Page Six

Sightings…Dennis Sheil and Lawrence D'Errico were spotted at the Empire State Regional Council for a meeting with EST, Patrick Morin on November 10, 2009.

Building Delusions at the Carpenters

By Richard Dorrough

Carpenters President Douglas McCarron is delusional indeed. He’s dismissed the AFL-CIO’s newly chartered carpenters organizing committee and placed faith in his “corporate unionism” approach and a repressive, self-serving regime that destroys the democratic rights of rank and file members.

The 500,000-member Carpenters (UBC) left the AFL-CIO earlier this decade even before other Change to Win unions did, saying its per capita dues were going to waste. It joined CTW in 2005, but now, with CTW falling apart, the UBC quietly announced that it has pulled out of that federation, too.

At its September convention, the AFL-CIO passed Resolution 70 unanimously, which announces that if the UBC doesn’t return to the AFL-CIO and stop raiding other building trades unions, an AFL-chartered organizing committee will start bringing carpenters into the federation.

Perhaps McCarron is counting on leaders in the AFL-CIO trades to stick to their promises made from the convention floor, where they declared that the newly chartered locals will not organize those already affiliated with another union.

But if the UBC loses members to an AFL-CIO threat that turns out to be real, it is directly due to the policies and rules instituted by McCarron and his cronies.

DAILY RAIDS

The UBC attempts to raid the work of our fellow brother and sister union trades people on a daily basis. Their livelihood and paychecks are under constant attack. Yet McCarron claims that there is no problem and that all the trades are working together.

McCarron’s idea of working together is “wall to wall” contracts the Carpenters are trying to negotiate in which all trades are under their control. Other trades have spent millions of their membership’s hard-earned wages to fight off the UBC attacks on their work. Under McCarron’s cut-throat unionism his own Carpenters have been reduced, by his command, to piecework and severely reduced wages. His membership languishes on out-of-work lists for months at a time. Is this “all trades working together”?

UBC members suffer under McCarron's repressive regime, too. He consolidated power at regional councils, out of control of local union members. He supports the destruction of working locals by allowing regional councils to raid their funds and seize control of all aspects of their existence, so that a duly elected local president can be locked out of his own union hall. Locals that fight to retain their autonomy are crushed. Council officials have been repeatedly indicted for bribery, drugs, and fraud, including in New York City and Michigan.

The Carpenters promised reduced costs and better service for members by forcing the merger of local funds into regional funds. But local welfare, annuity, and pension funds have been devastated and members’ costs have doubled and tripled. We have full-time working Carpenters who cannot get health benefits for themselves or their families due to the mismanagement of these regional councils.

MARKET SHARE?

McCarron’s assessment of the Carpenters’ market share and ranks is another delusion. His corporate unionism policies have decimated rank-and-file membership numbers. In our own upstate New York local we have lost 440 members over a five-year period.

The UBC organizing motto seems to be “organize or lie.” The drop-out rate of new members is astronomical.

While members’ families suffer without benefits, and carpenters are out of work for months at a time, officials continue to reward themselves. They take ridiculous salaries: Patrick Morin (a trustee on funds that lost millions to the Bernie Madoff scheme) is taking home $321,000 in compensation and $175,000 in his pension each year after his recent $10,000 raise at the Empire State Regional Council, which covers suburban New York regions and central New York state. Local 370 President William Weir announced a 600-hour increase per year for the rank and file to qualify for health benefits and then took a $20,000 raise for himself.

McCarron apparently sees Resolution 70 as no threat. Does he believe he can stop an exodus of the UBC membership to newly chartered AFL-CIO carpenters organizations?

Perhaps he, like many others, sees Resolution 70 as blowing smoke in an attempt to bring Carpenters’ per-capita money back into the AFL-CIO coffers.

I do not advocate separation from the Carpenters. Instead the UBC needs to divest itself of corruption and restore democratic unionism by cleaning out and dissolving the regional councils.

