1. STATE PROGRAMS & INCENTIVES Homeland Security
Defense Contract Coordination Center (DC3) Michigan Business Tax Credit
Works in concert with the 12 state Procurement Technical Passed in 2008, the new Defense Contracting Michigan
Asisstance Centers (PTAC) to open the door for Business Tax Credit will help companies receive federal
Michigan companies vying to secure federal contracts. contracts from the Department of Defense, Department of
INTRODUCTION
They are charged with promoting and representing Energy and the Department of Homeland Defense.
Michigan companies before federal buyers for prime Regional Detroit companies have a proud history of providing vehicles, Today, the Detroit Region’s technical expertise naturally lends itself to the
contracts. They are focused on increasing the number of Through the authority of the Michigan Economic Growth equipment and services to the nation’s armed forces. As America prepared demanding requirements of the U.S. military. As the knowledge center of
prime contracts awarded by the Department of Defense Authority, companies awarded federal contracts, may also to enter World War II, President Franklin Roosevelt delivered his famous the world’s automotive industry, the Detroit Region has more engineers per
to Michigan companies and identify opportunities and be awarded a refundable tax credit against the Michigan “arsenal of democracy” speech at the Detroit Arsenal Tank Plant in Warren, capita than any other Region in the United States.
compete as supply chain clusters. Business Tax. For information on the requirements to obtain Michigan. The Detroit Region’s auto assembly lines soon switched to war
the MBT credit please visit www. michiganAdvantage.org production mode, and in 1942 B-24 bombers started rolling off the lines at Homeland Security is a rapidly growing in the Detroit Region. In Macomb
Ford’s Willow Run Assembly plant in Ypsilanti. County, jobs related to the defense industry have grown 72%, from 7,100 in
The DC3 is led by U.S. Marine Corps Major General or contact the MEDC at 517.373.9808
2000 to 12,200 in 2007. In 2011, more than 1,200 jobs expected to transfer
Bradley M. Lott (Ret.) and the DC3 is administered by
from Rock Island, Illinois in conjunction with the BRAC realignment.
the Michigan Economic Development Corp. For more information visit
www.ptacsofmichigan.org.
MAJOR PLAYERS
TACOM, TARDEC and the NAC SELFRIDGE AIR NATIONAL GUARD
DEFENSE CONTRACTS IN THE DETROIT REGION
· The U.S. Army’s Tank Automotive Operations Command (TACOM) Selfridge ANGB is located in Harrison Township in Macomb
is headquartered at the former Detroit Arsenal Tank Plant in the City of County and dates back to 1917. It is the only open military
Warren and has five satellite locations across the country. base in the State of Michigan and more than
150 generals have spent part of their careers
· TACOM is responsible for equipping America’s soldiers with a full range at this facility. More than 400 active duty,
of technology and logistics support systems. TACOM provides state-of- 1,340 civilian workers and 3,049 reservists
the-art ground combat systems, automotive equipment, marine systems and guardsmen work on the base. Projected
and armament systems. personnel at Selfridge for mid-fiscal year 2009 $3,017,178,513 in Department of Defense prime contracts were
is nearly 6,400. Prime Contracts by County, 2006 awarded to Detroit Region companies in 2006, accounting for over
· TACOM is one of the Army’s largest weapons R&D organizations.
Selfridge is currently one of only two installations County Total 77.4 percent of all defense contracts in Michigan. Prime contracts are
About 97 percent of Army units worldwide use equipment designed, bought in the country with all four Department of Defense contracts valued at over $25,000.
Genesee 2,078,511
and serviced by TACOM. Of TACOM’s 4,141 Detroit Region employees, services plus Department of Human Services.
more than 90% are civilians and include a highly talented team of engineers, In addition, Selfridge is the Air National Guard’s Lapeer 1,297,567 In addition, in 2010 the region is expected to receive $5.7 billion up
researchers and mechanics. In 2011, TACOM will shift roughtly 1,200 jobs largest and most complex base. Lenawee 5,920,555 from the National Defense Authorization Bill to complete several
to the Macomb facility from Rock Island, Illinois. projects.
