governor needs to ways to save, grow and innovate. We Voices, “Don’t keep state mired in Neil Karl lead more strongly on this important issue. should help them do that by past with GOP energy bill.” Livonia 20151019-NEWS--0009-NAT-CCI-CD_-- 10/15/2015 2:59 PM Page 1

CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 9 Hiring the disabled is good business sense for Michigan employers or many people with dis- to have a strong work ethic, low abilities, including intellec- turnover and a desire to succeed. “It is time business leaders stop F tual or developmental dis- Hiring people with a disability underestimating people with abilities, employment is a source makes good business sense. It disabilities. Stop focusing on what of pride. It gives that person a also demonstrates a commitment sense of community and allows a to diversity and inclusion in the they can’t do, and focus on what they connection to normal, day-to-day workplace. can do and can offer. A job is more life. OTHER VOICES: It is time business leaders stop According to recent census Brent Mikulski underestimating people with dis- than a paycheck.” data, there are more than 56 mil- abilities. Stop focusing on what lion Americans with disabilities, The writer is president and CEO of Ser- they can’t do, and focus on what progress since the Americans programs and other ways to nearly 20 percent of the popula- vices to Enhance Potential, a communi- they can do and can offer. A job is With Disabilities Act was passed think beyond the label and en- tion. For those living with a dis- ty-based nonprofit that helps find em- more than a paycheck. It is about 25 years ago. However, a disabili- courage Detroit companies to ability, there are many challenges ployment for people with disabilities. respect, it is about dignity and it is ty should not define a job candi- support and celebrate workplace they have to overcome, including about the opportunity to make date. We need to continue to policies of diversity and inclu- finding a job. for everyone in the workplace. your life productive. support funding for special edu- sion in employing those with a October marks National Dis- People with disabilities are known We have made tremendous cation, high school transition disability. Ⅲ ability Employment Awareness Month, which is dedicated to ed- ucation about disability employ- ment issues and celebrating the many and varied contributions of America’s workers with disabili- ties. However, most Americans with intellectual or developmental disabilities, which can include conditions such as autism or Down syndrome, remain shut out of the workforce, despite chang- ing attitudes and billions of dol- lars spent on government pro- grams to help them. Even when BOOK OF LISTS they find work, it’s often part time. A job provides a crucial link for improving the quality of life. Yet only 34 percent of intellectually disabled adults are actually work- ing, according to a survey by Spe- cial Olympics and conducted by Gallup and the University of Massachusetts at Boston. Even with tremendous progress removing hindrances to employment, barriers still exist. The largest barrier to employing someone with a disability is per- The Countdown to the Launch ception. We can eliminate the barriers by continuing to educate of Crain’s 2016 Book of Lists is On! others on the value and benefits of hiring workers with disabili- Maximize your company’s advertising message in this ties. Men and women living with a trusted business tool — referred to all year long. disability are smart hires. Em- ploying someone with a disability, such as behavioral health prob- features! lems, benefits both employers rial to and employees. di e Earlier this year, Lt. Gov. Brian w e This special report and selection of Crain’s Calley and Michigan Supreme N Court Justice Richard Bernstein Lists showcase the region and its largest launched a partnership to high- industries. Our Then and Now report light the opportunities for hiring provides Crain’s analysis on the biggest Michiganians with disabilities changes to the region’s economy and the across the state. The MI Hidden Talent tour was focused on high- companies that are driving it. lighting the skills of people with disabilities who are often over- But, as usual, the Book of Lists will be full of the data and rankings that looked. serve as barometers of the region’s biggest players, such as the Private “Employers that hire disabled 200, the Largest Privately Held companies, Largest Employers and people are ultimately rewarded Largest Residential Brokers. with team members who bring passion, energy and loyalty to the workplace. Disabled employees rally their fellow workers and serve as a unified force who can teach the values of resiliency, compassion and understanding,” Contact Marla Wise for sponsorship information: (313) 446-6032, [email protected] said Bernstein. Employing people with disabil- ISSUE DATE: Dec. 28, 2015 | CLOSE DATE EXTENDED: Nov. 9, 2015 ities leads to increased independ- ence and happiness, not just for the person with the disability, but DBpageAD_DBpageAD.qxd 10/5/2015 12:02 PM Page 1

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CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 11 SPECIAL REPORT:

JAY GREENE [email protected] Twitter: @jaybgreene DCCC plans HEALTH CARE for retirement of ‘guiding light’ fter 18 years at Southeast Michigan’s newest federally Aqualified health center, Irva Faber-Bermudez, CEO of Detroit Central City Community Mental Health Inc., has decided to step down this December. In May, Faber-Bermudez informed the board so that it could begin suc- cession planning. “I had been thinking about retiring for a while and wanted to get some- body in place before I left,” said Faber- Bermudez, a former psychiatric nurse. During the summer, DCCC inter- viewed more than 50 candidates and finally selected one of their own — current CFO Ryan Lepper. “Ryan came to us about a year ago. He was doing well in the banking in- dustry but wanted to make a contribu- tion to the community,” Faber- Bermudez said. Lepper had been senior vice presi- dent in wealth management and insti- tutional investments at Sterling Heights-based Longhorn Capital Man- What does agement LLC. “He believes in the mission and is transparency great at team-building,” she said. “We are lucky to have him.” mean? DCCC board Chairman Jerry Frohlich said Faber-Bermudez has put FOR EMPLOYERS the center in a good position to serve Push is on for more the community’s medical, dental and Health care transparency behavioral health needs for the next can help improve the generation. health care employees “The board has always looked to receive, while enabling Irva as the guiding light, leading the price,quality data employers to control agency in its mission and purpose by medical costs. It also can serving all our clients with dignity and lead to more engaged, respect,” he said. activated employees. In late 2013, DCCC received a Employers, consumers demand more transparency $793,000 federal funding grant to cre- FOR EMPLOYEES ate Southeast Michigan’s sixth federal- By Jay Greene ployer’s costs, employee total prospective patient with a de- With more large employers [email protected] ly qualified health center. out-of-pocket costs — which in- ductible of $2,500 clearly has a now offering high- Now under expansion, DCCC’s Mid- he other shoe has clearly clude premiums, deductibles larger financial stake to lose deductible health plans, town health center at 10 Peterboro St. fallen. The movement to and copayments — have been when purchasing health care consumers are faced with provides integrated primary medical, Thigh-deductible health rising. services. increasingly large out-of- dental and mental health services insurance plans — designed to From 2003 to 2013, employee What can individuals do? Only pocket expenses. Access to along with housing and support servic- control costs and put more deci- costs for family coverage have one thing: Shop around for lower price and quality es to more than 4,500 clients each year. sion-making in the hands of pa- risen to 26 percent of total in- prices with an eye for quality, information helps Lepper said he hopes to double tients — has saved employers come in Michigan from 18 per- says Jeff Rice, M.D., CEO of employees save money. It clients served over the next five years billions of dollars, but it has also cent. This is slightly lower than Brentwood, Tenn.-based Health- also empowers them to get and grow the organization to a $20 put pressure on the health care national averages, in which aver- care Bluebook, a consulting com- the best care. million business from the current $12 industry to become more trans- age employee costs have jumped pany that works closely with em- million annually. parent on the price and quality of to 28 percent from 25 percent of ployers and health insurers in “We are embarking on some very its services. total income, according to a Michigan to provide price trans- FOR PROVIDERS new territory in becoming a patient Since 2010, 43 percent of em- study this year from the Common- parency. High-quality health care home for all our clients’ medical ployers are now offering high-de- wealth Fund. “Patients are more engaged in providers will receive needs,” said Frohlich, group practice ductible health plans of $2,500 or When the cost of a price and quality because they recognition for the director at Henry Ford Health System. more, up from 23 percent five colonoscopy can range from are being asked by employers, excellent care they deliver. t Under Faber-Bermudez, DCCC also years ago, according to Troy- $579 to $3,061 and a knee who pay 80 percent of costs, to Source: Castlight Health has received more than $2 million in based Marsh & McLennan Agency arthroscopy surgery can range act like consumers. Most pa- and Crain’s research federal grants and donations to expand LLC. from $1,279 to a high of $11,131 the first floor of the health center to While the plans reduce em- in a single market in Michigan, a SEE HEALTH CARE, PAGE 12 nearly 6,000 square feet. A second floor, which will house dental and pediatric services, will add another 7,500 square Leapfrog CEO, Crain’s health care summit keynoter, backs transparency: Page 15 feet of space. 20151019-NEWS--0011,0012-NAT-CCI-CD_-- 10/15/2015 3:01 PM Page 2

