20140901-NEWS--0001-NAT-CCI-CD_-- 8/29/2014 6:07 PM Page 1 ® www.crainsdetroit.com Vol. 30, No. 35 SEPTEMBER 1 – 7, 2014 $2 a copy; $59 a year ©Entire contents copyright 2014 by Crain Communications Inc. All rights reserved Page 3 The official agreement to Transit chief launch Beaumont Health is imminent, plans route: but difficult New tax, PR, Flood leaves heap of curbside ISTOCK PHOTO chaos for communities decisions remain, teamwork Supplier event to display the including the selection of a new CEO BY BILL SHEA future of smart cars CRAIN’S DETROIT BUSINESS New regional transit czar Inside Michael Ford will have two years to persuade metro Detroit Taking the pulse voters to pay for a fourth bus sys- tem — a train- like network of high-speed com- Come one, come all, Detroit muter buses is hopping in Sept., Page 6 with limited of hospital merger stops — that will operate sepa- Ford Wealth Management rately but in co- BY JAY GREENE According to sources, the system also will operation with the current tradi- Wealth of interest: Banks CRAIN’S DETROIT BUSINESS begin a search for a CEO to succeed Gene tional bus systems. That could be a tall order for a Michalski, current CEO of Beaumont Health build revenue with financial A final agreement to create the new Beau- squabbling region that took 40 System, who will serve as the combined sys- advisory services, Page 11 mont Health — an eight-hospital system with years to get a regional transit au- tem’s first CEO. thority created. And Ford isn’t 30 percent market share that could become Officials with the three combining systems even on the job yet. the largest in Southeast Michigan — is immi- He’s an optimist — a prerequi- This Just In — Royal Oak-based Beaumont Health System, nent and could occur as soon as Sept. 2, site for anyone trying to achieve Dearborn-based Oakwood Healthcare Inc. and Minority supplier council head sources tell Crain’s. consensus across this region. So Botsford Hospital in Farmington Hills — have he will make the case that a rapid That’s sooner than expected, but some of resigns, will aid transition declined further comment before the official bus system is needed, and coordi- the thornier issues are being deferred until af- Louis Green, president and announcement. nate the planning with the three CEO of the Michigan Minority ter the deal’s closing, expected this year. other local systems. Supplier Development Council, is Those include final decisions on which execu- “Right now, there’s nothing to announce. “There are solutions out there. resigning tives will be kept, compensation for those who Leadership remains optimistic that Beaumont It’s about not getting bogged down. You can get sidetracked very easi- as head of depart, and overall staffing levels and budget Health will be launched soon. Once there is the Detroit- based non- cuts. See Merger, Page 22 See RTA, Page 21 profit but plans to help the council transition OU starts year with new president, campus construction into new leadership. Green The or- Among the more BY KIRK PINHO broader mission of the growing univer- ganization is on the fast track than $200 million CRAIN’S DETROIT BUSINESS sity, which has seen enrollment in- to hire a replacement for in construction creases in each of the past 15 years and Green in October. projects at Oakland At the start of the new academic now tops 20,100. Green, who has led the University: the 151- year, Oakland University has a fresh face Hynd, a 66-year-old former adminis- MMSDC since 2005, will not foot Elliott Tower. in at least two different ways. trator for the College of Charleston in extend his contract that ex- First, George Hynd has taken the South Carolina who succeeded Betty pires at the end of the year. helm as OU’s new president. Youngblood, the former interim presi- Green said he has accepted In addition, the university has dent, has been hired in part to fulfill a another position, but would wrapped up more than $200 million in broader goal of adding more on- not go into specific details. construction projects in the last two Hynd campus students. Right now, only The National Minority Supplier years, with the most expensive — a new about 14 percent live on campus. Development Council hired $74.5 million building for the School of Engineer- Construction of OU’s sixth residence hall, Chicago-based Hollins Group Inc. ing and Computer Science — opening its doors to which has 500 beds and cost $30 million, fits to perform a national search students when classes begin Wednesday. into a broader strategy of increasing student for Green’s replacement. All that work done prior to Hynd officially — Dustin Walsh COURTESY OF OAKLAND UNIVERSITY starting his job late last month helps with OU’s See OU, Page 19 Show your DETROIT 2.0 support ISSUE DATE: OCT. 20 CLOSE DATE : SEPT. 25 NEWSPAPER for the city. To advertise: Marla Wise at [email protected] or (313) 446-6032. 