JANUARY 2008

MODEL LEGISLATION FOR UNION WORKERS’ PROTECTION

SIMPLE SOLUTIONS TO

CLEAN UP LABOR POLICY
COMPILED BY THE EVERGREEN FREEDOM FOUNDATION

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Contents

I. Payroll Deduction Reforms Public Employer Payroll Deduction Policy Employee Rights Reform Act Prohibiting Payroll Deductions for Administrative Reasons Prohibition of Negative Check-off Act II. Campaign Finance Voluntary Contributions Act Paycheck Protection – Contribution Disclosure Act Paycheck Protection – Limitations on Employers and Labor Organizations Preventing Political Use of Workplace Representation Dues and Fees Prohibition on Compensation Deductions Act Enforce Beck Rights – Executive Order Resolution in Support of Reporting Requirements for Public Sector Unions III. Financial Transparency Union Financial Responsibility Act Political Funding Reform Act Workers Bill Of Rights Entitling Public Employees Paying Dues or Fees Under A Contract With “Union Security” Certain Disclosure Rights Disclosure of Union Salaries IV. Religious Objectors Religious Objection 46 27 38 40 42 43 13 15 17 18 19 20 24 5 6 9 10

V. Right to Work Right to Work Act 49

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VI. Additional Policies Granting Cause for Unfair Labor Practices Against Employee Organizations Affiliated Unions Share A Contribution Limit Equal Access for Alternative Organizations Prohibition on Release Time for Union Business Public Employee Freedom Act Resolution Opposing “Card Check” and Forced, Compulsory Binding Arbitration Resolution Urging Congress to Oppose Federal Standards for Monopoly Bargaining 53 55 56 57 58 60 61

Nothing in this publication should be construed as an attempt to aid or hinder the passage of any legislation or ballot measure.

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I. Payroll Deduction Reforms

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Public Employer Payroll Deduction Policy

Summary Legislation to prohibit the payroll deduction of membership dues by public employers. Model Legislation A bill to amend the Code of ________ by adding a section relating to the payroll deduction policy of public employers. Section 1. {Short Title} This Act shall be known as the Public Employer Payroll Deduction Policy Act. Section 2. {Legislative Declarations} The legislature finds and declares: A. Employee organizations have no inherent Constitutional, nor statutory right, to deduct membership dues for any purpose by automatic payroll deductions; B. That it is in the interest of this State’s citizens to ensure that government resources, including public employee time, public property or equipment, and supplies be used exclusively for activities that are essential to carrying out the necessary functions of government; C. That necessary governmental functions do not

include using government resources to confer the special convenience of deducting membership dues from members’ and non-members’ paychecks for any private individual or organization, public employee unions and their members; Be it enacted by the Legislature: That the Code of __________ is amended by adding a section as follows: Section 3. {Definitions} For the purposes of this Act, “public employer” means any state or local government, government agency, government instrumentality, special district, joint powers authority, school board or special purpose organization that employs one or more persons in any capacity. Section 4. {Public Employer Payroll Deduction Policy} No dues, fees, assessments or any other automatic payroll deductions by public employers from public employee payroll compensation shall be allowed for transmission to any public employee organization, any intermediary, or a private individual, other than for primary and supplemental pension plans, life, health and other employee benefits, or contributions made to 501(c)(3) charitable organizations through a workplace giving program.

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Employee Rights Reform Act

Summary The purpose of this act is to: 1) limit the amount of compelled agency fees which may be exacted from public employees as a condition of continued employment; 2) provide public employees compelled to pay agency fees as a condition of continued employment with an expeditious way to protect their rights to their pro rata share of union expenditures; and 3) minimize litigation over the appropriate share of union dues that is allocated to collective bargaining, contract administration, and grievance adjustment; provided, however, that nothing herein expresses or implies approval of laws requiring workers to pay unions for representation they do not want. Model Legislation Section 1. {Short Title} This Act shall be known as the Employee Rights Reform Act. Section 2. {Legislative declarations} This legislature finds and declares: A. That many public employees are required against their will to pay agency fees for representation they do not want; and B. The U.S. Supreme Court has held that the amount of agency fees must not exceed the fee payer’s pro rata share of union expenses for collective bargaining, contract administration, and grievance processing; and C. That fee payers are unable to protect themselves against excessive fees unless fee payers have prompt access to union audited financial statements and other books and records; and D. That legislation is imperative to provide such access and thereby protect agency fee payers from excessive fees. Section 3. {Definitions} A. “Agency fee payer” means an individual who is not a union member, but is employed in a bargaining unit represented by an exclusive representative that has negotiated a “union security” or “agency shop” clause subjecting all represented employees to the obligation 6

to either maintain membership in the exclusive representative, or pay some portion of union dues as a condition of continued employment with the public employer. No agency fee payer shall be deemed to have consented to any exaction of agency fees as a condition of continued employment. B. “Available” means available for inspection at no cost upon written request at the local office of the exclusive representative. C. “Chargeable activity” means an expenditure or activity for purposes of collective bargaining, contract administration, and grievance adjustment undertaken by the exclusive representative, or an affiliate of the exclusive representative, directly on behalf of the bargaining unit in which the “agency fee payer” is employed. D. “Expenditure” means all union expenditures of funds in any amount. E. “Nonchargeable activity” means an expenditure or activity for purposes other than collective bargaining, contract administration, and grievance adjustment undertaken by the exclusive representative, or an affiliate of the exclusive representative, on behalf of the bargaining unit in which the “agency fee payer” is employed, including, but not limited to, organizing activities, social activities, and activities to maintain the exclusive representative’s corporate existence. F. For the purposes of this Act, “public employer” means any state or local government, government agency, government instrumentality, special district, joint powers authority, school board or special purpose organization that employs one or more persons in any capacity. Section 4. {Compliance} A. Public employers negotiating and enforcing “union security” or “agency shop” clauses in their agreements with an exclusive representative of its employees shall exact from nonmembers not more than their pro rata share of the “exclusive representative’’ chargeable costs, as set forth herein. Under no circumstances shall a public

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employer deduct full union dues from the wages of any employee not specifically authorizing such deductions. B. Exclusive representatives of public employees negotiating “union security” or “agency shop” clauses in their agreements with public employers shall, as a condition of enforcement of such agreements: 1) require their employees to prepare and maintain contemporaneous records recording the nature of their activities and the amount of time expended in each such activity, and shall allocate those activities into chargeable and nonchargeable categories; and 2) make such records available for inspection to all represented employees within fourteen (14) days after a request for inspection. C. To fulfill the purposes of this Act, exclusive representatives shall allocate all public employee time and expenditures as either “chargeable to agency fee payer” or “nonchargeable to agency fee payers” not later than fourteen (14) days after the date upon which the activity occurs. All activities and expenditures not so allocated within the required period shall be deemed “nonchargeable to agency fee payers.” D. As to determining the “chargeablility” of political and ideological activities and expenditures, the exclusive representative shall apply the legal standards set forth in controlling court decisions. As to determining the “chargeability” of all other activities and expenditures, the exclusive representative shall limit the “chargeable” activities to those collective bargaining, contract administration, and grievance adjustment activities undertaken for, or on behalf of the bargaining unit within which the agency fee payer is employed. It is the purpose of this section to limit “chargeable expenditures” to a greater degree than set forth in the Supreme Court’s decision in Lehnert v. Ferris Faculty Ass’n, 500 U.S. 507 (1991). E. All allocations of activities and expenditures of an exclusive representative shall be made available to represented employees no later than twenty-eight (28) calendar days after the activity or expenditure. Any activity or expenditure not made available

for review within such period shall be deemed “nonchargeable” to agency fee payers. F. To the extent that the exclusive representative may, by virtue of its affiliation with a regional, state, national, international, or ant other form of affiliated labor organization, seek to compel represented employees to subsidize the activities of such affiliate or affiliates, similar records must be provided to, and maintained by the exclusive representative. Payments made by an exclusive representative to any such affiliate not maintaining and providing such records to the exclusive representative shall be deemed “nonchargeable to agency fee payer.” G. For activities or expenditures continuing for more than fourteen (14) days, the exclusive representative shall provide an estimate of the duration and anticipated allocation to “chargeable” and “nonchargeable” costs in records made available for review pursuant to the terms of this section. H. This section shall be liberally construed to provide represented employees with timely information about the allocations of activities and expenditures of the exclusive representative as chargeable and nonchargeable to agency fee payers. Section 5. {Penalties} A. An exclusive representative failing to prepare and make reports available as set forth herein shall be deemed to have surrendered its authority to collect from nonmembers agency fees for a period of one (1) month. After two such occurrences, the exclusive representative shall be deemed to have surrendered its authority to collect from nonmembers agency fees for a period of one (1) year. B. Upon sworn written notice to a public employer of an exclusive representative’s failure to provide a timely opportunity for inspection, a public employer shall suspend deductions of agency fees from all agency fee payers for a period of one (1) month. After two (2) such occurrences, the public employer shall suspend deductions of all agency fees from all agency fee payers for a period of one (1) year. 7