12 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015

SPECIAL REPORT: HEALTH CARE

“Transparency is starting to get pushed down to the to treat. HEALTH CARE “Everybody in the hospital indus- FROM PAGE 11 smaller health plans. They get objections from providers try knows where we are going in- in their networks. Historically, price information has evitably,” Connolly said. “We didn’t tients don’t know the questions to have anything to hide. I love the idea ask,” said Rice, whose firm contracts been proprietary. They don’t want competitors to know.” to have as much information out with employers that include Priority there as possible.” Health in Michigan to provide price Suzanne Delbanco, executive director of San Francisco-based Catalysts for Payment Reform Other Michigan hospital organi- and quality data on providers. zations, including Grand Rapids- “Patients are looking for cost and ance side of the business as CFO of luck gaining provider price trans- “Physicians want to improve the based Spectrum Health in 2006 and quality data,” said Rice. “The little Spectrum Health, parent company of parency with national payers like lives and health of patients,” Levine Lansing-based Sparrow Hospital in secret in health care is that cost and Priority. Aetna and United, but Delbanco said. “Transparency starts to get that 2008, also offer patients pricing and quality aren’t related. We provide Freed said patients need to be said smaller employers are also be- conversation going. There used to quality information on their web- price and some quality data. The able to research prices to make bet- ginning to gain greater access to be a disparity in what patients and I sites. Leapfrog Group, Consumers Reports ter decisions where they seek care. prices. know about health care. Now that Since 2008, the Michigan Health & and CMS (Centers for Medicare and “We need more transparency in “(Large employers) have all the disparity is narrowing.” Hospital Association has been offer- Medicaid Services) are evolving quali- health care because people are pay- tools now to incorporate quality in- Toward transparency ing the public a limited but search- ty” reporting on hospitals. ing more out of pocket because of formation with price information,” able database on hospital Medicare Leah Binder, CEO of the Leapfrog the transition to high-deductible she said. “It is getting more user- Since 2008, Oakwood Healthcare, a price and quality information. Group, and keynote speaker at policies,” said Freed, noting that pa- friendly, but employers with smaller Dearborn-based four hospital sys- The MHA’s database comes from Crain’s upcoming Health Care Lead- tients also should consider quality of health plans may have less luck.” tem now part of Beaumont Health, the Centers for Medicare and Med- ership Summit on Oct. 28, said the care when making final decisions on There are exceptions, noting Pri- also has offered its customers a web- icaid Services, which has been pro- debate is over on whether trans- a provider. ority Health as one example in site that lists the average prices and viding the public transparency data parency is a good thing or not. Other insurers are also offering Michigan, Delbanco said. quality information on more than on a variety of quality measures for “Transparency is not optional price and quality data on physicians “Transparency is starting to get 100 of its most requested top proce- several years. anymore,” Binder said. “It is hap- and hospitals in their network. They pushed down to the smaller health dures, said former CEO Brian Con- Medicare also provides hospital pening. The question is, how do we include Aetna Inc. and United Health- plans,” she said. “They get objec- nolly, who now is a health care con- utilization and payment data on in- get there safely?” care. tions from providers in their net- sultant with Brian Connolly patient and outpatient operations, Better data, better choices Employers are demanding that works. Historically, price informa- Associates. including physicians. health insurers help their employees tion has been proprietary. They “We were the first in (Southeast) For example, Medicare shows the While an all-claims payer data- manage rising out-of-pocket health don’t want competitors to know.” Michigan” to present cost and quali- average amount a hospital bills for base hasn’t yet been established in care costs, said Suzanne Delbanco, Jay Levine, M.D., a surgeon and ty data on Oakwood hospitals, said services on 100 of the most com- Michigan to provide employers and executive director of San Francisco- Priority’s chief medical officer, ac- Connolly. “We always felt like we mon inpatient stays and 30 selected consumers with comparative price based Catalysts for Payment Reform. knowledged that Priority sometimes had a sweet spot outpatient procedures. data (see Page 14) — which some “They are pushing contracted finds itself in between competing in the value Another recent example of trans- contend is critical to help employers health plans to offer effective tools” interests of its network providers equation with parency comes from ProPublica, a and patients shop for care — some to their employees, she said. “They and employer clients. quality and New York-based investigative non- health insurers and hospitals are be- are also seeking support of an inde- He said some hospitals and doc- costs.” profit organization that earlier this ginning to provide price and quality pendent vendor to estimate prices tors are concerned that making data Connolly said year published a scorecard on sur- data to the patients they serve. based on historic price data.” public might be misunderstood be- prospective pa- geon quality. The journalism site Driven by employer demand, Those vendors include Health- cause data often is not adjusted for tients can go on worked closely with the North Ameri- Grand Rapids-based Priority Health care Bluebook, San Francisco-based sicker patients, and that it could lead the website and can Spine Society to create the data- earlier this year doubled down on Castlight Health and Change Health- to a loss of business. Brian Connolly: look for price in- base on more than 17,000 surgeons. efforts to provide members with on- care, she said. But Levine said transparency can Some hospitals formation and Chris Duke, director of the Center line price information by offering While transparency barriers are also help improve patient outcomes. have been reluctant analyze out- for Consumer Choice and Healthcare at participating employers a “health slowly coming down, Delbanco “If I prescribe a medicine that is to give data comes and cus- Ann Arbor-based Altarum Institute, care cost estimator application” said, “there has been an agreement way outside of the patient’s budget, tomer satisfac- said he expects more efforts by gov- through Healthcare Bluebook. between health plans and providers they won’t comply, won’t fill the scrip tion data. ernment, insurers, hospitals and The innovative aspect of Priority’s to keep prices secret.” and that leads to health problems,” He acknowledged that some hos- consulting firms to increase avail- cost estimator app is that it can cal- But when insurers balk at provid- he said. “Transparency helps doc- pitals have been reluctant to present ability of price and quality data. culate members’ estimated out-of- ing more price transparency, em- tors understand the economics, and internal data because the reasons “You will see more consistency in pocket costs based on their policy’s ployers hire vendors like Healthcare that is a good think in the long run.” hospitals are high or low in quality pricing and won’t see someone get- benefits and deductibles. Bluebook to gather data for them Moreover, Levine said, patients and price are complicated, and ting billed 10 times more than an- Providing this price transparency and to create online solutions that armed with data can ask questions, sometimes beyond their control. other,” Duke said. is important to Priority CEO Mike allow “employees to look up prices shop for care and create competi- For example, some teaching hos- A report last year by researchers at Freed, who has worked on the hos- before seeking care,” she said. tion among providers to help trans- pitals attract sicker patients that the University of Chicago found that pital side as well as the health insur- Larger employers have had better form the health care system. have complications and cost more transparency efforts — voluntary and through state and federal regu- lations to require price and quality transparency — have resulted in an overall 7 percent reduction in the cost of common elective proce- OAKLAND MACOMB dures. Scott Eathorne, M.D., CEO of Southfield-based Together Health H Network, said data on price and quality of hospitals and doctors is an emerging trend, one that providers are taking seriously, but it must be as H accurate as possible. Last year, Together Health was formed to conduct managed care H contracting as a clinically integrated network by the 27 hospitals of Ascen- H sion Health Michigan and Trinity Health 35,000 health care professionals join forces to Michigan and 5,000 physicians in H give you the most advanced medical care – anywhere. dozens of medical groups. H “Our goal is to put that informa-  
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CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 13

SPECIAL REPORT: HEALTH CARE Current Michigan OUR HEALTH databases could play CARE HERO

WE PROUDLY CONGRATULATE DR. role in transparency GWENDOLYN GRADDY, MEDICAL DIRECTOR

By Jay Greene GDAHC presents the claims data OF PACE SOUTHEAST MICHIGAN, ON [email protected] supplied by Blue Care Network, Blue WINNING THE CRAIN’S HEALTH CARE There are five main organizations Cross Blue Shield of Michigan and HEROES PHYSICIAN AWARD. in Michigan, excluding individual Health Alliance Plan. The data shows hospitals and insurers, that collect aggregate quality data of physician Your hard work and dedication to provide compassionate price and quality data. group practices on a variety of care for seniors has changed countless lives in our However, only two of these data- measures, including “appropriate bases are available to the public — use of antibiotics for adults with community. PACE Southeast Michigan is a program the Michigan Health & Hospital Associ- bronchitis.” co-sponsored by Henry Ford Health System and ation’s “Comparing Hospitals” and Hospital performance reports are Presbyterian Villages of Michigan with the goal of the Greater Detroit Area Health Coun- based on quality data submitted to cil’s “MyCareCompare” websites. CMS. Data includes “the average keeping seniors independent — living in their own homes But none of the five existing number of minutes before patients for as long as possible. Dr. Graddy’s passion, care and health care databases in Michigan with chest pain or possible heart at- are capable of offering the same tack got an ECG.” commitment help us to realize that goal. level of price transparency as an all- GDAHC is seeking to report pa- claims payer database, according to tient satisfaction results this year the Michigan Health Care Transparen- and additional physician data in cy Committee Report. 2016. If expanded through state legisla- Ⅲ The Michigan Department of tion, however, three organizations Community Health Data Ware- — GDAHC, the Michigan Department house. This state database collects

of Community Health Data Warehouse, 19 million claims data from Medic- which collects mostly Medicaid aid, Children’s Health Insurance data, and the Michigan Data Collabo- Plan programs and several other rative, which is maintained by the public health initiatives. It also col- University of Michigan and collects lects Medicare data on those Medic- mostly primary care physician data aid enrollees who are considered — could support an all-claims dual eligible. payer database, the report said. Ⅲ The Michigan Data Collabora- Here are snapshots of the five tive. Operated by the University of databases: Michigan, the collaborative collects Ⅲ Comparing Hospitals, a sec- multipayer data for the patient cen- tion of the MHA’s website that al- tered medical home program spon- lows consumers to view discharge sored by Blue Cross. cost data and quality ratings for Data transparency is only provid- hospitals throughout the state. ed to participating physician organ- MHA presents to the public aver- izations participating in the medical age Medicare charges and pay- home program. ments, average length of stay and Blue Cross’ value partnerships total number of patients for the top and collaborative program data- WE THINK THEIR EDUCATION 50 Medicare inpatient and outpa- base, which is internal to Blue tient procedures. Cross, is designed to support vari- Data includes 1.2 million inpa- ous quality improvement and pay- tient and 12 million outpatient for-performance incentive pro- HAD SOMETHING TO DO WITH IT. claims in Michigan. It does not col- grams. lect reimbursement, or paid Ⅲ The Michigan Health Informa- amounts, for fear it may break an- tion Network. Created by the state Walsh College is proud that three of its alumni have been titrust laws, the MHA said. in 2005, MiHIN is a public-private The website also displays quality nonprofit collaboration that has recognized on Crain’s Detroit Business’ 40 Under 40 list for 2015. data on surgical infections and the been formally designated as Michi- Michelle Kotas (MBA, ’09), Anthony Majewski (MBA, ’10) most common causes of hospital- gan’s state health information ex- Paula Nelson (BBA, ’03) are pillars of success in business and ization among Medicare patients change for electronic medical based on Medicare data drawn record data. in community. Congratulations. from the Centers for Medicare and Like Blue Cross and MDC, Medicaid Services’ Hospital Compare MiHIN’s data is limited to partici- website. pating hospitals, physicians and Ⅲ MyCareCompare, a GDAHC health insurers. It is not a repository website that offers claims data on database and is not designed to an- primary care physicians in metro- alyze historical data. Ⅲ politan Detroit and Medicare hospi- Jay Greene: (313) 446-0325 tal reports. Twitter: @jaybgreene

GET CONNECTED “SIX DEGREES” DETROIT STYLE walshcollege.edu Try it now at crainsdetroit.com/mostconnected 20151019-NEWS--0014-NAT-CCI-CD_-- 10/15/2015 2:51 PM Page 1

14 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 SPECIAL REPORT: HEALTH CARE

Push for all-claims payer database an uphill battle

By Jay Greene “If we keep saying that people [email protected] Sen. Jim Marleau, R-Lake Orion, need to be more responsible for is at the forefront of a national the cost of their health care, movement to increase health care then they need the tools to make price and quality transparency. But it has been an uphill battle the best possible decisions.” for the former small-business Sen.Jim Marleau,R-Lake Orion owner who chairs the state Depart- ment of Health and Human Services. favor doing it right and want to do it ments and legislators from both Since 2012, Marleau has intro- successfully.” parties,” Marleau said. “We are not duced two bills and plans to intro- Simmer said Blue Cross — which reinventing the wheel here. This is duce another this fall to require is expected to soon offer its own about getting more information to state health insurers to contribute customers health care price infor- consumers and payers and creating claims data on insured patients mation — is open to discussing a tool for better public policy into an “all-claims payer database,” other methods to increasing price around health.” or ACPD, which would be overseen and quality transparency. The bigger picture by the Department of Community But “we think it would be a waste Health. to build a huge database like that,” Suzanne Delbanco, executive di- That’s in part because of con- Simmer said. rector of San Francisco-based Cata- cerns about how it would be paid Marleau disagrees. lysts for Payment Reform, said an for and also because there isn’t “The average person doesn’t ACPD can give a bigger picture of agreement on whether such data- know what a procedure costs until typical average costs, complication bases save patients money. they get the bill,” Marleau said. “De- and mortality rates. But Marleau believes such a ductibles and copays continue to “You have claims data on dia- database could increase competi- increase, and if we keep saying that betes and pool that data together tion between insurers and ultimate- people need to be more responsible from 17 insurers and Medicaid,” ly lower costs and premiums. for the cost of their health care, then Delbanco said. “You get better in- The ACPD would collect millions they need the tools to make the best sight on how treat diabetic patients of paid insurance claims from com- possible decisions.” and be in better position to assess mercial insurers, Medicare, Medic- Rick Murdock, executive director quality care.” aid and self-insured employer plans of the Michigan Association of Health Delbanco said payment reform and present it to the public in an Plans, said his 17 member insurance advocates have focused first on easy-to-understand format. companies also are supportive of an health insurers to help employers If approved, Michigan would join ACPD. The Blues are not a member. and employees. 19 states that operate an ACPD or An ACPD “helps the competitive But Mark Cook, Blue Cross vice are implementing one, said the Na- environment,” Murdock said. president of government affairs, tional Council of State Legislatures. Still, Dominick Pallone, MAHP’s said some insurers already provide Supporters say an ACPD is need- deputy director, acknowledged useful information to customers. ed to help businesses understand there is scant evidence so far that For example, Grand Rapids- how their costs and services com- ACPDs are effective. based Priority Health, Aetna Inc. and pare with others and would help “In theory, if done right, it can be United Healthcare offer cost estima- improve their negotiating position. used by the public, health care in- tors that can calculate estimated Depending on how data is pre- surers, providers” to choose and de- out-of-pocket costs based on a poli- sented, consumers could compare velop better products,” he said. “If cy’s benefits and deductibles. provider prices and make more done wrong, it can drive up costs.” “Claims information is not useful knowledgeable decisions. And there is concern over how an to me as a patient,” Simmer said. For hospitals and physician ACPD would be funded. “What I am interested in is how groups, an ACPD could support ef- Marleau’s unsuccessful Senate much my copay is.” forts to design quality improvement Bill 333 in 2013 — the Michigan Jeffrey Rice, M.D., CEO of Brent- efforts and compare performance Healthcare Transparency Act — wood, Tenn.-based Healthcare Blue- with peers. suggests the roughly $1 million in book, said insurers and hospitals are Policymakers could use the data annual operating costs would be generally opposed to ACPDs be- to identify communities that pro- funded by private, government cause they don’t increase revenue vide cost-effective care and imple- grants and insurance company and reveal too much price data. ment targeted population health taxes on the claims submitted. “It is really hard to argue against initiatives. In April 2014, the state Legisla- giving patients information on However, the National Confer- ture did approve a feasibility study price,” Rice said. “If a patient knew ence report also concluded “it is too on an ACPD as part of the Healthy facility ‘X’ cost more than facility ‘Y,’ early to determine whether all- Michigan Medicaid expansion that they wouldn’t go to facility ‘X,’ un- payer claims databases can help recommended that the Legislature less there are other reasons.” states control costs.” pursue a “staged approach for es- He added: “Where there is infor- Agreeing with that conclusion, tablishment of an ACPD.” mation available, patients make officials from Blue Cross Blue Shield of As a result, in the Department of more informed decisions. When Michigan told Crain’s they do not Community Health’s 2016 budget, they make those decisions, we have support creating an ACPD in Michi- $5 million was earmarked for the outcomes we can see and that can gan. They say it duplicates their in- project, which is part of a $70 mil- impact price and quality.” ternal efforts to improve medical lion federal innovation grant to im- Major insurers United Health- group and hospital performance. prove transparency and health care care, Aetna and Humana have “I am a big supporter of trans- delivery. worked with the Washington, D.C.- parency,” said Tom Simmer, M.D., Marleau said he is drafting new based Health Care Cost Institute to Blue Cross chief medical officer. legislation to create an ACPD that develop a national payer database, “People need to have information. would be housed in the Depart- www.guroo.com, which is available But claims-based information does ment of Community Health. to the public without charge. Ⅲ not provide good information on “The concept was unanimously Jay Greene: (313) 446-0325 performance, just costs. I am in supported by two state depart- Twitter: @jaybgreene 20151019-NEWS--0015-NAT-CCI-CD_-- 10/15/2015 5:29 PM Page 1

CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 15 SPECIAL REPORT: HEALTH CARE Leapfrog CEO: Transparency’s the Rx for better health care

By Jay Greene be demonstrated. such as wrong-site surgeries and your stay and kill you.” Health Care Summit [email protected] “As we move away from fee-for- objects left in the body after surgery. Binder said hospitals and doctors What: Crain’s 2015 leadership Leah Binder is passionate about service payments to the pay-for- An increasing number of groups, are not perfect and accidents can summit. her mission as CEO of The Leapfrog value agenda, what is sometimes including Leapfrog, the Joint Commis- happen. “Good hospitals have many Group to shed light on hospital overlooked is the importance of pa- sion and the Centers for Medicare and checks and balances,” she said. Where: Detroit Marriott prices and patient safety. tient safety,” said Binder. “It is Medicaid Services, are starting to pub- Despite reluctance of some Renaissance Center As head of Leapfrog, a Washing- shocking how much it costs em- licly report patient safety measures. providers and health insurers, When: 7:30 a.m.-1 p.m. Oct. 28 ton, D.C.-based, employer-formed ployers because of problems with “The No. 1 error is medication er- Binder said the debate is over as to watchdog organization that pro- patient safety.” rors. The Institute of Medicine report- whether transparency is a good or Details: Tickets are $125; reserved motes health care transparency, Patient safety measurements in- ed there is one medication error per not good thing. table for 10 is $1,300. Preregistration Binder believes individuals and clude medication error rates, hospi- day per patient,” Binder said. “That “Transparency is not optional closes 9 a.m. Oct. 23. employers de- tal-acquired infections, preventable is three errors per stay. Some are anymore,” Binder said. “It is hap- Contact: Kacy Anderson, (313) serve to know mortalities and patient falls. Others minor, causing a tummy ache, but pening. The question is how do we 446-0300 or [email protected] which providers are the so-called “never events” some can be very painful, extend get there safely?” offer high value before they re- ceive hospital or physician care. Binder said price and quality Leah Binder: transparency is Transparency allows essential for em- “HOW DID MR. BUCK informed decisions. ployers and pa- tients as federal, state and commercial payers move to incorporate patient safety into re- TRIM HIS ENERGY BILL?” imbursement rates. “Transparency is a strong move- ment that allows people to make in- formed decisions about where they After visiting DTE Energy’s online Lighting Advisor, Mr. Buck replaced old incandescent bulbs seek care,” Binder said. “Once they with more efficient models to reduce lighting costs. He also adjusted his thermostat just a few make informed decisions, patients drive the market toward excellence.” degrees when his business was closed. Then he wrapped his water pipes and adjusted his hot Binder will be the keynote speak- water heater to save him even more. All in all, Mr. Buck says he saved around 10%, despite the er Oct. 28 at Crain’s Health Care harsh winter. DTE Energy wants to help you give your costs a trim, too. Leadership Summit at the Marriott Renaissance Center in Detroit. The conference’s theme is health care transparency. Employers are demanding pa- tient safety along with price and quality transparency because of the Go to dteenergy.com/savenow today. movement to high-deductible health plans that shift a higher per- centage of costs to workers and em- powers them to make treatment de- cisions, she said. But Binder said price alone is not enough for consumers to judge providers. “You don’t buy a car by taking $20,000 and choosing one for that price,” she said. “You look at cars in that price range, and pick the one based on quality. This is true for health care in spades.” Binder said patients will pay a lit- tle more for higher quality if it can CON REPORT The following are selected certifi- cate of need filings from Sept. 17- Oct. 14. Letters of intent St. Anne’s Convalescent Center, De- troit: Acquire 78-bed nursing home from Emmi Care LLC; $3 million. Applications received The Behavioral Center of Michi- gan, Warren: Add 14 adult psychi- atric beds under the high-occupan- cy provision; $1.2 million. Wellbridge of Palmer Park, De- troit: Begin operation of a new nurs- ing home by replacing 100 nursing home beds from St. Joseph Health- care Center to a new site to be leased at Woodward Avenue and Eight Mile Road in Detroit; $16 million. Natalie Broda 20151019-NEWS--0016-NAT-CCI-CD_-- 10/15/2015 2:36 PM Page 1

16 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 Crain’s2015 Health Care CALENDAR Leadership Summit JOB FAIR Monday, November 16, 2015 Join Crain’s for this annual event 2:00 – 7:00 p.m. THURSDAY FRIDAY that provides opportunities to learn Suburban Collection Showplace, Novi OCT. 22 OCT. 23 about the ever-changing landscape of the health care industry, plus Association for Women in Shock the World Urban make the professional contacts to EXHIBITORS WANTED Communications fall meeting. Entrepreneurship Symposium. 8:30 help navigate these changes. 5:30-8 p.m. AWC, Detroit chapter. a.m.-4:30 p.m. Urban Held at the Marriott Renaissance “Communication Is Ageless” is a Entrepreneurship Initiative. Center from 7:30 a.m.-1 p.m. Oct. panel discussion with local young Second annual event brings 28, the Health Care Leadership communicators offering insights together business innovators, Summit includes keynote speaker on innovation, future trends and academics, students, and Leah Binder, CEO of The Leapfrog using social media to communicate community and government Group; roundtable discussions; and to their audiences. Participants leaders to inspire for-profit the Health Care Heroes awards. include Tatiana Grant, president and business ideas to urban Can Michigan provide con- CEO of Infused PR & Events; Anna challenges. College for Creative sumers and employers the data Leigh Clark, author and Detroit Free Studies, Detroit. $75. Contact: needed to make smart decisions in Press contributor; and Oona Goodin- David Tarver, (313) 457-2050; health care? Network with local Smith, an Oakland University senior email: [email protected]; website: business leaders and health care who will share her experience as a urbanei.org. providers and discuss the latest in re you wondering where Added Bonus: ESD Job Bank correspondent for USA Today. innovative health care strategies to find the talent your The ESD Job Bank is the foremost Motor City Java House, Detroit. $25 Today’s Workplace, Tomorrow’s for 2015 and beyond. organization needs? If electronic recruitment resource for Profit you’ve been struggling to the industry. Each Job fair exhibitor members, $35 nonmembers, $15 . 7:30 a.m.-noon. Waterford, Individual tickets are $125; re- locate the right employees will receive one complimentary students. Contact: (248) 643-6590; Orion Area, Auburn Hills and served table of 10 is $1,300. Pre- and would like to meet posting on jobs.esd.org. email: [email protected]; Clarkston Area chambers of registration closes Oct. 23 at 9 a.m. face-to-face with highly website: womcomdetroit.org. commerce. Caroline Grech-Clapper, If available, walk-in registration For exhibit information and qualified candidates, then executive partner, Secrest Wardle, will be $140 per person. plan to attend The downloadable forms, visit www.esd.org, or contact Leslie Smith, CMP at SUMIT_2015. 9 a.m.-4:30 p.m. presents “Know Your Rights- For more information, contact A Engineering Society University of Michigan. Annual Employer and Employee.” Other Kacey Anderson, (313) 446-0300, of Detroit (ESD) [email protected] or 248-353-0735, L. Brooks [email protected] Engineering and Technology Job Fair. ext. 152. symposium to raise awareness and speakers include or email . educate the community on Patterson, Oakland County

Hailed as the premier recruitment cybersecurity. Experts discuss the executive; Sue Novak, managing event, this job fair will provide you latest cybersecurity trends and partner, Plante Moran; and James UPCOMING EVENTS with the unique opportunity to: threats. Rackham Auditorium, Ann Goebel, founding partner, Menlo • Meet hundreds of applicants – all levels of experience Arbor. Free; registration is required. Innovations. Oakland Schools, 2015 North American International • Cultivate your future workforce Contact: Joel Iverson, (734) 764- Waterford Township. $40 Cyber Summit. Oct. 26. Engineering • Enjoy a tailored event for engineers, 8187; email: [email protected]; members, $55 nonmembers, $20 Society of Detroit. Hosted by Gov. students, and IT professionals website: safecomputing.umich.edu/ students, $225 table of eight. Rick Snyder, the event brings togeth- events/sumit15. Website: waterfordchamber.org. er experts to address cybersecurity issues. Cobo Center, Detroit. $79; $59 for students or members of In- formation Systems Security Associ- ation and other groups (see list on- line). Contact: Leslie Smith, (248) 353-0735, ext. 152; e-mail: [email protected].

Social Media: The Secret to Attract- Health Care Experience ing and Recruiting Talent . 10 a.m.-1 p.m. Oct. 27. Automation Alley. Joe ® Serwach, contributing author of The In Your Corner. Book of Social Media Strategies and Tactics,Volume 1, will discuss build- ing social media marketing plans Ŷ Focused on health care law for systems, for attracting and recruiting talent. physicians and payors in all market segments. Automation Alley, Troy. $20 mem- bers, $40 nonmembers, $30 walk-in Ŷ Third party reimbursement, public and members, $50 walk-in nonmem- bers. Preregistration closes Oct. 23. private health care provider fi nancing, Email: [email protected]; and commercialization of physician phone: (800) 427-5100. inventions and ideas. French Tech, Innovation & Savoir- Faire: What It Takes to Implant In Michigan. 6-9 p.m. Oct. 29. French American Chamber of Commerce, Michigan chapter. Roundtable discussion includes representatives from IES Synergy, Kem One and Kyyba. AdduXi Inc., Rochester Hills. $45 members and guests, $55 nonmembers. Contact: Stephanie Salvadero, (248) 936-9473; email: [email protected].

