Why Bilello was Vetoed– Details and Discussion

On Monday, April 29, 2013 Michael Bilello, Executive Secretary-Treasurer (EST) of the New York City & Vicinity District Council of Carpenters was vetoed by the court appointed Review Officer (RO) Dennis Walsh under the authority of the Stipulation and Order entered on June 3, 2010.

Jack N. Mitchell is the Chief Investigator for the RO, in that capacity Mr. Mitchell participated in an ongoing investigation into Michael Bilello. During the course of the investigation he has interviewed members and staff of the District Council and Benefit Funds, reviewed District Council and Benefit Funds documents and records, reviewed investigative documents and discussed the matter with RO investigators.

On March 26, 2013 the RO issued a Notice of Possible Action by the Review Officer (“NPA”) regarding Bilello.  The NPA listed eight instances in which the RO suspected the EST violated the Stipulation and Order.

The following excerpt is taken from the Declaration of Jack N. Mitchell on April 29, 2013 where five of the the eight instances (the other three were not necessary) the RO cited in the veto are detailed and discussed.

Murphy letter to Judge Breman

As you know, this firm represents the New York City and Vicinity District Council of Carpenters.

Under Your Honor's April 11, 2013 Order (Doc. 1303), last night at a regularly scheduled meeting, the District Council's Delegate Body voted to ratify the fully executed collective bargaining agreement ("CBA") between the District Council and the Association of Wall-Ceiling & Carpentry Industries of New York, Inc. (Doc. 1271 and Doc. 1272). The Delegates ratified the CBA by a roll call vote of 48 in favor and 34 against.

By this letter, the District Council is requesting that Your Honor issue an Order modifying the Court's May 26, 2009 Order (Doc. 961) to provide for hiring ratios to be those in the ratified CBA so that the CBA may be implemented. As the Court has been advised by earlier submissions and at earlier conferences, the CBA provides for anti- corruption compliance enforcement provisions developed by the District Council in conjunction with the employer association, the Review Officer, and the government.

Schroeder letter to Judge Breman

We write to Your Honor noting our opposition to the following items:

Subversion of Court Order and Aurandizement of Power: 

The Office of the NYCDCC EST's intentional mis-statement of the Order of the Court dated April 11,2013 wherein the D.C.'s EST stated: "As per the order and direction today of Judge Berman, the fully executed Wall & Ceiling agreement will be brought before the Delegate Body for ratification at the next Delegate meeting. The next meeting will take place on April 25th at 5:00p.m."

District Council’s Statement on RO’s Veto Removing ExecutiveSecretary-Treasurer from Office

On Monday, April 29th, Michael Bilello, Executive Secretary-Treasurer of the New York City & Vicinity District Council of Carpenters was vetoed by the court appointed Review Officer Dennis Walsh under the authority of the Stipulation and Order entered on June 3, 2010.

Stephen McInnis, President of the New York City District Council of Carpenters, after consulting with the District Council’s Executive Committee, will appoint an interim Executive Secretary-Treasurer in accordance with the Constitution of the United Brotherhood of Carpenters and Joiner of America until an election takes place. The schedule of elections to fulfill the vacancy of the EST will be directed by Review Officer Walsh as per the Stipulation and Order.

The New York City & Vicinity District Council of Carpenters will continue to serve and represent our membership with integrity. We will continue to keep you informed of any new developments.

Notice of Veto by the Review Officer

To: Michael Bilello
Executive Secretary-Treasurer
New York District Council

With a Notice of Possible Action and related procedures having been sent to Michael Bilello (“Bilello”) on March 26, 2013, and upon the facts presented in the Declaration of Jack Mitchell, dated April 29, 2013, incorporated herein by reference, the Affirmation of Michael Bilello dated April 26, 2013, and having considered the statements and arguments made by Bilello and his counsel in the pre-action conference conducted by the undersigned and attended by Investigator Mitchell on April 26, 2013, and upon my observations of Bilello's conduct and undertakings as Executive Secretary-Treasurer of the New York District Council since January 11, 2012, I find that there is reasonable cause to believe that:

(1) from on or about July 1, 2012, through March 12, 2013, Bilello failed to abide by Section 21 of the District Council Bylaws and caused or attempted to cause employer compensation for members to be directed to the New York City District Council of Carpenters Welfare Fund;

(2) on March 22, 2013, Bilello directed a business representative of the District Council attempting to properly enforce the collective bargaining agreement at the Javits Center to let a suspended member work at the Javits Center knowing that the person had been suspended as a member;

(3) from on or about September 2012, to the present, Bilello failed to continue the development of the business representative cross-training program recommended by the Review Officer and begun by the former District Council President and Assistant to the EST;

(4) from on or about January ll, 2012, to the present, Bilello failed to review minutes of the meetings of the Board of Trustees of the Benefit Funds with the District Council Executive Committee, in contravention of the Section 10(L) of the Bylaws of the District Council;

(5) on March 22, 2013, Bilello failed to cooperate with an investigation of the Review Officer by falsely stating, in sum and substance, that a certain business representative “suggested to me that I give [a suspended member] to the end of the week [working at Javits Center], like we are doing for others.”

The conduct of Michael Bilello violated the Stipulation and Order entered in this matter on June 3, 2010 (the Stipulation and Order) and presents grounds for a veto pursuant to Paragraphs 5.b.iii (c, d and e) and 7 of the Stipulation and Order. His service as Executive Secretary-Treasurer of the New York District Council is hereby vetoed.

April 29, 2013

Dennis M. Walsh
Review Officer

Bilello Vetoed

Bilello–You're Fired! 

BREAKING NEWS...New York City District Council of Carpenters Executive Secretary-Treasurer Michael Bilello has been vetoed.

On March 26, 2013 Review Officer (RO) Dennis Walsh slapped Bilello with an eight-count notice of possible veto, Bilello had until April 9, to answer the complaint and to deliver a written submission to the RO stating any facts, law or arguments which might be relevant to consideration of the possible veto.

