Dive Brief:
-
Half of the construction workers who build Detroit’s $450 million hockey arena will be city residents, or the developer — Olympia Development — will face stiff penalties, a government human rights executive said this week.
-
The project’s development agreement stipulates that at least 51% of the 5,500 construction workers must be “bona-fide Detroit residents” and 30% of the total value of construction contracts must be awarded to businesses in the city.
-
The executive told The Detroit Free Press that the arena’s developer “so far” has met hiring goals, but noted, “It’s early.” Construction began two months ago.
Dive Insight:
Because 58% of the funding for the new Red Wings’ arena — which will open in 2017 — will come from state tax revenue, government officials have insisted that tax-paying citizens receive a substantial share of the work the project creates.
And the city's not taking the developer’s word about compliance: Two compliance officers will be stationed at the job site to verify that the bulk of employees are Detroit residents.