Many MITA members are doing business in the city of Detroit. This month, the Michigan Laborers, Local 1191 entered into an agreement with the City of Detroit in what is called the Detroit Opportunity Commitment. This commitment is in response to the Detroit Skilled Trades Employment Program, also known as Executive Order 2016-1. This order was established on December 16, 2016 mandating that any construction contract in the city of Detroit in excess of $3,000,000 use as a workforce at least 51% Detroit residents. Developers, general contractors, prime contractors and subcontractors are all required to comply with the terms of this Executive Order or be subject to fines.
Many contractors find it very difficult to accomplish the 51% city resident requirement. The leadership at Laborers, Local 1191 took a proactive approach to help solve the resident requirement. By entering into the Detroit Opportunity Commitment, the Local has committed to an active membership target. By 2027, the Local commits to having at least 1440 Detroit residents as members by adding 72 members per year over the next 10 years, and this will be verified by the City of Detroit Civil Rights, Inclusion & Opportunity Department (CRIO). Any contractor/subcontractor using Local 1191 labor will be exempt from being fined for that portion of the contract as long as the goal by the Local is met every year. Note that the contractor/subcontractor still needs to request available Detroit residents if they are available.
The Mayor of Detroit has assured the Local that there is approximately $500 million available for infrastructure, including water and sewer in the City over the next couple years along with numerous private opportunities. Laborers, Local 1191 has stepped up and is working hard to help eliminate fines due to residency requirements while working on Detroit projects. If you have any additional questions, please contact MITA’s Director of Workforce Development Ken Bertolini at (517) 347-8336.