Detroit Suspends Demolition Firm Over Contaminated Dirt Allegations

Demolition site in Detroit with heavy machinery

News Summary

The city of Detroit’s Office of Inspector General has suspended Gayanga Co. LLC from its contracts following allegations of using contaminated dirt at residential properties. The suspension includes the owner, Brian McKinney, and arises from testing revealing significant contamination in dirt used at multiple sites. This suspension will last up to 90 days while investigations continue. Gayanga Co. vehemently denies the accusations and holds significant city contracts valued at $37.2 million, highlighting concerns around safety and compliance in the city’s demolition efforts.

Detroit – The city’s Office of Inspector General (OIG) has temporarily suspended Gayanga Co. LLC, a demolition firm based in Detroit, from its city contracts due to allegations involving the use of contaminated dirt as backfill at several residential properties. The suspension impacts both the company and its owner, Brian McKinney, with immediate effect from September 11, 2023.

Allegations against Gayanga surfaced after testing indicated that over 80% of the dirt at 33 out of 41 properties failed to meet Michigan’s state residential standards. The investigation commenced on June 5, 2023, after claims arose suggesting that the firm transported dirt from the redevelopment site of the Northland Mall in Southfield to various demolition sites throughout Detroit.

This suspension is expected to last a maximum of 90 days or until the OIG finalizes its investigation and determines whether further disciplinary actions, including potential debarment, are warranted. Due to the ongoing nature of the investigation, city officials have not released specific details regarding the affected properties.

Gayanga Co. has categorically denied all allegations, asserting that it did not take part in the Northland Mall project and challenging the validity of the testing results. The firm argues that the cited percentage of contaminated dirt is based on a narrow subset of data rather than a comprehensive account of its operations.

Currently, Gayanga Co. holds 15 active contracts with the city of Detroit, with a total approximate value of $37.2 million. Since its involvement in the city’s demolition efforts began, the company has completed at least 2,471 demolitions, amounting to about $63.7 million. The firm has also played a significant role in local infrastructure projects and has advocated for increasing opportunities for minority contractors within the demolition industry.

The investigation highlights concerns about the ongoing problem of contaminated backfill materials in Detroit’s demolition program. This issue has previously led to penalties for other contractors, pointing to systemic challenges within the city’s efforts to manage vacant properties effectively. The city has significantly invested federal and voter-approved funding to address the demolition of deteriorating structures, underscoring the urgency of maintaining safety and compliance in demolition practices.

With the Northland Center mall redevelopment being overseen by Contour Companies, attempts to obtain a response regarding the alleged dirt transfer have been met with silence. Meanwhile, the City of Detroit has vigorously pursued eliminating vacant homes and revitalizing neighborhoods, making the implications of this suspension and investigation particularly critical in maintaining public trust and safety.

As the situation develops, the OIG’s findings will be crucial in determining the future of Gayanga Co. within the city’s demolition framework and whether the company will face further actions as a result of these serious allegations. The outcome could also impact broader discussions around the integrity of contractors engaged in the city’s revitalization and demolition projects.

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Detroit Suspends Demolition Firm Over Contaminated Dirt Allegations

STAFF HERE DETROITMI WRITER
Author: STAFF HERE DETROITMI WRITER

DETROIT STAFF WRITER The DETROIT STAFF WRITER represents the experienced team at HEREDetroitMI.com, your go-to source for actionable local news and information in Detroit, Wayne County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Movement Electronic Music Festival, Detroit Grand Prix, and America's Thanksgiving Parade. Our coverage extends to key organizations like the Detroit Regional Chamber and Focus HOPE, plus leading businesses in automotive and healthcare that power the local economy such as General Motors, Ford Motor Company, and Henry Ford Health. As part of the broader HERE network, including HEREGrandRapids.com, HERENorthville.com, HERENovi.com, and HEREPlymouth.com, we provide comprehensive, credible insights into Michigan's dynamic landscape.

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