The arena developer, Olympia Development of Michigan, is required to ensure that at least 51 percent of arena workers live in Detroit. That goal hasn’t been met during certain periods of the construction, which began last year and is still ongoing, officials say.
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.
As part of the deal to allow $250 million in taxpayer-backed bonds to pay for construction of the arena, Olympia Development agreed to the 51 percent goal. It also agreed to award at least 30 percent of the construction contracts to Detroit businesses. The 30 percent goal is being met and surpassed, city officials said.
But the failure to meet the 51 percent workforce goal has resulted in contractors being fined, and that money has gone toward workforce training, according to the city officials and representatives for the Ilitch family, which owns Olympia Development. The number of contractors fined wasn’t provided Tuesday.
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