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C. A public employer failing to comply with this section shall be liable to all agency fee payers for an amount equal to twice the fees wrongfully held, plus the costs (including attorney’s fees) of any action to recover such fees. Section 6. {Effective Date} Section 7. {Severability Clause} The provisions of this Act are severable. If any provision of this measure or its application to any person or circumstance is held invalid, that invalidity shall not affect any other provision or application of this measure which can be given effect without the invalid provision or application. If any provision of this measure is held to be in conflict with federal law, that provision shall remain in full force and effect to

the maximum extent permitted by federal law. For purposes of this section, “provision” shall mean any section, subdivision, sentence, phrase or word. Section 8. {Construction} This Act shall be liberally construed to accomplish its purposes. Compliance herewith is not intended to, nor is to be construed as, substitute for compliance with “the constitutional requirements for the…collection of agency fees.” Teachers Local No. 1 v. Hudson, 475 U.S. 292 (1986). ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Prohibiting Payroll Deductions for Administrative Reasons

Section 1. {Statutory Authority} The state personnel director or the director’s designee shall regulate, approve, and review all payroll deductions other than those expressly authorized by statute or state-sponsored for all state employees. The state personnel director may assess a charge to the organization that receives the benefit from such a payroll deduction to offset the cost to the state for this service. No payroll deduction shall be made on behalf of a state employee without prior written authorization from the state personnel director or the director’s designee. The state personnel director or the director’s designee may authorize a payroll deduction only after receiving a written request for such payroll deduction from the employee, a department or agency representative, or an organization. Section 2. {Purpose} This policy provides interpretive guidance to state agencies regarding permissible payroll deductions for all state employees. Section 3. {Basis} The State Personnel Director is charged by statute with administering payroll deductions. In accordance with [applicable law], the Director or his designee “shall regulate, approve, and review all payroll deductions not authorized by statute or state sponsored for all state employees.” The state payroll system exists primarily for the State’s administrative convenience. Electronic funds transfer and other alternatives are available to employees. Therefore, the Director hereby establishes an appropriate policy for the future use of payroll deductions.

Section 4. {Prohibition on Payroll Deductions} State agencies and institutions of higher education shall not permit or process payroll deductions except as expressly authorized in this Policy. Payroll deductions are permitted only when: 1) Required by federal law or state statute (e.g. tax withholdings, garnishments, court ordered child support ); 2) Authorized by federal or state statute (e.g. employee benefits, “eco passes,” tax treatment elections); 3) Expressly authorized for state sponsorship by executive order of the governor and available to all state employees (e.g. Colorado Combined Campaign); or 4) The deduction is for the purpose of facilitating the reimbursement of monies owed to the state from an employee; (e.g. higher education tuition, uniforms, salary overpayments). Section 5. {Exclusion} For purposes of this Policy, direct electronic deposits of payroll to more than one financial institution for a single employee are not payroll deductions within the meaning of sec. 24-50-104(8)(c). Section 6. {Effective Date} This policy shall be effective immediately, subject to a grace period for implementation of not later than [DATE].

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Prohibition of Negative Check-off Act

Summary The Prohibition of Negative Check-Off Act delineates the enforcement of financial arrangements that are not entered into by the payer. The Act declares that non-voluntary payments and negative check-off plans are void as against public policy. Model Legislation Section 1. {Short Title} This Act shall be known as the Prohibition of Negative Check-Off Act. Section 2. {Legislative Declaration} Section 3. {Definitions} (A) “negative check-off plan” means a plan whereby a payer, by his or her inaction is deemed to have agreed to a payment or series of payments. (B) “voluntary” means an action or choice given freely, as evidenced by some affirmative act on the part of the payer. A charitable contribution made by a payer pursuant to authorization given by such payer is deemed to be voluntary. Section 4. {Negative check-off plans prohibited} (A) It shall be a deceptive trade practice to, in the

course of one’s business, vocation, or occupation, receive funds from an individual whereby such funds are not given on a voluntary basis, unless such an arrangement is required pursuant to a court order. Such involuntary payments are void as against public policy. A payment made pursuant to a negative checkoff plan shall not be considered to have been made on a voluntary basis. (B) Nothing in any other state law shall affect the validity or application of this section as it applies to any employee, including, but not limited to, persons employed by the state or a local government or any governmental subdivision or agency thereof, without exception. Section 5. {Severability Clause} Section 6. {Repealer Clause} Section 7. {Effective Date} 1996 Sourcebook of American State Legislation ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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II. Campaign Finance

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Voluntary Contributions Act

Summary The Voluntary Contributions Act requires labor organizations that engage in political activities to keep a segregated fund for political contributions. It further specifies that contributions to that fund will be on a voluntary basis and contributions shall be made directly by the donor. In addition, the Act prohibits payroll withholding of funds to be used for political purposes. Section 1. {Title} This Act shall be known as the “Voluntary Contributions Act.” Section 2. {Definitions} As used in this Act, the following terms have the following meanings: (A). “Ballot proposition” includes initiatives, referenda, proposed constitutional amendments, and any other items submitted to the voters for their approval or rejection. (B). “Filing entity” means a candidate, officeholder, political committee, political party, and each other entity required to report contributions under [insert reference to applicable state law] (C). “Fund” means the separate segregated fund established by a labor organization for political purposes according to the procedures and requirements of this Act. (D). 1. “Labor organization” means any association or organization of employees, and any agency, employee representation committee, or plan in which employees participate that exists, in whole or in part, to advocate on behalf of employees about grievances, labor disputes, wages, rates of pay, hours or condition of employment. 2. Except as provided in (D)(1) of this section, “labor organization” includes each employee association and union for employees of public and private sector employers.

3. “Labor organization” does not include organizations governed by the national labor relations act, 29 U.S.C. section 151, et. seq. or the railway labor act, 45 U.S.C. section 151, et. seq. (E). “Political activities” means electoral activities, independent expenditures, or expenditures made to any candidate, political party, political action committee, voter registration campaign, or any other political or legislative cause, including ballot propositions. (F). “Union dues” means dues, fees, or other moneys required as a condition of membership in a labor organization. Section 3. {Limits on Labor Organization Contributions} (A). 1. A labor organization may only make expenditures for political activities if the labor organization establishes a separate, segregated fund that meets the requirements of this Act. 2. A labor organization shall ensure that: i. In soliciting contributions for the fund, the solicitor discloses, in clear and unambiguous language on the face of the solicitation, that contributions are voluntary and that the fund is a political fund and will be expended for political activities; ii. Union dues are not used for political activities, transferred to the fund, or intermingled in any way with fund moneys; iii. The cost of administering the fund is paid from fund contributions and not from union dues; and iv. Each contribution is voluntary and shall be made by the member and may not come from or be remitted by the employer of the member. (B). At the time the labor organization is soliciting contributions for the fund from an employee, the labor organization shall: 1. Affirmatively inform the employee, orally or in 13