20140901-NEWS--0002-NAT-CCI-CD_-- 8/29/2014 4:55 PM Page 1 Page 2 CRAIN’S DETROIT BUSINESS September 1, 2014 MICHIGAN BRIEFS Pure Michigan tourism tattoos: University No. 54 on its list of Best Bang for the Buck schools, its sec- So marketing can flex its muscles What ACTs say about freshmen: This could get testy ond year in a row on the list. The To the extent that the Pure Michi- magazine also included WMU, the gan tourism campaign is about get- Now that college football season is here, what bet- 2001 as measured by the ACT. MSU ranks No. 3 in University of Michigan, Michigan ting the state more exposure, well, ter time to stir up rivalries? This time, not on the the state in academic strength of incoming students, State University and Michigan Tech- mission accomplished. Michigan playing fields but in the admissions offices. behind UM and Michigan Technological University. nological University on its list of the Economic Development Corp. spokes- In a story last month on the website of Bridge Mag- Jim Cotter, MSU’s director of admissions, told top 100 U.S. universities, and MSU woman Michelle Grinnell told azine (bridge.com), Mike Wilkinson reported that Bridge the college experience is not just about test and Michigan Tech among the MLive.com that a colleague spotted since 2001, the University of Michigan, as well as Big scores. “It’s a balancing act at a place like Michigan Best Bangs for the Buck. That is a nearly exact rendering of the Pure Ten colleagues Ohio State University, University of Min- State, which has long been about the principles of based on “the economic value stu- Michigan logo as a tattoo, featuring nesota, Indiana University and Purdue University, “have opportunity. Admissions is not about a test score, dents receive per dollar.” the brand’s blue “M.” Which in the seen substantial gains in ACT test scores for incom- it’s about a whole person.” To move into a more se- Ⅲ As you may have noticed dur- case of this tattoo, does not stand for ing freshmen.” One school missing: Michigan State lective admissions posture “would limit access,” ing Friday’s home football opener “Mother.” University, which Wilkinson reports “has basically Cotter told Bridge. against Jacksonville State University, “I think it is kind of a signal of treaded water.” MSU ranks second from the bottom In closing, as you feel your blue or green blood Michigan State University has dedi- how passionate our fans are and among the 12 Big Ten universities that report ACT boiling, consider that you’re getting worked up cated a $24.5 million addition to how passionate people are about scores, ahead of only the University of Nebraska. about academics. Which is the way it should be Spartan Stadium. The North End the state of Michigan,” Grinnell Further, the Bridge analysis found that nearly all every fall. Zone Complex is a 50,000-square- said. Technically, if you want to use in-state schools “stayed relatively stagnant” since — Bob Allen foot addition, The Associated Press the logo, you have to go through a reported. Ⅲ It has been a long time since process that includes submitting of the largest Michigan has seen, Di- 30 migrant workers accuse Iowa- cost for both a family and two-per- an example of how the logo would an item about beer appeared in ane Smith, executive director of the based DuPont Pioneer and two re- son health plan and 20 percent for be used. But Grinnell said the state Michigan Briefs. So thank the Michigan Apple Committee, said in a cruiters of violating federal wage a one-person policy. doesn’t plan to crack down on peo- folks at Thrillist.com, which put release. Michigan is the nation’s and migrant labor laws. The work- Ⅲ Japan-based Marley Precision ple who ink up. Which probably is a Michigan No. 4 on its ranking of second-largest apple producer after ers, who claim they were under- Inc. plans to spend $3 million to good thing for a variety of reasons best beer states. Also thank Thril- Washington state. Last year’s large paid while removing tassels from build a second plant in Battle that won’t be spelled out here. list — which describes itself as “a harvest pushed the state past New corn in southwestern Michigan Creek, MiBiz reported. Marley, leading men’s digital lifestyle York state as an apple producer. fields, also allege poor housing, un- which makes direct fuel injection brand” — for providing the mis- Fruit forecast: Apple crop will be In other fruit news, the U.S.