We reported that Bilello hired a big gun attorney, Guy Petrillo, (Petrillo Klein & Boxer) who requested an extension to April 22nd, to respond, but "due to his travel schedule" was briefly extended. The RO held a pre-action conference on Friday April 26, and today issued the veto.

The UBC will not have a role in this action, an informed source said.

According to section 32B of the UBC Constitution, "when a vacancy occurs in any elective office of a Council, the Executive Secretary-Treasurer of the Council may appoint a qualified member to the vacancy pro tem, until such time as an election is held to fill the vacancy. If no Executive Secretary-Treasurer position exists or such position is vacant, the President of the Council may make such pro-tem appointment."

Under that scenario District Council President Steve McInnis gets to make the pro-tem appointment to fill the vacancy until such time as an election is held

The most likely scenario is the RO will order a special election to fill the vacant position (read the" Fifth Interim Report of the Review Officer," page 5 and exhibit 3).

The Notice of Veto by the Review Officer is posted below, story still developing...Stay tuned!

Rushing to Replace Picnic Tables Lost to Storm

A finished picnic table in Fort Totten, Queens, outside the shop where carpenters assemble picnic tables and lifeguard stands for New York City parks and beaches. The workers are making many more tables and stands to replace those destroyed by Hurricane Sandy

 By COREY KILGANNON

This spring has been no picnic for Chris Gruber and his staff of carpenters, who work for New York City and make much of the equipment used at its parks and beaches.

Hurricane Sandy damaged or ruined hundreds of picnic tables, and now Mr. Gruber and his crew are rushing to finish building 500 tables by Memorial Day, about twice the normal number they make each spring. They are also making about 150 lifeguard stands, also twice the normal number, said Mr. Gruber, 42, the supervisor of carpenters for the city’s Department of Parks and Recreation.

Many stands and tables were damaged at beaches, even though they were removed from the shoreline and put in storage areas, he said.

“There were places in Staten Island, we couldn’t even find them — they were just gone, washed away,” Mr. Gruber said last week, as he stood inside the department’s carpentry shop in Fort Totten, in Queens, where he had to bring on four extra carpenters in recent months to supplement his existing staff of six. The shop was furnished with various table saws and other woodworking equipment. The morning sun streamed in through the doorway, and classic rock pumped over a tinny radio.

After a dozen years of working for the department, Mr. Gruber, a lifelong resident of Glendale, Queens, has supervised the construction of several thousand picnic tables shipped to parks all over the city.

Tick Tock, time running out on Bilello

Bilello faces possible veto today.  

We reported THAT a pre-action conference was held on Friday April 26, to discuss the "notice of possible veto" issued to Executive Secretary-Treasurer Michael Bilello.

Review Officer (RO) Dennis Walsh has stated,"the matter is now under advisement. I expect to decide it very soon, as soon as Monday or Tuesday."

On March 26, 2013 the RO slapped Bilello with an eight-count notice of possible veto, Bilello had until April 9, to answer the complaint and to deliver a written submission to the RO stating any facts, law or arguments which might be relevant to consideration of the possible veto.

We reported that Bilello hired a big gun attorney, Guy Petrillo, (Petrillo Klein & Boxer) who requested an extension to April 22nd, to respond, but "due to his travel schedule" was briefly extended.

Despite transparency claims Bilello has failed to informed or give any update to the delegates or membership regarding the notice of possible of action.

Hypocrisy thy name is Bilello & Co.

On April 25, 2013 the Delegate Body of the New York City District Council of Carpenters by a vote of 50 to 32 rejected a motion to have the WC&C Agreement ratified by the rank and file membership.

These same hypocrites on February 8, 2012 unanimously voted "to give the membership the power to determine the future of their union."

“We decided that the best way to go forward was for rank-and-file ratification of the contract,” said Mike Bilello, the union's new executive secretary-treasurer. “It's something I campaigned on. It's part of the transparency of the new district council, the desire for us to put control of the organization back in the hands of the membership.”

Below is an excerpt of the Delegate Body meeting minutes of February 8, 2012 regarding the decision for rank and file ratification:

Local 20 Executive Committee member Christopher Wallace takes the floor, "The Committee met for five (5) hours last night and we want to have a vote. There was a lot of discussion and it was unanimous. Upon a unanimous agreement of the negotiating advisory committee and by the recommendation of the Executive Committee, it is an honor, that I stand here tonight for the first time in District Council history and in keeping with our newly elected officers pledge that the members be in charge of their Union, that I ask for a motion from the floor to have the rank and file members by mail in ballot conducted by the American Arbitration Association, vote to ratify the five collective bargaining agreements posted on the District Council website, with the specialty local members voting exclusively on their contracts."

He asked for a motion to have rank and flle members ratify the five (5) agreements.

A motion to approve was made by Salvatore Tagliafero and seconded by Joseph Sabatino.

Below is the April 25, 2013 Roll-Call vote listing the names and Locals of how each delegate voted on the motion to have the WC&C Agreement ratified by the rank and file membership.

Updated: Delegates Ratify WC&C Contact

Just got home from the Delegate Body meeting....In an historic roll-call vote (which will be published) the New York City District Council of Carpenters Delegate Body by a vote of 48 to 34 ratified the "completed" Wall & Ceiling agreement tonight. The ratified contract will now be submitted to Federal Judge Richard M. Berman for consideration of a change (full mobility) to the hiring ratios (67% - 33%) mandated in a May 2009 federal court order.

I will have more to say...Stay Tuned!

New York, NY — The New York City District Council of Carpenters’ Delegate Body ratified a new five-year collective bargaining agreement Thursday that provides a 16.6% wage and benefit increase over the life of the contract.