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writing, of the fund’s political purpose; and 2. Affirmatively inform the employee, orally or in writing, of the employee’s right to refuse to contribute without fear of reprisal or loss of membership in the labor organization. (C). The labor organization has the burden of proof to establish that the requirements of (A)(2) and (B) of this section are met. (D). Notwithstanding the requirements of (A)(2)(ii) of this section, a labor organization may use union dues to communicate directly with its own members about political candidates, ballot propositions, and other political issues. Section 4. {Criminal Acts, Penalties} (A). 1. It is unlawful for a labor organization to make expenditures for political activities by using contributions: i. Secured by physical force or threat of force, job discrimination or threat of job discrimination, membership discrimination or threat of membership discrimination, or economic reprisals or threat of economic reprisals; or ii. [if necessary, insert the following:] From union dues except as provided in [insert reference to applicable state law]. 2. When a labor organization is soliciting contributions for a fund from an employee, it is unlawful for a labor organization to fail to: i. Affirmatively inform the employee orally or in writing of the fund’s political purpose; and ii. Affirmatively inform the employee orally or in writing of the employee’s right to refuse to contribute without fear of reprisal or loss of membership in the labor organization. 3. It is unlawful for a labor organization to pay a member for contributing to the fund by providing a bonus, expense account, rebate of union dues, or by 14

any other form of direct or indirect compensation. (B). Any person or entity violating this section is guilty of a misdemeanor. Section 5. {Registration, Disclosure} Each fund established by a labor organization under this Act shall: (A). Register as a political committee as required by [insert reference to applicable state law]. (B). File the financial reports for political committees required by [insert reference to applicable state law]. Section 6. {Prospective Application} The provisions of this Act shall apply to all contracts entered into after the effective date of this Act, and shall apply to any renewal of existing contract. Section 7. {Severability} Section 8. {Repealer Clause} Section 9. {Effective Date} Adopted by the CIED Task Force in 2004. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Paycheck Protection—Contribution Disclosure Act

Section 1 {Short Title} This act shall be known and may be cited as the “contribution disclosure act”. Section 2 {Definitions} As used in this act: A. “Labor organization” means that term as defined in [insert definition or cite statutory section] B. “Written authorization form” means a document described in section 4 that is signed by an individual who is required to pay dues or fees to a labor organization under a collective bargaining agreement or other agreement authorized by law. Section 3 {Compliance} A. A labor organization that accepts payment of dues or fees from an individual as a condition of that individual’s employment in accordance with a collective bargaining agreement or other agreement authorized by law shall not expend any portion of those dues or fees for political, social, charitable, or other activities that are not related to collective bargaining, contract administration, or grievance processing unless the labor organization has obtained the individual’s written authorization on a written authorization form described in section 4 at least once each calendar year. B. A written authorization required under this act shall be on a form that states the following, using at least 12-point print: “A labor organization may solicit and obtain funds from you for political, ideological, social, or charitable events or activities, lobbying for legislation, organizing employees of other employers, or other activities that are not collective bargaining, contract administration, or grievance processing on an automatic basis, including, but not limited to, a payroll deduction plan, only if you affirmatively consent in writing to the contribution at least once every calendar year. Your dues or fees for membership in, or union representation by, the [insert name of union] are [insert amount of union dues] dollars for the year [insert applicable dates]. [Insert non-chargeable amount] dollars (insert percentage %) of your dues or fees may be used for political, ideological, social, or charitable events or activities, lobbying for legislation, organizing employees of other employers, or other activities that are not collective bargaining, contract administration, or grievance processing only if you voluntarily consent below. Under state and federal law, you do not have to pay this amount. This amount will be subtracted from the dues or fees you owe if you do not sign this form to have your dues or fees used for organizing employees of other employers, lobbying, or participating in political, social, charitable, or other ideological activities that are not related to collective bargaining, contract administration, or grievance processing. I, [name], voluntarily authorize [union name] to use ($$) of my dues or fees for political,

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ideological, social, or charitable events or activities, lobbying for legislation, organizing employees of other employers, or other activities that are not collective bargaining, contract administration, or grievance processing. ____________________ Employee Signature cc: Employer Union President _______________ Date

C. The department of consumer and industry services shall prepare and make available to a labor organization upon the labor organization’s request a written authorization form described in section 4. Section 6 {Enforcement} A. If a labor organization that has not obtained an individual’s signature on a written authorization form in accordance with this act expends all or a portion of an individual’s dues or fees for political, social, charitable, or other activities unrelated to collective bargaining, contract administration, or grievance processing, the labor organization is liable to the individual for double all of the following, plus reasonable attorney fees and costs: 1. The amount of dues or fees that were collected from the individual without the individual’s express consent on a written authorization form. 2. Interest at the lawful rate. B. In addition to awarding money damages under subsection A, a court may award equitable relief to an individual injured by a violation of this act. ©1998 - 2005 ALEC All RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Paycheck Protection—Limitations on Employers and Labor Organizations

A. No labor organization may use any portion of dues, agency shop fees, or any other fees paid by members of the labor organization, or individuals who are not members, to make contributions or expenditures to or on behalf of causes or candidates except upon the written authorization of the member, or individual who is not a member, received within the previous 12 months on a form described by subdivision “B.” B. The authorization referred to in subdivision A shall be provided on a form, the sole purpose of which is the documentation of such an authorization. The form shall be prescribed by the commission and at a minimum shall contain the name of the individual granting the authorization, the labor organization to which the authorization is granted, the total annual amount of the dues, agency shop fees, or any other fees that will be used to make contributions or expenditures, and the signature of the individual granting the authorization. The form’s title shall read, in at least 24-point bold type, “Authorization for Political Use of Fees” and shall also state, in at least 14-point bold type, the following words immediately above the signature line: “Signing this form authorizes a portion of your dues, agency shop fees, or other fees to be used for making political contributions or expenditures. You are not obligated to sign this authorization. Your signature below is completely voluntary and cannot in any way affect your employment.”

C. Any labor organization that uses any portion of dues, agency shop fees, or other fees to make contributions or expenditures under subdivision A” shall maintain records that include a copy of each authorization obtained under subdivision “B”, the amounts and dates funds were actually withheld, the amounts and dates funds were transferred to a committee, and the committee to which the funds were transferred. D. Copies of all records maintained under subdivision “C” shall be sent to the commission upon request. E. Individuals who do not authorize contributions or expenditures under subdivision “A” may not have their dues, agency shop fees, or other fees raised in lieu of the contribution or expenditure. F. If the dues, agency shop fees, or other fees referred to in subdivisions “A” and “C” included an amount for a contribution or expenditure, the dues, agency shop fees, or other fees shall be reduced by that amount for any individual who does not sign an authorization as described under subdivision “A.’ G. The requirements of this section may not be waived by the member or individual and waiver of the requirements may not be made a condition of employment or continued employment. H. For the purposes of this section, “agency shop” means [insert definition or cite other statutory section]. I. For the purposes of this section, “labor organization” means [insert definition or cite other statutory section].

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Preventing Political use of Workplace Representation Dues and Fees

Limitations on employers or labor organizations. No labor organization or other entity receiving funds collected pursuant to a union security contract may use those funds to make contributions or expenditures to influence an election or to operate a political committee.

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Prohibition on Compensation Deductions Act

Summary The Prohibition on Compensation Deductions Act prohibits state agencies and political subdivisions of the state from deducting from the compensation of any employee any money from which a contribution is made to a political committee or to an intermediary through which any amount is provided to a political committee. Model Legislation Section 1. {Short Title.} This Act shall be known as the Prohibition on Compensation Deductions Act. Section 2. {Legislative Declarations.} Section 3. {Definitions.} (A) “Intermediary” means a person who receives any amount that has been deducted by an agency, department, board, division, bureau, commission, or council of the state or any political subdivision thereof from the compensation of any employee by way of dues, fees, or assessments and who transfers any or all of such amount to a political committee. (B) “Political committee” means any organization engaged in lobbying, electoral, and political activities which includes, but is not limited to, providing independent expenditures or contributions to any candidate, political party, voter registration campaign or any other political cause.

