‘Pokémon Go’: Why it might matter to your business, Page 3 JULY 18 - 24, 2016 Firms struggle to ll Health Care jobs at entry level O ers of higher wages, incentives on table Heroes They’re rethinking health care, solving intracta- By Dustin Walsh gion is approaching a labor short- ble problems and changing the world. They’re [email protected] age — one that is only going to get Shiloh Industries Inc., a laser weld- worse, experts predict. There is also Crain’s Health Care Heroes. One helped put ing and metal stamping supplier, is evidence that the tightening labor lifesaving overdose treatments in the hands of first hiring, and to find employ- market is starting to push responders. Another is uniting for therapy veterans ees, it has increased wages up entry-level wages even and former NFL players and offered other incen- as activists pressure for tives. higher minimum wages with traumatic brain in- Yet it continues to strug- and major companies juries. And another told gle to fill entry-level jobs. It make a splash of raising the world that a city’s has five openings at its their pay scales. children were suffering plant in Canton Township, Last week, J.P. Morgan with more to come after re- Chase & Co. and Starbucks from lead poisoning. ceiving $26 million in new Inc. announced they Those stories and more business for 2017. would raise pay for its low- start on Page 9. Shiloh’s trouble finding Kathy est-paid employees. Star- Labor workers is a story almost Henneman: bucks plans to raise pay 5 Crain’s will honor market has never forgotten during the Great percent to 15 percent for them at our Health looked so bleak. Recession. But it’s the new its roughly 150,000 em- Care Leadership Sum- reality. ployees. Chase plans to mit on Nov. 17. For more Now, unemployment is raise pay for 18,000 em- beneath 10-year lows, 4.7 percent in ployees from $10.50 per hour to be- on the summit, see Michigan and 5.7 percent in metro tween $12 per hour and $16.50 per www.CrainsDetroit.com/ Detroit in May, and labor force par- hour. events. ticipation remains stagnant. The re- SEE JOBS, PAGE 16 From real estate to Republican politics Now among GOP’s elite fundraisers, ‘relentless’ Ron Weiser puts the party rst

By Kirk Pinho Words you likely will never hear him presidential campaign that is ex- $100,000 to Republican candidates eners: “Disappoint-MINTS,” with a [email protected] say again. pected to kick into high gear this and causes since 1999, according to photo of President Obama on the Trust in the federal government After successfully scraping to- week with a formal GOP nomina- Federal Election Commission data — lid, stylized a la the outgoing com- had started its slow atrophy. gether the $45,000 down payment tion at the Republican National and Doug Rothwell, president and mander-in-chief’s “Hope” poster And in 1968, Ron Weiser, who — today, about $314,000 — from Convention in Cleveland. CEO of Business Leaders for Michigan, designed by Shepard Fairey during would become one of the most fraternity brothers and others, that He sits in a small, almost claustro- the state’s business roundtable. prominent money men in Republi- apartment building, long since sold, phobic temporary office on the On his desk, a tin of breath fresh- SEE WEISER, PAGE 18 can politics, needed cash. was Weiser’s first step to a vast, and fourth floor of the McKinley Corpo- The University of Michigan law undisclosed, fortune accumulated rate Center, the headquarters of the school student, two years after earn- largely in real estate. Ann Arbor-based real estate compa- ing his business degree there and And, years later, a place among ny he founded, McKinley Associates working as a resident manager of an the GOP’s stable of fundraising elite Inc., a few blocks west of the U-M apartment building at 815-819 S. that can be traced to his first apart- campus. The company, of which Main St. downtown, had the chance ment purchase. Weiser is a majority owner, today has to buy a small 15-unit property in He deals in hundreds of millions $500 million in annual revenue and a Ann Arbor for $245,000. of dollars now, as one of six vice 55 million-square-foot-plus real es- So he did what most in their early chairmen of a national committee tate portfolio valued at $4.6 billion in 20s would do: He hit up his “bros.” aiming for a far more ambitious 33 states. Albert Berriz oversees it as “I didn’t have the money,” he said. goal: $1 billion for Donald Trump’s its CEO and co-managing member.

© Entire contents copyright 2016 Talking last week about his 1968 by Crain Communications Inc. All rights reserved purchase of the nondescript crainsdetroit.com Vol. 32 No 29 $2 a copy. $59 a year. three-story apartment building overlooking the Huron River and municipal parks, Weiser is casually dressed in a striped button-up short-sleeve shirt. He is late to an interview, having gotten waylaid by a discussion about LON HORWEDEL NEWSPAPER the 2016 election with Berriz — who Ron Weiser is one of the six vice chairpersons of a joint fundraising committee for himself has donated more than presumptive GOP nominee Donald Trump and the RNC. 2 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 while planning to rent it. But a cease- mission will launch a statewide “lis- MICHIGAN and-desist letter that appeared on tening tour” this month to gather INSIDE their door last July forced the couple feedback from residents about in- THIS ISSUE CALENDAR ...... 14 to abandon vacation rental opera- frastructure needs. The 21st Century CLASSIFIED ADS ...... 15 tions and refund $40,000 to people Infrastructure Commission will kick KEITH CRAIN...... 6 who had paid to stay at the cottage. off the tour July 21 in Grand Rapids. OPINION ...... 6 Garfield Township and other Additional dates in Detroit and Mar- OTHER VOICES ...... 6 nearby residential areas have banned quette have not yet been an- PEOPLE ...... 14 BRIEFS short-term rentals — anything less nounced. The commission has a RUMBLINGS ...... 19 Dow cuts could become Dow’s cuts come at a time when than 30 days — for years. Housing website (miinfrastructurecommis- WEEK ON THE WEB ...... 19 West Michigan’s gain West Michigan companies say they shortages caused the township to sion.com) to gather public input are struggling to find talent. Unem- start cracking down last year. “When and provide updates on its work. Dow Chemical Co.’s loss — some ployment in Kent County has hovered we bought the property, we had no The panel is to review all state infra- COMPANY INDEX: 700 workers shaved from its work- between 3.3 percent and 2.9 percent reason to believe we couldn’t rent it structure systems to come up with SEE PAGE 17 force in Midland — may mean gains from January to May 2016, according out,” said Kazmierski, now a familiar best practices and priorities for im- for manufacturers seeking to fill tal- to the U.S. Bureau of Labor Statistics. voice at township meetings for more provement in a report due Nov. 30. of its campaign, which kicked off ent needs on the other side of the The MEDC also worked with eco- than 40 short-term rental owners. “A n Denso Manufacturing Michigan nine months ago. LowellArts said it state. nomic development firm Midland handful are just renting and hoping Inc., a manufacturer of automotive has outgrown its current home. According to a MiBiz report, Tomorrow to develop the portal. they don’t get caught.” air conditioning and engine cooling n Grand Rapids-based DK Securi- Grand Rapids-based Hello West Stakeholders in the project are still Some residents balk at skyrocket- systems, is expanding in Battle ty said it has been awarded a one- Michigan and economic develop- gathering information from employ- ing rents, but Kazmierski and others Creek. The Denso International Amer- year federal contract for armed se- ment firm The Right Place Inc. have ers for the portal, which has been say allowing home rentals would ica Inc. subsidiary said it plans to add curity guard services at the Soo teamed up with the Michigan Eco- built and is ready to accept informa- help the tourism industry. new manufacturing capabilities at Locks in Sault Ste. Marie, MLive. nomic Development Corp. to create a tion from former Dow employees. its Battle Creek facility to support ad- com reported. The company did not portal connecting West Michigan MICH-CELLANEOUS ditional sales, investing more than specify the amount involved in the employers to those laid-off workers. Traverse City-area cottage n Heidi Grether, a veteran oil $37 million and creating 125 jobs. contract. Dow announced the layoffs at its company lobbyist who joined Mich- n A Grand Rapids-area arts non- n Michigan State University’s Insti- Great Lakes Bay-area operations as renters balk at local bans igan’s energy agency last year, will profit is giving the public an oppor- tute for Entrepreneurship and Innova- part of a larger effort to reduce the Some homeowners say officials lead the state Department of Environ- tunity to support its $1.1 million tion is getting a $4.5 million boost chemical manufacturer’s global em- in the Traverse City area are being mental Quality in the wake of Flint’s fundraising campaign, which will from businessman Robert Burgess, ployee base as the company at- shortsighted in banning them from water crisis, AP reported. Grether, go toward renovating its new home, AP reported. Burgess, who earned a tempts to cut costs in the wake of its renting their properties as cottages, who will take the post of DEQ direc- the Grand Rapids Business Journal bachelor’s degree in packaging from recently closed deal to acquire Dow saying it isn’t good for tourism and it tor Aug. 1, has been deputy director reported. LowellArts said last week MSU in 1966, is a managing partner Corning Corp. hurts them financially. of the Michigan Agency for Energy for that it has entered the public phase with Glengarry Partners. “We normally go outside the state “I’ve pleaded with this area to real- a year. Keith Creagh, who has led the to attract talent, but this is just a dif- ize this is a sustainable, needed in- DEQ for six months since Dan Wy- Correction ferent situation,” said Cindy Brown, dustry for our area, which is based on ant resigned due to fallout from executive director of Hello West tourism,” Kelly Kazmierski told the Flint’s lead contamination problem, n A story on Page 3 in the July 11 edition of Crain’s misspelled the name Michigan and vice president of tal- Traverse City Record-Eagle. Kazmier- will return to directing the state De- of Shelborne Development. Additionally, the program named SWOT is ent initiatives at The Right Place. ski and her husband bought a house partment of Natural Resources. formally called SWOT City, and East Jefferson Avenue is one of six neigh- “We want these individuals to stay, overlooking a lake in Garfield Town- Grether worked for BP America for borhoods in the SWOT program. The other five are Brightmoor, Osborn, and why not talk to them about op- ship two years ago for $279,000 and more than 20 years. Grandmont-Rosedale, University District and Southwest Detroit. portunities in West Michigan?” invested $60,000 in renovations n Members of a new state com- Join Us This Week!

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By Tom Henderson last year’s competition, Invest De- second day to Orchestra Hall for should have been the climactic mo- [email protected] troit decided to take over manage- pitches from the 10 finalists, a stroll- ment — the naming of the winner of Accelerate Michigan There will be a seventh annual ment of the event, as well. Lauren ing dinner, a keynote address and, the $500,000 — there was only a What: 7th annual Accelerate Accelerate Michigan Innovation Bigelow had been the executive di- finally, the presentation of awards. sparse crowd left. Michigan Innovation Competition Competition this fall in Detroit, alle- rector since the competi- “We won’t waste a lot of “I remember in the past, the When: Nov. 3 viating worries that budget issues tion was founded. time moving people to a awards announcements would be Where: Cobo Center might halt its run as one of the larg- Seun Oyewole, an an- second location. We’re really after 10 p.m., and most people had est business plan competitions in alyst at Invest Detroit going to work on making already gone,” Dober said. Who: More than 200 companies who the country. Ventures, has been this go smoothly and quick- Oyewole said the strolling dinner apply online will be winnowed down An eighth annual event in 2017 named director of the Ac- ly,” Dober said. “We really will remain, but the plan is to have to 36 seminalists, who will present remains in doubt. celerate Michigan pro- want to refocus the event on things wrapped up by 9 p.m. their business plans to more than 70 The grand prize of $500,000 re- gram. company pitches and get The number of semifinalists will venture capitalists from around the mains the same for the winning ear- This year, Accelerate away from having panel dis- be trimmed, too, from 56 to 36. country. The 10 nalists will then ly-stage company, but many chang- Michigan will take place cussions. The pitches and “We want to highlight the best of make follow-up pitches. es are in store, according to Martin on one day, Nov. 3, in- Martin Dober: awards are the biggest the best. Cutting it to 36 won’t re- Awards: $500,000 grand prize, Dober, vice president and manag- stead of over two days. Refocusing thing.” duce the quality. It’s a good num- $100,000 for runner-up and $50,000 ing director of Invest Detroit Ven- And it will be at one ven- Accelerate Dober said Invest Detroit ber,” Dober said. for third place. There will also be tures, the investment arm of Invest ue, Cobo Center. In recent Michigan. polled last year’s attendees The event will also involve a big- $25,000 awards in other categories. Detroit, a nonprofit economic de- years, much of the two and there was agreement to ger role for the Ann Arbor-based How to apply: Online at velopment organization. days of panel discussions and com- eliminate the keynote speaker. In Michigan Venture Capital Association, acceleratemichigan.org/competition/ Invest Detroit replaced Ann Arbor pany pitches took place at the past years, the keynote speaker was whose members will serve as judges companies. Deadline is Sept. 2 and Spark as the event’s fiduciary after Westin Book Cadillac hotel in Detroit scheduled after the strolling dinner, the cost is $50. the 2013 event. Dober said that after then moved in the evening of the and when it came time for what SEE ACCELERATE, PAGE 15 ‘Pokémon Go’: The business case