The host organization is the 127th Wing of the Livingston 15,120,962
· The Tank-Automotive Research, Development and Engineering Center Michigan Air National Guard. All branches of the Macomb 2,619,065,049
(TARDEC) is located at TACOM, and is the nation’s premier laboratory for military use the facility. In 1971, Selfridge ANGB was credited
Monroe 2,352,621
advanced automotive military technology. with being the largest Reserves Forces facility in the United
States. The Michigan 127th Wing mission is to provide Oakland 155,855,584
trained, equipped and motivated tanker, fighter and support St. Clair 42,356,717
TARDEC’s mission “is to provide full service life cycle engineering support resources for the community, state and nation.
to the TACOM Life Cycle Management Command, the Program Executive Washtenaw 80,942,012
Office for Ground Combat Systems, the Program Executive Office for The Air National Wayne 92,188,935
Combat Support and Combat Service Support, and the Program Manager Guard Base
for Future Combat Systems Brigade Combat Team.” is home to the Totals 3,017,178,513
Selfridge Military Top Ten Contract Categories (Michigan)
From researching alternative fuels to sophisticated computer modeling Air Museum,
of vehicle performance, TARDEC’s National Automotive Center (NAC) which perserves
sponsors collaborative efforts between industry, academia and government the strong 1 Combat vehicles
agencies. tradition of the
Michigan Air 2 Services
For more information about: National Guard. 3 All other supplies and equipment
Housing several
TACOM: www.tacom.army.mil/main/index.html military artifacts 4 Weapons
TARDEC www.tardec.army.mi and exhibits,
5 Textiles, clothing, and equipage
NAC http://tardec.army.mil/nac.asp visitors will get a sense of the strong heritage and tradition of
the Air National Guard for Michigan 6 Non-combat vehicles
PTAC as well as all military branches.
The mission of the Procurement Technical Assistance Centers (PTACs) 7 Electronics and communication
of Michigan is to enhance national defense and economic development of 8 Medical & dental supplies & equipment
the State of Michigan by assisting Michigan businesses in obtaining and
performing on federal, state and local government contracts. Currently, the 9 Other aircraft equipment
state’s ptacs have 2,472 active client companies. For more information
10 Aircraft engines & spares
visit www.ptacsofmichigan.org.
For more information on doing business in the Detroit Region contact: Photos: Courtesy of Selfridge Air
TARDEC ATV
Dean Johnson 313.596.0406 National Guard Base.
e-mail: djohnson@detroitchamber.com Source: Department of Defense Prime Contract Awards Report.
2. DEFENSE RELATED INDUSTRIES - Detroit Region, 2008
REGIONAL DETROIT COLLEGE & UNIVERSITY RESEARCH CENTERS & PROGRAMS
Number of Total Sales Total Site Total Company
SIC Code Industry Business ($ in millions) Employees Employees
The Detroit Region is home to 10 universities, 13 colleges and 18 community colleges. Major research institutions include the University of Michigan
and Wayne State University. The Department of Defense and other federal agencies spend millions on defense and homeland security related research Manufacturing
in the Detroit Region. Innovative research in advanced engineering, life sciences and small tech (such as nanotechnology and MEMS) are becoming 3482-00 Small arms ammunition 4 $0.3 7 7
increasingly important to defense and homeland security.
3482-99 Small arms ammunition, nec 1 $0.1 2 2
Eastern Michigan University Walsh College 3484-00 Small arms 6 $9.1 74 59
• Center for Regional & National Security • Information Assurance Center (National Center of Excellence) 3484-01 Machine guns and grenade launchers 1 $0.1 1 1
• Coatings Research Institute (CRI) for Military Equipment Protection
Wayne County Community College District 3484-99 Small arms, nec 5 $1.8 20 25
Kettering University • Michigan Institute for Public Safety Homeland Security Certificate
3489-00 Ordnance and accessories, nec 5 $24.7 65 65
• Fuel Cell Laboratory for Defense Applications Program
3489-01 Guns, howitzers, mortars and related equipment 1 $0.1 2 2
Lawrence Technological University Wayne State University
• Center for Innovative Materials Research (CIMR) for Defense • Institute for Information Technology for Homeland Security 3711-03 Military motor vehicle assembly 3 $94.8 272 250
Applications • Smart Sensors & Integrated Micro Systems 3721-00 Aircraft 9 $23.3 416 317
Oakland Community College OUTSIDE THE DETROIT REGION 3721-01 Motorized aircraft 3 $0.4 5 5
• Combined Regional Emergency Services Training (CREST) Center 3724-00 Aircraft engines and engine parts 7 $16.9 328 328
• Information Technology for Homeland Security Program Michigan State University
• Macomb Oakland INCubator • CyberSecurity Laboratory 3724-99 Aircraft engines and engine parts, nec 9 $323.5 932 1,289
• Composite Materials & Structures Center for Defense Applications
Oakland University • National Food Safety & Toxicology Center 3728-00 Aircraft parts and equipment, nec 35 $70.2 778 688
• Product Development & Manufacturing Center • Center for Remote Sensing & Geographic Information Systems 3728-01 Aircraft body and wing assemblies and parts 1 $0.1 1 1
• Fastening & Joining Research Institute Michigan Technological University
• Remote Sensing & Environmental Monitoring Institute 3728-02 Aircraft propellers and associated equipment 6 $49.1 310 350
University of Michigan • Blue Marble Security Laboratory 3728-03 Aircraft landing assemblies and brakes 1 $0.1 1 1
• Michigan Center for Public Health Preparedness
• Institute for Advanced Vehicle Systems 3728-04 Military aircraft equipment and armament 2 $8.1 8 118
• MURI Center for Intelligent Electronics 3728-05 Aircraft training equipment 1 $0.1 2 2
• Terrorism & Preparedness Data Resource Center
3728-99 Aircraft parts and equipment, nec 5 $37.8 185 185
3731-02 Military ships, building and repairing 2 N/A 5 N/A
3764-00 Space propulsion units and parts 1 N/A 2 N/A
3764-99 Space propulsion units and parts, nec 2 N/A 35 N/A
MAJOR COMPANIES
3769-00 Space vehicle equipment, nec 4 $5.2 73 73
Defense Companies in the Detroit Region: 3795-00 Tanks and tank components 4 $4.3 144 53
3795-99 Tanks and tank components, nec 5 $732.0 2,325 7,320
AAR Manufacturing Inc. Eaton Corp. Lapeer Industries Inc. Talbot QD Mounts Inc.