“Passing this agreement helps stabilize the unionized construction industry after a long and arduous process,” said Michael Bilello, Executive Secretary Treasurer of the New York City District Council of Carpenters. “This contract will increase pay and benefits as well as grow the type of jobs New Yorkers need.”

Under the new agreement between the District Council (DC) and the Association of Wall, Ceiling & Carpentry Industries of New York (Wall & Ceiling Association), the largest employer association in the DC., members will see a $6.93 per hour increase in their wage and benefit package within the first three months of implementation and another $7.20 per hour bump within the next three years.

In 2012, the Wall & Ceiling Association provided approximately 5.8 million work hours for members. Those hours are projected to increase due to the negotiated terms and conditions ratified in the new contract. The wage and benefit package will also rise to $99.16 per hour on July 1, 2016, which is the beginning of the final year of the contract. That’s a 16.6% increase from its current level of $85.03 an hour.

In addition, through increased hourly contributions, the ratified agreement will safe-guard the District Council’s Health and Welfare funds, which are vital to active and retired members and their dependents. The Delegate Body had earlier voted to allocate the first $2.59 of the impending raises to the District Council Welfare Fund for medical and hospitalization coverage.

The new collective bargaining agreement (CBA) was approved Thursday night by a Delegate Body roll call vote of 48-34. Besides the significant wage and benefit increases, the CBA provides for more favorable manning provisions for members of the New York City District Council and for enforcement provisions to insure compliance with the terms and conditions and to prevent corruption. The Delegates also established a standing rule by which CBAs will be ratified by a roll call vote going forward. As ordered, the results of Thursday’s ratification were forwarded to Federal District Court Judge Richard M. Berman for final approval.

“We are looking forward to growing the industry and increasing good jobs for the hard working members of the New York City District Council and Wall & Ceiling contractors,” said Bilello.

With more than 20,000 members in eight locals, the New York City & Vicinity District Council of Carpenters is one of the largest, most powerful trade unions in the construction industry.

Below is the April 25, 2013 Roll-Call vote listing the names and Locals of how each delegate voted.

NLRB Certifies the District Council as the Majority Representative of Dockbuilders Employed by GCA Contractors

The NLRB has certified the New York City & Vicinity District Council of Carpenters as the majority representative of Dockbuilders who work for contractors who are members of the General Contractors Association (GCA). In doing so, the NLRB rejected an appeal filed by a breakaway group of a Regional Hearing Officers findings and recommendation in favor of the District Council. Back in March 2012, the District Council won a NLRB secret ballot election by a margin of nearly two to one against Amalgamated, a breakaway group led by attorney Angelo Bisceglie.

Amalgamated filed objections to the election that required--after months of delay--a three-day hearing at the NLRB's Newark Regional Office. The Hearing Officer credited the District Council's account of the election campaign, rejected all of the Amalgamated's objections, and recommended that the District Council be certified as the GCA-employed Dockbuilders collective bargaining representative. By its Decision, the NLRB in Washington, DC adopted in all respects the Hearing Officers factual findings and conclusions of law.

Click Here to View the Decision and Certification

Clock Ticking on Bilello

Bilello faces possible veto.  

Informed sources say...THAT a pre-action conference is scheduled for Friday April 26, to discuss the "notice of possible veto" issued to Executive Secretary-Treasurer Michael Bilello.

On March 26, 2013 Review Officer (RO) Dennis Walsh slapped Bilello with an eight-count notice of possible veto, Bilello had until April 9, to answer the complaint and to deliver a written submission to the RO stating any facts, law or arguments which might be relevant to consideration of the possible veto.

We reported that Bilello hired a big gun attorney, Guy Petrillo, (Petrillo Klein & Boxer) who requested an extension to April 22nd, to respond, but "due to his travel schedule" has been briefly extended. The RO is expected to receive the response before the conference on Friday.

Despite transparency claims Bilello has failed to informed or give any update to the delegates or membership regarding the notice of possible of action.

At a delegate body meeting last month Bilello said, "I'm not stepping down," when I asked if he would follow past practice and lead by example and voluntarily take a leave of absence until the matter of this veto is cleared up.

During the two-and-a-half year emergency supervision imposed on the District Council by the UBC procedures were put in place for dealing with actions taken by the RO. Past practice by Supervisor Frank Spencer was to temporary suspend any council employee after receiving a notice of possible action from the RO.

In other news...on April 11, Bilello sent an email to all delegates stating, "per the order and direction" of Judge Berman, "the fully executed Wall & Ceiling agreement will be brought before the Delegate Body for ratification" on April 25, 2013.

Rank and file carpenters plan to protest the vote and rally in support of membership ratification of the agreement.

Update: Musumeci vs. Bilello

Clueless Bilello.  

On April 19, counsel to the District Council Jim Murphy, submitted a letter (see below) to the three Trial Committee Chairpersons making the absurd claim that the February 25, 2013, charge and request for arbitration (see exhibit) under Section 5(F) of the District Council Bylaws against Executive Secretary-Treasurer Michael Bilello "should be dismissed because I am not an "employee of the District Council."

According to Murphy the "intent" of Section 5(F) "was to provide District Council staff employees who are elected Delegates an express remedy of arbitration should they believe that they had been “subject to any adverse employment action, harassment, intimidation, threats, or coercion by the District Council, the Council Delegate Body or any Officer thereof for exercising, in good faith, the authority of, or fulfilling the duties of, a Council Delegate."

In others words, Murphy is suggesting the Bylaws should be read as follows:

Council employees/delegates are free to harass and intimidate rank and file delegates, because in Murphy's view, the "intent" of the drafters was to write a provision that protects a minority of delegates...how utterly ridiculous!

Luckily the three Trial Committee Chairpersons are obligated to determine what the drafters intended by the words chosen in the Bylaws—no more, no less. Any statute must first be read for its plain meaning before any aid to construction becomes necessary. Section 5(F) as written is very clear, its plain meaning absolutely applies to and may be used by ALL COUNCIL DELEGATES.