By Blake Froling has 47 PokéStops and four “gyms,” [email protected] where players battle Pokémon. The smartphone game “Pokémon The Detroit Institute of Arts has Go” became inescapable seemingly about 10 PokéStops and has also overnight, with hordes of players posted on social media about the trying to catch its virtual creatures various types of Pokémon that can on their phones. be found there. But the game also offers some out- Ray’s Ice Cream in Royal Oak took of-the-box opportunities for busi- to Facebook to promote its nesses to catch customers. Here are Pokémon connection. five things to know even if you have “We just found out it was a no intention of playing the game: PokéStop,” Jenna Stevens, a manag- COURTESY P3 NORTH AMERICA INC. er at Ray’s, said last week. P3 North America Inc. built a 10-car vehicle workshop with prototyping capabilities What is ‘Pokémon Go’? at its , which opened in April. Does it really work? South eld Mobility Innovation Center It’s a free app created by Niantic Inc., a spinoff from Google, that al- “During the day, for sure, I’ve seen lows users to catch Pokémon, fic- people sitting and playing the game,” tional animals that have appeared said Stevens. “I definitely think a few in Nintendo games for 20 years. for 30 minutes at a time. Businesses people have come in just for that. Mobility magnet The app, known as “augmented re- can use these lures to attract players They buy ice cream, but they stay and ality,” uses a smartphone’s camera and drive foot traffic — important for play the game.” In the driverless car race, Michigan attracting and GPS to overlay Pokémon crea- many types of businesses. A fan-created “Pokémon Go” tures on a real-world map. Players can The game also placed “PokéStops” meetup at the zoo is set for July 30-31, outside rms that see it as place to be catch and fight battles with the crit- in thousands of locations, which play- with thousands of people saying on By Lindsay VanHulle moved his firm and his family to ters on their phones. The app has sur- ers go to for free supplies in the game. Facebook that they’re going. Crain’s Detroit Business/Bridge Magazine Arada’s new headquarters in Troy. passed Twitter in active users since its Many businesses had PokéStops “Summer is our busy season any- LANSING — Several years ago, Soon, he said, the company was July 6 release in the U.S., according to placed where they’re already located, way, but we do know that there has Praveen Singh made a bet on De- working more closely with auto- SimilarWeb. without even having to pay for it. been an influx of Pokémon visitors,” troit. makers, tier-one suppliers, univer- And naturally, the developer has said Patricia Mills Janeway, commu- The Silicon Valley technology sity researchers and the Michigan Why should said that sponsored locations are in nications manager for the startup he founded decided to . a business care? Detroit Zo- Department of Transportation the works. ological Society. market the advanced wireless sys- “It was a pretty bold move,” The game can be easily used as a Larissa Zade, DIA communica- tems it developed to the automo- Singh, 45, told Crain’s. “I felt, at the cheap marketing tool. Who is doing this? tions specialist, was inspired by the tive industry. As the market for the end of the day, the only way you’re Users can buy “lures” within the Businesses in the metro Detroit zoo to plan a Pokémon meetup in technology grew, Singh and his successful is if you’re living and game for about a dollar. These lures area have already capitalized on the downtown Detroit’s creative corri- small team at Arada Systems Inc. breathing in a certain location.” appear on players’ maps and attract massive popularity of the game. The dor on July 22. Institutions on board found themselves spending more In the race to develop connected Pokémon, and subsequently players, Detroit Zoo touted on Twitter that it include the Detroit Historical Muse- time on airplanes, flying from Cal- and autonomous vehicles, Michi- um, Wayne State University, the Col- ifornia to Detroit and Washington, gan’s automotive industry is fre- lege for Creative Studies, the Charles D.C., for meetings with automak- quently pitted against Silicon Val- Wright Museum of African American ers and federal transportation ad- ley’s technological prowess — the MUST READS History and the Detroit Public Library. ministrators. Detroit 3, say, versus Tesla Motors Inc. OF THE WEEK Those cross-country flights or Google. The perception often is What can go wrong? brought Singh to the realization that Silicon Valley’s tech entrepre- The game has had some unin- that if he wanted his company to be neurs are disrupting the American tended consequences. on the radar — to really compete — auto industry, forcing automakers “One of the hazards of the game it needed to be in Michigan, a state to accelerate R&D of connected and is people not looking where they’re with proximity to major automo- self-driving vehicles to catch up. going,” the zoo’s Janeway said. tive suppliers and, he said, an ag- More and more, though, compa- The Wayne State police even sent gressive approach to connected nies are looking to Michigan to es- out an advisory warning players to vehicle development. Not just a sat- tablish new offices or — as in the be careful, watch their surroundings ellite office. The whole operation. case of Arada Systems — move cor- and stay out of secluded areas to So in 2012, the Stanford Universi- porate headquarters to be closer to avoid being lured into robberies — ty graduate and longtime California Cra‰sman shows o Detroit Mower Gang in new promotion, Page 19 or walking into traffic. resident pulled up stakes and SEE TALENT, PAGE 17 4 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 Black talk radio station WFDF breaks into listener rankings By Bill Shea tion’s logo), and to populate the sta- time when race is a major American [email protected] tion’s airwaves with notable names, societal issue, and topics on the sta- Detroit’s new talk radio station including controversial figures, to tion affect many. aimed at African-American listen- build listenership. “People more than ever are cogni- ers has built enough of an audience WFDF hosts include many famil- zant about representation in media,” that it has crept for the first time into iar names, such as Steve Hood, Foley said. “Just like readers want to the radio listenership rankings. Ralph Godbee, Bankole Thompson, see people that look like them, listen- WFDF 910 AM generated a 0.1 rat- state Sen. Bert Johnson, JoAnn Wat- ers want to hear people that sound ing for June in the ratings released son, Horace Sheffield, Adolph Mon- like them.” recently by Columbia, Md.-based go and Karen Dumas. Sustaining the station is easier, Nielsen Audio. The station is averag- Dumas, a former spokeswoman Adell said, because he lacks labor ing about 25,200 unique listeners for Detroit Mayors Dave Bing and costs for talent. The hosts are unpaid per week, and of those, 15,600 are Kwame Kilpatrick, anchors the 4-7 but are free to sell commercials during black, said David Bangura, vice p.m. afternoon weekday slot. their shows — as long as they don’t sell president and general manager at A recent addition is former Uni- more spots than ownership, he said. 910 AM. versity of Michigan football star La- What’s in it for the hosts, since they Another interesting statistic out Marr Woodley’s Tuesday show about don’t get paid? Freedom, Adell said. of WFDF’s first ratings report: 17,000 athlete life. He places no restrictions on his hosts, of its listeners live in Oakland Coun- Hosts with controversy in their other than what’s mandated by the ty, meaning it derives less of its lis- backgrounds include former Kilpat- Federal Communications Commis- tenership from Wayne County, rick Chief of Staff Christine Beatty, sion. which is about 39 percent Afri- and ex-Wayne County District Judge “I’m not worried about offending can-American, so far. Wade McCree. Also in the lineup is advertisers. I already have money,” WFDF ranks 41st out of the comedian Mike Bonner at night, he said. market’s 53 stations, and is on par and music is played overnight. Adell has his sales staff from his with Taylor-based WCHB 1200 AM, a Not all hosts are black, such as television station, WADL TV-38 in black-oriented talk station of local controversial former state legislators Clinton Township, sell commercials and syndicated content owned by Cindy Gamrat and Todd Courser, as packages that include spots on Silver Spring, Md.-based Radio One and Warren Mayor Jim Fouts. Previ- WFDF, he said. Spots on WFDF sell Inc. ous hosts have included former for $40 to $55 for 30 seconds and $50 “It’s a low Wayne County Executive Robert Fi- to $80 for 60 seconds. number, but it’s cano, and current Oakland County Earlier advertisers have been a start. It had no Executive L. Brooks Patterson. DTE Energy Co., the Wayne County As- numbers before. Adell said he wants names on his sessors O‘ce, Detroit-based SER It was ground airwaves, controversial or other- Metro, Thav Gross Attorneys in Bing- zero,” said sta- wise, who will fuel an audience. ham Farms and Roseville-based tion owner Kev- “I give people second chances, a A&B Motors. in Adell. second bite of the apple,” he said. Adell said he expects political ad- The 0.1 rep- One local radio observer had vertising to kick up in coming resents what mixed observations about the host months, and with an official rating Kevin Adell: “It’s a Nielsen Audio strategy. from Nielsen Audio, his sales staff low number, but terms a quarter “Karen Dumas in afternoons is will be able to sell airtime to major it’s a start.” hour (AQH) rat- particularly strong,” said Don Tan- advertisers seeking to reach a black ing, or the aver- ner, a partner in Farmington Hills- audience. He also said he expects to age number of persons, ages 6-plus, based Tanner Friedman Strategic be targeted by large media buyers who listened during any quarter Communications and radio-industry that have budgets set aside for black hour from 6 a.m. to midnight Mon- insider who wrote the radio and mu- stations. day through Sunday in the survey of sic industry book No Static at All. “Getting the number makes it le- the local market. Adell signed a “Adell has compiled a large list of well- gitimate now,” he said. three-year deal to get ratings data known hosts, both daily and week- The station isn’t entirely talk or from Nielsen. end, that people know. ... Hosts like music: WFDF in May inked a deal, At the top of the local monthly Gamrat and Courser also bring a curi- the terms of which were undis- rankings, with an enormous 7.2 rat- osity factor, but can that be sus- closed, for the broadcast rights to ing, is CBS Radio Inc.-owned sports tained?” University of Detroit Mercy men’s station WXYT 97.1 FM, which domi- Talking about issues important to basketball games. Adell also unsuc- nates ratings because it carries De- the African-American community, cessfully sought the broadcast rights troit Tigers games. such as police brutality and the Flint to Detroit Pistons games. Adell, 49, bought 50,000-watt water crisis, are the sort of topics Adell As for competition locally, Adell WFDF for $3 million in late 2014 said his hosts tackle. has said his intent is to siphon black from The Walt Disney Co.’s Burbank, “We’re going to peel it back like an listeners from Detroit’s talk radio Calif.-based Disney Radio Group LLC. onion,” he said of issues. stations that have equally large In January 2015, he began using the A diversity of voices is fueling power: WWJ 950 AM, owned by New station to simulcast audio from his WFDF’s early listenership success, York City-based CBS Radio, and WJR Southfield-based The Word Network said Aaron Foley, a media observer 760 AM, owned by Cumulus Radio Inc. global Christian television pro- and editor of Ferndale-based BLAC Also targeted is Detroit’s current pri- gramming that’s mainly aimed at an Detroit Magazine, an arts, culture and mary black talk station, anchored African-American audience — and lifestyle monthly aimed at Afri- around longtime host Mildred Gad- Nonpro ts: is highly lucrative while giving him can-American readers. dis, the 50,000-watt WCHB. Tell your story to the business cachet and legitimacy within the “910 is working because they have Overall, Tanner is impressed with black media community. a variety of voices, and a variety of what Adell has done with WFDF. community at a discounted rate! While ramping up WFDF’s signal black voices,” he said via email. “We “Doing this well this early is im- and working out technical kinks, Adell can’t just rely on one or two black peo- pressive for a new station,” he said. Position your nonpro t pro le in front of simulcast The Word until launching ple in Detroit media to be all things to “Adell is doing more than any other the all-talk format in March. all people. With 910, you have more station or radio group in town to business owners, CEOs, presidents and top-level Adell’s strategy has been to satu- than one option — male and female promote 910 AM. Billboards are ev- executives in the Oct. 24 issue of Crain’s. rate the metro area with more than voices, young and veteran voices, erywhere as are snazzy station vehi- 100 billboards to brand “910 AM Su- people from various career back- cles (in essence, rolling billboards).” Pro le Reservation Deadline: Aug. 15 • Pro le and Ad Materials Due: Sept. 1 perstation” visually (he also has a grounds.” Bill Shea: (313) 446-1626 Contact Matt Langan at [email protected] or (313) 446-6032 couple of buses wrapped in the sta- WFDF’s emergence comes at a Twitter: @bill_shea19 PN Full pg_DBpageAD.qxd 7/12/2016 2:58 PM Page 1