But let’s be clear: The Carpenters are going down not because of evil non-union contractors or disgruntled “Commies and deranged loners” in the UBC, as McCarron likes to call them. The blame rests squarely on the shoulders of the present leadership.

Richard Dorrough is a member of Carpenters Local 370 in Albany, New York. See the full version of his response to Resolution 70 at his site. 

Union Dues It's Your Money Isn't It?

Transparency measures undertaken by former Labor Secretary Elaine Chao, updated the financial reporting forms that unions are required to file with the Labor Department and IRS.

Under Chao, the DOL required unions among other things, to itemize their expenditures and report how much they paid union employees.

Because of these reforms, rank-and-file members can see how their union dues are spent.

Financial transparency protects union members from corrupt officers.

Unfortunately, the leadership at New York District Council of Carpenters would rather keep us blindfolded and deny our fundamental right to information or voting on our contracts.

Union members clearly deserve to know how their dues are spent.

Less transparency in union finances has facilitated union corruption.

Clearly, Unity Team union officers, motivated by greed, conducted the affairs of the council like a self-serving out of control criminal enterprise, that was both detrimental to the welfare and best interest of the district council and its members.

With the arrest of Mike Forde and revelations at the UBC Hearings of:

• Corruption
• Drug use
• Prostitution (see page 505)
  
• Hiding illegal weapons and drugs on our property
• Employees removing hair from their bodies in order to avoid detection of drug use 
• Financial Mismanagement
• Cash Flow Mismanagement, costing $300 to $500 thousand per year in lost interest (see page 5)
  
• Trustees not adequately performing their duties
• Losing control over the management of employee spending 
• Employees with serious driving offense are provided union cars and expense reimbursements
  
• Flawed systems of accountability in place (see page 93)

There is widespread disgust, outrage and mistrust building among the rank and file, demanding more financial transparency, accountability and detailed information on how our dues money is spent.

Since becoming Supervisor, Frank Spencer has undertaken "several measures" in an attempt to correct the problems plaguing the district council. While we applaud Mr. Spencer's initiatives, observers say they fall short of the mark.

The biggest obstacle to reform, is these "measures" are being implemented by the same people who have failed us and led us to where we are today.

It not assuring that Spencer named former "Unity Team" partner, Pete Thomassen, as "assistant" nor the fact that most of Forde's enablers are still in positions of power and trustees to our benefit funds. This is a major source of mistrust and anger among the rank and file.

The illusion that Spencer has cleaned house is just that; an illusion.

Why did Spencer name Thomassen, assistant supervisor?

Why would Spencer do this?

Is union politics trumping what is in the best interest of the membership?

Unfortunately, these questions remain unanswered, since Spencer has refused to answer written questions, or provide a forum to answer questions directly.

In an effort to better educate our members on union finances and provide much needed transparency, Local157.blogspot.com is providing you with one click, free access to the latest IRS form 990, Department of Labor form LM-2 and 5500 Reports filed by the New York District Council of Carpenters. Under the law you have a right to this information.

What is a IRS Form 990?
Form 990 is an annual reporting return that certain federally tax-exempt organizations must file with the IRS. It provides information on the filing organization's mission, programs, and finances.

How to read IRS Form 990.
Form 990 Information

What is a Form 5500?
Annual Report Form 5500. This report is required to be submitted annually by many ERISA-covered plans. It contains various schedules with information on the financial condition and operation of the plan.
How to read Form 5500
Form 5500 Information

What is a Form LM-2?
Unions covered by the Labor Management Reporting and Disclosure Act are required to submit annual financial statements to the US Department of Labor. The LM-2 Form will tell you how many members the union has, the salaries of officers and staff, and other useful information.