Bilello has not responded to the charges directly, Murphy and Bilello are completely clueless.  

NYCDCC Benefit Funds v. O'Dwyer & Bernstien

This is a legal malpractice action against a law firm and certain of its individual attorneys whose egregious neglect of numerous collection matters caused their clients – a group of employee benefit plans that provide pension, health, and other benefits to working carpenters and their families – to lose the ability to collect millions of dollars in unpaid contributions from the workers’ employers.

Update: WC&C Contract

John's note: The following email was sent to the three District Council Officers (cc, Executive Committee, RO, CCO, DC council) on Friday at 12:06 pm, as in past practice they have not responded. 

Gentleman: I write in response to your April 11, email stating, "per the order and direction" of Judge Berman, the fully executed Wall & Ceiling agreement will be brought before the Delegate Body for ratification at the next Delegate meeting."

With all due respect, the April 25, scheduled ratification vote is premature and should be postponed for the following reasons:

Building Trades Jeer Rise of Low-Wage Construction Jobs

By Marc Bussanich 

New York, NY—Members of the New York City Building Trades rallied outside the properties of family-owned Reider Holdings and Sam Zell’s Equity Residential on the West Side to protest the developers’ refusal to hire union ironworkers, plumbers and sheet metal workers. (Watch Video)

Kevin Kelly of the Metallic Lathers and Reinforcing Ironworkers Local 46 said that an increasing number of developers building projects throughout the city are paying lower wages to non-union workers.

“Developers like Sam Zell who come to New York are paying their workers far less than what they need to live in New York. The workers I’ve talked to at these sites have said they’re making $15 or $20 an hour but aren’t receiving health care benefits or pension contributions,” said Kelly.

CARPENTERS' RALLY FOR MEMBER RATIFICATION!

Click to enlarge.

 “Delegate Body to Vote on Ratification of Wall & Ceiling Agreement”

When: Thursday April 25, 2013 3PM-5PM!
Where: District Council 395 Hudson Street.

"The District Council is directed, as a matter of "best practices," to seek ratification of the completed Collective Bargaining Agreement, dated March 12, 2013 ("CBA"). Among other reasons, some of the material terms included in the CBA appear not to have been included in the Memorandum of Understanding ratified by the Delegate Body on August 22, 2012. Following ratification, the Court will consider the District Council's application to modify the Final Order and Judgment of Contempt and Remedy, dated May 26, 2009, of United States District Judge Charles S. Haight Jr." ––RICHARD M. BERMAN U.S.D.J, April 11, 2013.

 “As per the order and direction of Judge Berman, the fully executed Wall & Ceiling agreement will be brought before the Delegate Body for ratification at the next Delegate meeting. The next meeting will take place on April 25th at 5:00 p.m.”–– Office of the Executive Secretary-Treasurer, April 11, 2013.

1. The District Council Delegate Body should immediately and fully comply with Section 20 of the District Council Bylaws by formally adopting written rules and procedures governing the method of collective bargaining ratification and should do so before any further collective bargaining matter is taken up by the Delegate Body.

2. All votes relating to collective bargaining ratification should be by roll call of the delegates.

Review Officer 
Dennis M. Walsh
April 15, 2013

NLRB spokeswoman to step down, work for carpenters union

By Sean Higgins

“Yep, I’m moving on,” National Labor Relations Board media director Nancy Cleeland told the Examiner via email this afternoon.

She added: “I’m going to work on a project looking at the underground/non-tax/cash economy, doing some research and communications work. A little closer to my reporting roots. This is my last week.”

The project in question will be for the United Brotherhood of Carpenters, she said. “(T)his is a very big issue for them. Their contractors can’t compete with guys who are getting a 30% discount by not paying taxes and workers comp.”

I was tipped off to the move by a source who noted her job is currently being advertised on the USAJobs.gov website. That is the federal government’s official bulletin board for available jobs.

Posted from iPhone

Source: WashingtonExaminer.com

http://m.washingtonexaminer.com/nlrb-spokeswoman-to-step-down-work-for-carpenters-union/article/2526709

Bilello Hires Big Gun to deal with Scandal

Hypocrite Bilello hires Big Gun.  

Informed sources say...THAT Executive Secretary-Treasurer Michael Bilello has retained an attorney, Guy Petrillo, (Petrillo Klein & Boxer) a former Chief of the Criminal Division of the U.S. Attorney's office in the Southern District of New York to handle the possible veto action by Review Officer (RO) Dennis Walsh.

On Wednesday March 27, Walsh slapped Bilello with an eight-count notice of possible veto.

Bilello had until April 9, 2013 to answer the complaint and to deliver a written submission to the RO stating any facts, law or arguments which might be relevant to consideration of this matter.

Bilello's big gun attorney requested an extension to April 22nd, to respond to the complaint the source said.

At last month's delegate body meeting Bilello told the delegates, "I'm not stepping down," when I asked if he would follow past practice and lead by example and voluntarily take a leave of absence until the matter of this veto is cleared up.

During the two-and-a-half year emergency supervision imposed on the District Council by the UBC procedures were put in place for dealing with actions taken by the RO. Past practice by Supervisor Frank Spencer was to temporary suspend any council employee after receiving a notice of possible action from the RO.

Last week I asked Bilello to give the delegates an update on his veto notice and asked what are the current procedures for handling notices of action by the RO. Bilello stated, there is no update "it's status quo" and "there are no procedures" in place for handling notices by the RO.

Despite transparency claims Bilello continues to act hypocritically, he has failed to informed the delegates or membership about receiving the notice of possible of action.

Last month, I brought the subject up and asked if he would read the veto letter to the delegates and he refused. "I am not required to read it," Bilello said.

I then moved to have the veto letter read to the delegate body and incredibly the delegates voted 53 to 22,  to not hear the contents of the veto letter.