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Our Surcharges (incl. Fed. Univ. Svc. of 17.9% of interstate & int’l telecom charges (varies quarterly), 21¢ Regulatory & $1.23 Administrative/line/mo., & others by area) are not taxes (details: 1-888-684-1888); gov’t taxes & our surcharges could add 7% - 46% Activation/upgrade fee/line: Up to $40 IMPORTANT CONSUMER INFORMATION: Subject to VZW Agmts, Calling Plan & credit approval. Data Boost is $15/GB. Coverage, varying by svc, not available everywhere; see vzw.com. © 2016 Verizon. 1.800.VZW.4BIZ | vzw.com/businesspricing 6 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 Detroiters, unite to save neighborhoods et’s face it, Detroiters, never did Wake up, Detroiters. If we do not Lwe imagine that Detroit would take control of our blocks and neigh- be bouncing back so fast. Change is borhoods, then others will do it for us. everywhere, from newly repaired We are on the verge of ending up streetlights, to accelerated demoli- with investors all over the world own- OPINION tions, to rapid road repairs. ing us. I, for one, would rather die than In addition, there are new con- see this. I have a 2-year old daughter struction and booming values in OTHER VOICES who is growing up in Detroit. I do not downtown, Midtown, Corktown, East Herbert Strather want her to one day ask me, “What Jefferson, and the Woodward corridor. happened to our city, Daddy?” Public transit may Strather is a real estate developer based in This is an exciting time, Detroi- The question becomes, “Why ar- ters. After years of challenges, we Detroit and a teacher. en’t we engaged?” Consider this: City now have a front-row seat on what can save Detroit’s neighborhoods. of Detroit Employees can buy real effective management is all about. The answer is no. How can any- estate for 50 percent of any winning build workforce Mayor Mike Duggan is now tack- one save a neighborhood without bid from the Detroit Land Bank Au- ling the schools and our most pre- the residents’ engagement? The thority. I wonder how many have he market is working. cious asset — our children. I must mayor can roll out as many great taken advantage of this opportunity. A push to increase the minimum wage through legislation admit that I became emotional lis- programs as possible, but if Detroi- On the average, the appraised may not be as effective as the market itself: Employers are paying tening to his speech at the Mackinac ters don’t take action, how is it possi- market values are less than half of Tmore to attract workers. Policy Conference and the plans ble to properly redevelop the neigh- what they were 10 years ago, (this is As Dustin Walsh reports on Page 1, local workforce experts say the that he has for our schools. For borhoods? a joke) yet rents are back 100 per- tightening labor market forces employers to pay more. But even then, those who have not heard it, you Detroit’s neighborhoods should cent, and demand is off the hook. many — like Shiloh Industries Inc. in Canton Township — are finding it must listen to it. He fights for Detroit be something that we can appreciate Just ask any real estate agent. Need I tough to find people willing to be trained and who have “soft skills” to be like a bulldog. with beautiful homes that have curb say anything else? effective on the job. The main issue this article ad- appeal, rather than transients and Let’s join forces and redevelop One solution could be public transportation. Employers who support dresses is whether Duggan alone boarded-up houses on every block. our neighborhoods. the Nov. 8 millage — like Detroit Manufacturing Systems founder Andra Rush — attest that many workers wash out in the first 90 days because they don’t have a reliable way to get to work. LETTERS If it’s difficult for Detroiters to reach the DMS plant near I-96 and the Southfield Freeway, imagine how tough it would be to get from Detroit to Canton Township. Crain’s articles clarify debate on Medicaid The regional transit millage — 1.2 mills asked of voters in Oakland, Editor: common good and in serving some Wayne, Macomb and Washtenaw counties — would create bus rapid Over the past several months, Send your letters: Crain’s Detroit of this state’s most vulnerable and transit lines along major corridors as well as cross-county connections Crain’s Jay Greene wrote a series of Business will consider for publication all resilient residents, those with men- and more express bus routes. It would enhance existing bus service op- articles that outlined, with accuracy, signed letters to the editor that do not tal health and intellectual/develop- erated by the regional SMART, Detroit Department of Transportation objectivity and clarity, the debate defame individuals or organizations. mental disabilities, and sub- and Ann Arbor Area Transportation Authority. within the state budget develop- Letters may be edited for length and stance-use-disorder needs. Some voters may not use the enhanced service, but the companies in ment process over the roles of the clarity. His writing reflected a depth of our region straining to find workers should see the value of bringing public and private sectors in meet- knowledge; a nuanced, clear-eyed Email: [email protected] more workers to their doors. ing the needs of those enrolled in view of the financial and political Michigan’s Medicaid program. This aspects of the debate; an under- series represents the best of what vocating for a range of outcomes. standing of the broader national Honoring health care’s heroes journalism can bring to the public’s Jay’s comprehensive coverage context; and a heart for the persons understanding of complex social gave a large segment of Michigan’s who would be most directly impact- Most businesspeople think of health care as a cost. Some think of and political issues. It underscores residents the knowledge and context ed by the decisions made as a result health care coverage as a competitive advantage in wooing new talent. the vital role that journalism, of the needed to understand and partici- of this debate — those who are But as our annual list of Crain's Health Care Heroes suggests, health caliber demonstrated by Jay, plays pate in this debate — a herculean served by and rely upon this social care just might be a commodity — until you, a family member or a col- in fostering the informed public dis- task given the complexity of the is- and health care safety net. league need the very best. And managing institutions within the multi- course essential to sound policy- sues involved. Jay’s articles described We applaud Jay’s commitment to billion-dollar industry isn’t a walk in the park, either. making and, more fundamentally, the fiscal and service delivery struc- accuracy, fairness, clarity, and to get- Our honorees represent some amazing stories — from the to the workings of a democracy. tures and processes imbedded in the ting to the core public policy issues well-chronicled efforts of pediatrician Mona Hanna-Attisha in push- Jay captured, with accuracy, com- state’s Medicaid program — struc- behind the budget debate. We ap- ing the Flint lead poisoning issue to the front of the public agenda, to passion and a keen ear and eye, the tures and processes that can appear plaud the sophistication and com- banker Sandy Pierce’s role as chairman of the Henry Ford Health Sys- views of the full range of stakehold- arcane to most observers — in ways prehensiveness of his approach to tem board as it pushed through a series of major decisions shaping the ers to this debate. Readers were pro- that allowed a broad cross-section of covering this debate. We look for- 100-year-old system’s future. And there are lessons, too, in the work of vided with a broad cross-section of Crain’s readers to understand and ward to his continued work in fol- psychiatrist Carmen McIntyre, who has crusaded to save opioid ad- views on the impact of this debate, participate in the debate. lowing this debate as it plays out in dicts but recognizes a root cause: “We have a culture that is intolerant including those served by the public More than that, Jay outlined the the near term and for years to come. to any discomfort.” and private mental health systems, public-interest issues that are at the Robert Sheehan All 10 are deserving of accolades. Crain’s is proud to honor them now those who work within those sys- core of the debate — the role of gov- CEO — and at the annual Health Care Leadership Summit on Nov. 17 at the tems, state legislators, state govern- ernment and the vital role played by Michigan Association of Community Troy Marriott. ment administrators and those ad- the public safety net in ensuring the Mental Health Boards Driverless cars are at least 10 years away A few weeks ago, Joshua Brown They seem more interested in the face of it. products are offered for sale to an became a footnote in history when bringing a product to market re- There are millions of potential overly enthusiastic public. he became the first person killed in gardless of whether it is fully test- buyers for a driverless vehicle today. When and if a tested, safe driver- an autonomous vehicle. I don’t ed over millions of miles. I don’t Senior citizens who have been less vehicle is available, there will be know what he was doing, but we think most of these companies forced to give up driving and their a huge market for the product. But know for certain that he wasn’t driv- have the self-discipline to wait freedom of mobility are a huge mar- it’s going to take quite a while before ing his Tesla when it crashed into and be cautious rather than get ket to buy a vehicle that will take it’s available. My guess is, in the be- the side of a truck that turned ahead something on the market that will them where they want to go without ginning, like an airplane on autopi- of him. KEITH CRAIN be unsafe. having to drive themselves. lot, it will require a licensed driver to Tesla has a feature on its cars that Editor in chief Tesla has been unwilling to dis- But in the haste to cash in on this constantly monitor the vehicle’s it calls “autopilot,” and it isn’t. We are connect its “autopilot” feature even market, many vendors are going to performance. That will delay the in- probably not going to have a tested vehicle. That might take a decade by when it admits the system is not an be offering for sale untested and un- troduction of a true autonomous and proven driverless car for a de- itself. autopilot the way most people proven products that will simply be vehicle for even longer. cade or more — assuming the Everyone you can imagine, and would understand that term. It’s the unsafe. Unfortunately, government It’s a great idea and a noble goal, courts figure out who needs the in- some you can’t, are rushing head- driver’s fault, not the car, the com- will have to get involved and create but don't expect to buy one for at surance and the licensing for the long into these uncharted waters. pany claims, which is ridiculous on some benchmarks before these least a decade. Testing takes time. CRAIN’S DETROIT BUSINESS // JULY 18, 2016 7 MCM Learning nds life aer auto in defense technical, training markets

By Chad Halcom als for operating and maintaining comes a matter of making some- But then the automotive decel- enough new business to double [email protected] military vehicles — both for the thing accessible.” eration began. Two years later rev- his current workforce of about 25 Sometimes diversifying to add U.S. military and for allied govern- It’s a far cry from 2009, when the enue was well below $1 million employees. a new line of business is no differ- ments under the federal Foreign company had no defense business and he had to invest some of his Piccinini is not the only training ent than forming a new business Military Sales program. Piccinini and automotive customers who own money back into the business. and technical manual business from the ground up, as War- said a modest share of revenue still were then a primary revenue Training and marketing, he said, owners who sees challenges in di- ren-based MCM Learning Inc. has comes through training and other stream were winding down their are often the first two expenses to versifying. Richard Alexander, learned. services it provides to construction relationships cut back when a cyclical business owner of Alexander Publications in President and CEO Ned Piccini- and medical businesses. with MCM. is in a downturn, and MCM was Newport Beach, Calif., publishes ni said it took more than five years And in a way, the drawdown of Starting with particularly vulnerable and need- technical manuals for utility com- of pitching products, networking U.S. military forces from Iraq and contracts with ed new markets. panies, power industry profession- and navigating federal bureaucra- Afghanistan and some changing Volkswagen So he had been trying since late als and some educators who train cy to successfully crack into the de- environments for U.S. allies in oth- and Audi in 2007 or so to crack into the world electrical workers. fense industry. But the effort paid er areas have actually increased 1995 and con- of defense contracting. That And he also appreciates the diffi- off, and he estimates the U.S. De- the need for MCM materials. For- tinuing through meant getting assistance from the culty in branching out into another partment of Defense and allied for- eign allies with differing education some General Macomb Regional Procurement Tech- industry. With more than 100 books eign governments now account for systems need to understand how Motors Co. and nical Assistance Center in Warren, published, including 22 written by 80 percent of revenue. to maintain and operate military Fiat Chrysler Au- Ned Piccinini: and the U.S. Small Business Adminis- Alexander himself, the business The company has handled equipment in their countries. tomobiles US LLC Estimates tration, while attending industry thrives on a specific niche and aver- nearly $10 million in defense busi- “We have to handle creating not training work government events and pitching his products ages about $1 million revenue. ness since 2013, and MCM and only a deliverable but a deliverable that wrapped in contracts account at industry day events at Macomb “Our focus is on the transmis- two of its joint ventures are pacing those (foreign) services can use. 2010 and 2011, for 80 percent of County's Selfridge Air National sion and distribution of electric to do more than $2 million in com- You have to consider, what’s the lit- MCM used to revenue. Guard Base and elsewhere, and energy, and it goes right through bined revenue this year for all its eracy level and learning level of the provide training getting proper contractor num- the grid up to the meter. The clos- customers. audiences around the world, to be and instruc- bers to do business with the est other market to our industry Each of the joint venture busi- able to practically use whatever we tional systems programs. Pentagon. would be people who install interi- nesses that it co-owns, with Jacob- develop and move it forward?” he Non-technical service work for GM It was slow work, first convinc- or wiring for commercial and resi- son Daniels Associates LLC in Ypsi- said. used to include soft skills like cus- ing military officials of the useful- dential customers, but we have lanti and with Diversied Engineering “It’s not just a matter of taking a tomer interaction for dealership ness of his products and then chosen not to do that,” he said. Services Inc. in Livonia, hold con- programming manual developed service departments, while Chrys- waiting for funding to procure “These markets are different tracts with the U.S. Army to create in this language and translating it ler training programs had a more them, until one joint venture enough, they have different safety training manuals, sustaining engi- to that one. A literal translation will technical focus, Piccinini said. landed a contract through the U.S. standards and go to different trade neering and training support for often confuse matters, because Founded in 1991, MCM was Army Tacom Life Cycle Management shows, that it would almost be like both domestic and foreign military there’s not a similar word in the pacing for a then-record $2 million Command in Warren. A second one starting a completely different vehicle users. other language and the translation revenue year in 2008, after averag- followed, and he hopes to land a business.” In practical terms, the company becomes more like a description of ing $1.6 million to $1.8 million in new multiyear defense contract Chad Halcom: (313) 446-6796 has been providing training manu- the word we’re trying to use. It be- the preceding years. in 2017, which could create Twitter: @chadhalcom

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HEROESStories by Jay Greene MONA HANNA-ATTISHA, M.D., HURLEY MEDICAL CENTER Mona Hanna-Attisha, the pediatrician now world-famous for blowing the whistle on the public lead poisoning in Flint, has been invited to speak before many distinguished audiences. But some of her most cherished moments the past year have been talking about lead contamination and its effect on chil- dren before third-graders and Brownie troops. “When I share the Flint stories, the 7-year-olds say the most amazing things. They are so brilliant,” said Hanna-Attisha, who has two young daughters of her own, 10-year-old Nina and 7-year-old Layla, a Brownie. “Kids ask questions. They are very much WINNER: in disbelief. Some have fears of water now. PHYSICIANS They were told the water is OK, but it wasn’t Despite being OK. One said this was a failure of govern- criticized by some ment. They are so insightful.” state o cials last While Hanna-Attisha said the Flint lead summer for creating poisoning was a man-made disaster that hysteria, Mona shouldn’t have happened, she said the story Hanna-Attisha and of Flint is also one of recovery. other researchers “Tragedies bring people together and presented ndings that certainly is what happened here,” she of a report last said. “What I’ve always known is the people September that of Flint are strong.” concluded children ages 6 and younger Hanna-Attisha’s study showed the per- in Flint were centage of children 6 years old and younger exposed to high with more than 5 micrograms per deciliter levels of lead of lead in their blood increased from 2.1 poisoning aer percent to 4 percent. Some children in cer- the city, with the tain ZIP codes were being exposed to triple blessing of the the average blood lead levels from the wa- state, switched to ter, jumping from 2.5 percent of the chil- the Flint River for its dren tested to 6.3 percent. water supply. Lead mostly affects unborn children and those ages 6 or under whose brains are still being formed. Research shows lead causes irreversible brain damage, developmental delays, speech problems, rashes, a boosted risk for behavioral issues and other serious chronic conditions. SEE HERO, PAGE 10

MIKE NADDEO PHOTOGRAPHY 2016 HONOREES

ADVANCEMENTS ALLIED HEALTH CORPORATE ACHIEVEMENT PHYSICIANS TRUSTEE

Carmen McIntyre, Joseph Brennan, Shannon Pearce, Lisa Muma, John Cornack, Nancy Schlichting, Mona Hanna-Attisha, Joel Kahn, Sandy Pierce, Robert Lenihan, chief medical ocer, MedNow senior director, health and wellness nurse navigator, president, CEO, Henry Ford Health Director, pediatric founder, Kahn Center board chairman, Henry past board chairman, Detroit Wayne Mental Spectrum Health coach, St. John Beaumont Health Eisenhower Center System residency program, for Cardiac Longevity Ford Health System Crittenton Hospital Health Authority Providence Health System Hurley Medical Center Medical Center

JUDGES FOR THIS YEAR’S HEALTH CARE HEROES WERE Jim Forshee, M.D., chief medical ocer with Molina Healthcare of Michigan; Don Powell, president and founder of the American Institute of Preventive Medicine; Michael Miller, regional chief mission ocer with St. Joseph Mercy Health System; and Dorothy Deremo, president of The Deremo Group and former CEO of Hospice of Michigan 10 CRAIN’S DETROIT BUSINESS // JULY 18, 2016

SPECIAL REPORT: HEALTH CARE HEROES ADVANCEMENTS IN HEALTH CARE JOSEPH BRENNAN, RUNNER-UP CARMEN WINNER MEDNOW, SPECTRUM HEALTH Spectrum Health in Grand Rap- two weeks, and she told us she felt MCINTYRE, M.D., ids wanted to jump on the it saved her life,” Brennan said. fast-growing telemedicine band- MedNow offers appointments DETROIT WAYNE MENTAL wagon to extend care access to for video visits in 21 clinical service thousands of patients, employees, lines for $45 or less based on insur- contracted employers and mem- ance coverage. Priority Health HEALTH AUTHORITY bers of its Priority Health managed members pay only the normal of- care plan. fice copayment of $10 or But Spectrum didn’t $20. If the patient has a want to buy a telemedi- primary care physician, Carmen McIntyre has started two programs cine program off the shelf, even outside of the Spec- in the past two years to train rst one that executives felt trum Health network, a responders in on-the-spot mental health might not meet the needs record of the visit is sent to evaluations and how to use the drug of its patients and em- that doctor. naloxone for people suering from opioid ployees. So it built It works like this for fol- overdoses. MedNow, a proprietary low-up specialty appoint- service available to any- ments. For example, say Joseph Brennan is one in Michigan, 24 hours, senior director of someone lives in Luding- seven days a week, said MedNow, which ton, a seven-hour drive to Joseph Brennan, now se- was launched last Grand Rapids. If the pa- nior director of MedNow. year. The service of tient needs a follow-up GLENN TRIEST People requiring solu- Spectrum Health visit, instead of making tions to non-emergency has helped more the seven-hour drive, the Carmen McIntyre knew from age 12 she wanted to be More than 2,500 naloxone kits have been distributed issues can call a phone than 7,000 patient can drive a shorter a doctor, and when she turned 14 she knew she wanted by the Wayne County authority. Mental health authori- number or log into their patients. In at least distance to one of Spec- to be a psychiatrist. But she dreamed of teaching and ties in Oakland and Macomb counties also provide free MyHealth app on a 650 of those cases, trum’s remote outpatient conducting research. naloxone kits to first responders. At least 50 people have smartphone and con- MedNow helped centers, where they can patients avoid an Her experience as a student at the been saved by first responders in Southeast Michigan in nect with a Spectrum Wayne State Univer- emergency room access a video conference sity School of Medicine in the late 1980s changed that the past year, according to news reports. doctor or health care or urgent care area and communicate view: She enjoyed interacting with patients. For years, “We train them how to identify intoxicated or people professional. center visit. with their specialist locat- she worked in various clinic settings being involved in overdosed with opioids, walk through basic CPR and One patient even says ed hours away. administration and patient care. how to give naloxone,” McIntyre said. her life was saved by time- Besides the public, Fast forward nearly 25 years. Now, as chief medical Opioid abuse has received national attention, but ly intervention by a Spectrum psy- patients and employees, Spec- officer of Detroit Wayne Mental Health Authority since McIntyre said Wayne County didn’t know the extent of the chiatrist, Brennan said. trum also has signed a contract 2013, McIntyre has rediscovered her passion for teach- problem locally until the county hired an epidemiologist “A patient had an accident that with an unnamed major employer ing through training sessions with first responders. to replace one who had left for another job years before. caused her back pain, and she in Western Michigan to offer Armed with grant funding, McIntyre began two pro- “Once we got the numbers, we found we had a huge couldn’t work,” Brennan said. “She MedNow to its employees. In addi- grams the past two years to train firefighters, police and opioid problem here,” she said. had pain and that brought on de- tion, Spectrum also offers Med- emergency medical service personnel in on-the-spot Two years ago, McIntyre also started the Mental pression with anxiety. When she Now to its own 24,000 employees mental health evaluations and how to use the drug nal- Health First Aid Training program. More than 10,000 found out her wait to see a psychia- free. oxone for people suffering from opioid overdoses. first responders and others like teachers and clergy have trist was four to six months, that Reducing health care costs also “We just had our first state police officer save a life” been trained to recognize and assist people who may be only intensified her anxiety and de- is a promise of telemedicine. On using naloxone, a heroin antidote that stops overdoses, in a mental health crisis. pression.” average, a low-acuity visit to the said McIntyre of the opioid training program that began “I practiced in New Zealand for six months, and they Brennan said MedNow cuts the hospital emergency department last fall. have a different approach to mental health problems,” appointment time for specialties costs about $370 and urgent care On June 16, Michigan State Police officer Ben Son- she said. “The whole community cares about each oth- like mental health to three or four is about $160. So, even at a $45 strom administered naloxone to a man suffering an opi- er. A homeless person is not a bum, is a person who has weeks. charge, the savings can quickly oid overdose. He was transported by EMS to a hospital a name, a history. Fire and police know him, and they try “She made her appointment in add up. and three days later was discharged. to make things better, not just take him to jail.”

