Detroit Mayor Dave Bing is expected to hand over management of a high-profile, $528 million light-rail project to the Detroit Economic Growth Corp.
Officials could propose the management shift to the City Council as soon as this week, according to local reports.
The light-rail project is considered key to revitalizing the city and is one of Bing’s top priorities. It’s a public-private partnership built along the Detroit thoroughfare of Woodward Avenue. Most of the public funds will come from Federal Transit Administration grants.
The project has been at the center of ongoing political disputes, with some reports suggesting the private investors are unhappy. Handing control of the project over to the group is expected to help eliminate struggles between Bing and the City Council, reports said.
The DEGC is a nonprofit group that led several major redevelopment projects in Detroit in recent years. George Jackson is president and the mayor appoints board members. The city plans to issue up to $103 million of debt backed by federal capital grants for the project as soon as next month, with Loop Capital Markets LLC as senior manager.