Form LM-2 Information
Look up LM-2

990 Reports filed for the District Council, click to view each year.

Date Received	Filing Type	Fiscal Year Ending	Trust Name	Plan Number		Total Liabilities	Total Receipts
Feb 09, 2009	990	2008	Labor Management	56-2410898
Jan 11, 2008	990	2007	Labor Management	56-2410898
Sep 24, 2008	990	2008	District Council	13-5569960
Feb 4, 2008	990	2007	District Council	13-5569960
Sep 27, 2008	990	2008	Carpenters Charity Fund	56-2389393
Feb 22, 2008	990	2007	Carpenters Charity Fund	56-2389393
Apr 22, 2009	990	2008	Carpenters Relief & Charity Fund	13-3490897
Apr 17, 2008	990	2007	Carpenters Relief & Charity Fund	13-3490897
Apr 17, 2008	990	2007	Carpenters Vacation Fund	13-6227443
Apr 10, 2007	990	2006	Carpenters Vacation Fund	13-6227443
Apr 17, 2007	990	2006	NYCDCC Apprenticeship, Journeyman	13-2583087
May 10, 2008	990	2007	NYCDCC Apprenticeship, Journeyman	13-2583087
May 10, 2009	900	2008	NYCDCC Apprenticeship, Journeyman	13-2583087
Apr 3, 2007	990	2006	Carpenter Welfare Fund	13-5615576
Apr 7, 2008	990	2007	Carpenter Welfare Fund	13-5615576
Apr 9, 2009	990	2008	Carpenter Welfare Fund	13-5615576
Oct 13, 2008	990	2008	Union Security Trust	13-5553175
Oct 10, 2007	990	2007	Union Security Trust	13-5553175

5500 Reports filed for the District Council, click to view each year.

Date Received	Filing Type	Fiscal Year Ending	Trust Name	Plan Number		Total Liabilities	Total Receipts
Apr 10, 2008	5500	2007	Carpenter Pension Fund	51-0174276
Apr 10, 2007	5500	2006	Carpenter Pension Fund	51-0174276
Apr 10, 2007	5500	2006	Carpenters Welfare Fund	13-5615576
Apr 10, 2008	5500	2007	Carpenters Welfare Fund	13-5615576
Apr 13, 2007	5500	2006	Retirement & Pension Plan NYCDCC Employees	51-0167964
Apr 11, 2008	5500	2007	Retirement & Pension Plan NYCDCC Employees	51-0167964
Oct 3, 2007	5500	2006	Union Security Trust Fund	13-5553175
Oct 13, 2008	5500	2007	Union Security Trust Fund	13-5553175
Oct 3, 2007	5500	2006	Retirement Plan of Trustees	13-1930084
Oct 13, 2008	5500	2007	Retirement Plan of Trustees	13-1930084
Apr 10, 2007	5500	2006	Carpenter Annuity Fund	51-0174279
Apr 10, 2008	5500	2007	Carpenter Annuity Fund	51-0174279
Apr 10, 2007	5500	2006	Carpenter Vacation Fund	13-6227443
Apr 10, 2008	5500	2007	Carpenter Vacation Fund	13-6227443

LM-2 Reports filed for the District Council, click to view each year.

Date Received	Filing Type	Fiscal Year Ending	Plan Number	Total Assets	Total Liabilities	Total Receipts	Total Disbursements	Total Membership
Oct 06, 2009	LM-2	2009	032-922	$58,193,112	$1,700,013	$53,049,510	$41,665,341	24,816
Sep 24, 2008	LM-2	2008	032-922	$47,586,471	$2,178,591	$58,028,935	$39,049,178	25,515
Sep 27, 2007	LM-2	2007	032-922	$32,679,947	$1,713,102	$45,518,392	$43,247,257	24,857
Oct 05, 2006	LM-2	2006	032-922	$23,028,874	$1,664,918	$44,130,236	$44,094,876	24,015
Sep 30, 2005	LM-2	2005	032-922	$23,138,518	$3,953,753	$39,691,330	$38,817,299	22,107
Oct 04, 2004	LM-2	2004	032-922	$22,887,757	$1,435,067	$37,928,272	$38,408,615	22,855
Sep 29, 2003	LM-2	2003	032-922	$22,122,672	$1,210,280	$32,328,877	$30,633,503	23,127
Oct 10, 2002	LM-2	2002	032-922	$22,985,856	$1,070,616	$32,961,853	$32,991,436	24,058
Oct 09, 2001	LM-2	2001	032-922	$20,877,299	$1,144,920	$34,880,406	$34,613,324	24,027
Oct 03, 2000	LM-2	2000	032-922	$14,746,914	$810,534	$17,671,440	$17,739,233	23,992

Rally Cry?