PHYSICIANS HERO who also has been named one of JOEL KAHN, M.D., KAHN CENTER FOR CARDIAC LONGEVITY RUNNER-UP FROM PAGE 9 Time magazine’s 100 Most Influ- ential People. Cardiologist Joel Kahn doesn’t one to develop a world-class pre- For Hanna-Attisha, discovering Does she think progress has mind ruffling a few feathers to ventive cardiac clinic. high levels of lead in Flint’s water been made in Flint? achieve his goal of saving 1 million “Nobody was interested, and I supply turned her into an instant “It is a long-term problem that lives over the next two years. pitched it pretty high up the lad- activist. will require decades and genera- Known by Reader’s Digest as der,” Kahn said. “I often describe it “My days are longer,” said Han- tions to come,” she said. “America’s Holistic Heart Doctor,” this way: The sink is overflowing. na-Attisha, who also is director Despite the federal Medicaid Kahn has been a strong advocate for The medical system is awesome at with the Michigan State University/ waiver to enable more children to preventive cardiology — that is, us- mopping up the floor, but nobody Hurley Pediatric Public Health Plan receive medical care, counseling ing nutrition, exercise, better sleep Known by Reader’s Digest as “America’s thinks about turning off the fau- Initiative. “It is nonstop, every and additional school nursing and stress reduction — to improve Holistic Heart Doctor,” Joel Kahn has cet.” week. It is intense. The media support for children, Hanna-Atti- heart health. been a strong advocate for using But when no hospital accepted comes and goes, but our work is sha said long-term funding is Kahn also has become a strong nutrition, exercise, better sleep and his offer, he decided to create the stress reduction to improve heart health. just beginning.” needed for preschool programs. advocate over the past 15 years of a Kahn Center for Cardiac Longevity While her main job is pediatric “We need universal Head Start once-controversial heart screening with locations in Bloomfield Town- residency program director at Hur- programs. (The Michigan Depart- test — called the coronary artery/ died from unexpected heart attacks. ship and Grosse Pointe Farms. ley Medical Center in Flint, Han- ment of Health and Human Ser- calcium (CA-CS) scan. The heart Health insurers routinely pay for a Besides blogging for the Huffing- na-Attisha said she has had to cut vices) gave $3.5 million for one scan detects “hardening of the ar- $50,000 angioplasty, but won’t pay ton Post and appearing on Fox 2 her pediatric clinic time in half. year. That is not enough. It doesn’t teries” that continues to cause so for a $100 calcium scan that can News, he has written three books, “I say no to a lot of speaking op- hit the kids mostly vulnerable, the many unexpected and preventable identify plaque buildup and raise including his latest, Dead Executives portunities. When I do go, my pur- zero- to 2-year-olds ...,” she said. deaths. red flags for doctors, he said. Don’t Get Bonuses. Kahn is also a pose is to talk about Flint and to “We invest now and we won’t see Kahn believes too many people Over the last few years, Kahn vis- clinical professor of medicine at the elevate the issue of lead in drink- the consequences of brain devel- — at least 4 million since the inven- ited all the major hospitals in South- Wayne State University School of ing water,” said Hanna-Attisha, opment (damage) later.” tion of stents in the 1980s — have east Michigan to persuade at least Medicine. CRAIN’S DETROIT BUSINESS // JULY 18, 2016 11

SPECIAL REPORT: HEALTH CARE HEROES CORPORATE ACHIEVEMENT

JOHN CORNACK, CEO, WINNER EISENHOWER CENTER Like Sam Malone at the fictional TBI deal with depression, stress, “Cheers” bar, John Cornack knows substance abuse and anger issues. all his patients by name at the Eisen- Therapy runs 20 hours per week hower Center, an employee-owned for as long as a year. traumatic brain injury rehabilita- “We measure success if they can tion center based in Ann Arbor. go home, become unassisted at Cornack was the first CEO hired their job and maintain family with- to run the clinic, founded in 1989 by out problems,” he said. Dr. J. Stuart Phillips, and has been at In 2012, Cornack began working the helm for 22 years in two differ- with former Detroit Lions quarter- ent stints. back Eric Hipple on an idea to help Born in Flint, Cornack graduated former National Football League from Northern Michigan University players deal with their own special and received a master’s degree in brand of brain injuries. LON HORWEDEL public management from Carnegie Eisenhower operates a 12-bed John Cornack’s program pairs veterans Mellon University in Pittsburgh in the TBI center for professional athletes and former athletes with traumatic brain late 1980s. on a 45-acre farm in Manchester. injuries at The Ranch, the Eisenhower “I was going to go into business “We started this before the movie Center’s group home in Manchester. (after Northern), but my first job ‘Concussion’ raised the conscious- was as a nursing home assistant,” ness of the TBI program in sports,” focus shifts to the future and patient said Cornack. “I got the bug to take Cornack said. recovery is accelerated.” care of people.” Treating mostly mild to moderate Eisenhower is in the process of ex- In 2011, overwhelmed by more TBI, Cornack said the program typi- panding the program to the Selfridge than 300,000 veterans who suffered cally runs 30 days, but can run up to Air National Guard Base in Harrison from traumatic brain injuries, the 90 days for special cases. Township, where veterans and active U.S. Department of Veterans A
airs In 2014, Eisenhower created the military will live with their families selected Eisenhower as one of 21 fa- “After the Impact” program, which during treatment. cilities nationally for an assisted liv- pairs NFL players with veterans to “We want to catch them before ing-TBI pilot program. multiply positive results at The they go home,” said Cornack, add- “We had been taking care of vet- Ranch, the center’s group home in ing that the center has a major fund- erans for free before the VA and De- Manchester. raising drive underway and has partment of Defense began paying for “Veterans find a lot of common- nearly completed negotiations with it,” said Cornack. “It was a natural fit ality with high-end athletes,” Cor- the Guard for the program. for us when the contract came out.” nack said. “Some are Navy SEALs This month, Eisenhower is also Overall, Eisenhower had helped and Army Rangers who were in- opening a 27-bed center in Jackson- more than 150 veterans with severe volved in special operations. Their ville, Fla.

NANCY SCHLICHTING, CEO, HENRY FORD HEALTH SYSTEM Reach Key Players RUNNER-UP During Nancy Schlichting’s tenure, the 100-year-old health system in Michigan’s has seen massive expansion and a doubling of revenue. Most recently, she helped chair the Veterans Health Administration’s Commission on Care, which is recommending ways to reform the system that serves America’s veterans. FOOD Nancy Schlichting has overseen Administration’s Commission on many changes at Henry Ford Health Care, an effort by the U.S. Depart- Economy System over 18 years, the last 13 as ment of Veterans A
airs to improve CEO. health care access for 22 million vet- Her tenure at the 100-year-old erans over the next 20 years. health system has seen the resur- Schlichting, who will testify be- gence of Henry Ford Hospital in De- fore Congress in September, said troit as a regional destination for she has been honored to lead the Don’t miss a chance to reach key players in Michigan’s complex care; the coveted 2011 Mal- commission in its difficult task of food economy such as owners, executives, entrepreneurs, colm Baldrige National Quality recommending reform and grati- distributers, growers, and investors with these two Award; and the 2009 opening of the fied to have met so many veterans. distinct sponsorship opportunities on Aug. 22. Henry Ford West Bloom‚eld Hospital Under Schlichting, named one of at a time when Michigan was sput- Crain’s 100 Most Influential Women tering in a recession. this year and a Crain’s Newsmaker of Key players from local food companies will “The most important thing about the Year in 2012, Henry Ford has gather to focus on building Michigan’s supply creating a most wonderful culture” at more than doubled in size from a chain and pairing ideas with the visions from Henry Ford “is to be able to service pa- $2.2 billion organization to $5.2 bil- major national food companies. tients and members at (Health Alli- lion. The integrated system now op- ) and all our customers in a erates six hospitals, the 1,200-physi- It is an invitation-only pitch ance Plan TITLE SPONSORS high quality,” Schlichting said. cian Henry Ford Medical Group and event to showcase 12 exciting But come December, Schlichting the Health Alliance Plan HMO. food companies and give will step down to make way for Wright Over the years, Schlichting has investors a chance to see the Lassiter III. served on boards including The up-and-coming companies in the state’s food sector. During the past year, Schlichting Kresge Foundation, Walgreens Boots said, she relied heavily on Lassiter and Alliance, American Hospital Associa- the executive team for day-to-day op- andthe tion Michigan Health and Contact: Matt Langan, Advertising Director, Crain’s Detroit Business erations. She has been serving as Hospital Association Foundation, chairwoman of the Veterans Health among many others. at [email protected], (313) 446-6032 12 CRAIN’S DETROIT BUSINESS // JULY 18, 2016

SPECIAL REPORT: HEALTH CARE HEROES TRUSTEE

SANDY PIERCE, CHAIRMAN, HENRY FORD HEALTH SYSTEM WINNER ROBERT LENIHAN, FORMER CHAIRMAN, Sandy Pierce has overseen some big moves as cision to invest $300 million to install the Epic trustee and chairman of Detroit-based Henry Corp. electronic health record system, build a CRITTENTON HOSPITAL Ford Health System. But she also oversaw a big new $110 million outpatient cancer center and move that didn’t get made. to acquire Allegiance Health and HealthPlus of MEDICAL CENTER Pierce worked with management to make the Michigan. decision in 2013 to terminate merger discus- “We decided to go outside of Southeast Mich- RUNNER-UP sions with Beaumont Health System. igan. We felt we needed to be strategically well “I made the phone call to say we would not go positioned (in a larger geographic market), but As chairman of the board of Crit- forward with it,” said Pierce. “Culturally it was we will never give up our roots and commitment tenton Hospital Medical Center, Rob- just not a fit. As we went through the process, it and never waver from our commitment to De- ert Lenihan guided the last remain- was a friendly breakup. The board was lockstep troit,” Pierce said. “Expanding geographically ing independent nonprofit hospital with management. It was a joint decision.” makes economic sense and will help us main- in Southeast Michigan through a Pierce views her role as offering feedback to tain services in Detroit. No one should be sur- sale that led to Rochester Hills-based top management about their plans for the prised if you see more of this.” Crittenton be- $5.2 billion integrated health care system. She Another major effort is Henry Ford’s multiyear coming a part also is mindful of a trustee’s fiduciary responsi- plan to develop a 300-acre south campus project of Ascension bility and the system’s historic mission as a non- off West Grand Boulevard, the centerpiece of which Health, the profit provider for the residents of Detroit. will be the five-story outpatient cancer center. largest Catho- “Health care is a very regulated industry, sim- Pierce’s role as board chair of Henry Ford lic system in ilar to banking,” said Pierce, CEO and vice chair- Sandy Pierce has found that an action not done is hasn’t changed, but her day job soon will. Last the nation with man of Southfield-based FirstMerit Michigan. sometimes as important as one carried through. month, she was named a top executive of Co- 131 hospitals. “The difference is Henry Ford has a mission-driv- lumbus, Ohio-based Huntington Bancshares Inc., “The affilia- en, nonprofit focus and FirstMerit is a for-profit community. The difference is how you manage.” which is in the process of closing on the acquisi- With the realization tion came that smaller company that answers to shareholders. Over the past four years, Pierce has overseen tion of Akron, Ohio-based FirstMerit Corp., ex- hospitals may face about because For-profit doesn’t mean we aren’t invested in the many changes at Henry Ford, including the de- pected during the third quarter. bleak futures, of declining Robert Lenihan margins and guided independent increasing Crittenton Hospital costs,” said Medical Center Lenihan, chair- through a sale that man since 2007 led to it becoming and first ap- part of St. Louis- pointed on the based Ascension board in 1997. Health, the nation’s largest Catholic Lenihan, health system. whose day job is lawyer in the Detroit office of Harness, Dickey and Pierce PLC, said the board’s goal for years was to re- main independent. “We were amenable to discussions with other entities,” he said. “There was always dinners or lunches where would be chat with others. With the advent of (the Affordable Care Act of 2010), we perceived declining mar- gins” would continue without joining a larger organization. Before joining Ascension Health in 2015, Crittenton had lost a total of $73 million on operations the prior five years, despite stabilizing operations somewhat in 2014 and 2015. Despite the setbacks, Lenihan said Crittenton could have remained in- dependent “for a little while,” but %HLQJKHDUGLVDVHDV\DV1HW6HFXUHUHOLDEOHFRVW needed to join a larger organization. “You need to look at what is com- HIIHFWLYHHQWHUSULVHFODVV9RLFH6HUYLFHV$UREXVWIHDWXUH ing at you and felt affiliation was in the community’s best interest,” he VHWDQGHDV\WRXVH1HW9RLFHLVDJUHDWRSWLRQIRUDQ\ said. “We didn’t want to run (the hos- pital) into the ground.” JURZLQJEXVLQHVV&RXSOHGZLWKRXUVHDPOHVVLQVWDOODWLRQ Overall, Lenihan said the future of independent hospitals is somewhat DQGLQWHJUDWLRQ\RXUYRLFHZLOOEHKHDUGORXGDQGFOHDU bleak, given the nature of hospital fi- nances and health insurance mergers. “Managed care is the future,” he said. “Organizations like Ascension learned that early on. It is tough for smaller hospitals.” Lenihan said he believes the main reason Crittenton is in a better posi- tion now is that it can access Ascen- sion’s group purchasing programs, leading to greater access to capital and lower supply costs. Sharing best clinical practices and being part of a statewide provider network helps im- prove quality, he said. CRAIN’S DETROIT BUSINESS // JULY 18, 2016 13

