Part of the deal to get $250 million in taxpayer bonds for the new Little Caesars Arena was that 51% of the workers had to live in Detroit. The Detroit News is reporting today that the goal hasn’t been met at times and contractors have been fined approximately half a million dollars.
In an extensive piece, the Detroit News says, "A recent report to city officials indicates that about 40 percent of the 750 workers at the Little Caesars Arena site are Detroiters, according to sources familiar with the data. There is some concern that percentage could go lower because of a shortage of skilled-trade workers such as electricians, according to a consultant involved in the arena workforce."
In their last press release, Olympia Development said,
"More than $320 million in contracts have been awarded to Detroit-based businesses to construct Little Caesars Arena, representing nearly 60 percent of total contracts, and more than $512 million, or 90 percent of contracts, have been awarded to Michigan businesses. Detroiters have worked more than 230,000 hours on construction of the arena so far and more than 100 have learned and earned skills on the site that will last a lifetime. "
The Detroit News also reports that the fines have been going toward workforce training, and that, "The number of contractors fined wasn’t provided Tuesday." More about the development can be read here.
- Arena contractors fined for lack of Detroit workers [Detroit News]