Reminder: RO Town Hall Monday April 15th.

(Originally posted 4/7/13)

Review Officer (RO) Dennis Walsh is having a Town Hall at 4 pm on Monday, April 15th on the tenth floor at the District Council. Video and audio recording by any and all attendees is permitted.

Also members should ring the phones of the delegates off the hooks over the next 12 days and let them know their views on the contract vote as well as any other matter relating to the union.

Posted from iPhone

Update: Wall & Ceiling Contract Vote

On April 11, 2013, federal Judge Richard M. Berman issued an order directing the New York City District Council of Carpenters to ratify the "completed" Wall & Ceiling agreement before he will consider a change (full mobility) to the hiring ratios (67% - 33%) mandated in a May 2009 federal court order.

Delegates to the council are expected to vote on the "completed" agreement at the next delegate body meeting on April 25th at 5:00 p.m.

On April 13, a member who identified himself as Ross posted an excellent comment regarding the upcoming contract vote (see below). 

In an email exchange I had with Review Officer (RO) Dennis Walsh discussing the vote and Ross's comment, the RO stated the following:

"I actually suggested to a couple of members who contacted me that a roll call vote be demanded. Accountability on this is a no brainier. The very least we can expect from the delegates is that they respect their constituents and behave honorably and take responsibility for their votes. Members should ring the phones of the delegates off the hooks over the next 12 days."

"I can certainly recommend that a roll call vote be taken. If the delegates decline to do so, I believe that I have the authority to hold the vote in abeyance pending a motion to Judge Berman to require a roll call vote."

******************************************

Ross has left a new comment on your post "A Message from Review Officer Dennis Walsh"

The Delegate Body will be asked to vote on the finished Wall and Ceiling Contract on April 25th, 2013. As the Review Officer, do you have the authority to make that vote a fully documented Roll-Call Vote so that every union member will know exactly how each elected delegate voted on this extremely important contract?

I feel that the delegates must really own their votes on this one. I fear that if its simply left to the normal process of someone motioning for a roll-call vote on the floor, the motion may not be approved. This in turn will cement the growing disgust and disrespect with the whole process among the rank and file.

If we are to ever outgrow the consent decree and the need for an RO through a vital, robust and well respected and well functioning democratic process, then I feel that the delegates need to know right away that they cannot hide on this vote. They need to be encouraged to get their members' input and they need to know that this vote will be forever available for all to see.

A vibrant and transparent process is necessary to restore respect for the governing structure of our union. As the RO, will you enforce a completely documented, Roll-Call vote? Thanks.

(John's note: Also see discussion in forum on this topic).

Berman to District Council: Ratified the Contract

Incompetence costing members millions of dollars in lost wages and benefits!

Federal Judge Richard M. Berman issued an order today directing the New York City District Council of Carpenters to ratify the "completed" Wall & Ceiling agreement before he will consider a change to the hiring ratios (67% - 33%) mandated in a May 2009 federal court order.

"The District Council is directed, as a matter of "best practices," to seek ratification of the completed Collective Bargaining Agreement, dated March 12, 2013 ("CBA"). Among other reasons, some of the material terms included in the CBA appear not to have been included in the Memorandum of Understanding ratified by the Delegate Body on August 22, 2012. Following ratification, the Court will consider the District Council's application to modify the Final Order and Judgment of Contempt and Remedy, dated May 26, 2009, of United States District Judge Charles S. Haight Jr."

Carpenters have been working without a new WC&C contract since June 30, 2011, and have not received a raise since October 2010.

In February 2012, the delegate body voted unanimously to allow the union's members to have final say on a series of five contracts negotiated with contractor associations by the UBC in 2011.

“We decided that the best way to go forward was for rank-and-file ratification of the contract,” said Mike Bilelo, the union's new executive secretary-treasurer. “It's something I campaigned on. It's part of the transparency of the new district council, the desire for us to put control of the organization back in the hands of the membership.”

In March 2012, the membership (including Bilello) soundly rejected the Wall and Ceiling contract (negotiated by the UBC) which included the full mobility provision that would to enable contractors to hire 100 percent of the workforce; the current system compels them to hire at least one-third of their workers via union referrals.

After the failed contract vote, Bilello spent months dithering and flip-flopping before deciding to break his campaign promise (again) and support full mobility.

On August 22, 2012, he reached an agreement (MOU) with the Association of Wall-Ceiling and Carpentry Industries that includes full mobility.

Back in January we wrote, "while we struggle to pay our bills and put food on the table, the Bilello administration, despite having thirteen months in office and claims of working "tirelessly," has failed to nail down a new contract. This inability to negotiate and implement a contract has and continues to cost this membership tens of millions in lost wages and benefits!"

In the latest issue of "The Carpenter" Bilello incorrectly wrote, "The Wall Ceiling contract was negotiated last August but could not be implemented due to the requirements imposed by the Review Officer (RO)."

Last week in a letter to judge Berman, counsel for the District Council James Murphy wrote, "the CBA is properly before Your Honor for approval because it substantially reflects the material terms of the MOU."

Last month Review Officer Dennis Walsh slapped Bilello with an eight-count notice of possible veto. The charges include among other things, "failing to take reasonable and prudent measures to implement the terms" of the Wall and Ceiling contract."

Delegates to the council are expected to vote on the fully executed Wall & Ceiling agreement at the next Delegate meeting on April 25th at 5:00 p.m.

Schroeder letters to Judge Berman

We write in reply to: NYCDCC Counsel James M. Murphy's March 29, 2013 letter (Doc. 1290) and Review Officer Dennis M. Walsh Counsel Bridget M. Rohde's April 4, 2013 letter (Doc. 1293) answering Your Honor's March 21, 2013 Memo Order (Doc. 1281) and March 13,2013 Order (Doc. 1255).