Calendar guidelines. Visit crainsdetroit.com and click “Events” near the top of the home page.Click “Submit YourEvents” from the drop- down menu that will appear.Fill out the First Tier Ranking in Health Care Law submission form,then click “Submit event” at the bottom of the page. ■ Detroit ■ Novi ■ Grand Rapids ■ Kalamazoo ■ Grand Haven ■ Lansing Contact Scott Alfree at [email protected] More Calendar items can be found at crainsdetroit.com/events. DBpageAD_DBpageAD.qxd 10/13/2015 11:17 AM Page 1

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20 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015

for its English-language print technology for fast, large-scale owned and operated by Kingston Fit moved its headquarters from 425 S. books, expanding Cornell’s long- computation. Websites: altair.com, LLC, at 305 W. Main St., Brighton. Main St., Rochester, to 362 South DEALS & standing relationship with Coutts fluidyna.com. Telephone: (810) 224-1418. Website: St., Rochester. Telephone: (248) Information Services Ltd. Coutts was fitwall.com. 650-1430. Website: onestream DETAILS acquired by ProQuest in April. EXPANSIONS software.com. Websites: proquest.com. MedPost Urgent Care, operated by MOVES library.cornell.edu. Tenet Healthcare Corp., Dallas, has Main Financial Group has moved its Deals & Details guidelines. CONTRACTS opened an outpatient medical cen- corporate offices from 44325 W. 12 Email [email protected]. ProQuest LLC, Ann Arbor, is work- Altair Engineering Inc., Troy, an- ter at Crossroads Shopping Center, Mile Road, Suite H-163, Novi, to Use any Deals & Details item as a ing with Cornell University Library, nounced that FluiDyna GmbH, Unter- 11502 Middlebelt Road, Livonia. 8273 Grand River Ave., Suite 130, model for your release, and look for Ithaca, N.Y., to develop a book-se- schleissheim, Germany, has joined Telephone: (734) 762-0739. Website: Brighton. Telephone: (844) 600- the appropriate category. Without lection system that will aggregate the Altair Partner Alliance, adding medpost.com. 6246. Website: mainfinancial complete information, your item will metadata from multiple sources nanoFluidX and ultraFluidX to its group.com. not run. Photos are welcome, but we into a single interface. Cornell will software portfolio. Both technolo- Fitwall Ventures LLC, Irvine, Calif., cannot guarantee they will be used. use ProQuest as the primary source gies use graphics processing unit has opened a Fitwall fitness facility, OneStream Software LLC has

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Here are some of last week’s Crain’s has moved its complete list of appointments and executive appointments reported promotions to www.crainsdetroit.com/peopleonthemove. by Crain’s. Brief online listings for management-level positions are available at no cost, at editor’s discretion. Judson Center CEO resigns; agency COO takes new job Guaranteed print placement in this promotional feature can Cameron Hosner has stepped be purchased at the website above. down as CEO of The Judson Cen- ter for personal reasons after leading the nonprofit the past three years. Hosner’s departure LAW LAW had nothing to do with John Wright Judson Cen- Of Counsel Attorney, ter, said a spokesman Berry Moorman P.C. for the Berry Moorman P.C. human serv- Hosner represents individuals and ices agency businesses in diverse with offices in Oakland, Wayne, industries and pursuits with clients ranging Macomb, Washtenaw and Gene- from small and emerging enterprises to large, see counties. 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Emily will continue expanding the Loyola High School Berry Moorman P.C. Lewand-Monroe, 38, named a firm's stable of local and national clients. Emily Crain’s 40 under 40 honoree last Bill will focus on identifying Berry Moorman P.C. was previously a Vice President for Finn week, has been director of policy and driving resource growth welcomes Timothy E. Partners. In addition to clients in the health of Detroit Future City and execu- for Loyola as it looks to Harden as an associate to sector, she has represented a range of clients tive director of the Michigan Land expand its ability to provide the firm. Mr. Harden has been in practice for 13 including financial organizations, technology Bank Fast Track Authority, and an educational and formational opportunities for years, concentrating on tax law, business law, start-ups, consumer home products and home attorney and executive project the young men of Detroit and the surrounding and estate planning. His credentials include improvement brands. manager for Wayne County. area that it has served for almost 25 years. Mr. University of Michigan Law School, a masters in Simowski has been on med- McGrail comes from Windward Capital taxation from Wayne State University Law ical leave, a spokesman said, de- Advisors, a consultancy group focused on School. corporate business development and new clining to elaborate. He became business start-ups. Prior to Windward, he held executive director in November Ⅲ several roles with Guardian Industries, including 2014. Manager of Business Development. 20151019-NEWS--0021-NAT-CCI-CD_-- 10/16/2015 5:32 PM Page 1

CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 21 MEDICAID FROM PAGE 1 REAL ESTATE However, a Medicaid HMO exec- utive, who asked not to be identi- fied, said DHHS’ scoring process OFFICE SPACE VACANT LAND for awarding regional contracts contained several math errors, THE HUNTER OFFICE BUILDING NOW TAKING OFFERS û In Midtown Detroit û which could have led to mistakes in Unique Land Parcel in Northern Washtenaw 3 Affordable Office Suites County. 300 Acres with Frontage on Horseshoe awarding some contracts. Some Furnished Lake. Bordered by 3 Roads. For Sale by Owners. No Share Development Offers. Late last week, DHHS did ac- Contact: Johnnie L. Hunter knowledge one math error. It said a 313-368-4682 or 313-550-1641 ROSE CHRISTOPH 248-229-2978 calculation mistake was made for [email protected] Region 7, which includes Ingham, WATERFRONT PROPERTY Clinton and Eaton counties sur- rounding Lansing, with 65,000 Medicaid enrollees. The fix for the mistake means NEW...WALLOON LAKE Meridian Health Plan of Michigan, the state’s largest Medicaid HMO with 450,000 members, is now among the providers awarded that region, and Molina Healthcare of Michigan was dropped, leaving it to serve seven other regions. HAP Midwest, which posted net income of $19.1 million on revenue of $381.7 million in 2014, account- Wonderful Family Get-A-Way ed for nearly half of Henry Ford’s PLUS Rental Income total net income in 2014 of $35.1 • 150 ft. Waterfront million, according to the Michigan Joe Blachy • 5,400 sf 5 year NEW house Department of Financial and Insurance (231) 409-9119 • 5 bedrooms 3 ½ bath Services. Email: [email protected] Website: joeblachy.com • PLUS....1,200 sf 2 bedroom Cottage Call anytime between 7am & 10pm 7 days a week! HAP Midwest is doing even bet- 420 Howard St., Petoskey, MI 49770 • 1 Acre…2 garages ter so far this year, posting $12 mil- become highly valued the past two of 2015, Sparrow PHP has earned lion in profits during the first six years because of Medicaid expan- $296,000 on revenue of $43.7 mil- months on revenue of $238.8 mil- sion under the Affordable Care Act, lion. lion. said Joe Spallina, a health care con- Sparrow’s commercial plan, Arv- JOB FRONT Even as the largest health system sultant with Ann Arbor-based Physicians Health Plan, with 32,000 in Southeast Michigan with $4.7 ina Group LLC. members, also lost $1.7 million billion in annual revenue, Henry “Hospitals and HMOs never during the first six months of this POSITIONS AVAILABLE Ford could face a serious financial wanted Medicaid because they year on revenue of $80.4 million. In SURVEY hit and operational dilemma if HAP were such a poor payer. Now, Med- 2014, Physicians Health Plan Midwest loses the state’s largest icaid has become more lucrative earned $2.9 million on revenue of ANALYZE Medicaid market, said Allan Baum- for hospitals and HMOs,” Spallina $157 million. garten, a Minneapolis-based con- said. Many states, including Michi- MATCH Financial Account Executive sultant who publishes the Michi- Health systems that own Medic- gan, are ratcheting down the num- A progressive multi-office Federally Qualified gan Health Market Review. aid HMOs like Sparrow, Henry ber of HMOs with which they con- Health Center is looking for a full time Financial Account Executive. The Financial Account “It could affect their (strategic) Ford, Detroit Medical Center and tract, Spallina said. Executive is a working management position plans” for expanding operations in Spectrum Health, which owns Priori- “States want to become more ef- requiring advanced professional expertise in the areas of finance, data analysis, and project Michigan and potential partner- ty Health, have a lot at stake when ficient and select only those management to provide services to the organization both internally as well as externally ship deals with other systems, they lose Medicaid contracts be- providers that meet the quality bar contracted services to its healthcare partners. The Baumgarten said. cause hospital profit margins are and price bar to get value because CrainsDetroit.com/JobConnect | position would include a learning environment in preparation to a fully functional leadership role in After the failed merger with flat or down, Spallina said. they have limited resources,” Spalli- FQHC finance, government reporting and Beaumont Health System in 2013, “(HMOs and systems) deselect- na said. compliance, billing/revenue cycle operations; IT management, business development along with Henry Ford CEO Nancy Schlicht- ed from networks are clearly upset As part of the state’s decision to MARKET the experience of client/vendor relationships. ing has said the health system is about it,” Spallina said. “They have move from awarding contracts by The qualified candidate will have experience with talking with other systems about a cultivated relationships with physi- county to 10 regions to improve ef- NextGen software. A minimum of a Bachelor’s PLACE degree in accounting or finance required, a potential merger or affiliation. cians and members and the mar- ficiencies, service integration and Master’s degree is preferred and at least 5 years of work experience as a CPA preferred. Beaumont ended up merging with ket. Now they have a financial im- expand population health, experts MISCELLANEOUS Competitive wage and excellent Oakwood Healthcare and Botsford pact to their insurance told Crain’s one goal of the state benefit package offered. EOE. Hospital. organization and their parent or- Medicaid program is to reduce the Please apply at: Over the past 30 years, HAP Mid- ganization.” number of Medicaid HMOs it ad- NEED WAREHOUSING? www.familyhealthcare.org/careers west has built a membership of Baumgarten said he under- ministrates. Plymouth & Livonia Area 100,000 serving Wayne, Oakland, stands why HAP Midwest execu- If the recommendations are up- • Cross-Dock Services • Trucking Services Macomb, Livingston, Washtenaw tives would be upset about losing held, the number of Medicaid • Diverse Supplier • Reasonable Rates The Crain’s reader: and St. Clair counties. Southeast Michigan, while a much HMOs in Michigan will drop in Call 810-701-0833 26.5% influence the But the state DHHS decided smaller plan like Harbor Health Plan, 2016 to 11 from 13. Ⅲ purchase of office/industrial that, starting in January, HAP owned by DMC, would have its Jay Greene: (313) 446-0325 and commercial space. Midwest would be dropped from contract renewed. Twitter: @jaybgreene Call Us For Personalized Help them find you by all those counties except for St. Compounding Henry Ford’s Service: (313) 446-6068 advertising in Crain’s Real Clair. problems is its commercial health Estate section. Where HAP Midwest now com- plan, Health Alliance Plan of Michigan, CLOSING TIMES: Monday 3 p.m., petes in counties with more than has lost money the last 18 months. BANKRUPTCIES one week prior to publication date. 313.446.6086 • FAX: 313.446.034 7 700,000 Medicaid enrollees, DHHS Earlier this month, HAP signed a Please call us for holiday closing times. E-Mail: cdbclassif [email protected] awarded HAP Midwest for 2016 the letter of intent to merge with Flint- The following business filed for FAX: (313) 446-0347 Region 6 contract in the Michigan based HealthPlus of Michigan. protection in U.S. Bankruptcy Court E-MAIL: cdbclassified @crain.com Thumb, which only has enrolled HAP, with 261,000 members, lost in Detroit Oct. 9-15. Under Chapter INTERNET: 169,000 Medicaid beneficiaries. $7.4 million in the first six months 11, a company files for reorganiza- www.crainsdetroit.com/section/classifieds Moreover, HAP Midwest will of this year, and dropped another tion. Chapter 7 involves total liqui- Confidential Reply Boxes Available compete with five other plans in $5 million in 2014. dation. PAYMENT: All classified ads must be Region 6, including Blue Cross Com- Of Sparrow’s $12.8 million in net J P Cable Solutions LLC, 40325 Ply- prepaid. Checks, money order or plete of Michigan, McLaren Health income in 2014, Sparrow PHP’s net mouth Road, Apt. 101, Plymouth, Crain’s credit approval accepted. Plan, UnitedHealthcare Community income of $853,000 amounts to voluntary Chapter 7. Assets and lia- Credit cards accepted. Plan, Meridian and Molina. 6.6 percent of Sparrow’s total net bilities not available. See Medicaid HMO contracts have income. During the first six months Natalie Broda Crainsdetroit.com/Section/Classifieds for more classified advertisements 20151019-NEWS--0022-NAT-CCI-CD_-- 10/16/2015 4:59 PM Page 1