Section 4. {Deductions Prohibited.} (A) No agency, department, board, division, bureau, commission, or council of the state or any political subdivision thereof shall deduct from the compensation of any employee: (1) Any money from which a contribution is made directly to a political committee or through an intermediary; (2) Any dues, fees, or assessments from which any amount is given, transferred, or donated to a political committee for any reason or from which a contribution is made to a political committee for any reason. (B) Nothing in this subsection shall be construed as prohibiting an employee of an agency, department, board, division, bureau, commission, or council of the state or any political subdivision thereof from making contributions from his or her personal funds to a political committee. Section 5. {Severability Clause.} Section 6. {Repealer Clause.} Section 7. {Effective Date.} 1996 Sourcebook of American State Legislation ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Enforce Beck Rights – Executive Order

Purpose Notification of Employee Rights Concerning Payment of Union Dues or Fees Introduction By the authority vested in me as [legislative body] by the [applicable law], and in order to ensure the economical and efficient administration and completion of Government contracts, it is hereby ordered that: Section 1 {Purpose} A. This order is designed to promote economy and efficiency in Government procurement. When workers are better informed of their rights, including their rights under labor law, their productivity is enhanced. B. The [appropriate state agency or official] shall be responsible for the administration and enforcement of this order. The Secretary shall adopt such rules and regulations and issue such orders as are deemed necessary and appropriate to achieve the purposes of this order. Section 2 {Compliance} A. Except in contracts exempted in accordance with section 3 of this order, all Government contracting departments and agencies shall, to the extent consistent with law, include the following provisions in every Government contract, other than collective bargaining agreements as defined in [citation to state law]. 1. During the term of this contract, the contractor agrees to post a notice, of such size and in such form as the [appropriate state agency or official] shall prescribe, in conspicuous places in and about its plants and offices, including all places where notices to employees are customarily posted. The notice shall include the following information:

NOTICE TO EMPLOYEES Under Federal law, employees cannot be required to join a union or maintain membership in a union in order to retain their jobs. Under certain conditions, the law permits a union and an employer to enter into a union-security agreement requiring employees to pay uniform periodic dues and initiation fees. However, employees who are not union members can object to the use of their payments for certain purposes and can only be required to pay their share of union costs relating to collective bargaining, contract administration, and grievance adjustment. If you do not want to pay that portion of dues or fees used to support activities not related to collective bargaining, contract administration, or grievance adjustment, you are entitled to an appropriate reduction in your payment. If you believe that you have been required to pay dues or fees used in part to support activities not related to collective bargaining, contract administration, or grievance adjustment, you may be entitled to a refund and to an appropriate reduction in future payments. For further information concerning your rights, you may wish to contact the National Labor Relations Board (NLRB) either at one of its Regional offices or at the following address: National Labor Relations Board Division of Information 1099 14th Street, N.W. Washington, D.C. 20570 To locate the nearest NLRB office, see NLRB’s website at www.nlrb.gov.”

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2. The contractor will comply with all provisions of [this Executive Order] of [date], and related rules, regulations, and orders of the [appropriate state agency or official]. 3. In the event that the contractor does not comply with any of the requirements set forth in paragraphs (1) or (2) above, this contract may be cancelled, terminated, or suspended in whole or in part, and the contractor may be declared ineligible for further Government contracts in accordance with procedures authorized in or adopted pursuant to [this Executive Order] of [date]. Such other sanctions or remedies may be imposed as are provided in [this Executive Order] of [date], or by rule, regulation, or order of the [appropriate state agency or official], or as are otherwise provided by law. 4. The contractor will include the provisions of paragraphs (1) through (3) herein in every subcontract or purchase order entered into in connection with this contract unless exempted by rules, regulations, or orders of the [appropriate state agency or official] issued pursuant to section 3 of [this Executive Order] of [date], so that such provisions will be binding upon each subcontractor or vendor. The contractor will take such action with respect to any such subcontract or purchase order as may be directed by the [appropriate state agency or official] as a means of enforcing such provisions, including the imposition of sanctions for non compliance: Provided, however, that if the contractor becomes involved in litigation with a subcontractor or vendor, or is threatened with such involvement, as a result of such direction, the contractor may request the United States to enter into such litigation to protect the interests of the United States.” B. Whenever, through Acts of Congress or through clarification of existing law by the courts or otherwise, it appears that contractual provisions other than, or in addition to, those set out in subsection “A” of this section are needed to inform employees fully and accurately of their rights with respect to union dues, union-security agreements, or the like, the Secretary shall promptly issue such rules, regulations, or orders as are needed to cause the substitution or addition of appropriate contractual provisions in Government

contracts thereafter or agency in which that officer serves. Section 3 A. The [appropriate state agency or official] may exempt a contracting department or agency from the requirements of any or all of the provisions of section 2 of this order with respect to a particular contract, subcontract, or purchase order. B. The [appropriate state agency or official] may, by rule, regulation, or order, exempt from the provisions of section 2 of this order certain classes of contracts to the extent that they involve (i) work outside [state] and do not involve the recruitment or employment of workers within the state; (ii) work at sites where the notice to employees described in section 2(a) of this order would be unnecessary because the employees are not represented by a union; (iii) numbers of workers below appropriate thresholds set by the [appropriate state agency or official]; or (v) subcontracts below an appropriate tier set by the [appropriate state agency or official]. C. The [appropriate state agency or official] may provide, by rule, regulation, or order, for the exemption of facilities of a contractor, subcontractor, or vendor that are in all respects separate and distinct from activities related to the performance of the contract: Provided, that such exemption will not interfere with or impede the effectuation of the purposes of this order: And provided further, that in the absence of such an exemption all facilities shall be covered by the provisions of this order. Section 4 {Enforcement} A. The [appropriate state agency or official] may investigate any contractor, subcontractor, or vendor to determine whether the contractual provisions required by section 2 of this order have been violated. Such investigations shall be conducted in accordance with procedures established by the [appropriate state agency or official]. B. The [appropriate state agency or official] shall receive and investigate complaints by employees of 21

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a contractor, subcontractor, or vendor where such complaints allege a failure to perform or a violation of the contractual provisions required by section 2 of this order. C. In accordance with such rules, regulations, or orders as the [appropriate state agency or official] may issue or adopt, the [appropriate state agency or official] may: 1. after consulting with the contracting department or agency, direct that department or agency to cancel, terminate, suspend, or cause to be cancelled, terminated, or suspended, any contract, or any portion or portions thereof, for failure of the contractor to comply with the contractual provisions required by section 2 of this order; contracts may be cancelled, terminated, or suspended absolutely, or continuance of contracts may be conditioned upon future compliance: Provided, that before issuing a directive under this subsection, the [appropriate state agency or official] shall provide the head of the contracting department or agency an opportunity to offer written objections to the issuance of such a directive, which objections shall include a complete statement of reasons for the objections, among which reasons shall be a finding that completion of the contract is essential to the agency’s mission: And provided further, that no directive shall be issued by the [appropriate state agency or official] under this subsection so long as the head of the contracting department or agency continues personally to object to the issuance of such directive; 2. after consulting with each affected contracting department or agency, provide that one or more contracting departments or agencies shall refrain from entering into further contracts, or extensions or other modifications of existing contracts, with any noncomplying contractor, until such contractor has satisfied the [appropriate state agency or official] that such con tractor has complied with and will carry out the provisions of this order: Provided, that before issuing a directive under this subsection, the [appropriate state agency or official] shall provide the head of each contracting department or agency an opportunity to offer written objections to the issuance 22

of such a directive, which objections shall include a complete statement of reasons for the objections, among which reasons shall be a finding that further contracts or extensions or other modifications of existing contracts with the noncomplying contractor are essential to the agency’s mission: And provided further, that no directive shall be issued by the [appropriate state agency or official] under this subsection so long as the head of a contracting department or agency continues personally to object to the issuance of such directive; and 3. publish, or cause to be published, the names of contractors that have, in the judgment of the [appropriate state agency or official], failed to comply with the provisions of this order or of related rules, regulations, and orders of the [appropriate state agency or official]. Section 5 {Public Input} A. The [appropriate state agency or official], may hold such hearings, public or private, regarding compliance with this order as the Secretary may deem advisable. B. The [appropriate state agency or official] may hold hearings, or cause hearings to be held, in accordance with subsection (a) of this section prior to imposing, ordering, or recommending the imposition of sanctions under this order. Neither an order for debarment of any contractor from further state contracts under section 6(b) of this order nor the inclusion of a contractor on a published list of noncomplying contractors under section 6(c) of this order shall be carried out without affording the contractor an opportunity for a hearing. Section 6 {Accountability} Whenever the [appropriate state agency or official] invokes section 6(a) or 6(b) of this order, the contracting department or agency shall report the results of the action it has taken within such time as the [appropriate state agency or official] shall specify. Section 7 {Interagency Coordination}

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Each contracting department and agency shall cooperate with the [appropriate state agency or official] and provide such information and assistance as the [appropriate state agency or official] may require in the performance of the [appropriate state agency or official] functions under this order. Section 8 {Delegation of Duties} The [appropriate state agency or official] may delegate any function or duty of the [appropriate state agency or official] under this order to any officer in the Department of Labor or to any other officer in the executive branch of the Government, with the consent of the head of the department.

Section 9 {Limited Scope of Statute} This order is intended only to improve the internal management of the executive branch and is not intended to, nor does it, create any right to administrative or judicial review, or any right, whether substantive or procedural, enforceable by any party against the [state], its agencies or instrumentalities, its officers or employees, or any other person. Section 10 {Effective Date} The provisions of this order shall apply to contracts resulting from solicitations issued on or after the effective date of this order.