SPECIAL REPORT: HEALTH CARE HEROES ALLIED HEALTH

Shannon Pearce is a certied health SAVE THE and wellness coach with St. SHANNON John Providence WINNER Health System. PEARCE, Its wellness program has R.N., ST. JOHN saved money, DATE reduced sick days and PROVIDENCE energized thousands of St. John HEALTH SYSTEM employees over the past 10 years. GLENN TRIEST Shannon Pearce is the official “Like weight loss, your goal might plete the health system’s first “68- health coach for 15,700 associates at be to lose 20 pounds, but that is an Day Challenge” to lose weight and St. John Providence Health System, a outcome,” Pearce said. “What is reduce stress. The program was de- five-hospital group based in War- your goal? Is it something you can signed by Kim Yost, CEO of Art Van ren. As the system’s only coach, work on and measure?” Furniture, and shared with St. John, however, she hopes not every asso- For example, Pearce said, a goal Pearce said. ciate wants an appointment at the might be to take walks three times “It was an amazing gift from Art same time. per week and get in 15 minutes of Van. We rolled that out to execu- “I have time for about 30 clients exercise each day. “This is a goal you tive-level leadership,” Pearce said. TITLE SPONSOR at a time each week,” said Pearce, can achieve and help you to lose “Executives responded very well. who is a certified health and well- weight,” she said. We didn’t do one-on-one coaching. ness coach with St. John’s Health Pearce said many health profes- There were lots of meetings, lots of Enhancement Program. The well- sionals lead busy and stressful lives speeches, lots of pep talks. We got ness program has been saving mon- and feel they don’t have time to par- good results.” ey, reducing sick days and energiz- ticipate in wellness programs or go Last year, Pearce helped Fox 2 De- Thursday, November 17 ing thousands of St. John employees to the health club. troit with its “21-Day Challenge,” a over the past 10 years. “We work in a high-demand cul- healthy-living initiative encouraging Troy Marriott “Associates (employees) sign up ture. It is important to manage your the community to eat better, walk 7:30 a.m.- 1 p.m. for appointments. It is all voluntary, stress, sleep well, eat well,” she said. more, lose weight and join the chal- free and confidential,” said Pearce, a “We work on those things with our lenge’s Facebook page. With volun- registered nurse who graduated in associates.” teer doctors and nurses, Pearce was The annual Crain’s Health Care Leadership 1993 from West Suburban College of Data St. John has collected over the health coach for the event. Summit provides opportunities to learn about Nursing in Oak Park, Ill., which is the years show that some years the Pearce said wellness programs can the ever-changing landscape of the health care now Resurrection University. wellness program has helped keep be fun if people set aside time for industry as well as fortify professional connections Through group classes, lectures health care benefit costs flat. Over them. or individual meetings with em- the past several years, St. John’s HEP “Our whole focus is to improve to help navigate these changes. Join local business ployees and executives, Pearce program has reduced health care well-being for employees by creating leaders and health care providers to discuss the helps participants reach their health expenses by 34 percent for partici- programs centered around their latest in innovative health care strategies and best goals, whether it is to lose weight, pating employees. needs,” Pearce said. “We say you can practices for 2016 and beyond. reduce stress, sleep better or stop Earlier this year, Pearce helped create the best year of your life. Just smoking. 380 of St. John’s top executives com- start.” PROGRAM FEATURES: • Keynote speaker RUNNER-UP LISA MUMA, R.N., BEAUMONT HEALTH • Breakout sessions about today’s Lisa Muma knew she Muma. “(Survivors) are in- 160 children who have received col- changing health care landscape wanted to help children creasing every year as re- lege support. when she became a nurse sults are improving.” Muma also was instrumental in • Health Care Heroes awards presentation in 1979. After a stint in A stark statistic is this: helping Beaumont redesign its surgery, she met now-re- 43 children are diagnosed shared governance nursing team. Join the conversation with #CDBhealthcare tired pediatric oncologist with cancer every day. Through multidisciplinary nursing Charles Main, M.D., and “Long-term follow-up is councils, staff nurse participation in- became a pediatric oncol- vitally important, as two- creased to 1,256 from 899. Register at ogy nurse in 1983. Lisa Muma, nurse thirds of children have “Nurses have more voice in deci- Muma now is nurse navigator in pediatric some problems after treat- sion making as they are on many crainsdetroit.com/events navigator in pediatric on- oncology at ment,” she said. more hospital committees,” Muma cology at Beaumont Hospi- Beaumont Hospital’s About 175 children are said. “We have much more input Breakout Session Sponsor Hackathon Sponsor tal’s Pediatric Oncology Fol- Pediatric Oncology helped each year at the now to hospital policies and deci- lowup Clinic in Royal Oak. Followup Clinic, has Beaumont follow-up clin- sions.” The clinic, which opened long been dedicated ic with two-hour visits, In 2012, Muma also participated in in 2008, is part of Beau- to treating children Muma said. a medical mission to Mali in West Af- in need. mont Children’s Hospital. To help fund a college rica with the Ward Church in North- “It is dedicated for scholarship program for ville. She helped care for 750 pa- Major Sponsors childhood cancer survivors,” Muma cancer survivors, Beaumont puts on tients in three days. said. “We have a multidisciplinary an annual Stars Guitars fundraiser “I cared mostly for the children. clinic where we see children twice a to fund the Charles Main Pediatric We cared for people who lived in month to follow them after treat- Cancer Survivor Scholarship Fund. villages and in mud huts. We did ment as a team” that includes doc- Last year, before Michigan native our clinic out of a school bulding tors, nurses, social workers, physical Glenn Frey of the Eagles died, his with no running water or electrici- therapists, dietitians and psycholo- autograph along with bandmates’ ty,” Muma said. “The children got Supporting Sponsor Print Sponsor gists. on a guitar raised $8,500, she said. water from the well for us. People “One of every 1,000 18-year-olds Some 43 students are in college with hadn’t seen doctors or nurses for is a childhood cancer survivor,” said the $2,000 annual grants, totaling years.” 14 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 TUESDAY www.minoritysupplier.org. JULY 19 Doing Business in Mexico. 11:30 PEOPLE: Starting Up: An Introduction to the a.m.-1:30 p.m. July 28. Automation SPOTLIGHT Entrepreneurial Support Ecosystem in CALENDAR Alley. Seminar aims to help Michigan. 9:30-11 a.m. Macomb-OU 2016 Crain’s 20 in their 20s. 5:30-9 will speak on how the world’s Michigan’s small and midsize Priester new Free Press, INCubator. A workshop to explore p.m. Crain’s Detroit Business. Each largest free jazz festival has become companies identify key market Michigan.com president the resources in Michigan to help year, Crain’s publishes a special an economic driver in Southeast opportunities, determine entry start and/or grow high-tech feature on the best and brightest Michigan since 1980. The Dearborn strategies and learn more about Virginia-based Gannett Co. innovation. Items for discussion up-and-coming local Inn, Dearborn. $45; $30 for technical requirements for selling Inc., owner of the Detroit Free include business incubators, businesspeople in their 20s. The chamber members. Contact: Ron products, services and technologies Press, has named Brian Priester SmartZones, various support recognition program celebrates Hinrichs, phone: (313) 584-6100; in Mexico. Hear case studies, as the newspaper's president. services, university technology them and their achievements. email: rhinrichs@ discover more about industry in Priester, 52, is president of the acceleration and commercialization, Detroit Yacht Club, Detroit. $60 dearbornareachamber.org. Mexico and identify opportunities. Lansing State and funding programs. The individual; $55 each for groups of Automation Alley, Troy. $20 Journal and incubator at Velocity Center, 10 or more; $45 alumni. $5 of each UPCOMING EVENTS members; $40 nonmembers. Gannett Sterling Heights. Free. Contact: Joan ticket will be donated to the Belle Minority Business Women’s Contact: Lisa Lasser, phone: (248) Mid-Michigan. Carleton, phone: (586) 884-9324; Isle Conservancy. Preregistration Conference. 7 a.m.-7 p.m. July 27. 457-3283; email: lasserl@ He oversees email: [email protected]. closes at 5 p.m. July 18. If available, Michigan Minority Supplier automationalley.com. operations at walk-in registration will be $70 per Development Council. An event the Gannett- WEDNESDAY person. Contact: Kacey Anderson, designed to bring together minority owned LSJ, JULY 20 phone: (313) 446-0300; email: women business owners and Calendar guidelines. Visit Lansing 8-10 [email protected]; website: corporate executives o discuss crainsdetroit.com and click “Events” Scam and Fraud Prevention. Brian Priester Community a.m. Better Business Bureau. crainsdetroit.com. industry trends, share practical near the top of the home page. Newspapers, Presentation on common frauds, advice and network. The event Then, click “Submit Your Events” Port Huron Times Herald, Battle scams, prevention tips, protection THURSDAY features national headliners, from the drop-down menu that will Creek Enquirer, Livingston Daily from ID theft and protection from JULY 21 keynote speakers, discussion appear. Fill out the submission form, Press and Argus and the fi nancial crime. BBB, Southfi eld. Third Quarter Business Builder Series. forums, breakout sessions and a then click “Submit event” at the Observer & Eccentric Free. Contact: Demitria Robinson, 7:30-9:30 a.m. Dearborn Area few surprises. The Henry Hotel, bottom of the page. newspapers. phone: (248) 799-0305; email: Chamber of Commerce. Chris Dearborn. $200. Phone: (313) More Calendar items can be found In addition to taking the top robinson@easternmichiganbbb. Collins, president and artistic 873-3200; email: info@ at crainsdetroit.com/events. role at the Free Press, he’ll be org. director of the Detroit Jazz Festival, minoritysupplier.org; website: president of the Detroit Media Partnership, which does business as Michigan.com. It ADVERTISEMENT SECTION handles the joint business functions of the Free Press and The Detroit News. Priester will be replaced as FINANCE president of the LSJ and Gannett Mid-Michigan by Rebecca Steckler, Michigan.com’s senior vice president for sales and marketing. Priester will begin his new role in August, replacing Joyce Jenereaux, who announced in May she would retire. TECHNOLOGY Albert named Blue Care Network president, CEO Rejji Hayes Tonya Gietzen & Rick Butte Blue Cross Blue Shield of Executive Vice Michigan named Ti“ any Albert, President and CFO Senior Vice President/Commercial Lender former head of its LifeSecure ITC Holdings Corp. Vice President/Commercial Lender long-term care insurance unit, to lead Blue Care Network, the Rejji P. Hayes has been Northstar Bank promoted to executive vice state’s largest health Gietzen is responsible for developing commercial banking relationships for small business president and chief Š nancial o cer for ITC maintenance organization. and middle market sized companies. She has more than 21 years of experience in commer- Holdings Corp. Mr. Hayes continues to be Albert succeeds Kevin cial lending, including small business lending, middle market lending and asset based responsible for the company’s accounting, Klobucar, who was promoted in lending. She has a Bachelor’s Degree in Accounting from Hope College and a Master’s internal audit, investor relations, treasury, May to BCBS executive vice Degree in Finance from Eastern Michigan University. Gietzen is currently Board President of Š nancial planning and analysis, management president, health care value. The the Chelsea Education Foundation. reporting, mergers and acquisitions, risk Detroit-based insurer also management, and tax functions. Mr. Hayes named Kevin Stutler to succeed holds a Master of Business Administration Butte is responsible for developing banking relationships with middle market and small Albert as president and CEO of from Harvard Business School and a business sized commercial clients. His 16 years of experience includes Š nancing mergers LifeSecure. He will keep his role bachelor’s degree from Amherst College. and acquisitions, providing funds to companies looking to grow through additional as vice president, ancillary equipment or real estate acquisition and funding needed working capital for a company’s products, for the Blues. day-to-day operations. Butte has a Bachelor’s Degree in Finance from Eastern Michigan ACCOUNTING University. Eadie DMC’s regional COO The Detroit Medical Center announced that Reginald Eadie, Douglas Bohrer ACCOUNTING ACCOUNTING M.D., will be the health system’s O ce Managing Partner regional COO, effective Aug. 1. Plante Moran Eadie, 47, is CEO of DMC’s Brandon Paladino, Keiko Umeki, CPA , Plante Moran has named Detroit Receiving Harper CPA Associate Manager and Douglas Bohrer o ce University Hutzel Women’s Senior Associate hospitals. managing partner of its The Siegfried Group Former COO left downtown Detroit o ce. The o ce, located The Siegfried Group Keiko joins Siegfried’s Andrei Soran DMC to be CEO of at One Campus Martius, opened in 2013 and Brandon joins Siegfried’s Detroit Market as an Verity Health in Redwood City, Calif. recently expanded to house more than 100 Detroit Market as a Senior Associate Manager. System Eadie was named a Crain’s sta„ members in over 30,000 square feet. Associate. Before coming to Siegfried, he Previously, she was at Vaco, where she Health Care Hero in 2013. He As o ce managing partner, Bohrer will work gained three years of audit experience at gained internal audit experience with a founded the DMC 61 Day on developing the Detroit sta„ as well as Crowe Horwath, LLP in the health care, focus in the manufacturing industry. She Health Challenge and wrote a increasing the Š rm’s involvement in the manufacturing and retail dealership earned her Bachelor of Science in book about obesity, How to Eat community. He will also continue advising industries. He earned his Bachelor of Business Accounting and Business Law from & Live Longer. manufacturing, distribution and public sector Administration in Accounting from Western Minnesota State University. clients throughout Michigan. Michigan University. CRAIN’S DETROIT BUSINESS // JULY 18, 2016 July 18, 2016 CRAIN’S DETROIT BUSINESS Page15 15 igan in 2017? “The big challenge is Applications will be accepted on- ACCELERATE “We feel that bringing on MVCA as a for next year,” Dober said. “It’s too line through Sept. 2. FROM PAGE 3 true partner in the event this year is a early to say. By the time this year’s Those seeking more information event rolls around, we’ll have a can send an email to info@acceler- of the preliminary pitches as the 36 really signicant change.” clearer picture of financial support atemichigan.org. companies are winnowed to the 10 Martin Dober, Invest Detroit Ventures for next year.” Last year, Banza LLC, a company finalists. He said he hoped the event would founded in Detroit in 2014 to make In conjunction with the Acceler- out-of-state venture capitalists here which had allocated a total of continue for the foreseeable future. healthier pasta from chickpeas, won ate Michigan event, the MVCA is to network. Now, they’ll be able to $1.35 million for the event in 2014 A study before last year’s competi- the grand prize of $500,000. moving its annual awards event get a look at potential early-stage in- and 2015, had its budget cut by 27 tion showed that past participants Genomenon Inc. won the run- from its traditional home at the Inn vestments the next day at Accelerate percent for fiscal 2016 by state legis- had gone on to raise follow-on ner-up prize of $100,000. The com- at St. John’s in Plymouth Township Michigan, too. lators, laid off 65 employees and funding of $675 million. pany is a University of Michigan to the Rattlesnake Club in Detroit on Dober said details are still being didn’t have anything allocated in the Invest Detroit will begin accept- spinoff that hopes to improve can- Nov. 2. worked out, but another change is budget for the 2016 competition. ing applications on Monday for the cer diagnosis and treatment “We feel that bringing on MVCA that there will be a $50,000 third- Dober said Invest Detroit has event, at www.acceleratemichigan. through quicker analysis of genome as a true partner in the event this place award this year. In past years, been in talks with the MEDC about org. Dober expects to get more than sequencing. year is a really significant change,” the runner-up company got funding for this year as the state 200 applications, which will be win- Tom Henderson: (313) 446-0337 said Dober. “It is more than just $100,000, with sector-award win- works on its budget for fiscal 2017, nowed to the 36 semifinalists. Twitter: @tomhenderson2 having them host their annual ners getting $25,000. which begins in October. “We feel awards dinner on the night before He said at least some of the sector very confident that they will offer AMIC. We feel that combining both awards will be eliminated. In years support as we work through the events (the best investor event of past, there were awards to the best process this summer. It’s too early Crain’s event focus: Food economy the year plus the best entrepreneur- company in eight sectors, which in- for us to say right now what that Behind Michigan’s food story is a panel featuring Jeff Dunn, presi- ial event of the year) is very signifi- cluded advanced transportation, support will look like, in terms of business story. The food economy is dent of Campbell Fresh, along with cant — and hosting both of them life sciences, advanced manufactur- dollar amount, but we expect it to one of untapped growth potential. At breakout sessions on how the local together in Detroit makes a strong ing and medical devices. be significant, as usual.” Crain’s Food Summit, key players food movement is impacting agri- statement. Dober said that being locked into Fredrick Molnar, the vice presi- from local food companies will gath- culture, processing, distribution, “There will be a lot of synergies so many sector awards meant some dent for entrepreneurship at MEDC, er to focus on building Michigan’s and retail and restaurants. between the events, and I think it companies won prizes ahead of said that while the budget is still be- supply chain and pairing ideas with There will also be a local food will make both of them better by other companies whose business ing worked on, he hoped it would the visions from major national food truck rally. bringing the investor and entrepre- models and pitches were far superi- include some contribution to this companies. The event runs from 2-7 p.m. neurial communities together in a or but happened to be in sectors fall’s Accelerate Michigan event. The summit will connect entre- Aug. 22 at Eastern Market in De- more coordinated way,” he said. with more competition. Dober said commitments this preneurs, farmers, manufacturers, troit. Individual tickets are $80, and “This is really going to make Dober said there will likely be year include $350,000 from the New distributors, retailers, growers and groups of 10 or more are $75 each. Michigan a higher point of interest awards this year for best pitch from Economy Initiative and $50,000 from processors to potential customers A discount combo ticket with the for national investors when they are a university spinoff and best pitch Invest Detroit, with commitments and those interested in learning Live Love Local event is available looking at the calendars and decid- for a company that was incubated being finalized from Spark, Invest more about our food ecosystem. In- for $100. Registration closes ing what events to go to,” said Mau- in one of the state’s business accel- Michigan and corporate sponsors, vestors will be introduced to food Aug. 18. reen Miller Brosnan, executive di- erators. with the total prize money likely to entrepreneurs from around the To register, go to CrainsDetroit. rector of the MVCA. “This will give Rumors were circulating at last range from $825,000 to $1 million. state in an effort to showcase the in- com/events. Questions can be them a good reason to come.” year’s Accelerate Michigan event There were $845,000 in prizes last vestment-worthy companies. directed to Kacey Anderson at About 250 attend the annual that it might be the last. The Michi- year. The program includes a keynote [email protected]. MVCA awards dinner, many of them gan Economic Development Corp., Will there be an Accelerate Mich-