By Joel Cook

Some questions for the anonymous poster calling for the, Nov. 10th 4:00PM, protest at 395 Hudson St.

Who are you and why do you prefer to be anonymous?

What is the purpose of this rally? 

Clearly there are reasons to be angry and there are changes to be made.

What are your long and short term goals?

How would you decide if this rally is a success or failure? 

What are your tactics, do you plan to just stand there and yell, are you planning civil disobedience?

What are the possible consequences of such an action?

Would members risk arrest, physical violence, or possible charges from the DC? 

I ask because I am of the opinion that resources should not be wasted and risk should not be taken unless these and other questions have been answered.  You should think again if you are planning to march a bunch of members, probably good, involved ones, into a situation that could cause them harm and from which no good could come. 

Don't get me wrong, I am all for direct action and civil disobedience, and I have no problem risking all the possible outcomes but without clear goals, a plan, and precaution I cannot see being involved in some rally "organized" by an anonymous poster on a few internet forums.  For all anyone knows you could be working with the DC just to bait good dedicated members into trouble they aren't bargaining for. 

I can understand the desire to remain anonymous, but you are asking for a lot of trust by asking members to show up for this.  The problem is that you aren't giving any good reasons to give that trust.

(John's note, my sources say the rally has been canceled.)

Page Six

We hear...THAT Douglas McCarron, the UBC general president is in town for a meeting with the Department Of Labor. While in town McCarron was spotted dining with Gov. Jon Corzine and Supervisor Frank Spencer in New Jersey.

Exclusive: UBC Hearing Testimony

Below are links to the full transcripts for the UBC Hearings on October 15,16, 2009 held at the Javits Center in New York City.

Date Received	Testimony	Notes
October 15, 2009	Transcript pages 1 to 200
October 15, 2009	Transcript Pages 201 to 412
October 16, 2009	Transcript Pages 1 to 200
October 15, 2009	Supervisor, Frank Spencer with Exhibits
October 15, 2009	Terrence R Mooney, Certified Public Account with Exhibits
October 15, 2009	Phil Newkirk, Assistant to General President Douglas McCarron with Exhibits
October 15, 2009	John Musumeci, UBC member with Exhibits

The distance between "us" and "them"

By Joel Cook

With regard to foreign powers, Thomas Jefferson and George Washington warned against the perils of "entangled alliances."  They did so for good reason and we can see throughout the 20th century and into the 21st where our alliances have gotten us.  Wars all over the globe at one time or another, foreign investors with their financial claws deep in our economy rendering even diplomatic confrontation nearly impossible. 

We can see it with multinational corporations headquartered in the US while their labor is in some third world country and their bank accounts are "offshore."

These entanglements lead to a great deal of ambiguity, they muddy the water, and make it difficult and in some cases impossible to understand the consequences of certain negotiating tactics or actions.  These men, along with Thomas Paine foresaw the consequences of getting too involved with their neighbors/competitors.  

"The great rule of conduct for us, in regard to foreign nations, is in extending our commercial relations, to have with them as little political connection as possible. Europe has a set of primary interests, which to us have none, or a very remote relation. Hence she must be engaged in frequent controversies the causes of which are essentially foreign to our concerns. Hence, therefore, it must be unwise in us to implicate ourselves, by artificial ties, in the ordinary vicissitudes of her politics, or the ordinary combinations and collisions of her friendships or enmities." --George Washington

"Peace, commerce, and honest friendship with all nations, entangling alliances with none."--Thomas Jefferson

The NYCDCC has committed the sin of entangling alliances with the wrong people.  It has acted in a self serving manner, and in doing so has further damaged our credibility.  By engaging in the alleged offenses the NYCDCC has rendered itself impotent when dealing with contractor negotiations.