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Resolution in Support of Reporting Requirements for Public Sector Unions

Summary Currently, public sector unions are not required to adhere to the same reporting requirements as private sector unions. The Resolution In Support of Reporting Requirements for Public Sector Unions calls for legislatures to pass reporting requirements for public sector unions that are similar to requirements for private sector unions. Model Resolution WHEREAS private sector unions are required by the National Labor Relations Act (NLRA) to adhere to reporting and disclosure requirements; and WHEREAS state and local public sector unions are governed by state and local law and are not required to meet the same requirements under the NLRA; and WHEREAS the absence of such requirements results in represented persons not knowing the salaries, benefits, etc. of their so-called “bargaining representatives”; and

WHEREAS any organization or association of employees, and any agency, employee representation committee, or plan in which employees participate that exists in whole or in part, to advocate on behalf of employees about grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work could be defined as a union; NOW THEREFORE BE IT RESOLVED that the State/Commonwealth of (insert state) supports state legislation that will make public sector unions meet similar reporting requirements as private sector unions are required to meet under the NLRA; BE IT FURTHER RESOLVED that the State/ Commonwealth of (insert state) supports federal legislation that requires interstate public sector unions to meet the same reporting required by the NLRA for private sector unions. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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III. Financial Transparency

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Union Financial Responsibility Act

Summary of Legislative Findings and Intent The power of workers to make sound decisions concerning their careers, workplace choices, workplace representation, and other areas of importance hinges on a worker’s access to useful and relevant information. The legislature finds it is important to ensure public sector workers are provided with useful information concerning their membership in a labor union, through thorough and complete public disclosure of union finances and by protecting a worker’s freedom of speech, assembly, and other rights. The legislature finds today’s workforce is more educated, empowered, and familiar with financial data and transactions than at any time in the state’s history. Workers are presented with more choices concerning their careers than in the past, in areas such as compensation packages, benefits, and other matters related to their careers. Whether and how to exercise a worker’s self-governance rights are among the choices a worker faces. Sound decision-making depends on sound information, and workers cannot be expected to make decisions in their own best interest without access to unbiased and candid information. Recent failures involving pension funds and other member accounts maintained by labor unions directly resulted in harm to workers. The legislature intends to ensure members of labor organizations are provided with more complete, timely, and comprehensible information about their union’ financial practices, investments, solvency, and expenditures would empower them to protect their personal financial interests and exercise their democratic rights of selfgovernance. The legislature recognizes the federal Labor Management Reporting and Disclosure Act (LMRDA) provides for the reporting of financial data for a small segment of labor organizations. The legislature intends for all labor organizations within the jurisdiction of this State not directly subject to the reporting requirements of the LMRDA to provide the relevant financial data to their members are prescribed herein.

The legislature finds transparency in organizational finances central to sound decision-making. Voters are routinely provided with information concerning the finances of candidates and campaign committees, and such transparency serves as a powerful deterrent against corruption. The legislature intends for increased transparency and financial disclosure to provide union officials with additional incentives to be good stewards of the funds entrusted to them by those financially contributing to the union. The legislature intends for this to serve as a deterrent to corrupt practices. Model Legislation Section 1 {Definitions} For the purposes of this Act: (A). “Person” means one or more individuals, labor organizations, or agencies. (B). “Employer” means any employer or any group or association of employers which is an employer within the meaning of any law of the State of [insert State] or of the United States, but does not include the United States or any corporation wholly owned by the Government of the United States. (C). “Employee” means any individual employed by an agency, except where the term is used in reference to an individual employed by a labor organization, and includes any individual whose work has ceased because of any unfair labor practice or because of exclusion or expulsion from a labor organization in any manner or for any reason inconsistent with the requirements of this Act. (D). “Agency” means every governmental subdivision, every district, every public and quasipublic corporation, every public agency and public service corporation, and every town, city, county, city and county and municipal corporation, whether incorporated or not and whether chartered or not, of the State of [insert State]. (E). “Trusteeship” means any receivership, 27

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trusteeship, or other method of supervision or control whereby a labor organization suspends the autonomy otherwise available to a subordinate body under its constitution or bylaws. (F). “Labor organization” means an organization in which employees participate, and which exists for the purpose, in whole or in part, of dealing with an agency concerning grievances or conditions of employment. (G). “Secret ballot” means the expression by ballot, voting machine, or otherwise, but in no event by proxy, of a choice with respect to any election or vote taken upon any matter, which is cast in such a manner that the person expressing such choice cannot be identified with the choice expressed. (H). “Trust in which a labor organization is interested” means a trust or other fund or organization: (1). Which was created or established by a labor organization, or one of more of the trustees or one or more members of the governing body of which is selected or appointed by a labor organization; and (2). A primary purpose of which is to provide benefits for the members of such labor organization or their beneficiaries. (I). “Officer” means any constitutional officer, any person authorized to perform the functions of president, vice president, secretary, treasurer, or other executive functions of a labor organization, and any member of its executive board or similar governing body. (J). “Member” or “member in good standing”, when used in reference to a labor organization, includes any person who has fulfilled the requirements for membership in such organization, and who neither has voluntarily withdrawn from membership nor has been expelled or suspended from membership after appropriate proceedings consistent with lawful provisions of the constitution and bylaws of such organization. (K). “[STATE OFFICIAL/AGENCY]” means [insert the official or agency designated to administer this Act]. 28

(L). “Officer, agent, shop steward, or other representative”, when used with respect to a labor organization, includes elected officials and key administrative personnel, whether elected or appointed (such as business agents, heads of departments or major units, and organizers who exercise substantial independent authority), but does not include salaried nonsupervisory professional staff, stenographic, and service personnel. (M). “[COURT OF JURISDICTION]” means [insert the court designated as the appropriate court in which to bring actions under this Act]. TITLE I. {BILL OF RIGHTS OF MEMBERS OF LABOR ORGANIZATIONS} Section 101. {Bill of Rights} (A). (1). Equal Rights: Every member of a labor organization shall have equal rights and privileges within such organization to nominate candidates, to vote in elections or referendums of the labor organization, to attend membership meetings and to participate in the deliberations and voting upon the business of such meetings, subject to reasonable rules and regulations in such organization’s constitution and bylaws. (2). Freedom of Speech and Assembly: Every member of any labor organization shall have the right to meet and assemble freely with other members; and to express any views, arguments or opinions; and to express at meetings of the labor organization his views, upon any business properly before the meeting, subject to the organization’s established and reasonable rules pertaining to the conduct of meetings: Provided, that nothing herein shall be construed to impair the right of a labor organization to adopt and enforce reasonable rules as to the responsibility of every member toward the organization as an institution and to his refraining from conduct that would interfere with its performance of its legal or contractual obligations.

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(3). Dues, Initiation Fees, and Assessments: The rates of dues and initiation fees payable by members of any labor organization in effect on the date of enactment of this Act shall not be increased, and no general or special assessment shall be levied upon such members, except: (a). In the case of a local labor organization: (i). By majority vote by secret ballot of the members in good standing voting at a general or special membership meeting, after reasonable notice of the intention to vote upon such question; or (ii). By majority vote of the members in good standing voting in a membership referendum conducted by secret ballot; or (b). In the case of a labor organization other than a local labor organization: (i). By majority vote of the delegates voting at a regular convention, or at a special convention of such labor organization held upon not less than thirty days’ written notice to the principal office of each local or constituent labor organization entitled to such notice; or (ii). By majority vote of the members in good standing of such labor organization voting in a membership referendum conducted by secret ballot; or (iii). By majority vote of the members of the executive board or similar governing body of such labor organization, pursuant to express authority contained in the constitution and bylaws of such labor organization: Provided that such action on the part of the executive board or similar governing body shall be effective only until the next regular convention of such labor organization. (4). Protection of the Right to Sue: No labor organization shall limit the right of any member thereof to institute an action in any court, or in a proceeding before any administrative agency, irrespective of whether or not the labor organization or its officers are named as defendants or respondents in such action or proceeding, or the right of any member of

a labor organization to appear as a witness in any judicial, administrative, or legislative proceeding, or to petition any legislature or to communicate with any legislator: Provided, that any such member may be required to exhaust reasonable hearing procedures (but not to exceed a four-month lapse of time) within such organization, before instituting legal or administrative proceedings against such organizations or any officer thereof; And provided further, that no interested employer shall directly or indirectly finance, encourage, or participate in, except as a party, any such action, proceeding, appearance, or petition. (5). Safeguards Against Improper Disciplinary Action: No member of any labor organization may be fined, suspended, expelled, or otherwise disciplined except for nonpayment of dues by such organization or by any officer thereof. (a). Any provision of the constitution and bylaws of any labor organization that is inconsistent with the provisions of this section shall be of no force or effect. Section 102. {Civil Enforcement} (A). Any person whose rights secured by the provisions of this title have been infringed by any violation of this title may bring a civil action in the [COURT OF JURISDICTION] for such relief (including injunctions) as may be appropriate. (B). Any such action against a labor organization shall be brought in the [COURT OF JURSIDCTION] where the alleged violation occurred, or where the labor organization maintains its principal office. Section 103. {Retention of Existing Rights} Nothing contained in this title shall limit the rights and remedies of any member of a labor organization under any law or before any court or other tribunal, or under the constitution and bylaws of any labor organization. Section 104. {Right to Copies of Collective Bargaining Agreements} (A). In the case of a local labor organization, it shall be the duty of the secretary or corresponding principal 29

