Mike Duggan picks former Snyder appointee as Detroit's new economic development chief

Joe Guillen | Detroit Free Press

Nick Khouri, who chaired the state's financial oversight board after Detroit exited bankruptcy, has been named the city's new economic development chief.

Mayor Mike Duggan last week announced his appointment of Khouri, who will succeed Tom Lewand as Group Executive for Jobs and the Economy.

Khouri, 62, will start Jan. 1. His salary will be $180,000, with no city pension or health benefits.

More: Affordable housing project aims to bring economic jolt to Detroit neighborhood

More: Detroit City Council votes down $250M bond deal in blow to Duggan administration

"There's been a tremendous amount of economic growth in the downtown area and I think everyone is committed to making sure that growth continues and spreads throughout the city," Khouri said in an interview Monday.

Khouri, of Northville, is coming out of retirement to take the job. He said he has known Duggan, who he called "the best mayor in America," for about 20 years. "It just seemed like a good fit," he said.

As state treasurer under former Gov. Rick Snyder from 2015 to 2018, Khouri worked with Duggan as chairman of the Detroit Financial Review Commission, a panel of state and local leaders who oversaw Detroit's finances in the years after Detroit exited the country's largest municipal bankruptcy.

Duggan said in a statement last week that he was impressed with Khouri's integrity and professionalism.

“Leading the city’s economic revitalization is about relationships and trust, and Nick has those in both the public and private sectors,” Duggan said. “When Nick gave us his word on something, there was never a question it would happen. I’m thrilled to have him joining our team and putting his energy and experience to work attracting more jobs and opportunity to our city.”

As the city's top jobs and economic development official, Khouri will lead negotiations on major development deals. Duggan said those deals must strike a balance between developers' needs and the interests of Detroiters.

Khouri said he is committed to transparency when executing the city's deals, while recognizing there are times for discretion to maintain momentum during negotiations.

"In government, there's a requirement of transparency and I take that seriously. It's part of the democratic process," he said. "It's always full transparency. The question is when."

Before Snyder named him state treasurer, Khouri was a senior vice president at DTE Energy, where he oversaw governmental and regulatory relations, community affairs and communications. From 1991 to 1997, Khouri was the state's chief deputy treasurer under former Gov. John Engler.

Lewand, who announced his retirement earlier this year, will stay on board through February to help with Khouri's transition.

Joe Guillen has been covering city governance and development issues for the newspaper since 2013. He has covered Detroit city hall, been a member of the investigations team and previously worked at The (Cleveland) Plain Dealer covering county and state government. Contact him at 313-222-6678 or jguillen@freepress.com.