Member letter to Judge Breman

As a member of the New York City District Council of Carpenters and our collective bargaining agreement.

What many members do not know about our current memorandum of understanding is that although there are raises included there is potentially a good chance they will never receive them due to project labor agreements and market recovery jobs, which are also included. We need assurances in plain language that this will not be the case or in the very least it will be the exception, not the rule.

Petition to the RO

Dear Review Officer Walsh:

We the undersigned demand immediate investigation and potential termination for cause of New York City District Council of Carpenters (“NYCDCC”) employment to the law firm Spivak Lipton LLC.

We request your Office with authority granted by the Consent Decree (90-civ. 5722/Stipulation and Order) exercise powers and responsibilities of review and oversight to investigate Spivak Lipton for negligence, breach of fiduciary duty, breach of contract, and possible legal malpractice in activities representing the District Council as General Legal Counsel and Lead Counsel.

Federal District Court Judge Richard M. Berman, who as you know retains exclusive jurisdiction and oversight of the NYCDCC under the current consent decree, indicated in His Court and for the record on April 3, 2013, that Spivak Lipton-- in particular District Council Lead Counsel James M. Murphy-- are legally liable (and in our opinion morally and ethically responsible) for any and all actions and events that take place at Executive Committee and Delegate Body meetings.1 This liability is determined by Judge Berman for the actions of Counsel Murphy, his representatives, and NYCDCC Officers and Delegates.

Makowski letter to Judge Berman

Your Honor; Though I had not contemplated submitting a second letter when referring to my April 3 2013 affidavit, I respectfully request, that due to time constraints in meeting that deadline for express mail service to the Court, I wish to now forward to the Court information which had not yet been publicly available. With the graciousness of an extension for all submissions on this matter till April 11 2013, I will be as brief as possible.

Chief Compliance Officer letter to Judge Breman

Dear Judge Berman: I am writing as the District Council’s Chief Compliance Officer in response to a letter sent to the court by William Davenport that was added to the docket of United States v. District Council et al. on March 11, 2013. Mr. Davenport makes unfounded and derogatory statements concerning the integrity of the District Council’s Inspector General in that letter which require a response. Specifically, Mr. Davenport wrote:

The consent decree has been in place for about 2/3 of my career and corruption still continues. The NYDC placed a man into a position of IG who was up to his neck in corrupt practices regarding the O.W.L. and the placement of dirty stewards.

Scott Danielson has been a member of the District Council for over twenty years and has served as its Inspector General since 2010. He also serves as the District Council’s Deputy Chief Compliance Officer. Even before becoming Inspector General, Mr. Danielson worked closely with the United States Attomey’s Office on several investigations and has been called upon by that office to provide sworn testimony in court proceedings. In addition to the United States Attomey’s Office, Mr. Danielson and the Inspector General’s Office has referred cases and works closely with other state and federal enforcement agencies.

Saul letter to Judge Berman

I am a recently retired member of Local Union 926, of the District Council of New York City and Vicinity of the United Brotherhood of Carpenters and Joiners of America.

Simancas letter to Judge Breman

Judge Berman: I write to you sir, to ask that you sustain and uphold the judgement of Judge Haight, on the matter of Full Mobility, MOU'S/CONTRACTS, etc. and the recent legal truth eraser brought to our attention: NUNC PRO TUNC.

Old funk, new funk, is all the same. You can eliminate corruption in the NYCDCC as easily as the planet has tried to end prostitution. As long as human beings are ruled by the need for shelter, food/water, and the instinct to procreate, greed will show its ugly face. Four score and 500 million years ago it was the same.

Delegates: See no evil, hear no evil, speak no evil

The 53 Delegates who voted  to not hear the contents of an eight-count notice of possible veto issued to Executive Secretary-Treasurer Michael Bilello last month.

Bilello Will Not Step Down Amid Scandal

Hypocrite Bilello not stepping down.  

Executive Secretary-Treasurer Michael Bilello said he does not plan to "step down" even though Review Officer (RO) Dennis Walsh slapped him with an eight-count notice of possible veto last month.

"I'm not stepping down," Bilello told the delegates at last months delegate meeting.

During the two-and-a-half year emergency supervision imposed on the District Council by the UBC, past practice by Supervisor Frank Spencer was to temporary suspend council employes after receiving a notice of possible action from the RO.

At the delegate meeting I asked Bilello, "will you follow past practice and lead by example and voluntarily take a leave of absence until the matter of this veto is cleared up?" Bilello being the hypocrite he is defiantly said "no!"

Bilello even failed to tell the delegates he received a notice of possible veto (so much for claims of transparency).

I brought the subject up and asked if he would read the veto letter to the delegates and he refused. "I am not required to read it," Bilello said.

I then moved to have the veto letter read to the delegate body and incredibly the delegates voted 53 to 22,  to not hear the contents of the veto letter.

Bilello has until April 9, 2013 to answer the eight count notice of veto, and to deliver a written submission to the RO stating any facts, law or arguments which might be relevant to consideration of this matter.

Judge Berman Opinion and Order on Franco Petition

OPINION & ORDER: Having reviewed the record herein, and applicable legal authorities, the Court hereby denies Franco's petition for the reasons set forth herein. (Signed by Judge Richard M. Berman on 4/5/2013) 

John's note: See last page...the RO acknowledged that sometimes "the minutes are very bad," and that he has taken Franco's suggestion for a court reporter/stenographer to record meetings under advisement.

"MR. WALSH: The minutes are very bad. I've already spoken to the district council leadership once about the minutes. We just went through an issue where my team had to go back into the recording to find what was actually the substance of a motion when in fact the minutes reflected something which was absolutely contrary to what was actually said at the meeting. And this is something that has to be done. These meetings have got to get better." Improvement in record keeping would seem also to be a matter of some urgency.