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officer of each labor organization, to forward a copy of each collective bargaining agreement made by such labor organization with any agency to any employee who requests such a copy and whose rights as such employee are directly affected by such agreement. (B). In the case of a labor organization other than a local labor organization, it shall be the duty of the secretary or corresponding principal officer of each labor organization to forward a copy of any collective bargaining agreement made by such labor organization with any agency, to each constituent unit which has members directly affected by such agreement; and such officer shall maintain at the principal office of the labor organization of which he is an officer copies of any such agreement made or received by such labor organization, which copies shall be available for inspection by any member or by any employee whose rights are affected by such agreement. (C). The provisions of section 209 shall be applicable in the enforcement of this section. Section 105. {Information as to Act} (A). Every labor organization shall inform its members concerning the provisions of this Act. (B). The provisions of section 209 shall be applicable in the enforcement of this section. TITLE II. {REPORTING BY LABOR ORGANIZATIONS AND OFFICERS AND EMPLOYEES OF LABOR ORGANIZATIONS} Section 201. {Report of Labor Organizations} (A). Every labor organization shall adopt a constitution and bylaws and shall file a copy thereof with the [STATE OFFICIAL/AGENCY], together with a report, signed by its president and secretary or corresponding principal officers, containing the following information: (1). The name of the labor organization, its mailing address, and any other address at which it maintains its principal office or at which it keeps the records referred to in this title; 30

(2). The name and title of each of its officers; (3). The initiation fee or fees required from a new or transferred member and fees for work permits required by the reporting labor organization; (4). The regular dues or fees or other periodic payments required to remain a member of the reporting labor organization; and (5). Detailed statements, or references to specific provisions of documents filed under this subsection which contain such statements, showing the provisions made and procedures followed with respect to each of the following: (a). Qualifications for, or restrictions on, membership; (b). Levying of assessments; (c). Participating in insurance or other benefit plans; (d). Authorization for disbursement of funds of the labor organization; (e). Audit of financial transactions of the labor organization; (f). The calling of regular and special meetings; (g). The selection of officers and stewards and of any representatives to other bodies composed of labor organizations representatives, with a specific statement of the manner in which each officer was elected, appointed, or otherwise selected; (h). Discipline or removal of officers or agents for breaches of their trust; (i). Imposition of fines, suspensions, and expulsions of members, including the grounds for such action and any provision made for notice, hearing, judgment on the evidence, and appeal procedures; (j). Authorization for bargaining demands; (k). Ratification of contract terms;

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(l). Authorization for strikes; and (m). Issuance of work permits. Any change in the information required by this subsection shall be reported to the [STATE OFFICIAL/ AGENCY] at the time the reporting labor organization files with the [STATE OFFICIAL/AGENCY] the annual financial report required by subsection 201(B). (B). Every labor organization shall file annually with the [STATE OFFICIAL/AGENCY] within 90 days of the end of its fiscal year, a financial report signed by its president and treasurer or corresponding principal officers containing the following information in such detail as may be necessary accurately to disclose its financial condition and operations for its preceding fiscal year: (1). Assets and liabilities at the beginning and end of the fiscal year; (2). Receipts of any kind and the sources thereof; (3). Salary, allowances, and other direct or indirect disbursements (including reimbursed expenses) to each officer and also to each employee who, during such fiscal year, received more than $10,000 in the aggregate from such labor organization and any other labor organization affiliated with it or with which it is affiliated, or which is affiliated with the same parent body; (4). Direct and indirect loans made to any officer, employee, or member, which aggregated more than $250 during the fiscal year, together with a statement of the purpose, security, if any, and arrangements for repayment; (5). Direct and indirect loans to any business enterprise, together with a statement of the purpose, security, if any, and arrangements for repayment; and (6). Other disbursements made by it including the purposes thereof, all in such categories as the [STATE OFFICIAL/AGENCY] may prescribe. (C). Every labor organization required to submit

a report under this title shall make available the information required to be contained in such report to all of its members, and every such labor organization and its officers shall be under a duty enforceable at the suit of any member of such organization in the [COURT OF JURISDICTION] where the labor organization maintains its principal office or in any court of competent jurisdiction to permit such member for just cause to examine any books, records, and accounts necessary to verify such report. Section 202. {Report of Officers and Employees of Labor Organizations} (A). Every officer of a labor organization and every employee of a labor organization (other than an employee performing exclusively clerical or custodial services) shall file with the [STATE OFFICIAL/ AGENCY] within 90 days of the end of its fiscal year, a signed report listing and describing for his preceding fiscal year: (1). Any stock, bond, security, or other interest, legal or equitable, which he or his spouse or minor child directly or indirectly held in, and any income or any other benefit with monetary value (including reimbursed expenses) which he or his spouse or minor child directly or indirectly derived from, any business any part of which consists of buying from, selling or leasing to, or otherwise dealing with, an agency whose employees such labor organization represents or is actively seeking to represent; (2). Any stock, bond, security, or other interest, legal or equitable, which he or his spouse or minor child directly or indirectly held in, and any income or any other benefit with monetary value (including reimbursed expenses) which he or his spouse or minor child directly or indirectly derived from, a business any part of which consists of buying from, or selling or leasing directly or indirectly to, or otherwise dealing with such labor organization; (3). Any direct or indirect business transaction or arrangement between his or his spouse or minor child and any agency whose employees his organization represents or is actively seeking to represent, except work performed and payments and benefits 31

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received as a bona fide employee of such agency and except purchases and sales of goods or services in the regular course of business at prices generally available to any employee of such agency; and (4). Any payment of money or other thing of value (including reimbursed expenses) which he or his spouse or minor child received directly or indirectly from any person who acts as a labor relations consultant to an employer. (B). The provisions of paragraphs (1), (2), (3), and (4) of subsection (A) of this section shall not be construed to require any such officer or employee to report his bona fide investments in securities traded on a securities exchange registered as a national securities exchange under the Securities Exchange Act of 1934, in shares in an investment company registered under the investment Company Act or in securities of a public utility holding company registered under the Public Utility Holding Company Act of 1935, or to report any income derived there from. Section 203. {Attorney-Client Communications Exempted} Nothing contained in this Act shall be construed to require an attorney who is a member in good standing of the bar of any State, to include in any report required to be filed pursuant to the provisions of this Act any information which was lawfully communicated to such attorney by any of his clients in the course of a legitimate attorney-client relationship. Section 204. {Reports Made Public Information} (A). The contents of the reports and documents filed with the [STATE OFFICIAL/AGENCY] pursuant to sections 201, 202, and 210 shall be public information, and the [STATE OFFICIAL/AGENCY] may publish any information and data which he obtains pursuant to the provisions of this title. The [STATE OFFICIAL/ AGENCY] may use the information and data for statistical and research purposes, and compile and publish such studies, analyses, reports, and surveys based thereon as he may deem appropriate.