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[email protected] Advertise your Products and Services in Sky Lights - Clear Span 313.446.6068 Possible Gym Crain’s Classifieds Gets Results Crain’s Detroit Business Fax: 586-574-9118 / Call: 586-558-4465 16 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 “The job market seems very fluid,” risen slightly to more than 767,000 in JOBS Henneman said. “Right now, it’s all May, from more than 750,000 in De- FROM PAGE 1 about the money; and it’s really hard cember 2015, but available jobs are to compete against the big tier-ones growing at a faster clip, causing the That’s great news for workers, but and the OEMs.” unemployment rate to drop, accord- for many employers, rising wages are Crain’s reported in May 2015 that ing to Bureau of Labor Statistics data. exacerbating the already thinning la- labor market pressure was creating a But the well is expected to dry up as bor force. cherry-picking environment among more retirees leave the workforce. Kathy Henneman, plant manager local companies for highly skilled em- Katz said, anecdotally, as many as a at Shiloh’s Canton plant, said that as ployees. Between 2014 and 2015, 10 third of automaker laborers will reach an employer, the available labor mar- percent of Northville-based IAV Auto- retirement age in the next five years. ket has never looked so bleak. motive Engineering Inc.’s U.S. em- “Before the recession, everyone For Shiloh, it’s not about the tech- tiative Workforce Intelligence Net- below pre-recession levels. In June, ployees left to work for customers. was talking about the perfect storm, nical skills gap that’s so often be- work for Southeast Michigan, said national wage growth was 3.6 per- The talent war is now bleeding in terms of labor and retirees,” Katz moaned. Simply finding employees employers are experiencing the on- cent year-over-year, the highest through the ranks. said. “We thwarted it during the re- willing to be trained and do the job set of a tightening labor market. since December 2008, according The region and state are not cession because all paradigms is now an issue. “The labor market is really picked the U.S. Federal Reserve. In Novem- unique in facing a labor shortage. shifted. Now the clouds have “Soft skills are a problem,” over,” Katz said. “Most people who ber 2000, wage growth, year-over- The U.S. is at risk of running out cleared, and we can see this huge Henneman said. “It’s worse now than want to be working, or have skills, year, peaked at 5.4 percent. But Cor- of therapists, mathematicians, rail storm on the horizon that we forgot I can remember in the past 10 years. are already working. It’s a job-seek- rado said most employers have workers and factory workers, was brewing.” We have people filling out the appli- ers market, and employers are really instituted performance bonuses among others, according to an April Yet the economy, and Michigan’s cations, but we’re always taking a risk. having to bend over backwards to since the Great Recession. report by the New York City research industry, is cyclical. Employers are I’ve never seen worse problems with bring new (good) employees in.” “We’re not seeing huge wage in- nonprofit The Conference Board Inc. forced to gamble on raising wages attendance than I do right now.” The average advertised salary for creases across the board, and the days “In the next 10 to 15 years, we ex- during a strong economy with the More than 28 percent of Midwest local workers with zero to two years of the 5 percent merit increase are pect U.S. employers to demand more knowledge that another recession is employers, responding to a Decem- of experience has risen more than over,” Corrado said. “Some offer a labor than will be available, which potentially around the next bend. Car ber study by the Employers Associa- 16.5 percent to $52,729 in 2015 from smaller merit increase, like 3 percent, will, in turn, constrain overall eco- sales are not expected to break last tions of America, said entry-level $45,256 in 2011, according to an plus a bonus if you’re a good worker, nomic growth,” the Conference Board year’s record of 17.47 million and pro- workers were the most challenging to analysis by WIN. For workers with which is designed to retain the best said in the report. jected to be softer in 2017. recruit and retain. three to eight years of experience, employees.” The nonprofit identified an on- But fighting rising wages is a dan- “Entry-level jobs are in more de- that average has increased 13 per- Shiloh is getting creative, even of- coming rash of retirements as a lead- gerous game, Corrado said. mand, so employers are creating cent; and for those with nine-plus fering a gym membership to attract a ing factor. “We’re all wondering when the perks we haven’t seen in years,” said years of work experience, it in- recent candidate. Others are going “The massive retirement of baby next recession will hit,” Corrado said. Mary Corrado, president and CEO of creased only 0.5 percent. further, Katz said. boomers will only exacerbate labor “You have to weather storms as an Livonia-based American Society of Em- More than 47 percent of Midwest WIN recently worked with an out- issues over the next 15 years or so,” the employer, so you’ve got to treat your ployers. “Many are even offering bo- respondents to the EAA study said of-state company that created a new report said. “We believe that few employees well in the good times so nuses at that level because they are so they already have increased starting shift, from 9 a.m. to 3 p.m. to attract trends, if any, will have as much im- you can maintain them in the bad desperate to find these workers.” salaries to attract workers, and 80 per- homemaker spouses to its factory pact on business as the tightening la- times.” Lisa Katz, executive director of cent said they planned to this year. floor during hours when children are bor market.” Dustin Walsh: (313) 446-6042 the Detroit-based employment ini- However, wage growth remains at school. The metro Detroit labor force has Twitter: @dustinpwalsh

ehind Michigan’s food story is SUMMIT HIGHLIGHTS: a business story. At the Crain’s • Featured speaker BFood Summit, key players from Je Dunn, local food companies will gather to President, Campbell Fresh focus on building Michigan’s supply chain and pairing ideas with the visions from major national food companies. • Breakout sessions with a focus The Summit connects entrepreneurs, on how the “go local” movement is impacting agriculture, farmers, manufacturers, distributors, MONDAY processing/distributing and retailers, growers and processors retail/restaurants to potential customers and those AUG. 22, 2016 • Food truck rally dinner with a interested in learning more about our variety of eclectic avors from food ecosystem. 2-7 P.M. local food trucks

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Showcase your products or services with a sponsorship at the Food Summit 3OXV Contact: Matt Langan, [email protected], (313) 446-6032 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 17 Ghosh said. TALENT P3 works with clients in the auto- FROM PAGE 3 motive, aerospace and telecommu-