Building unions labor for traction

Despite pick up in construction activity, developers still have edge in negotiations

BY DANIEL GEIGER

In another sign of a rebound in the housing market, the Zeckendorf brothers announced in December that they will build a 44-story, $500 million condominium tower across from the United Nations. Predictably, given the location and the siblings' track record as arguably the most successful ultra-high-end residential developers in the city, the units are expected to fetch tens of millions of dollars apiece.

What is surprising, though, is that those apartments will be built using a special package of work-rule and wage concessions from construction unions that is expected to shave as much as 20% off labor costs—a savings of millions of dollars.

Such agreements became common during the recession. Their continued use as the market recovers, especially by developers of some of the city's priciest projects, marks a departure from past recoveries, when labor costs typically have bounced back with a vengeance to drive construction costs to new highs. This time around, early indications are that the old, notoriously volatile pattern may be changing—a shift that most observers credit to the striking rise of nonunion contractors in recent years.

"A [developer] today has options," said Louis Coletti, president of the Building Trades Employers Association, a group that represents union contractors.

Instead of simply "take it or leave it," these days developers of all but the very largest of projects can opt to hire nonunion contractors, or use that option as a threat to negotiate lucrative concessions from unionized ones.

Among the current rising crop of gold-plated condos whose developers have negotiated such special project labor agreements, or PLAs, are the TriBeCa tower at 56 Leonard St., the 16-story high-end condo at 150 Charles St. in the Village, and 432 Park Ave., the city's tallest residential building, an 89-story, $1 billion project.

Transcript of Judge Berman's court hearing April 3, 2013

THE COURT: We're here because of an application by Mr. Franco. And I thought we would, if you were interested, hear from Mr. Franco if he wants to be heard and also from district council and just to take a few minutes and during the course of that, I may have a few questions from you. Is Mr. Franco here? Do you wish to be heard?

MR. FRANCO: Good morning, your Honor.

Bilello Blames RO for His Failures

Bilello failed to implement contract. 

 "The Wall Ceiling contract was negotiated last August but could not be implemented due to the requirements imposed by the Review Officer,"––EST Bilello

On Wednesday March 27, Review Officer (RO) Dennis Walsh slapped Executive Secretary-Treasurer Michael Bilello with an eight-count notice of possible veto.

The charges include among other things, from on or about August 22, 2012, through October 2012, Bilello "failed to take reasonable and prudent measures to implement the terms" of the Wall and Ceiling contract.

Back in January we wrote, "while we struggle to pay our bills and put food on the table, the Bilello administration, despite having thirteen months in office and claims of working "tirelessly," has failed to nail down a new contract. This inability to negotiate and implement a contract has and continues to cost this membership tens of millions in lost wages and benefits!"

Carpenters have been working without a new WC&C contract since June 30, 2011, and have not received a raise since October 2010.

In March 2012, the membership (including Bilello)  soundly rejected the Wall and Ceiling contract (negotiated by the UBC) which included full mobility.

After the failed contract vote, Bilello spent months dithering and flip-flopping before deciding to break his campaign promise (again) and support of full mobility.

Member Comment/Submission to Judge Berman

I Robert Makowski who resides in Queens County N. Y. - UBC# XXXXXXXX: Deposed and Says That;

1. I am a member of Local 157 of the NYCDCC and categorically state that MOU’s and or contracts, and all that has to do with them, were jammed down the members throats through a vicious campaign of deceit, lies and non-transparent/ non democratic methods.

2.As active member of the NYCDCC I am aptly knowledgeable of theall issues re: mobility, compliance, MOU’s and Collective Bargaining Agreements being presented to the Honorable Richard M. Berman

Unions examine share options

Think of it as a union of unions.

A number of New York City’s labor organizations are pooling their resources to campaign for “responsible development” by drawing attention to developers who employ non-union labor and — according to the workers’ representatives — drive down incomes and standards of living across the city’s workforce.

“Everybody loves talking about the shrinking middle class, and it’s about time to do something about it,” said William Hohlfeld, a labor management representative with Local 46 and member of the Build Up NYC coalition.

The premise of the coalition is that developers have an influence over the city that continues even after construction is complete.

“What our research shows — and this should come as no surprise to no one — is developers who come into New York, if they decided to develop non-union, they go on and own, operate and maintain non-union,” Hohlfeld said.

Build Up NYC is headed by Gary LaBarbera, president of the Building and Construction Trades Council of Greater New York, and it’s ranks are made up representatives of the various council member unions as well as the Service Employees International Union and the Hotel Workers’ Union.

Building Trades is made up of unions representing workers in a variety of construction trades, while SEIU represents service workers, including janitors, security guards and doormen.

“It’s a coalition of working people, and we certainly hope that it’s going to grow even larger,” Hohlfeld said.

In February the group organized a protest near 237 West 54th Street, where Starwood Capital and the Moinian Group are developing a Hilton Hotel using non-union labor. Later this month, they plan another street action tied to Starwood’s planed development in Brooklyn Bridge Park.

“There’s a lot of public money involved there,” Hohlfeld said of the project.

A video on the Build Up NYC website features union members who described their working lives before they joined their unions. They describe working off the books, being paid in cash, receiving no benefits, working multiple jobs, and being unable to buy Christmas presents for their children.

“Nobody’s saying that developers are not entitled to a profit,” Hohlfeld said. “Profit is a wonderful thing. It’s just a question of how are we going to spread this profit around.”

Source: Real Estate Weekly

Greg Kelty & Charles McNally letters to Judge Berman

Dear Judge Berman, Just a little about myself so you may understand my perspective on the issues we face. I have been a member of the carpenters union for about 29 years. I am presently the Treasurer of Local 157 and also a delegate to the New York City District Council of Carpenters which I will refer to as the NYCDCC. I hold a Bachelor degree in Finance from California Polytechnic University Pomona.