(B). The [STATE OFFICIAL/AGENCY] shall by regulation make reasonable provision for the inspection and examination, on the request of any person, of the information and data contained in any report or other document filed with him pursuant to sections 201, 202, and 210. (C). The [STATE OFFICAL/AGENCY] shall by regulation provide for the furnishing of copies of reports or other documents filed with the [STATE OFFICIAL/AGENCY] pursuant to this title, upon of a charge based upon the cost of the service. (D). No person shall be required to furnish to the [STATE OFFICIAL/AGENCY] any information included in a report filed by such person with the United States Secretary of Labor pursuant to 29 U.S.C. 431 - 441 if such report is furnished to the [STATE OFFICIAL/ AGENCY] pursuant to 29 U.S.C. 435(c). Section 205. {Maintenance of Records} Every person required to file any report under this title shall maintain records on the matters required to be reported which will provide in sufficient detail the necessary basic information and data from which the documents filed with the [STATE OFFICIAL/ AGENCY] may be verified, explained or clarified, and checked for accuracy and completeness, and shall include vouchers, worksheets, receipts, and applicable resolutions, and shall keep such records available for examination for a period of not less than five years after the filing of the documents based on the information which they contain. Section 206. {Effective Date} (A). Each labor organization shall file the initial report required under section 201(A) within ninety days after the date on which it first becomes subject to this Act. (B). Each person required to file a report under section 201(B), 202, or 210 shall file such report within ninety days after the end of each of its fiscal years; except that where such person is subject to section 201(B), 202, or 210, as the case may be, for only a portion of such a fiscal year (because the date of enactment of this Act occurs during such person’s fiscal year or

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such person becomes subject to this Act during its fiscal year) such person may consider that portion as the entire fiscal year in making such report. Section 207. {Rules and Regulations} (A). The [STATE OFFICIAL/AGENCY] shall have authority to issue, amend, and rescind rules and regulations prescribing the form and publication of reports required to be filed under this title and such other reasonable rules and a regulations (including rules prescribing reports concerning trusts in which a labor organization is interested) as the [STATE OFFICIAL/AGENCY] may find necessary to prevent the circumvention or evasion of such reporting requirements. (B). The [STATE OFFICIAL/AGENCY] shall prescribe by general rule simplified reports for labor organizations for whom the [STATE OFFICIAL/ AGENCY] finds that by virtue of their size a detailed report would be unduly burdensome, but the [STATE OFFICIAL/AGENCY] may revoke such provision for simplified forms of any labor organization if the [STATE OFFICIAL/AGENCY] determines, after such investigation as the [STATE OFFICIAL/AGENCY] deems proper and due notice and opportunity for a hearing, that the purposes of this section would be served thereby. Section 208. {Criminal Provisions} [(A). Any person who willfully violates this title shall be fined not more than [$10,000] or imprisoned for not more than [one year], or both. (B). Any person who makes a false statement or representation of a material fact, knowing it to be false, or who knowingly fails to disclose a material fact, in any document, report, or other information required under the provisions of this title shall be fined not more than [$10,000]or imprisoned for not more than one year, or both. (C). Any person who willfully makes a false entry in or willfully conceals, withholds, or destroys any books, records, reports, or statements required to be kept by

any provision of this title shall be fined not more than [$10,000] or imprisoned for not more than [one year], or both. (D). Each individual required to sign reports under section 201 shall be personally responsible for the filing of such reports and for any statement contained therein which he knows to be false.] Section 209. {Civil Enforcement} (A). Whenever it shall appear that any person has violated or is about to violate any of the provisions of this title, the [STATE OFFICIAL/AGENCY] may bring a civil action for such relief (including injunctions) as may be appropriate. (B). Any such action may be brought in the [COURT OF JURISDICTION] where the alleged violation occurred or where the labor organization maintains its principal office. Section 210. {Surety Company Reports} (A). Each surety company which issues any bond required by this Act shall file annually with the [STATE OFFICIAL/AGENCY], with respect to each fiscal year during which any such bond was in force, a report, in such form and detail as the [STATE OFFICIAL/ AGENCY] may prescribe by regulation, filed by the president and treasurer or corresponding principal officers of the surety company, describing its bond experience under this Act, including information as to the premiums received, total claims paid, amounts recovered by way of subrogation, administrative and legal expenses and such related data and information as the [STATE OFFICIAL/AGENCY] shall determine to be necessary in the public interest and to carry out the policy of this Act. (B). Notwithstanding the foregoing, if the [STATE OFFICIAL/AGENCY] finds that any such specific information cannot be practicably ascertained or would be uninformative, the [STATE OFFICIAL/AGENCY] may modify or waive the requirement for such information.

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Section 211. {Exemption for Organizations Covered by Federal Statute} The provisions of this title shall not apply to any labor organization required to file annual or semiannual disclosure reports under the federal Labor Management Reporting and Disclosure Act []. TITLE III. {SAFEGUARDS FOR LABOR ORGANIZATIONS} Section 301. {Fiduciary Responsibility of Officers of Labor Organizations} (A). Declaration of Fiduciary Responsibility: The officers, agents, shop stewards, and other representatives of a labor organization occupy positions of trust in relation to such organization and its members as a group. It is, therefore, the duty of each such person, taking into account the special problems and functions of a labor organization, to hold its money and property solely for the benefit of the organization and its members and to manage, invest, and expend the same in accordance with its constitution and bylaws and any resolutions of the governing bodies adopted thereunder, to refrain from dealing with such organization as an adverse party or in behalf of an adverse party in any matter connected with such person’s duties and from holding or acquiring any pecuniary or personal interest which conflicts with the interests of such organization, and to account to the organization for any profit received by him in whatever capacity in connection with transactions conducted by him or under his direction on behalf of the organization. (1). A general exculpatory provision in the constitution and bylaws of such a labor organization or a general exculpatory resolution of a governing body purporting to relieve any such person of liability for breach of the duties declared by this section shall be void as against public policy. (B). When any officer, agent, shop steward, or representative of any labor organization is alleged to have violated the duties declared in subsection (A) and the labor organization or its governing board 34

or officers refuse or fail to sue or recover damages or secure an accounting or other appropriate relief within a reasonable time after being requested to do so by any member of the labor organization, such member may sue such officer, agent, shop steward, or representative in the [COURT OF JURISDICTION] where the labor organization maintains its principal office or in any court of competent jurisdiction to recover damages or secure an accounting or other appropriate relief for the benefit of the labor organization. (1). No such proceeding shall be brought except upon leave of the court obtained upon verified application and for good cause shown which application may be made ex parte. The trial judge may allot a reasonable part of the recovery in any action under this subsection to pay the fees of counsel prosecuting the suit at the instance of the member of the labor organization and to compensate such member for any expenses necessarily paid or incurred by him in connection with the litigation. (C). [Any person who embezzles, steals, or unlawfully and willfully abstracts or converts to his own use, or the use of another, any of the monies, funds, securities, property, or other assets of a labor organization of which he is an officer, or by which he is employed, directly or indirectly, shall be fined not more than [$10,000] or imprisoned for not more than [five years], or both.] Section 302. {Bonding} (A). Every officer, agent shop steward, or other representative or employee of any labor organization (other than a labor organization whose property and annual financial receipts do not exceed $5,000 in value), or of a trust in which a labor organization is interested, who handles funds or other property thereof shall be bonded to provide protection against loss by reason of acts of fraud or dishonesty on his/ her part directly or through connivance with others. (B). The bond of each such person shall be fixed at the beginning of the organization’s fiscal year and shall be in an amount not less than 10 per centum

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of the funds handled by him and his predecessor or predecessors, if any, during the preceding fiscal year, but in no case more than $500,000. (C). If the labor organization or the trust in which a labor organization is interested does not have a preceding fiscal year, the amount of the bond shall be, in the case of a local labor organization, not less than $1,000, and in the case of any other labor organization or of a trust in which a labor organization is interested, not less than $10,000. (D). Such bonds shall be individual or schedule in form, and shall have a corporate surety company as surety thereon. Any person who is not covered by such bonds shall not be permitted to receive, handle, disburse, or otherwise exercise custody or control of the funds or other property of a labor organization or of a trust in which a labor organization is interested. No such labor organization or any officer, agent, shop steward, or other representative of a labor organization has any direct or indirect interest. (E). Such surety company shall be a corporate surety which holds a grant of authority from the [insert appropriate State bonding official/agency] under the [insert State bonding statute] as an acceptable surety on bonds: Provided, that when in the opinion of the [STATE OFFICIAL/AGENCY] a labor organization has made other bonding arrangements which would provide the protection required by this section at a comparable cost or less, the [STATE OFFICIAL/ AGENCY] may exempt such labor organization from placing a bond through a surety company holding such grant of authority. (F). [Any person who willfully violates this section shall be fined not more than [$10,000] or imprisoned for not more than [one year], or both.] Section 303. {Making of Loans; Payments of Fines} (A). No labor organization shall make directly or indirectly any loan or loans to any officer or employee of such organization which results in a total indebtedness on the part of such officer or employee to the labor organization in excess of $2,000.