22 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015

percent of the 1,000 annual heart co-own Medstar and benefit by sponse, ambulance transport, and A $98,000 grant from the Washtenaw PARAMEDICS failure patients admitted to the two avoiding readmission financial emergency room visit is a very cost- County Board of Commissioners is FROM PAGE 3 hospitals. penalties. ly way to take care of a minor, non- supplementing a $1.1 million budg- knee or hip replacements and Savings on heart failure patients Currently, health insurers do not acute illness.” et from Emergent Health Partners, chronic bronchitis and emphysema. alone could total $3.1 million by re- cover these types of home visits by If a patient needs treatment, the HVA’s parent organization. Medstar CEO Kolby Miller said its ducing readmissions of about 180 paramedics. Minnesota recently ap- paramedics also use a telemedicine Costs to HVA for the CP unit to- mobile health paramedic program patients, he said. On average, 24 proved a paramedicine program for video and audio link with an emer- taled $73,500, or about $1,500 per is an “extension of the health sys- percent of all heart failure patients its Medicaid program, and the Cen- gency physician, said Kennan Bora, day, less than the estimated $2,500 tem, with its purpose being to ex- are readmitted to hospitals within ters for Medicare and Medicaid Services M.D., medical director for patient cost if the patient had been brought tend the care and attention the pa- 30 days after discharge. An average is studying a program in Oklahoma. safety at Emergency Physician Medical to the ER. If that patient is admitted tients receive in the hospital.” hospital stay for heart failure pa- Miller said Medstar hopes to ex- Group in Ann Arbor, which is work- or readmitted, savings could be For up to one month after dis- tients is $17,000. pand to other chronic conditions ing on the program. greater than $10,000 per patient. charge, Medstar paramedics make Miller said the main reason heart based on the wishes of the hospitals. “We can perform surrogate The program will last two to three regular house calls nearly every day failure patients are readmitted is be- “We all recognize that many of exams with videoconferencing and years before state approval is sought for the first two weeks, then every cause they fail to follow up with our treatment decisions and in- get a sense remotely how patients to make it permanent, Berry said. other day for the next two weeks. their doctor after discharge. structions may not be understood are doing,” Bora said. “Doctors who Huron Valley will then seek reim- Paramedics conduct examina- Medstar has made 164 visits to 27 or followed. This program directly have had patient interactions like bursement from health insurers tions, review medication compli- heart failure patients discharged addresses those issues,” said Andrea this think it is fabulous. It allows us and other organizations that benefit ance and report back to the pa- from Henry Ford Macomb or Phillips, chief nursing officer with to treat the right patient at the right from the program. tient’s primary care physician, McLaren Macomb, many of whom McLaren Macomb. place with right supervision.” Community EMS/ Miller said. do not have primary care doctors. Huron Valley/ Livingston Bora said it doesn’t replace the Botsford program “By visiting patients immediately Only one patient has been readmit- County EMS program emergency department or primary and regularly, we can keep them on ted, he said. care doctor. “It allows treatment for Over the past year, Kevin track and communicate directly “We visited a patient at home last The Huron Valley and Livingston patients with unscheduled visits,” Bersche, director of operations with with their physicians if something week. She was prescribed with a County EMS program, which began he said. Community EMS, said the commu- has changed with the patient or common blood thinner, but the pa- in August, uses community para- During the first two months, nity paramedicine program with other concerns,” Miller said. tient already had one at home, at a medics with six months of addition- Huron Valley Ambulance’s commu- Botsford Hospital and its nursing The six-month program, which significantly higher dose,” Miller al training to respond to non-acute nity paramedics responded to 83 home has been in the data collec- began in August, has been ap- said. “She didn’t know which one to 911 calls when people need medical calls with 43 patients treated at tion phase with the state of Michi- proved as a pilot program by the Ma- take, one or the other, or both.” care but have no life-threatening home, or 52 percent, avoiding an gan. comb County EMS Medical Control Au- Average monthly costs for the symptoms. ambulance ride to the ER and an es- “We created the study to quantify thority and the Michigan Department home visits are about $500, with pa- The paramedics provide primary timated $107,500 in ER and ambu- the savings realized when mobile of Community Health EMS Division. tients averaging about three visits care for minor illnesses, including lance ride costs. health is used instead of transport- Miller said the state requires a per week, Kolby said. Additional vis- antibiotics, instead of a transport by Berry said paramedics have pro- ing to the hospital,” Bersche said. special study to be conducted on its include transportation to doc- ambulance to the emergency de- vided assistance for wound infec- Botsford Hospital, which owns the program because there are no tor’s offices and prescription drug partment. They also can schedule a tions, urinary tract infections, flu- Community EMS, is now part of specific regulations that allow para- pickups, he said. follow-up visit or phone call and like symptoms and medical eight-hospital Beaumont Health. medics to act as physician exten- Miller said paramedics sorted can arrange for a primary care equipment malfunctions. Beaumont is studying whether to ders. They are licensed as first re- out the medications with the help of physician appointment. “We have special state permis- expand the telemedicine program sponders, he said. the hospital and primary care Dale Berry, CEO of Huron Valley sion to transport patients to the to its hospitals, Bersche said. At the end of six months, Miller physician. Ambulance, said non-emergency doctor’s office,” he said. “We have created this study (with said, Medstar will submit data on pa- “If the patient took both, it would calls have skyrocketed over the last While there currently is no Botsford’s institutional review board) tient quality and cost savings. If have caused her blood to be as thin 24 years, increasing to 49 percent of charge to patients for the service, to demonstrate treatment interven- McLaren and Henry Ford want to as hot water,” he said. the total from 38 percent. Berry said the program is looking at tion does not compromise patient continue the program, Medstar will Medstar does not charge the pa- “Calling 911 is not the best solu- charging $180 for each community safety and to quantify the dollars apply for permanent program status. tient for the visit. Medstar is reim- tion for someone who has a minor paramedic visit. saved to the health system,” he said. Ⅲ Over the next year, Miller said, bursed by McLaren Health Care Corp. medical problem and can get to So far, costs to train and staff the Jay Greene: (313) 446-0325 Medstar expects to enroll at least 75 and Henry Ford Health System, which their doctor,” Berry said. “A 911 re- 21 paramedics have been $500,000. Twitter: @jaybgreene

breadth of costume offerings, includ- Doug lives in Florida most of the year. is small — Michiganders will spend Showtime’s business is down this HALLOWEEN ing rentals that cost $1,000 or more to Halloween has been hot this year, roughly $215 million — compared to year because of construction of the FROM PAGE 3 buy. If customers want to be a mad with sales up 25 percent in part be- $19.5 billion they’ll spend on Christ- M-1 Rail along Woodward Avenue, scientist, they choose from a half- cause “the parties were really well mas in November and December. plus a related flood of the basement Stormtrooper, we have that,” said dozen or so lab coats, including plus- spaced out this year,” she said. Some costume shop owners re- wiped out most of the cheaper cos- Lloyd Coe, co-owner of Ed’s Broad- size and better-quality ones. About 31 percent of adults in the re- tire and close their shops instead of tumes, said owner Dan Tatarian. way Gifts and Costume Inc. in down- At Lynch’s, a fixture in Dearborn tail federation survey said they will trying to sell them, said Dorothy Though sales will be off overall, some town Lake Orion. “We have all the since 1972, “roaring ’20s” has been attend or throw a Halloween party. Shadrick, executive director of the customers will spend lavishly on items that people can’t find.” the top-seller for three years, with The October holiday accounts for National Costumers Association. Louis XVI frock coats and punk rock- His partner, Kathy Coe, adds: “Of flapper dresses, gangster hats, boas one-quarter of Sutton’s $200,000 to At Sutton’s Costumes, the owners er and ’80s rocker costumes. “It’s course we sell to kids. We do a ton and other accessories. “Forty bucks $250,000 in annual revenue and are eager to sell their business, com- going to be a higher-end Halloween,” more for adults. Adults want the gets you a nice dress,” Lynch said. about one-fifth of Lynch’s $400,000 plete with a 6,720-square-foot with a few customers a week drop- special things,” like mermaid tails or Local theater departments and in sales. building and “about a million in in- ping $1,500, Tatarian said. elaborate costumes. October revelers shop the two floors People are spending a bit more ventory.” Asking price is $474,000, Despite the construction on Locally, costume sales are driven of merchandise. Bunny heads, Santa this year, but the average sale still said Chris Sutton, and that includes Woodward, Tatarian expects “wall partly by Theatre Bizarre, the suits, even a reindeer head fill a shelf does not often top three digits. “For all the 1950s-era tuxedos and vin- to wall” shoppers in the busiest Damned Show and other high-end on the upper level of the store, while $50 to $100, you can be fabulous,” tage clothing. days ahead. Halloween parties and events, own- Freddy Krueger sneers in poster form said Chris Sutton, whether it’s a “While there are challenges for “It’s nutty here. … It’s wild” the ers say. “If Halloween falls on a week- on the stairs. Rows of hats — varying Steam Punk costume or a well- small costume shops to compete in last two weeks of October, agreed end, it’s always better. There’s always in size, shape, and material — beck- heeled pirate in a brocade jacket — certain areas of the industry, our Ed’s co-owner, Kathy Coe. Their more parties,” said Lloyd Coe. on; gladiator amour sits tucked away the two most popular choices. members are year-round stores … Lake Orion shop opens an hour ear- Americans now spend more on in a corner; and around a dozen wigs Some of them are sure to be worn to that are very successful businesses lier and stays open until 11 or mid- adult costumes than on children’s with names like Bride of Franken- Theatre Bizarre, where creative cos- and are thriving,” Shadrick said. night in the days before Halloween. Halloween dress-up, for a total cos- stein or Gaga fill the back wall. tumes or tuxedos and masquerade Those that thrive usually have a “If people are coming in, we’re stay- tume tab of about $2.5 billion, ac- “You get about a week of boom- gowns are mandatory. second season — or another set of ing open. And then we’re right back cording to the National Retail Federa- crash sales,” said Lynch. Saturdays While most local costume stores clientele. up in the morning,” she said. tion. Overall, consumers spend and a few hours on weekdays are are busy this year, the recession and Sutton’s, family-owned for 33 Then after Halloween, the cos- about $6.9 billion on Halloween often packed from mid-October on. competition from major chains years, operates a robust tuxedo tume shop owners may take a few candy, decorations and more, or an While Lynch’s does not hire extra killed some local costume shops. business year round and makes days to rest up and regroup before average of $74.34. help for Halloween, Sutton’s Cos- Fantasy Attic in Ypsilanti closed, and costumes for corporations. Others they turn their buildings into “The toughest part is trying to tumes & Tuxedos on Dixie Highway Lynch’s closed two of its stores — in including Lynch’s have strong rela- Christmas central. December is the guess which licenses are going to be in Waterford Township adds a Warren in 2007 and Livonia in 2009 tionships with high school and uni- second-busiest month for most of hot,” Lloyd Coe said, whether it’s a dozen part-timers for the season to because high rent and operating versity theater departments. Lynch them, with Santa suits and reindeer superhero or the Minions, which its year-round staff of three. Among costs outweighed demand. also runs a second website targeting and snowmen and other holiday are merrily moving off shelves. the seasonal staff are the owners. “Halloween spending has leveled clown wear and clown makeup. costumes. At their Ed’s Broadway shop, their “They run it for me all year long — off since 2012,” says Tom Scott, a sen- Showtime in Midtown Detroit Said Chris Sutton: “Christmas is advantage lies not in just the right except Halloween,” said co-owner ior vice president of the Michigan Re- carries clothing for rock and other huge with all the Santas and elves Disney character, but in depth and Chris Sutton, who with husband tail Association. Halloween spending musicians. and penguins.” Ⅲ 20151019-NEWS--0023-NAT-CCI-CD_-- 10/16/2015 5:02 PM Page 1

CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 23 Athletic apparel

“Our state has been through retailer sues over some difficult times the last few years, and there were moments when I worried we ‘Run Detroit’name wouldn’t make it. My CPA played a major role in By Sherri Welch keeping our doors open and [email protected] our business afloat. Now Okemos-based Narrow & Wide we’re doing better than I Inc., a running and athletic apparel could have imagined. In fact, retailer that operates as New Bal- our second location opens in ance-Detroit RunDetroit LLC , has sued a few weeks.” in Detroit over use of the name “Run Detroit.” The lawsuit claims trademark in- fringement, false advertising, unfair competition and cybersquatting on the www.run-detroit.com Web do- main. In its suit filed in U.S. District Court RUN DETROIT in August, New Balance-Detroit Justin Craig and Alia Polsgrove opened claims it has rights to the name and their Midtown store in 2013.. says it has been using it going back to at least 2008. the table to talk about resolution, With a commitment to excellence, Michigan’s It was granted trademark regis- but so far they have not expressed &eUtiÀeG 3XElic $ccoXntants aUe tUXsteG anG tration for “Run Detroit” on June 16, any interest in that,” he said. SUoYiGe UesXlts IoU EXsiness oZneUs SeoSle liNe \oX, 2015. The two companies have been in acUoss the state An affiliate of the global athletic communication for the better part gear company New Balance, accord- of a year, according to Craig. While Visit micpa.org to leaUn moUe oU to ÀnG a &3$ Zho’s ing to its website, the Okemos com- exploring a federal trademark at the Eest IoU \oX pany operates stores in Farmington end of 2014, RunDetroit found New Hills, Troy and Utica. Balance-Detroit had applied for it, It is asking the court to order Craig said. RunDetroit to stop using its trade- “We sent a cease-and-desist let- marked name; to destroy all refer- ter ... to show the facts, that we were ences to it in devices, literature and using the name,” he said. “We are a advertising; and to award New Bal- licensed LLC here in Michigan, and ance-Detroit an unspecified they were effectively filing for a fed- amount of monetary damages, eral trademark of our name.” along with legal costs and fees. “After we had a discussion with The lawsuit says New Balance- them, they changed their dates,” Detroit used the name in connec- Craig contends. “Because the web- tion with sales of apparel and prod- site is very transparent, we can see ucts, but didn’t further specify how the initial application and all the the company used it. dates cited and the dates that were New Balance-Detroit’s attorney, amended.” Thaddeus Morgan, shareholder in Craig said he and his partner Fraser Trebilcock Davis & Dunlap PC’s spent hours searching the name, Lansing office, did not comment and at no point in mid-2012 when last week. The most recent state fil- preparing articles of incorporation ing for parent company Narrow & and filing with the state of Michigan HEALTH CARE Wide lists Curt Munson of Okemos did they find a link between the as the company’s president. words “Run Detroit” and New Bal- BENEFIT UPDATE In the suit, however, New Balance- ance-Detroit, Narrow & Wide or its Detroit contends that RunDetroit has other company, Playmakers, which become “well-known and famous runs a store in Okemos. among members of the purchasing “We are very successful here in the public as distinctive indicators of the city. ... Now that we’ve proven there is product by (Narrow & Wide) and its a retail market for running specialty Presented by: dba New Balance-Detroit.” in the city, others want to jump on RunDetroit’s “wrongful use of the the bandwagon,” Craig said. ‘Run Detroit’ mark is knowing, de- He projects RunDetroit will break liberate, willful, fraudulent and $500,000 in sales this year. without extenuating circum- “I’m excited for more retail oper- +RZKHDOWKFDUHFRQWLQXHV stances,” New Balance-Detroit said ations and competition,” Craig said. in the suit. “But what I’m not excited about is WRHYROYHDQGZKDWLWPHDQV FREE RunDetroit co-owner Justin putting in the work and then having Craig said he and his partner, Alia to give someone my name that WREXVLQHVVRZQHUV Polsgrove, have yet to be served in we’ve been operating under.” Webinar • How coordination of care can improve the U.S. Patent and the case. They learned of it through According to the quality and cost of health care an acquaintance. Trademark Office website, Narrow & Craig said he did extensive Wide filed its initial application to • Defi ning Organized Systems of Care and how Wednesday, Nov. 11 searches on the “Run Detroit” name register “Run Detroit” as a trade- they are changing the way care is being delivered Noon-1 p.m. before incorporating with the state mark in January 2014. • New innovative health care plans that help in August 2012 and opening the It listed its first use of “Run De- minimize rising health care costs and pass along company’s doors in Detroit’s Mid- troit” as at least as early as Oct. 1, savings to your employees town neighborhood in June 2013. 2012, on that application, but RunDetroit’s attorney, Erin Bona- changed its first-use dates for differ- To register go to hoom at Detroit-based Sadek Bona- ent products to 2010, 2009 and ulti- hoom PLC, has been trying to get mately October 2008 in a filing Powered by crainsdetroit.com/webinars New Balance-Detroit “to come to made in April. Ⅲ 20151019-NEWS--0024-NAT-CCI-CD_-- 10/16/2015 5:01 PM Page 1

24 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 HOMES FROM PAGE 1

Elsea, president of Southfield-based Real Estate One Inc., who reports bank-owned sales accounted for 2015UPCOMING about 4 percent of his company’s sales volume this year. PARTNER EVENTS “When the market peaked for that around 2010, the level was nearly 55 percent of sales that were either bank-owned, short sales or LON HORWEDEL other kinds of distressed transac- HunterPasteurHomes partners Howard Gitler(left) and Seth Herkowitz are working on Detroit Society for Human tions. Now that’s down to under 10 six developments across metro Detroit, including StoneLeigh (pictured) in Lyon Township. Resource Management percent distressed. The inventory for that has cleared out.” Tip O’ the Hat to Halloween: Networking event The departure of foreclosure in- HOT MARKETS and SHRM fundraiser ventory also relieves a downward Large local real estate markets that have seen the biggest increase in home Meet friends old and new, enjoy tasty appetizers pressure on prices, but other real sales so far in 2015: and quench your thirst at our cash bar. Learn about estate experts also point to the 2014 2015 PERCENT the opportunities to continue your professional economy, millennials, robust high- SALES SALES* CHANGE development and grow your career with Detroit end property sales — even gas Ferndale 276 343 24.2 SHRM. prices and blight removal may be Northville/Northville Twp. 251 308 22.7 October 28 • 5:30-7:30 p.m. helping some communities. Plymouth 341 411 20.5 In Detroit, for example, total year- 5th Tavern, Bloomfield Township Bloomfield Hills and Twp. 450 535 18.9 Detroit SHRM members: $10 to-date sales are off about 18 percent Sterling Heights 763 896 17.4 Nonmembers: $15 compared with the first three quar- ters of 2014, according to Realcomp. Grosse Pointes 442 508 14.9 To register, go to www.detroitshrm.org or call But median sale prices jumped year Livonia 803 918 14.3 (248) 478-6498 to date in 29 out of 31 ZIP codes that Rochester Hills/Oakland Twp. 685 780 13.9 are partly or completely within the Canton Twp. 729 830 13.9 city. For May-to-September, fewer than 2,000 properties fetched more Birmingham 322 362 12.4 than $113 million combined, com- *Year to date Marketing & Sales Executives of Detroit pared with about $90 million from Source: Realcomp, selected from markets that saw at least 300 sales. Back to the Future: An Evening with MSED’s nearly 2,200 properties over the Platinum Award Finalists same period of 2014. “On the macro end, it probably Bloomfield townships, Farmington units across the region, according to This year, we are inviting past Platinum Award has a lot to do with how people feel Hills or Livonia. data collected through August from finalists to present their keys to success – what they emotionally with the direction of the “We see this as a long-term recov- the Southeast Michigan Council of accomplished to be nominated, why their efforts city,” said Austin Black II, president ery with slow and steady improve- Governments. A total of 8,400 units at were successful and what their results are today. of City Living Detroit, a Detroit-based ment in the near term and over the year’s end would be about five times October 29 • 5-8 p.m. real estate brokerage. “People who next five years,” said Seth Herkowitz, the total construction planned in Management Education Center, Troy are staying see where things are partner at Farmington Hills-based 2009, but still less than a third of the MSED members: $45 headed, and it makes them want to Hunter Pasteur Homes, which is build- 25,328 permits pulled in 2004, the Nonmembers: $60 invest. ... That encourages other ing on six developments this year recent peak year. To register, please go to www.msedetroit.org or people.” compared with four in 2013. Black said he expects to clear $13 call Meeting Coordinators at (248) 643-6590. But Black also said the supply of The company regularly builds million to $14 million in City Living high-end properties like lofts and and sells 100-125 living units per inventory this year, including an In- Midtown condominiums or single- year, but Herkowitz said the compa- dian Village home that sold in Au- family homes in historic neighbor- ny is getting a boost this year from gust for about $400,000, and his hoods is tight compared with de- local employment, pent-up de- company’s high-end property list- Southfield Area Chamber of Commerce mand, which may be boosting mand since the recession, and mil- ings are regularly on the market two prices. lennials who are starting families weeks or less. Sale prices began 3rd Thursday Elsea said he expects the high- and buying first homes. surging in early 2014, he estimates, Network with the Chamber, the City and the end market to slow in sales volume Hunter Pasteur has two develop- and his average unit price last year Engineering Society of Detroit. soon, since it only has so much in- ment projects each underway in was around $275,000. November 19 • 4-6 p.m. ventory and was one of the first seg- Orion Township and Lyon Town- Black and Elsea also said it’s possi- Embassy Suites, Southfield ments to recover in recent years. ship, and one each in Ann Arbor ble that blight removal, particularly Nonmembers: $10 But equity is returning and sales and Commerce Township. the recent ramp-up in housing dem- Tickets are available at should stay brisk along with new Residential building permits in olitions across the city, is improving www.southfieldchamber.com construction in several high-growth 2015 are on pace for a sixth consec- curb appeal for other owner-occu- or upper middle class communities utive growth year in both single- pied homes within the same neigh- Business Development Series: like Lyon, Macomb and West family homes and total new living borhoods. But both said the evi- Business Resources dence for that is mostly anecdotal. Herkowitz said he doesn’t think December 2 • 7:30 a.m. INDEX TO COMPANIES gas prices affect sales much in its Southfield Area Chamber, Southfield These companies have significant mention in this week’s Crain’s Detroit Business: outer-ring suburban developments, Nonmembers: $10 Association for Automation Advancement.. 6 IHS Automotive ...... 6 where homes regularly sell for more Register online at www.southfieldchamber.com Blue Cross Blue Shield of Michigan...... 14 Ilitch Holdings ...... 1 than $300,000 and buyers are often Botsford Hospital ...... 3 Livingston County EMS...... 3 focused on school district quality, Colliers International ...... 4 Lynch’s...... 3 taxes, and proximity to commercial CBRE ...... 4 McLaren Macomb Hospital ...... 3 districts and entertainment. Center for Automotive Research ...... 6 Medstar Ambulance ...... 3 But Elsea said brokers consis- City Living Detroit...... 24 Michigan Association of Health Plans...... 14 tently have seen bedroom commu- For more local events, Community EMS ...... 3 Michigan Health & Hospital Association... 12, 13 Detroit Central City Comm. Mental Health..... 11 New Balance-Detroit...... 23 nity sales and suburban sprawl slow visit Crain’s Executive Calendar at Detroit Red Wings...... 25 Newmark Grubb Knight Frank ...... 4 down when gas prices are soaring, Detroit Tigers...... 1 Oakwood Healthcare ...... 12 so it’s possible a reverse trend is un- crainsdetroit.com/executivecalendar Ed’s Broadway Gifts and Costume...... 22 Priority Health...... 11 derway since gas prices began tum- Fanuc America ...... 6 Real Estate One ...... 24 bling in mid-2014. Friedman Integrated Real Estate Solutions..... 4 RunDetroit ...... 23 Greater Detroit Area Health Council ...... 13 St. Joseph Mercy Health System...... 3 “We’ve seen that forever. When- HAP Midwest Health Plan...... 1 Showtime...... 22 ever people are paying at the pump, Henry Ford Health System ...... 1 Sparrow Health System...... 1 the demand in Milford or Macomb Henry Ford Macomb Hospital...... 3 Sutton’s Costumes & Tuxedos...... 22 Township gets squeezed,” he said. Ⅲ Hunter Pasteur Homes...... 24 Together Health Network...... 12 Chad Halcom: (313) 446-6796 Huron Valley Ambulance...... 3 University of Michigan Health System ...... 3 Twitter: @chadhalcom 20151019-NEWS--0025-NAT-CCI-CD_-- 10/16/2015 5:00 PM Page 1

CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 25

can be spread over 14 years — a pizza business. Gores certainly has the money to TIGERS proviso intended to help families buy a baseball team. He founded CRAIN’S FROM PAGE 1 Delaying tactics keep family businesses. Beverly Hills, Calif.-based Platinum DETROIT BUSINESS Tax attorneys say the value of as- IRS rules allow a spouse to inher- Equity in 1995, and it claims $6 bil- www.crainsdetroit.com Tigers. Last year, the Ilitches un- sets within an estate is the classic it all assets tax-free, but that merely lion in assets under management Editor-in-Chief Keith E. Crain veiled a $200 million plan to reha- battleground for the IRS and the delays the eventual tax bill. The across 30 companies that generated Group Publisher Mary Kramer, (313) 446-0399 or [email protected] bilitate 45 blocks around the $532.5 heirs. same holds true for putting teams $17 billion in 2014 revenue. Associate Publisher Marla Wise, (313) 446-6032 million hockey stadium they are “You always run into the issue of in trust. or [email protected] Sales price Editor Jennette Smith, (313) 446-1622 or building for their other team, the valuation. That’s always where there “The tax bill is going to have to [email protected] Detroit Red Wings. The Tigers’ home, is some risk,” said George Malis, a get paid,” Malis said. If Ilitch or his heirs do sell the Executive Editor Cindy Goodaker, (313) 446-0460 or [email protected] Comerica Park, is a few blocks away. partner with Detroit-based Abbott Pro sports leagues, deeply cog- Tigers, the team could fetch more Director, Digital Strategy Nancy Hanus, Here is a look at some of the fac- Nicholson Quilter Esshaki & Young- nizant of estate tax bills on franchis- than $800 million, sports industry (313) 446-1621 or [email protected] Managing Editor Michael Lee, (313) 446-1630 or tors, aside from the massive payout, blood PC. es that have skyrocketed in value, insiders say. [email protected] that could prompt a sale — or con- Selling an asset eliminates the have made moves to aid owners in “If he does sell, he’s going to get a Managing Editor/Custom and Special Projects Daniel Duggan, (313) 446-0414 or vince the family to keep the base- valuation fight. their succession planning. nice price,” said Michael Rapkoch, [email protected] ball team. “If you convert it into cash, there For example, the NFL in May president of Addison, Texas-based Assistant Managing Editor Kristin Bull, (313) 446-1608 or [email protected] Sports Value Consulting LLC The taxman cometh is no squabble,” Malis said. voted to permit irrevocable family , which News Editor Beth Reeber Valone, (313) 446-5875 trust ownership of teams. Such a does valuations for teams. “If you or [email protected] Debt and expenditures Senior Editor Gary Piatek, (313) 446-0357 Perhaps the most compelling in- trust allows a team owner, while want to get a premium price, and or [email protected] centive to sell the Tigers is the po- There may be additional finan- alive, to put the franchise under someone really wants to get into Research and Data EditorSonya Hill,(313) 446-0402 or [email protected] tential estate tax bill that will one cial motivation to sell the Tigers be- control of a trustee and the arrange- baseball, this may be the right Web Producer Norman Witte III, (313) 446-6059 day fall on the Ilitch family. cause of current and future debt on ment removes the team from the time.” or [email protected] Internal Revenue Service Editorial Support (313) 446-0419; YahNica Craw- If the as- the Ilitch family’s books. While the value of the estate. The most recent MLB team sales ford, (313) 446-0329 sesses the Tigers to be worth $1.125 privately held holdings aren’t open MLB has sometimes allowed were the Los Angeles Dodgers for $2 Newsroom (313) 446-0329, FAX (313) 446-1687 , billion, as Forbes.com did in its an- for public scrutiny — the Ilitches do team owners to use irrevocable billion in 2012 and the San Diego TIP LINE (313) 446-6766 nual team valuations this year, the publicize the $3.3 billion revenue family trust arrangements, accord- Padres selling for $800 million that REPORTERS estate tax bill (at the maximum 40 total — known debt has included its ing to Sports Business Daily. It’s un- same year. In 2011, the Houston As- Jay Greene, senior reporter Covers health care, in- surance, energy, utilities and the environment. percent rate) for just the ballclub portion of Comerica Park’s $310 known if the Tigers are or could be tros sold for $615 million. (313) 446-0325 or [email protected] would be $450 million. million construction put in such a trust. Rapkoch predicted the Tigers Chad Halcom Covers litigation and the defense in- dustry. (313) 446-6796 or [email protected] Ilitch cannot avoid “If he does bill, and Marian Ilitch’s Who would buy the would sell for more than the Padres Tom Henderson Covers banking, finance, tech- that tax bill by leaving nearly $1 billion ac- and Astros. nology and biotechnology. (313) 446-0337 or Tigers? [email protected] the Tigers to his wife sell, he’s quisition of the casino. A variety of factors drive the sales Kirk Pinho Covers real estate, higher education, Oakland and Macomb counties. (313) 446-0412 or after his death, be- going to get a The Ilitches, Chris Ilitch, 50, is a possible con- prices of a team: its market size, the [email protected] cause Major League through their Olympia tender to assume ownership of the value of its local television rights Bill Shea, enterprise editor Covers media, nice price.” advertising and marketing, the business of Baseball prohibits its Development of Michi- Tigers. One of seven Ilitch children, deal, and its popularity. sports, and transportation. club owners from hav- Michael Rapkoch, gan real estate arm, he’s been the face of the Ilitch or- For the Tigers, a buyer would get (313) 446-1626 or [email protected] Lindsay VanHulle, Lansing reporter. (517) 657- ing ownership interests Sports Value Consulting also have committed ganization since assuming his cur- a team in the 13th-largest media 2204 or [email protected] in casinos and gam- to the sprawling “Dis- rent role in 2004. market. Southfield-based Fox Sports Dustin Walsh, senior reporter Covers the busi- ness of law, auto suppliers, manufacturing and bling. Marian Ilitch, 82, trict Detroit” plan to If plans change and the team Detroit currently pays the team $50 steel. (313) 446-6042 or [email protected] owns MotorCity Casino rehabilitate 45 blocks does go on the market, a number of million a year for local broadcast Sherri Welch, senior reporter Covers nonprofits, services, retail and hospitality. (313) Hotel. around the hockey arena they’re potential buyers are out there. rights, and the Tigers get among the 446-1694 or [email protected] Mike and Marian jointly own the building at I-75 and Woodward Av- One who is ineligible is billion- best local TV ratings in baseball. The ADVERTISING Red Wings, for which they paid $8 enue. aire Detroit real estate magnate Dan deal expires in 2018, and the next Sales Inquiries (313) 446-6032; FAX (313) 393-0997 million in 1982, because the National The arena’s $532.5 million cost Gilbert. He owns five casinos, which contract could be worth $80 million Sales Manager Tammy Rokowski Hockey League doesn’t share base- actually is not a debt load on the Il- would run him afoul of MLB’s gam- or more per season, industry ana- Senior Account Executive Matthew J. Langan Advertising Sales Christine Galasso, Catherine ball’s anti-casino prohibition. And itch pocketbook because construc- bling rules. lysts have said. Grace, Joe Miller, Sarah Stachowicz the hockey arena project suggests tion is being financed via state-is- Martha Ford, owner of the Detroit And despite the Tigers’ subpar Classified Sales Manager Angela Schutte, (313) 446-6051 they intend to keep the Red Wings sued bonds, and repayment is a Lions since inheriting them last year, record in 2015, after four consecu- Classified Sales Lynn Calcaterra, (313) 446-6086 long-term. blend of arena revenue and special is out because the NFL prohibits tive playoff seasons, Detroit still fin- Audience Development Director Eric Cedo It’s unknown if other Ilitch family downtown property taxes. cross-ownership with other sports ished ninth in all of baseball with Events Manager Kacey Anderson Creative Services Director Pierrette Templeton members or business associates One piece that is theirs is the leagues. 2.7 million in attendance, despite 17 Senior Art Director Sylvia Kolaski have minority stakes in the Tigers. eight-story, 205,000-square-foot Lit- One local possibility is Pistons teams playing in 12 larger markets. Marketing Coordinator Ariel Black The collection of Ilitch holdings tle Caesars headquarters they owner Tom Gores, who bought the Local broadcast rights revenue, Special Projects Coordinator Keenan Covington Sales Support Suzanne Janik, YahNica Crawford had $3.3 billion in combined rev- pledged to build at Woodward Av- National Basketball Association team and the shared money from the gar- Editorial Assistant Nancy Powers enue last year — anchored by the enue and Columbia Street. A cost for $325 million in 2011. gantuan national TV and licensing Production Manager Wendy Kobylarz Little Caesars pizza chain — but the estimate wasn’t disclosed, but com- He recently hired noted sports deals, can fuel reasons to sell or Production Supervisor Andrew Spanos valuation of all the individual busi- parable projects could put the price dealmaker Arn Tellem, who de- hold onto the team. CUSTOMER SERVICE nesses for tax purposes could be at as much as $71 million. clined to comment, to lead his “One advantage every owner has Main Number: Call (877) 824-9374 or [email protected] significantly higher. Then there are the ballplayers: new strategy of making business at the moment is increased profits Subscriptions $59 one year, $98 two years. Out of Sports industry insiders say the The midmarket Tigers have a large- and philanthropic investments in — both with retaining a club, and state, $79 one year, $138 for two years. Outside U.S.A., add $48 per year to out-of-state rate for sur- Ilitch family should have estate and market payroll. In 2015, Ilitch spent Detroit, and Tellem is especially selling it,” said Maury Brown, presi- face mail. Call (313) 446-0450 or (877) 824-9374. Single Copies (877) 824-9374 succession planning in place that about $173 million on players, the close friends with one of Ilitch’s dent of Portland, Ore.-based Busi- Reprints (212) 210-0750; or Krista Bora at reduces federal tax liabilities, but fourth most among MLB’s 30 clubs. most trusted advisers, Steve ness of Sports Network. “While the [email protected] To find a date a story was published (313) 446- even well-laid plans sometimes go Detroit has $111 million commit- Greenberg. team fell below expectations this 0406 or e-mail [email protected] awry. ted to player payroll in 2016 and That connection is intriguing: season, the value of the Tigers will Crain’s Detroit Business is published by All the Ilitches have to do is to tens of millions more to be added Greenberg, the son of Tigers Hall of continue to climb. Crain Communications Inc. Chairman Keith E. Crain look across town to see the unfold- via free-agent signings and salary Famer Hank Greenberg, is a signifi- “When adding in the large in- President Rance Crain ing debacle with the estate of for- arbitration cases. Front office per- cant sports dealmaker as managing crease in revenues with a new TV Treasurer Mary Kay Crain Executive Vice President/Operations mer Detroit Pistons owner William sonnel, coaches, and support staff director for New York City-based deal based off solid ratings, retain- William A. Morrow Davidson. account for millions more. boutique investment bank Allen & ing will garner profits now and con- Executive Vice President/Director of Strategic Operations Chris Crain Despite what was said to be elab- The Red Wings have $73.2 mil- Co. tinued equity growth, while selling Executive Vice President/Director of Corporate orate estate planning before his lion in player salaries this season, He does media rights consultan- would see exceptionally high re- Operations KC Crain Vice President/Production & Manufacturing death in 2009 at age 86, the Pistons the second-largest NHL payroll this cy for teams, and also aids in team turn.” Dave Kamis were sold and there was an unex- season. sales. He was an adviser on Gilbert’s The attendance and lucrative TV Chief Financial Officer Thomas Stevens Chief Information Officer Anthony DiPonio pected $2.7 billion bill for estate, gift It’s unknown if the teams, who $375 million acquisition of the deals are partly thanks to a roster G.D. Crain Jr. Founder (1885-1973) and generation-skipping taxes, and receive millions in shared revenue NBA’s Cleveland Cavaliers in 2005; to stacked with popular players such Mrs. G.D. Crain Jr. Chairman (1911-1996) penalties. The estate and IRS, after via their respective leagues, are former Compuware Corp. CEO Peter as Miguel Cabrera and Justin Ver- Editorial & Business Offices 1155 Gratiot Ave., Detroit MI 48207-2732; legal wrangling, eventually agreed self-sustaining or require subsi- Karmanos Jr. in his sale of a portion lander — and their enormous con- (313) 446-6000 upon a reported $388 million settle- dization from other Ilitch revenue of the NHL’s Carolina Hurricanes in tracts. Cable address: TWX 248-221-5122 AUTNEW DET CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is ment earlier this year. streams. 2010; and to the Pegula family’s $1.4 No other MLB teams are actively published weekly, except for a special issue the There’s a history of estate tax bills In the recent Forbes 400 list of billion purchase of the NFL’s Buffalo being shopped, so Ilitch has the op- third week of November, and no issue the third week of December by Crain Communications Inc. leading to the sale of teams, such as the wealthiest Americans, Mike Bills from the estate of Grosse Pointe portunity to set a price benchmark at 1155 Gratiot Ave., Detroit MI 48207-2732. Peri- National Football League Miami odicals postage paid at Detroit, MI and additional the ’s and Marian Ilitch were jointly list- Shores businessman Ralph Wilson for those seeking a ballclub, Rap- mailing offices. POSTMASTER: Send address Dolphins in 1993 and St. Louis Rams ed as being worth $5.4 billion. last year. koch said. changes to CRAIN’S DETROIT BUSINESS, Circula- tion Department, P.O. Box 07925, Detroit, MI in 2008. That’s up from $4.1 billion a year If the Tigers do come on the mar- “There are a lot of people want- 48207-9732. GST # 136760444. Printed in U.S.A. Federal tax law stipulates that if ago, an increase fueled by the ket, the Tellem-Greenberg link ing a baseball team,” he said. Ⅲ Entire contents copyright 2015 by Crain Commu- nications Inc. All rights reserved. Reproduction or an asset accounts for 35 percent or value of their sports franchises and could be the front line of negotia- Bill Shea: (313) 446-1626 use of editorial content in any manner without more of an estate’s value, the tax bill the continued success of their tions. Twitter: @Bill_Shea19 permission is strictly prohibited. 20151019-NEWS--0026-NAT-CCI-CD_-- 10/16/2015 5:33 PM Page 1