Schroeder letter to Judge Berman

Dear Judge Berman: I am writing to: (1) ask for a seven-day time period to file reply papers after the April 4, response deadline; (2) request that District Council counsel James M. Murphy provide me with copies of the cited cases as enclosed in his March 29, 2013 letter [Doc.1290] addressed Your Honor; and, (3) include for this Court the status of union approval/ratification of the District Council/Wall-Ceiling collective bargaining Agreement, dated March 12, 2013.

John's Note: Judge Berman granted a "Final extension to  4/11/13 @noon (from any parties).

Rohde letter to Judge Berman

Dear Judge Berman: We write on behalf of the Review Officer with respect to the Court’s endorsement dated March 21, 2013, requesting that Mr. Murphy and the Review Officer provide authorities for the proposition that the Court can approve a CBA where only an “MOU” has been approved by the delegates.

Murphy letter to Judge Berman

Dear Judge Berman:

I write in response to the Courts Endorsed Memo Order of March 21, 2013 (Doc. 1281) regarding the fully executed successor collective bargaining agreement between the District Council and the Association of Wall-Ceiling & Carpentry industries of New York, inc. (“WC&C”). Your Honor directed that “Mr. Walsh + Mr. Murphy are requested to supply authorities for the proposition that this Court can approve a collective bargaining agreement where only a MOU has been approved by a delegate body.”

I understand your request to be whether an approved memorandum of understanding or agreement (here, “MOU”) that modifies an expired collective bargaining agreement is materially the same as the fully executed successor collective bargaining agreement (“CBA”), which merges the terms and conditions ofthe expired CBA with those of the MOU. The answer is yes.

Delegate letter to Judge Berman in support of full mobility

Dear Judge Berman:

I am a Delegate and shop steward in the New York City District Council of Carpenters. I understand that you have a very difficult decision to make, and that judgment is going to have a sweeping effect on the carpenters union as we know it.

When l was running for the position of delegate to Local 157, it was not uncommon for those running to have to publicly state at union meetings what their position was on full mobility. The delegates to the various locals were elected by the members of their respective locals, knowing what the position was of the persons they were voting for. The Wall and Ceiling contract was passed as per the Bylaws, by men and women chosen by the membership. For others to take a contrary position is unfair and inaccurate.

Before the initial meeting of the newly elected delegates, we studied several of the contracts. This training session lasted 3 days, and several of the contracts were studied from cover to cover. The delegates voiced their concerns about wording and their displeasure with provisions such as the Favored Nations Clause. l do not understand how anyone can say that nobody knew what was contained in the contract, after going through three days of comprehensive training on the contracts.

Presumption of Ignorance

Last week Review Office (RO) Dennis Walsh, issued a eight count notice of possible veto to New York City District Council of Carpenters Executive Secretary-Treasurer Michael Bilello, for among other things, failing to "abide by Section 21 of the District Council Bylaws" and caused or attempted to cause the contract raise for members covered by the Hoist Agreement, the Millwrights Agreement and the WC&C Agreement, to be allocated into the welfare fund.

Bilello claimed ignorance, telling the delegate body, "It was a Mistake." He also blamed members of his administration for the failure saying, "no one was aware" of the bylaw provision.

Several members I have spoken with have asked, why was there no "reasonable, prudent and due diligent" measures taken by Bilello or his administration before implementing the employer contract raises into the welfare fund?

You would think Bilello or someone in his administration, who at a minimum, should be well versed in the Bylaws, and cognizant of significant matters at the council, such as million dollar allocations. 

By claiming ignorance, is Bilello suggesting that mediocrity, ignorance, and incompetence are sufficient qualities for holding office in the District Council?

Ignorantia juris non excusat, is Latin for "ignorance of the law does not excuse" or "ignorance of the law excuses no one."

Bilello cannot claim ignorance and escape liability for violating the Bylaws merely because he or his administration was unaware of its content.

New MWA Agreement to Provide Healthcare for Workers

District Council News...An interim settlement agreement has been reached to provide 500 hours of medical coverage to all those affected by the Manufacturing Woodworkers Association of Greater New York (MWA) arbitration, including those who lost coverage in recent months and those who were in danger of losing it as of April 1, 2013. The money for coverage will be allocated from contributions already made by participating employers that has been held in escrow up to this point.

Final approval among the management trustees of the NYCDCC welfare fund; the MWA and the Hollow Metal Trust Fund was finalized on Sunday, March 31, 2013 . This agreement is to address the immediate concern of healthcare coverage for the affected members. This is the first step in reaching an overall agreement between the District Council and the MWA.

For more information, contact Council Reps:

Andrew Mucaria (917) 376-5542 Robert Villalta (347) 491-0739

NYCDCC to be placed under Emergency Supervision

(John's note: We have obtain an advance copy of this letter delivered to the District Council this morning).

This will constitute formal notice of action being taken by the United Brotherhood of Carpenters and Joiners of America (“UBC”), pursuant to its authority under the UBC Constitution, regarding the New York City District Council of Carpenters (NYCDCC).

Based upon information brought to my attention, it appears that the affairs of the NYCDCC are being conducted in a manner detrimental to the welfare and best interests of NYCDCC, the UBC, and its members, and/or contrary to the provisions and requirements of the UBC Constitution, and that the continued operation of NYCDCC is in jeopardy.

Specifically, on Wednesday March 27, Review Office (RO) Dennis Walsh, issued a eight count "Notice of Possible Veto" to New York City District Council of Carpenters Executive Secretary-Treasurer Michael Bilello.

After duly considering the information provided, l have determined, pursuant to my authority under Section 1OH of the UBC Constitution, that an emergency situation exists regarding the New York City District Council of Carpenters requiring immediate action by the UBC to protect and preserve the welfare and interests of the membership.

Accordingly, l hereby appoint as supervisor Frank Spencer, District Vice President, Eastern District, to immediately assume supervision over New York City District Council of Carpenters.