How can the NYCDCC demand anything when it has played golf with, taken bribes from, and used illegal narcotics with their opponent?  The optics are bad, and an ineffectual negotiating team will never accomplish the goals of, and meet the needs of the membership.

NYC residents voted in 1993 to impose a two-term limit and voted again in 1996 to maintain the earlier decision.  In our name, Mike Forde endorsed Mike Bloomberg for a third term as mayor.  Mr. Bloomberg has completely disregarded the will of NYC voters and NYCDCC has endorsed him.  By supporting this illegitimate candidate the NYCDCC appears antidemocratic.  This act clearly demonstrates their ability and willingness to ignore the will of voters be they NYC residents or members of the carpenters union.  We must ask ourselves what was given up in this political horse-trading. Did this endorsement dull the historically sharp instrument that is organized labors greatest weapon, direct action?

During the Stella Doro BCGTM50 strike, support committee leaders attempted to get city officials to divest city employee pension funds from the union busting owners of Stella.  The owner, Brynwood partners is an investment firm attempting to route the union from Stella in order to lower labor costs so they could sell it for a huge profit.  Raising the question in my mind; why would union pensions be invested in companies that work to bust unions or just don't use union labor.  At present it appears the workers have lost, the factory sold to Lance, the workers all laid off and the plant moving out of state.  Had the support committee succeeded would things have turned out different?

The carpenters union, like many others is guilty in the same way.  We invest our pension funds in companies that do not operate in the best interests of the American people, let alone the best interests of union members.  Toll Brothers is a prime example, we have invested a large unconfirmed sum, and since Toll operates south of the Mason Dixon it is clearly not using union labor because there is almost no residential union labor in southern states.

By participating in these political campaigns and investing in corporations such as Toll we are accepting and validating what has become the status quo.  Our involvement with the political system has at times yielded small victories but at what cost, and for the most part we have lost market share and membership rates partly because we rely on politicians to legislate for us.

We are the ones suffering due to fraud and mismanagement on the part of our so-called leadership and apathy and cynicism on the part of the membership.  The distance between "us," and "them" has grown too far.  It appears that those in the council who came from the field have lost touch with what it means to work with their tools.  Many never even came from the field at all and got their position through connections and nepotism.  They are so far from us that our faces have blurred into an inhuman mass to be taken from and used like a consumable resource.  If this weren't true, if they saw the hardship we face and had to look us in the eyes every day chances are this corruption would be less likely.

It is our organizations corruption and corporatism that are part of a trend or a common thread if you will, a thread in a needle, firmly torqued in the sewing machine of cynicism and apathy, government subsidized capitalism and corporate greed, tirelessly stitching the burial suit of labor. 

Many of us are in tough shape, having worked very little over the last 18 months.  We read news stories and wait with baited breath as congress debates the next unemployment extension in hopes that it will pass before our benefits run out.  We did not create this economic mess, we did not cause credit to stop flowing, we did not force lenders to lower standards for loans, we did not create the complex, and fraudulent mechanisms by which a very few individuals have gotten rich while seriously damaging the economy.  Yet when the shit hits the fan, lending stops, and building abates, we are the ones who are first to get pink slips.  While forced into desperate situations we get to hear accusations about our jobs being given away to non union and undocumented workers, our money being stolen, officials taking bribes, and getting paid way too much. 

Here is a quote by Edmund Burke, "The only thing necessary for the triumph of evil is for good men to do nothing." Normally I find statements like this to be ambiguous and subjective.  Words like "good, evil, and triumph" are left to individual interpretation.  Yet in this instance our common goal is clear, as are the meanings of "good, evil, and triumph" we, the membership are all standing on common ground and we need to take our future into our own hands!