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cj ofNe1UMiH M. Berman, U.S.D.I.
500 Pearl Street
New York, NY 10007
Re: United States v. District Council 90 Civ. 5722
rm
1M MAR 2; 2013 lJd)
CHAMBERS OF
RIGHAR BERMAN
USDC SD
DOCUNtENT
ELECTRONICAU>'i FILED
DOC f::_.--------
S/Zt/13 FILED:
Dear Judge Berman:
In a letter docketed yesterday, rank and file member Demian Schroeder raised what he
perceived to be certain points of concern regarding the conduct of the District Council Delegate
meeting held March 13,2013.
I reiterate the opinion I expressed in my letter to the Court of March 19th, that the terms
in the "Memorandum of Understanding" ("MOU") made between the WC&C and the District
Council in August 2012 are legally enforceable. However, I am also of the opinion that the
delegate body must vote on any unique and material terms not previously considered. To use the
District Council's term, "operationalization" can only be recognized with respect to contract
terms, conditions and principles considered by the delegate body.
Mr. Schroeder raises a question about the proper method of the Union determining how
and whether an increase of $2.12 per hour payable by the employers should be allocated. The
executed CBA purports to allocate the money to the Welfare Fund. Though I believe such a
planned allocation is prudent, proper procedure must be followed.
In that regard, there is no question that pursuant to Section 21 of the District Council
Bylaws, the delegate body decides all questions of allocation of trust fund monies. The
following is excerpted from the District Council Bylaws.
TRUST FUNDS
Section 21. All allocations from negotiated total wage amounts to annuity, health and
welfare, pension, funds sponsored by the International, apprenticeship, labor
management cooperation committees, vacation savings, and holiday plans, shall be
determined by the Council Delegate Body.
Case 1:90-cv-05722-RMB-THK Document 1281 Filed 03/21/13 Page 1 of 2
Thus, certainly that portion of the executed CBA, in my view, must be presented to the
delegates. That fact alone should not prevent implementation of MOU terms (which I discussed
in the letter I sent to the Court on March 19
th
). Until the delegate body decides the allocation
question, the employers could continue to pay that money into an escrow account.
Though I believe the terms of the MOU are legally enforceable, in my opinion, the
delegate body must vote on any unique and material terms not previously considered.
I request that this letter be added to the docket for this matter.
Respectfully submitted,
~ / 1 i J ~ { ~ ~
Dennis M. Walsh
Review Officer
Cc: (Via Email)
James Murphy, Esq.
AUSA Benjamin Torrance
Mark Rosen, Esq.
Demian Schroeder
15210162v.l
Case 1:90-cv-05722-RMB-THK Document 1281 Filed 03/21/13 Page 2 of 2