26 CRAIN’S DETROIT BUSINESS // OCTOBER 19, 2015 ON THE WEB RUMBLINGS WEEK OCT. 10-16

international competition, M- Detroit Digits Ross’anti-racism initiative Martins open Ann Prize, for chamber music ensem- bles with a $100,000 grand prize. A numbers-focused look at last Arbor hotel in Ⅲ At The Parade Co.’s studio in week’s headlines: on RISE at Michigan Stadium Detroit, Warren-based Art Van Fur- time for big game niture unveiled its new float, ans at Saturday’s football by Crain’s Detroit Business after a “Keeping the Magic Alive,” for De- 26,000 showdown between the Uni- sit-down video interview with on the eve of the Universi- troit’s annual Thanksgiving pa- The number of artworks owned by F versity of Michigan and Michi- Ross. ty of Michigan-Michigan rade, which it sponsors. the U.S. General Services gan State University were to witness A Detroit native with degrees O State University football Ⅲ Detroit casinos reported a Administration now on display on the Michigan Stadium video from UM and Wayne State game, Ann Arbor-based First Mar- 4.3 percent increase in aggregate through a new website from the boards the inaugural public serv- University, Ross owns the National tin Corp. — founded by former revenue during September com- Detroit Institute of Arts. The ice announcement from UM Football League’s Miami Dolphins and UM AD Bill Martin — opened its pared with the same month last interactive website allows users alumni and mega-donor Stephen created RISE earlier this year as a first hotel, a Residence Inn by Mar- year, according to the Michigan to find works by specific artist, Ross’ new anti- response to a 2013 situation in riott, in the city. The 110-room ex- Gaming Control Board. September state or region. racism initia- which one of his players quit the tended-stay hotel anchors a $20 revenue for the three casinos was tive, the non- team over racially-tinged harass- million mixed-use project at 116- 0.1 percent higher than August re- profit Ross ment. 120 W. Huron St. sults, the board said. 313 Initiative in Sports Ⅲ Legoland Discovery Center The number of feet the unofficial for Equality. Raffle becomes a reason to COMPANY NEWS Michigan at Great Lakes Crossing “world’s longest box of chocolate” Former attend a Lions game Outlets in Auburn Hills wants the measured for a benefit to support Michigan quar- Ⅲ Detroit Medical Center and public to choose which popular the Detroit RiverFront terback Tom The winless (as of Friday) Detroit Flint-based McLaren Health Care local buildings, statues or attrac- Conservancy. The box of Stephen Ross: Brady, now a pro Lions have been a mess on the Corp. agreed to collaborate on tions it should feature made from chocolate was constructed by Has a message for football star field, but off it, they run one of the cancer services in Detroit as part Legos when it opens in the spring. Hamtramck-based chocolatier football fans. with the New best-performing 50/50 raffles in of a settlement over McLaren’s The first round of voting runs Bon Bon Bon. England Patriots, pro sports, with jackpots regularly 2013 acquisition of Barbara Ann through Oct. 26 on Legoland’s was to deliver a message about topping $100,000. Karmanos Cancer Institute. Specific Facebook page. standing up against racism and Last year, fans spent $1.2 mil- details were not announced, but company, is opening its fourth pledging not to tolerate bigotry lion on the 50/50 raffle at Ford Karmanos will continue to inte- OTHER NEWS metro Detroit clinic in western and bullying. Also in the video are Field, and the average pot over 10 grate operations into McLaren, Detroit this week to serve the UM Heisman Trophy winner regular-season and preseason and DMC will work with McLaren Ⅲ The Chicago-based Liaison Medicare-Medicaid dual-eligible Desmond Howard, former Michigan games was $122,596. That meant and Karmanos to expand cancer Committee for Medical Education population in a pilot program basketball player Jalen Rose and the winning fan last year left with operations in Southeast Michigan notified the Wayne State University overseen by the Michigan Depart- current UM football coach Jim Har- an average of $61,298. at DMC health sites. School of Medicine that its accredi- ment of Community Health. baugh. In 2013, the raffle’s inaugural Ⅲ Olympia Entertainment will tation probation has been lifted. Ⅲ The Fox Theatre marquee lit Similar PSAs will air in other year, the contest was active only use its latest local radio deal for Instead, the Detroit-based med- up again after a monthslong reno- stadiums and on TV as part of for the eight regular-season the Detroit Red Wings to tell listen- ical school has been placed on the vation designed to preserve the RISE’s effort to create anti-racism games and generated about ers about the hockey team’s $532.5 less punitive “accreditation with signature 1988 marquee design awareness using sports and a $730,000, an average of about million arena to open in 2017. Fi- warning” status. while adding modern LED reader grass-roots education campaign. $91,000 per game. Winners got nancial terms were not an- Ⅲ About 16,000 square feet of boards and other features. All the major pro sports leagues, about $45,000. nounced for the new multiyear office and retail space in down- Ⅲ Michigan’s seasonally adjust- the NCAA and networks have Detroit’s two home preseason broadcast rights deals with CBS town Birmingham’s north end has ed unemployment rate fell to 5 signed on to the effort, which is games this year generated a little Radio Inc. for the Red Wings and a new owner who may add a third percent from 5.1 percent in Sep- using nonprofit Think Detroit PAL for more than $30,000 each. The Sun- Detroit Tigers, who share owner- floor for residential units. A 5,500- tember, the state Department of one of its first educational pilot day night home opener against ship under the Ilitch family. WXYT square-foot third floor may be Technology, Management & Budget programs. the Denver Broncos on Sept. 27 saw a 97.1 FM stays the teams’ flagship. planned for the two-story building said. The U.S. jobless rate re- The videos, and details about $122,650 jackpot and the Oct. 11 Ⅲ Startup retailer Detroit Fiber at 720-726 N. Old Woodward Ave., mained at 5.1 percent. It was the RISE, will be on the project’s web- late afternoon game against Ari- Works began a crowdfunding said new owner Brian Najor, presi- first month since August 2000 that site, RiseToWin.org. zona Cardinals hit $98,580. campaign with the Michigan Eco- dent of Birmingham-based Najor Michigan’s jobless rate was lower RISE formally launched Friday. Proceeds from the raffle benefit nomic Development Corp. to raise Cos. than the national rate. Ⅲ It was detailed earlier this month the Henry Ford Health System’s $10,000 to install public art in the Ⅲ The Kingsley Inn in Bloom- Josephine Ford Cancer Institute and median of Livernois Avenue and field Hills could change hands yet the Detroit Lions Charities. offer free fiber art workshops. The again. The property with the 150- Art at the White House effort runs through Nov. 30; infor- room hotel is headed to auction Kmart venture was a no-go mation is at www.patronicity.com. Nov. 16 with a starting bid on auc- for style diva Stewart Ⅲ The Grosse Pointe-based tion.com at $1.95 million. Ralph C. Wilson Jr. Foundation Ⅲ The Orleans Landing develop- Kmart could have been awarded $2 million in grants to St. ment on the Detroit River is ready “KMartha.” John Hospital & Medical Center to to begin construction with a That’s what support the creation of an outpa- groundbreaking ceremony next Martha Stewart tient senior assessment for inde- week. The $65 million first phase told The Associ- pendent living center and the is expected to be largely complet- ated Press for a new acute care of the elderly unit ed in the third quarter next year. story published at the hospital. Both facilities will Ⅲ Last month’s Arts, Beats & last week. be named in honor of Wilson, the Eats festival in Royal Oak generat- Stewart said Buffalo Bills founder and owner ed $255,802 for over 60 nonprofit she thought seri- who died last year. and community organizations, Martha Stewart: ously at one Ⅲ International express deliv- organizers said. Topping the list: Troy was a turn-off point about buy- ery service provider DHL Express is the Royal Oak Schools Performing for her. ing the discount adding a flight at Detroit Metropoli- Arts Committee ($12,195) and the chain, which for tan Airport to enhance service for Boys and Girls Clubs of Oakland and more than a decade carried Stew- U.S. importers and exporters Macomb Counties ($12,750). art-branded goods. But a “less based in Michigan. Ⅲ The Macomb Community Col- bold” executive at her company, Ⅲ The University of Michigan said lege Foundation said an anony- Martha Stewart Living, dissuaded her. it has received $294.5 million in mous donor’s estate pledged Another turn-off was Kmart’s funding over fiscal year 2015, $700,000 to the college’s first phil- COURTESY OF PARK WEST GALLERY headquarters at the time in Troy. bringing its total endowment to anthropic campaign. Of the gift, This piece by Dominic Pangborn, an artist at Southfield-based Park West Stewart described the property as $10 billion, the third-largest $550,000 will back MCC’s Center Gallery, will be shown at the White House Oct. 22-23.The work, which features “an architectural nightmare.” among public universities, for Innovation and Entrepreneurship. photographs taken from each class of the 50 years of the White House Fellows The empty site now is owned by Bloomberg and AP reported. Ⅲ Concerto Healthcare Inc., an Program, has a 3-D middle portion. It also will be shown during a gala Oct. 24 at the The Forbes Co., which declined to Meanwhile, UM announced a new Irvine, Calif.-based health care National Portrait Gallery in Washington. comment for the story. Ⅲ DBpageAD_DBpageAD.qxd 10/13/2015 3:30 PM Page 1 Your business deserves the best network.

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