Adaptive Manufacturing Enstrom Helicopter Corp Link Engineering Co. Testek Inc. 3812-00 Search and navigation equipment 10 $1,018.2 881 7,793
Solutions Epic Machine Loc Performance Products Inc. W Industries 3812-01 Aircraft/aerospace flight instruments and guidance systems 4 $4,814.3 4 50,004
Adaptive Materials Inc. Formsprag LLC Metris USA Inc. Woodward FST Inc.
Mirror Lite Co. 3812-03 Navigational systems and instruments 3 $0.8 57 7
Advance Turning & Mfg GE Aviations Systems LLC
Aircraft Precision Products General Dynamics Advanced Moeller Aerospace Technology 3812-05 Defense systems and equipment 2 $2.6 41 41
ArvinMeritor Information Systems Moeller Manufacturing Co. Inc.
3812-06 Search and detection systems and instruments 4 $0.8 14 13
Assembly & Test Worldwide Inc. General Dynamics Land Systems Niles Precisions Co.
Azentek Gentz Industries LLC Odyssey Industries Inc. 3829-00 Measuring and controlling devices, nec 75 $239.8 1,641 2,497
Badenoch LLC GMA Cover Corp. Parker-Hannifin Corp. 3829-01 Aircraft and motor vehicle measurement equipment 12 $41.7 304 484
BAE Systems Hart Precisions Products Inc Pratt & Whitney Autoair Inc.
Barnes Group Inc. Hommel-Etamic America Corp. PrecisionWerx 3829-02 Geophysical and meteorological testing equipment 1 $2.4 30 30
Blevins Screw Products Inc. Honeywell International Inc. Promess Inc. 3829-03 Surveying and drafting equipment 4 $1.8 19 19
Burtek Inc. Hytrol Manufacturing Inc. Schaller Group
Control-Tec LLC J.F. Hubert Enterprises Inc. Scott Machine Inc. 3829-03 Physical property testing equipment 36 $267.3 1,320 2,672
Coordinated Defense Supply Jedco Inc. Sika Corp. 3829-05 Nuclear radiation and testing apparatus 3 $3.9 45 45
Delta Technology Group Kuka Systems Steel Tech & Engineering Co.
3829-99 Measuring and controlling devices, nec 6 $14.9 148 272
3999-12 Identification badges and insignia 1 $1.0 6 6
RECENT ANNOUNCEMENTS Retail
5699-01 Uniforms and work clothing 6 $2.1 14 17
New life for Warren and it Arsenal! Services
In preparation for the 1,800 new jobs that will be arriving in 2011 the arsenal has begun construction on a new building. The new 230,000 sq.ft. building
7699-22 Aircraft and heavy equipment repair services 2 $0.4 6 6
will cost about $69 million and accomodate 1,100 TACOM personnel. In addition, The House and Senate approved nearly $30 million for projects at the
arsenal which house TACOM and TARDEC. Public Administration
8211-02 Private elementary and secondary schools 1 $0.1 9 9
Lawrence Technological University and TARDEC to collaborate!
9711-00 National security 17 N/A 477 11
Lawrence Technological University received a $1.6 million grant to collaborate with TARDEC on a new material to be used in armored vehicles. The
research will be completed at Lawrence Tech in the Center for Innovative Materials Research. This grant is in addition to an $800,000 grant recieved 9711-99 National security, nec 109 N/A 8,684 N/A
earlier that will allow Lawrence Techn to build an extreme conditions testing facility for military vehicles. Total 419 $7,814.2 19,693 75,067
General Dyanmics continues to expand!
One of the region’s largest defense suppliers is planning to expand their military vehicles testing facility. The new facility will be built at a cost of $8.2 Source: Dun and Bradstreet.
million.