nications industries. It offers clients www.crainsdetroit.com the vehicle industry. State economic help with early-stage product devel- Editor-in-Chief Keith E. Crain development officials, hoping to opment through launch. It employs Group Publisher Mary Kramer, (313) 446-0399 boost Michigan’s cachet as a leader about 3,400 globally, with 500 in or [email protected] Editor Jennette Smith, (313) 446-1622 in the nascent mobility industry, are North America. About 140 are based or [email protected] hoping to capitalize on that interest in the Southfield office, with about Director, Digital Strategy, Audience Development by recruiting the firms and their tal- 60 of 100 planned new hires in the Nancy Hanus, (313) 446-1621 or [email protected] Managing Editor Michael Lee, (313) 446-1630 ent here. Midwest this year expected to be or [email protected] It’s not just startups. Japanese au- based here. Managing Editor/Custom and Special Projects Daniel tomaker Toyota Motor Corp. and Ghosh said P3 no longer breaks Duggan, (313) 446-0414 or [email protected] Assistant Managing Editor Kristin Bull, even Google are setting up research out revenue figures for its North (313) 446-1608 or [email protected] hubs in Southeast Michigan, which American location. In 2010, Ghosh News Editor Beth Reeber Valone, (313) 446-5875 some say will only help the state at- COURTESY P3 NORTH AMERICA INC. told Crain’s the revenue was project- or [email protected] Electronic vehicle consultant Andrew McIndoo gets ready to demonstrate P3 North Senior Editor Gary Piatek, (313) 446-0357 tract more software engineers and ed to top $6 million that year and or [email protected] developers. America’s charging interoperability testing capabilities at an open house. double over the next five years. Research and Data Editor Sonya Hill, (313) 446-0402 or “I step back sometimes and He said his company bucks the [email protected] Newsroom (313) 446-0329, FAX (313) 446-1687, think it’s great to see new compa- The state is throwing its effort be- project. perception that connected and au- TIP LINE (313) 446-6766 nies come along who are disrupt- hind a new marketing campaign And Toyota in June opened its tomated vehicle technology can REPORTERS ing what we think of as the tradi- called “Planet M,” which was creat- newest automated vehicle research only be developed in Silicon Valley. Marti Benedetti General assignment. (313) 446-0416 or tional auto industry. And that’s ed to promote all of Michigan’s mo- facility in Ann Arbor, the third such “I’m not a big fan of ‘Silicon Val- [email protected] actually a benefit to the industry,” bility programs in one place. Kerrig- center within Toyota’s $1 billion Toy- ley versus Detroit.’ I feel it has to Jay Greene, senior reporter Covers health care, insurance, energy, utilities and the environment. said Kevin Kerrigan, the state’s se- an said the message has been ota Research Institute project. Other go hand-in-hand,” Ghosh said. (313) 446-0325 or [email protected] nior automotive initiatives adviser well-received in Silicon Valley. locations are in Cambridge, Mass., “There’s a strategic advantage to Chad Halcom Covers litigation, the defense industry, and leader of the “Some people describe it as a and Palo Alto. The Ann Arbor site is be in Michigan, to understand education, Macomb and Oakland counties. (313) Michigan Economic 446-6796 or [email protected] Development Corp.’s automotive of- battle for different areas of tech- not far from Toyota’s technical cen- those future technologies and Tom Henderson Covers banking, šnance, technology and fice. nology, but the truth is, we need to ters and the University of Michigan. work on them, but be close to the biotechnology. (313) 446-0337 or “There’s a middle ground some- work with California and they The Massachusetts location fo- automakers.” [email protected] Kirk Pinho Covers real estate, city of Detroit. (313) where between a lot of the new need to work with us,” he said. cuses on simulation, while the Cali- Some of the technology firms 446-0412 or [email protected] thinking and the way we produce “Where it becomes interesting is: fornia office has employees who are might wind up as traditional auto Adrienne Roberts General assignment. (313) 446-1612 Bill Shea, enterprise editor Covers media, advertising technology here in Michigan,” Ker- At the center of a lot of activity for knowledgeable of user interface and suppliers, Wallace said. Yet he also and marketing, the business of sports, and transportation. rigan said. “I think we’re starting to the state is talent. The global auto- artificial intelligence technology, said he believes a shift toward mo- (313) 446-1626 or [email protected] see the car companies here really motive industry is short of talent, said Edwin Olson, co-director of au- bility could change the entire auto Lindsay VanHulle, Lansing reporter. (517) 657-2204 look at that.” tonomous driving for Toyota’s insti- or [email protected] and we have a lot of people who supply chain, particularly tier-one Dustin Walsh, senior reporter Covers the business of law, are retiring in the next few years. tute and an associate professor of suppliers, because their vehicle auto suppliers, manufacturing and steel. Competing on mobility It’s going to become even more of electrical engineering and comput- systems will need to be compati- (313) 446-6042 or [email protected] Sherri Welch, senior reporter Covers nonprošts, services, Late last year, the MEDC created a daily drumbeat. er science at UM. Yet much of the ble with technology systems that food, retail and hospitality. (313) 446-1694 or swelch@ a dedicated team within its business “We see people being attracted to autonomous vehicle research will they may or may not have devel- crain.com attraction arm to recruit firms with California. We see people from Cali- happen in Ann Arbor, he added, oped. ADVERTISING expertise in connected and auto- fornia coming here.” aided by the 32-acre Mcity testing Arada Systems was founded as a Sales Inquiries (313) 446-6032; FAX (313) 393-0997 mated vehicle technology. The work Traditional automakers and Sili- site at UM. spinoff of Qualcomm Atheros Inc., Advertising Director Matthew Langan Senior Account Manager Katie Sullivan group’s roughly 20 members repre- con Valley’s technology industry are “We are really, in part, Toyota’s owned by San Diego-based wireless Advertising Sales Gerry Golinske, Catherine Grace, sent some Southeast Michigan increasingly interdependent, as answer to: How does a traditional technology developer Qualcomm Joe Miller, Diane Owen, Sarah Stachowicz, counties and regional economic de- both look for ways to compete on OEM adapt to the new technology Inc. In November, it was bought for ClassiŠed Sales Manager Angela Schutte, (313) 446-6051 velopment groups, including the mobility, said Richard Wallace, di- industry that exists and how do you an undisclosed price by South- ClassiŠed Sales Lynn Calcaterra, (313) 446-6086 Detroit Regional Chamber, The Right rector of the transportation systems interact, compete or join the Silicon field-based auto supplier Lear Corp., Marketing and Event Director Kim Winkler Place Inc. in Grand Rapids and Ann analysis group with the Center for Valley type of environment?” he and exists now as a wholly owned Events Manager Kacey Anderson Senior Art Director Sylvia Kolaski Arbor Spark, Kerrigan said. Automotive Research in Ann Arbor. said. “I think we’ve got our foot firm- subsidiary. Marketing Manager Marilyn Banes While not exclusively focused on Automakers, while still reliant on ly in Ann Arbor and Boston and Palo Singh is now Lear’s vice president Special Projects Coordinator Keenan Covington California, the MEDC’s team is not a building cars, are expanding re- Alto, and we kind of get the best of of connectivity. Sales Support Suzanne Janik Production Manager Wendy Kobylarz stranger to the state. It staffed a search into new technologies. all worlds.” Arada Systems also contracts Production Supervisor Andrew Spanos booth representing Michigan at the And tech developers are search- Olson said Toyota’s institute has with the Michigan Department of CUSTOMER SERVICE Intelligent Transportation Society of ing for new applications for their had no trouble recruiting talent; Transportation to provide roadside Main Number: Call (877) 824-9374 America’s 2016 trade show in June in products. many employees came from Toyo- sensors that help public infrastruc- or [email protected] Subscriptions $59 one year, $98 two years. Out of state, San Jose, Calif. And Kerrigan said he “Even if I’ve got systems integra- ta’s existing technical centers, he ture communicate with connected $79 one year, $138 for two years. Outside U.S.A., add $48 likely will visit California at least tion and sensors and intelligence said. Still others came from tech vehicles during testing. per year to out-of-state rate for surface mail. Call (313) twice more before the end of the that allow for automation and I’m firms on the West and East coasts. The company employs 80 446-0450 or (877) 824-9374. Single Copies (877) 824-9374 year. coming out of the West Coast, I still around the world, with about 15 in Reprints (212) 210-0750; or Krista Bora at Michigan is strategically target- have to figure out the whole rest of Strategic advantage Michigan. Singh would not dis- [email protected] To Šnd a date a story was published (313) 446-0406 or ing companies that work on sensor the vehicle,” Wallace said. “What In April, P3 North America Inc. close revenue figures, though he e-mail [email protected] technology, software development you’re actually starting to see is a lit- opened what it’s calling its Mobility said Arada Systems did “several Crain’s Detroit Business is published by or cybersecurity, Kerrigan said. The tle bit of cross-flow.” Innovation Center on 11 Mile Road in million dollars” in business annu- Crain Communications Inc. MEDC is in talks with about a doz- In March, Ford Motor Co. created a Southfield. ally. Today, it sells infrastructure Chairman Keith E. Crain President Rance Crain en companies in various stages of subsidiary called Ford Smart Mobility The German global consulting products to Michigan and numer- Treasurer Mary Kay Crain interest in Michigan. Kerrigan LLC, with dual operations in Palo and technology firm opened its ous other states, software and Executive Vice President/Operations would not disclose the names of Alto, Calif., and Dearborn. General first North American office in De- modules to automakers and after- William A. Morrow Executive Vice President/Director of Strategic the firms, citing nondisclosure Motors Co. acquired San Francis- troit in 2005 to support a consor- market parts. Operations Chris Crain agreements, but said some have co-based Cruise Automation, which tium of automakers — including Singh said that Silicon Valley to- Executive Vice President/Director of Corporate developed technologies in Califor- develops automated vehicle tech- GM, what was then DaimlerChrysler day is the right place to be innova- Operations KC Crain Vice President/Production & Manufacturing nia and are looking for purchasing nology. Fiat Chrysler Automobiles NV and BMW — on a joint hybrid vehi- tive as a company because of the Dave Kamis opportunities with automakers in and Alphabet Inc.’s Google are team- cle project, said Samit Ghosh, pres- availability of talent, but Michigan Chief Information O“cer Anthony DiPonio Michigan. ing up on a driverless minivan ident and CEO of P3 North America can compete when it comes to its G.D. Crain Jr. Founder (1885-1973) Inc. and a Crain’s 40 Under 40 hon- workforce. Mrs. G.D. Crain Jr. Chairman (1911-1996) Editorial & Business O“ces oree in 2010. What Michigan really needs to 1155 Gratiot Ave., Detroit MI 48207-2732; INDEX TO COMPANIES The Mobility Innovation Center succeed in creating, he said, is a cul- (313) 446-6000 These companies have signicant mention in this week’s Crain’s Detroit Business: was created when P3 recognized a ture change in the C-suite. Cable address: TWX 248-221-5122 AUTNEW DET CRAIN’S DETROIT BUSINESS ISSN # 0882-1992 is Hurley Medical Center ...... 9 WFDF 910 AM ...... 4 need to expand and moved its au- “What we do is we put a heavy published weekly, except for a special issue the third week Detroit Wayne Mental Health Authority ...... 10 Invest Detroit ...... 3 tomotive office from Troy, Ghosh emphasis on culture, on making of November, and no issue the third week of December by Crain Communications Inc. at 1155 Gratiot Ave., Detroit MI Spectrum Health ...... 10 Detroit Zoo ...... 3 said. P3 wanted to stay in South- sure that failure (is OK) — and 48207-2732. Periodicals postage paid at Detroit, MI and Center for Cardiac Longevity ...... 10 Michigan Venture Capital Association ...... 3 east Michigan. The 25,000-square- that’s something that California additional mailing o¦ces. POSTMASTER: Send address Eisenhower Center ...... 11 Arada Systems ...... 3 foot center includes an onsite companies do a lot better,” Singh changes to CRAIN’S DETROIT BUSINESS, Circulation Department, P.O. Box 07925, Detroit, MI 48207-9732. GST Henry Ford Health System...... 11, 12 Shiloh Industries ...... 1 workshop, prototype equipment, said. “Once that mindset comes # 136760444. Printed in U.S.A. Crittenton Hospital Medical Center ...... 12 Michigan Economic Development Corp...... 17 private space for auto clients to into play, then this place is as good Contents copyright 2016 by Crain Communications Inc. All rights reserved. Reproduction or use of editorial content in St. John Providence Health System ...... 13 P3 North America ...... 17 test technology, a mobile device li- as any place.” any manner without permission is strictly prohibited. Beaumont Health ...... 13 American Society of Employers ...... XX brary and a sound booth to devel- Lindsay VanHulle: (517) 657-2204 MCM Learning ...... 7 Workforce Intelligence Network ...... XX op voice recognition software, Twitter: @LindsayVanHulle 18 CRAIN’S DETROIT BUSINESS // JULY 18, 2016 that — increments of $2,700 — can dent-athletes (Weiser was a UM ly real estate in Ann Arbor, thereby cause he changed his plans to come WEISER legally go to the Trump campaign. wrestler while a student). lowering property tax revenue to the to Slovakia in August, right?” FROM PAGE 1 Earlier this month, the campaign city and shifting more taxes onto McCain “turned the tide” against said it had raised more than $51 mil- Fundraising sway homeowners. Vladimír Meciar, Slovakia's former the 2008 presidential election cycle. lion in June: $6.6 million for Trump Competing on the fundraising Even earlier, he remembers the prime minister who was once ac- Only the next 3 1/2 months will Make America Great Again; more stage with Weiser, who is running Battle of Ann Arbor in 1969, when he cused of having its secret service ab- tell if the disappointment refer- than $25 million for Trump Victory; again this year for a spot on the UM says he watched from atop the roof of duct a political rival’s son. He had enced on the mint tin will translate and $19.9 million for Donald J. Trump board of regents after running and a laundromat next to a garage he rent- been expected to win his old post into a Nov. 8 victory for Trump. For President. losing in 2014, is a challenge, promi- ed as McKinley's first office space as back. “Ron’s a committed Republican, nent state Democrats say. Washtenaw County sheriff’s deputies And Weiser said he and the White A good GOP foot soldier and he is going to support the ulti- Precious few Michigan Democrats “come down with their clubs and ba- House did not want that to happen. Weiser seems uneasy. mate candidate, regardless of how he have the same fundraising sway — or tons and helmets and shields” during Such an election would throw into He doesn’t talk much about his feels personally about it,” said Bobby pockets as deep as Weiser's. police confrontations with protesters jeopardy efforts by Slovakia, which party’s presumptive nominee, the Schostak, who succeeded Weiser as A notable exception is Jon Stryker, on South University. was strategically important after 9/11, flame-throwing Republican who has the chairman of the Michigan Republi- the billionaire Kalamazoo heir to the But it was nearly 20 years later, to become a member of NATO and rankled some in the GOP establish- can Party and is now co-COO of Livo- Stryker Corp. fortune. An architect by when John Engler was Senate majori- the European Union. ment, not to mention Democrats, nia-based Schostak Bros. & Co., CEO training, he has donated well over ty leader in the Michigan Legislature, “Slovakia was actually a route for with braggadocio and a penchant for of Birmingham-based software $10 million of his fortune to a variety that elected politics entered his realm. the terrorists right out of the Middle racial, religious and gender divisive- company The Resolute, and founder of Democratic causes and candidates The late Heinz Prechter, who East,” Weiser said. “They would come ness. and CEO of Birmingham-based (including more than $200,000 to founded American Sunroof Corp., right through from Turkey into “Have I met with him? Yeah, I met consulting firm Templar Baker Group. Clinton in the waning months of urged Andrea Fischer Newman to Ukraine, from Ukraine into Slovakia, with him privately. Have I given him A committed Republican, and a 2015), according to FEC records. bring Engler to see Weiser. Fischer up into Poland, and into Germany my opinion? Yeah, I have,” says Weis- relentless one. “We are in very different worlds,” Newman, now senior vice president into western Europe. That’s how we er, who turned 71 on July 7. “Ron is not afraid to call any- said Mark Brewer, the former long- of government affairs for Delta Air caught a lot of them.” “He is very bright and he listens to body,” said Truscott, who is presi- time chairman of the Michigan Dem- Lines and a UM regent, was finance The relationship between Weiser people.” dent of Lansing-based Truscott ocratic Party. “They are very, very chair for Engler's first gubernatorial and McCain was born. Weiser, a former U.S. ambassador Rossman, a bipartisan strategic different from what goes on on the campaign in 1989-90. to the Slovak Republic under Presi- communications firm. Democratic side.” “I helped him raise his money,” The future dent George W. Bush, is far from being “He is exactly the type of guy you Brewer, now an attorney with the Weiser said. “Not very much, Weiser took himself out of the day- a full-throated