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UNITED BROTHERHOOD OF CARPENTERS AND JOINERS OF AMERICA

Phil Newkirk

Assistant To The General PresidentPhone: (360) 576-8794Fax: (360) 573-0843newkirk5181@comcast.net

Report to the UBCJA Hearings CommitteePertaining to the Emergency SupervisionOf theNew York City District Council of CarpentersPresented October 15, 2009

Good morning Brothers. My name is Phil Newkirk.Prior to providing the core of my testimony today I thought it appropriate that I briefly sharesome of my background with you this morning. As a thirty year member of the UnitedBrotherhood of Carpenters (UBC), I joined Interior Systems Local Union 2154, located inPortland, Oregon, in 1978, and worked in the field as a Journeyman Carpenter for approximatelyten years. As a member, I was an activist in my Local Union, and also, following its formation,the Oregon State District Council of Carpenters as well, serving on the Executive Boards of boththe Local and Council.From 1989 through 1995 I was employed as a full time Representative with the Oregon Council,and later as an Organizer, participating in the negotiation of numerous collective bargainingagreements, administering grievances, enforcing UBC craft jurisdiction, and initiating several1

Organizing campaigns. Through most of this period, I also served as a Trustee on all employee benefit trust funds within the Council’s bargaining area.In 1995 I was hired by the Carpenters International and served as District Representative withinthe Western District. In that capacity, I was assigned to conduct numerous investigations pertaining to varying degrees of improprieties within Local Unions and Regional Councils, someof which resulted in supervision by the International Union.As of recent, I currently serve as Assistant to the General President, and in that capacity I wasassigned to investigate the affairs of the New York City District Council of Carpenters(referenced herein as NYCDC; District Council; or Council) relevant to the EmergencySupervision recently imposed on the Council. What follows is my report pertaining to theinvestigation, of which, I ask that the report, and all relevant exhibits, be entered into the record.Under the authority as General President, formal notice of Emergency Supervision was issued pursuant to UBC General President Douglas J. McCarron’s August 10, 2009 letter to NYCDCPresident, Brother Pete Thomassen

(referenced in Exhibit A)

. As noted in PresidentMcCarron’s August 10

th

letter, Eastern District Vice-President Frank Spencer has been appointedas Supervisor.My inquiry involved interviews with senior staff, various NYCDC department heads, the currentcourt appointed Independent Investigator (II), William Callahan, and former II, Walter Mack,and the review of numerous documents, as well as written reports from both II Callahan andMack to Judge Charles Haight, the federal judge appointed to oversee compliance with thefederally imposed Consent Decree

(Exhibit B)

. The Consent Decree was entered into betweenthe “District Council of New York City and Vicinity” and the federal government, resolving thegovernment’s 1990 Civil RICO action against the District Council. The Decree outlines certain2

provisions of how the Council will operate, and, as is referenced above, compliance is monitored by Judge Haight.The Emergency Supervision was imposed following the August 5, 2009 Grand Jury indictment

(Exhibit C)

of certain NYCDC officers, staff members, and Shop Stewards. The indictment is pending in the United States District Court for the Southern District of New York. The Councilrepresentatives named in the Indictment, among others, were three NYCDC representatives:Michael Forde, NYCDC Executive Secretary-Treasurer (EST), and employee benefit fundsTrustee; John Greaney, Council Business Manager assigned to LU 608, and also serving as LU608 President and employee benefit funds Trustee; and Michael Hayes, Council BusinessRepresentative assigned to LU 608 and also serving as LU 608 Executive Board Trustee. Itshould be noted that Forde, Greaney, and Hayes have either been removed or resigned from all of their positions. The Shop Stewards named in the Indictment are Michael Brennan, LU 608 (whowas a member of LU 608, but who was previously brought up on charges and subsequentlyexpelled from UBC); Brian Carson, LU 157 member; Joseph Ruocco, LU 157 member; JohnStamberger, LU 608 member; and Michael Vivenzio, LU 157 member. Also named in theindictment were Joseph Olivieri, a contractor association representative, and Finbar O’Neill, acontractor.According to the indictment, the above Representatives participated in a scheme, which, in returnfor bribes, they allowed contractors, signatory to a NYCDC collective bargaining agreement(CBA), to avoid payment of wages and benefits, specified in the CBA, on certain constructionsites within New York City.3

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