Trump booster. want. He is relentless. He will call Southfield-based law firm Goodman though. I didn’t know what I was do- to-day operations of McKinley in “He wasn’t my first choice in the anybody and ask for outrageous Acker PC after serving as chairman ing back then.” 2001 when he became ambassador, primary,” said Weiser, who stayed out amounts. … I remember breathing or executive director of the Michi- Engler served three terms. turning the reins over to Berriz. of the primary race. a sigh of relief once when I thought gan Democratic Party from 1995 to These days, he has little direct in- But Weiser is a good party foot sol- he was calling to ask me for money I 2013, was Weiser's counterpart. Cold-calling McCain volvement in real estate (other than dier, calling it a “binary choice” be- knew I couldn’t afford to give,” Trus- Weiser was Michigan Republican Among other Republican leader- the $10 million to $12 million redevel- tween Trump and Hillary Clinton, the cott said with a laugh. Party chairman from 2009 to 2011. ship roles, Weiser went on to be na- opment of the Chelsea Clocktower presumptive Democratic Party nomi- FEC records show that Weiser has Brandon Dillon, the Michigan tional co-chairman of John McCain's property in downtown Chelsea). nee. contributed well over $1 million to a Democratic Party's chairman who 2008 presidential campaign. He first His first apartment building, at Party, not necessarily candidate, variety of mostly Republican political succeeded Lon Johnson in January, got to know the Arizona senator when 1028 Fuller St. in Ann Arbor, was comes first. committees over the years. said Weiser’s fortune and willingness others rebuffed him. sold long ago and is now owned by “Trump doesn’t fit the Ronald Politics is not the only thing Weiser to part with large parts of it for politi- Weiser, as ambassador to the Slo- a Grand Blanc psychiatrist, Dong mold,” said John Truscott, who has writes big checks to. cal causes are things that Democrats vak Republic, had wanted a top Bush Ho Yoo. known Weiser for more than a quarter He and his wife, Eileen Lappin “just don't have.” administration security official to visit And he is a far cry from the $60-per- century, dating back to his time as di- Weiser, a member of the Michigan “He has access to a lot of money the country to implore its citizens not month garage he rented on Church rector of communications and press Board of Education, have given near- and is looking to support candidates to “return to authoritarian rule” with Street and spent $1,000 renovating secretary for former Gov. John Engler. ly $100 million to UM. who will pursue his agenda,” he said. their votes during their 2002 election. into an office for McKinley — there The Trump Victory Fund, a joint In December 2014, they gave $50 But in the immediate aftermath of was already a real estate company in- fundraising effort between the Re- million, including an additional $25 Entering politics the 9/11 terrorist attacks, the security voking Abraham Lincoln operating in publican National Committee, the million for the Weiser Center for Weiser said his entry into politics apparatus for the federal government Ann Arbor, so he couldn't name his Trump campaign and 11 state Re- Emerging Democracies, which can be traced to the battle in the early was staying put in Washington, D.C., after the nation’s 16th president and publican parties, works like this: along with the Weiser Center for Eu- 1970s in Ann Arbor over rent control, Weiser said. he wanted one that would be easy to The agreement hashed out in May rope and Eurasia was established in an issue he fought tooth and nail as a “So we decided that the next best remember, he said — in the early days between the Trump campaign and 2008 with a $10 million donation. landlord. thing would be bringing in a senator,” to operate it. the RNC establishes two committees: The other half of the $50 million “It was pretty tough because most he said. “I might at some point focus less Trump Victory and Trump Make donation went to the University Mu- people lived in apartments, and they Enter McCain, the chairman of the on the political stuff and more on the America Great Again. The first raises sical Society (Lappin Weiser is a UM wanted rent control,” he said. “We Senate Armed Services Committee. work I do for others,” including the money for the Trump campaign, the alumna with a graduate degree in had to convince them and homeown- “I did a cold call on him, told him Food Allergy Center and helping the RNC and the Republican parties for piano performance); the Stephen ers that it wouldn’t be in their best what the situation was and asked if Carr family's ChadTough Foundation. 11 states; the latter raises money for M. Ross School of Business; the interest.” he’d come during the August recess “Doing another full-time political the Trump campaign and the RNC. School of Education; the University He said he and others convinced and back me up, and he came. I owed position is not in my future,” he said. The maximum donation is of Michigan Health System’s Food Al- the public that rent control would ul- him, but I also saw somebody who Kirk Pinho: (313) 446-0412 $449,400, but only a small portion of lergy Center; and facilities for stu- timately lower the value of multifami- really cared about his country be- Twitter: @kirkpinhoCDB Former MBT could become part of new U.S. Supreme Court tax case By Chad Halcom the Legislature sent to Gov. Rick companies could use a formula un- "And our position is a multistate com- court records. [email protected] Snyder two years ago to plug a pos- der the compact Michigan adopted in pact is binding on the members, so it Megan Hawthorne, deputy press A legal challenge to a defunct busi- sible $1.1 billion tax loophole creat- 1970 to compute state business taxes, can be repealed or amended only on secretary for Michigan Attorney Gen- ness tax structure in Michigan could ed by the MBT law in 2007 and “to rather than the MBT. This entitled a going forward basis." eral Bill Schuette, who is defending roll in with at least two disputes in express the original intent of the IBM to a refund, but Treasury con- The Michigan courts so far haven’t Treasury in the litigation, said the of- other states for the U.S. Supreme Legislature regarding the applica- tended it could have applied to more seen it that way and consistently sid- fice is reviewing the court’s decision Court to consider later this year. tion” of it. than 100 other companies and meant ed with Treasury since the MBT revi- but declined to elaborate on it. Attorneys expect at least some of “We believe there will be at least more than $1 billion in additional re- sion passed. The newest Supreme A dissenting minority opinion the out-of-state companies suing the one petition for certiorari (to the Su- funds for the tax years 2008 to 2010. Court ruling combined three cases from the Michigan Supreme Court state Department of Treasury over the preme Court) on this issue, but for The Legislature later that year ret- and ruled against 35 out-of-state in June suggests the courts should former Michigan Business Tax will ask many companies decisions are still roactively amended the MBT law, companies, but more businesses review whether taxpayers can be the nation's highest court to consider being reviewed and made,” said June even though it already had been sup- await separate rulings. subject to retroactive burdens. the issue, after the Michigan Supreme Haas, partner at Honigman Miller planted by the Michigan Corporate Companies to challenge the “The United States Supreme Court in late June ruled 5-2 in Trea- Schwartz and Cohn LLP and attorney Income Tax Act of 2011; dozens of Michigan law have included The Gil- Court has recognized, ‘the power to sury's favor. If a case does go forward, for some of the 40-plus companies companies then claimed the retroac- lette Co., a Boston subsidiary of Cin- tax involves the power to destroy’... it would partly mirror cases in Califor- challenging a law signed by Snyder tive change was unconstitutional and cinnati-based Procter & Gamble Co.; (and) this power must be kept sub- nia and Minnesota and ask the court in 2014. that the pact among the states works Sunoco Products Co. of Hartsville, ject to proper constitutional lim- whether the 48-year-old Multistate The Michigan Supreme Court like a contract. S.C.; Yaskawa America Inc. of Wauke- its,” Justice Stephen Markman’s dis- Tax Compact is binding on Michigan earlier in 2014 had sided with IBM "There are due process issues such gan, Ill.; Anheuser-Busch LLC of St. sent states. and 15 other states. Corp. in a previous squabble with as whether the Legislature can retro- Louis; Dollar Tree Inc. of Chesapeake, Chad Halcom: (313) 446-6796 At issue is a retroactive tax law fix Treasury, finding that out-of-state actively change a tax law," Haas said. Va., and dozens more, according to Twitter: @chadhalcom CRAIN’S DETROIT BUSINESS // JULY 18, 2016 19 ON THE WEB RUMBLINGS WEEK JULY 9-15 Detroit Digits Huntington Bancshares Inc. and Tierney to head Akron, Ohio-based First Merit A numbers-driven look at last week’s Corp., which have 300-plus bank Community headlines: branches and nearly 8 percent combined market share in Michi- Bankers of Mich. gan, must divest 13 northeastern $173,000 Ohio branches before closing on a ast Lansing-based Communi- The approximate median sale price $3.4 billion acquisition deal, the ty Bankers of Michigan is of a home or condominium in the U.S. Department of Justice said. expected to announce metro Detroit real estate market in n Meijer Inc. is set next month to EMonday that veteran banker open a supercenter in Flat Rock June, up from $162,900 a year ago, Michael Tierney has been hired as according to Farmington Hills-based — the Grand Rapids-based president and CEO. He replaces Realcomp Ltd. II. retailer’s ninth new store this year. Judi Sullivan, who will retire in The gas station on the property, at YOUTUBE September after 13 years leading Vreeland and Telegraph roads, was The Mower Gang is hard at work in the 4-minute video from CraŠsman. the association. Tierney retired in $36.3 million to open last week. 2014 as CEO of Troy-based Flagstar The amount raised by University of n Ann Arbor-based Truven Bank and spent much of his career Michigan regents toward UM’s $4 Health Analytics moved its at Comerica Bank. billion “Victors for Michigan” capital headquarters to a 134,000-square- Detroit Mower Gang campaign, the university reported. foot location in the former COMPANY NEWS headquarters of Borders Group n Shareholders of Troy-based Inc. about five miles south of Talmer Bancorp Inc. overwhelming- downtown. Truven downsized makes cut on video ly approved its proposed $1.4 $42.1 million from its 200,000-square-foot space rain’s reported in May that stages of decay, garbage strewn The approximate amount of venture billion merger into Midland-based at the Eisenhower Plaza. the Detroit Mower Gang, a about and, of course, parks so capital spending in Michigan in eight Chemical Financial Corp. that was n Breathe Beauty Bar, a boutique volunteer group of overgrown you can barely see the deals during the second quarter of announced in January. Chemical spa with a juice bar, opened July 9 Ccommunity activists that has been swings. 2016, according to the MoneyTree shareholders are expected to in downtown Detroit with a guest grooming parks in Detroit since There are several inspirational Report issued by approve the deal July 19. host: actress Vivica A. Fox. It is the 2010, was getting a big assist for its moments as various members of PricewaterhouseCoopers LLP n Illinois-based Sears Holdings first store for owner Monica 2016 mowing season from the gang talk about why they and the Washington, D.C.-based Corp. has added a third metro Moore-Brown. CraŠsman, which was donating spend so much time and energy National Venture Capital Detroit Kmart location to the list of n Ann Arbor-based Kraig $18,000 worth of lawn and garden bringing parks back to life: “We Association. In the Œrst quarter of stores it plans to close as it seeks to BiocraŠ Laboratories Inc., a equipment, including five riding gotta put the ‘neighbor’ back in 2016, almost $80.3 million was cut costs. The Kmart at 34800 developer of spider-silk-based mowers, trimmers, hedgers and ‘neighborhood.’” “No one's invested in 14 deals, the report said. Groesbeck Highway in Clinton fibers, announced it has received a other gear. coming to save us, so we have to Township is scheduled to close in contract valued at up to $1 million Craftsman has put out a save each other.” And, followed mid-October, the company said. Appeals denied a riverfront for the delivery of high-perfor- promotional video that shows off by shots of two young girls Stores in Farmington Hills and property owner’s appeal of a mance fibers to the U.S. Army. the gang and its new equipment, enjoying some time on the Taylor also are due to close. decision that requires the building n General Motors Co. won court though no video about Detroit swings, “Ain’t no one played in n A Target store could potential- of a structure to house metallurgi- approval to retrieve tooling and seems complete without shots that park in the last four years.” ly anchor a planned retail, cal coke stored on an approximate- finished parts from a key longtime from sloooooowly moving vehicles The video is on YouTube at commercial and residential project ly 13-acre site. At issue was the supplier, Massachusetts-based showing buildings in the last http://bit.ly/29HJm0W. at Woodward and Mack avenues in temporary storage at Waterfront Clark-Cutler-McDermott Co., that is Midtown, development sources Petroleum Terminal Inc. of roughly reorganizing under U.S. bankrupt- told the Detroit Free Press. 30-foot piles of “met coke,” cy protection, averting a shutdown Great Lakes lenders plan Loan on John R just north of Eight n Children’s clothing retailer produced from coal and used in of most of the Detroit automaker’s conference in Detroit Mile Road for an undisclosed Hanna Andersson said it will open steelmaking. North American assembly plants, amount. its first Michigan store, at Twelve n The city of Southfield cannot Automotive News reported. The 18th annual Great Lakes Through the early June move, it Oaks Mall in Novi, on Aug. 12. regulate or restrict Word of Faith Lenders Conference, a professional- increased market share while n Auburn Hills-based power- International Christian Center Inc.’s OTHER NEWS development conference for expanding its brand with a new train supplier BorgWarner Inc. plans contract with Jordan Development n The U.S. Environmental bankers, lenders, credit analysts, location not far from the 38-year- to spend $27 million to expand its Co. LLC to drill for oil on its church Protection Agency said the Wayne underwriters, servicing staff and old company’s original store in Auburn Hills operations, a project campus, now that the state has County Brown‹eld Redevelopment attorneys from Michigan, Indiana, Detroit, said Vice President Seth expected to add 76 jobs, state approved the pact, an Oakland Authority is getting $300,000 to Illinois and Ohio, is coming to the Gold, the son of owner and officials said. County judge ruled. The city had help clean up contaminated Motor City Casino & Conference president Les Gold. n Fontinalis Partners LLC, a sued to block the drilling. Detroit land for urban agriculture Center in Detroit from Aug. 3-5. “Hazel Park is a growing Detroit venture capital firm, said it n Visteon Corp. announced it or other jobs projects. The conference is hosted by the community with lots of new finished raising a $100 million completed the acquisition of n An $11 million plan to close U.S. Small Business Administration businesses and restaurants,” he fund, Fontinalis Capital Partners II India-based automotive embed- and restore the iconic South and the Michigan Small Business said. LP, to focus on the next-generation ded multimedia and connectivity Course at Oakland Hills Country Club Development Center of Grand And the chain will soon open mobility sector, in what is believed software supplier AllGo Embedded to its pre-World War II state was Valley State University. They expect more new locations, he said. to be the largest VC round raised in Services Pvt. Ltd. Exact terms were rejected in a membership vote. 350 to 400 people to attend. American Jewelry and Loan is in Michigan this year. not disclosed. The Bloomfield Township course The conference will include the midst of moving inventory n The Detroit Board of Zoning n Columbus, Ohio-based would have closed for 14 months break-out sessions on small- from the 2,500-square-foot Pontiac starting in March 2018. business cybersecurity, banking location it had operated from the n Plans to auction a 10.5-acre ethics, state capital-access past five years to a 10,000-square- site in a prime Farmington Hills programs, business appraisals and foot leased site further north on location were scrapped. A spokes- case studies, SBA loans and Telegraph in the Oakland Pointe man for the owner of the property microloan programs, debt Shopping Center across from the at Northwestern Highway and 14 refinancing, future banking trends closed Summit Place Mall. Mile Road, NWH Holdings LLC, and a Tigers game. American Jewelry and Loan is declined to say why the auction Cost is $249. For information, go talking with the Detroit Regional was canceled. to www.greatlakeslenders.com. Chamber about participating in a n Charles Pugh, the former financial literacy program to Detroit City Council president, American Jewelry and Loan educate people in the region on appeared in court via video on pawn shop chain grows the different types of alternative charges of criminal sexual conduct financing available to them, involving a teenager, AP reported. The American Jewelry and Loan including pawning goods for A magistrate entered a not-guilty chain just got bigger. short-term loans. PHOTO COURTESY KRAIG BIOCRAFT plea on behalf of Pugh, who lives in The Detroit-based pawn “You default on a TV, and it Ann Arbor-based Kraig BiocraŠ Laboratories Inc., a developer of spider-silk- New York City, and set bond at business, star of TruTV’s “Hardcore doesn’t perpetuate the burden of based Œbers, said it has received a contract for Œbers from the U.S. Army. $500,000. Pawn,” acquired Joey’s Jewelry & debt,” Seth Gold said. DBpageAD_DBpageAD.qxd 7/6/2016 12:31 PM Page 1

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