(B). No labor organization or agency shall directly or indirectly pay the fine of any officer or employee convicted of any willful violation of this Act. (C). [Any person who willfully violates this section shall be fined not more than [$5,000] or imprisoned for not more than [one year], or both.] Section 304. {Prohibition Against Certain Persons Holding Office} (A). No person who has been convicted of, or served any part of a prison term resulting from his conviction of robbery, bribery, extortion, embezzlement, grand larceny, burglary, arson, violation of narcotics laws, murder, rape, assault with intent to kill, assault which inflicts grievous bodily injury, or a violation of Title II or III of this Act, any felony involving abuse or misuse of such person’s position or employment in a labor organization or employee benefit plan to seek or obtain an illegal gain at the expense of the members of the labor organization or the beneficiaries of the employee benefit plan, or conspiracy to commit any such crimes or attempt to commit any such crimes, or a crime in which any of the foregoing crimes is an element, shall serve or be permitted to serve: (1). As a consultant or adviser to any labor organization; (2). As an officer, director, trustee, member of any executive board or similar governing body, business agent, manager, organizer, employee, or representative in any capacity of any labor organization; (3). As a labor relations consultant or adviser to any person, employer, or agency, or as an officer, director, agent, or representative of any group or association of employers dealing with any labor organization, or in a position having specific collective bargaining authority or direct responsibility in the area of labor management relations in any corporation or association; (4). In a position which entitles its occupant to a share of the proceeds of, or as an officer or representative of, any entity whose activities are in whole or 35

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substantial part devoted to providing goods or services to any labor organization; or (5). In any capacity, other than in his capacity as a member of such labor organization, that involves decision making authority concerning, or decision making authority over, or custody of, or control of the monies, funds, assets, or property of any labor organization; subject to the provisions in subsection (B). (B). During the period of thirteen years after a conviction as determined in 304(A), or after the end of such imprisonment, whichever is later, no person shall serve in any capacity referred to in clauses (A)(1) through (A)(5) unless: (1). The sentencing court on the motion of the person convicted sets a lesser period of at least three years after such conviction or after the end of such imprisonment, whichever is later; or (2). Prior to the end of such period, in the case of a person so convicted or imprisoned, his citizenship rights, having been revoked as a result of such conviction, have been fully restored; or (3). The offense is an offense in this state, and the sentencing judge or, if the offense is a federal offense or an offense in another state, the [insert court of jurisdiction] in the county in which the individual resides, pursuant to any state sentencing guidelines and policy guidance, determines that such person’s service in any capacity referred to in clauses (A)(1) through (A)(5) would not be contrary to the purposes of this Act. Prior to making any such determination, the court shall hold a hearing and shall give notice of such proceeding by certified mail to the [STATE OFFICIAL/AGENCY] and to state, county, and federal prosecuting officials in the jurisdiction or jurisdictions in which such person was convicted. The court’s determination in any such proceeding shall be final. (C). [Any person who willfully violates this section shall be fined not more than [$10,000] or imprisoned for not more than [five years], or both.] (D). For the purpose of this section: 36

(1). A person shall be deemed to have been “convicted” and under the disability of “conviction” from the date of the judgment of the trial court, regardless of whether that judgment remains under appeal. (2). A period of parole shall not be considered as part of a period of imprisonment. (E). Whenever any person, by operation of this section, has been barred from office or other position in a labor organization as a result of a conviction, and has filed an appeal of that conviction, the following provisions shall apply: (1). Any salary which would be otherwise due such person by virtue of such office or position, shall be placed in escrow by the individual agency or organization responsible for payment of such salary; (2). Payment of such salary into escrow shall continue for the duration of the appeal or for the period of time during which such salary would be otherwise due, whichever time period is shorter; (3). Upon the final reversal of such person’s conviction on appeal, the amounts in escrow shall be paid to such person; and (4). Upon the final sustaining of such person’s conviction on appeal, the amounts in escrow shall be returned to the individual agency or organization responsible for payments of those amounts; and (5). Upon final reversal of such person’s conviction, such person shall no longer be barred by this statute from assuming any position from which such person was previously barred. TITILE IV. {MISCELLANEOUS PROVISIONS} Section 401. {Investigations} (A). The [STATE OFFICIAL/AGENCY] shall have power when he believes it necessary in order to determine whether any person has violated or is about to violate any provision of this Act, to make an investigation and in connection therewith he may enter such places and inspect such records and

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accounts and question such persons as he may deem necessary to enable him to determine the facts relative thereto. (B). The [STATE OFFICIAL/AGENCY] may report to interested persons or officials concerning the facts required to be shown in any report required by this Act and concerning the reasons for failure or refusal to file such a report or any other matter which he deems to be appropriate as a result of such an investigation. (C). For the purpose of any investigation provided for in this Act, the provisions relating to the attendance of witnesses and the production of books, papers, and documents in the [insert appropriate reference to State rules of civil procedure in jury demandable actions] are hereby made applicable to the jurisdiction, powers, and duties of the [STATE OFFICIAL/AGENCY] and any officers designated by the [STATE OFFICIAL/ AGENCY]. Section 402. {Retention of Rights Under Other Laws} (A). Except as explicitly provided to the contrary: (1). Nothing in this Act shall reduce or limit the responsibilities of any labor organization or any officer, agent, shop steward, or other representative of a labor organization, or of any trust in which a labor organization is interested, under any other laws; and (2). Nothing in this Act shall take away any right or bar any remedy to which members of a labor organization are entitled under such other law. Section 403. {Service of Process} For the purposes of this Act, service of summons, subpoena, or other legal process of a court of the state upon an officer or agent of a labor organization

in his capacity as such shall constitute service upon the labor organization. Section 404. {Prohibition on Certain Discipline by Labor Organization} It shall be unlawful for any labor organization, or any officer, agent, shop steward, or other representative of a labor organization, or any employee thereof to fine, suspend, expel, or otherwise discipline any of its members for exercising any right to which the member is entitled under the provisions of this Act. The provisions of section 102 shall be applicable in the enforcement of this section. Section 405. {Deprivation of Rights Under Act by Violence} [(A). It shall be unlawful for any person through the use of force or violence, or threat of the use of force or violence, to restrain, coerce, or intimidate, or attempt to restrain, coerce, or intimidate any member of a labor organization for the purpose of interfering with or preventing the exercise of any right to which the member is entitled under the provisions of this Act. (B). Any person who willfully violates this section shall be fined not more than [$1,000] or imprisoned for not more than [one year], or both.] Section 406. {Severability} Adopted by the Commerce, Insurance, and Economic Development Task Force December 4, 2004. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Political Funding Reform Act

Summary This model bill prohibits the payroll deduction of monies used for political purposes. It also establishes penalties for a violation of this section. Model Legislation Section 1. {Short Title} This Act shall be known as the Political Funding Reform Act. Section 2. {Legislative Declaration} This legislature finds and declares: A. That it is in the interest of this State’s citizens to ensure that government resources, including public employee time, public property or equipment, and supplies be used exclusively for activities that are essential to carrying out the necessary functions of government; B. That necessary governmental functions do not include using government resources to confer a political benefit or advantage on any private individual or organization, including, but not limited to, public employee unions and their members; C. That using government resources in any way to promote, support, or enhance the political activities of any private individual or organization, above that of other citizens or private organizations, is not a necessary or desirable function of government; and D. Therefore, it is the public policy of this State to prohibit the use of any government resources to collect or assist in the collection of political funds or to promote or assist in the political activity on behalf of any private individual or organization. Section 3. {Definitions} A. For the purposes of this Act, “public employer” means any state or local government, government agency, government instrumentality, special district, joint powers authority, school board or special 38

purpose organization that employs one or more persons in any capacity. B. For purposes of this act, all money shall be deemed to be “political funds” if any portion thereof is expended upon, or commingled with funds used for political activity, including, but not limited to: i. independent expenditures for communications advocating the election or defeat of clearly identified candidates for public office; ii. participating in, or intervening in (including the publication or distribution of statements), any political campaign on behalf of (or in opposition to) any candidate for public office, or any political party or committee; iii. supporting or opposing any pending or proposed ballot measure, including but not limited to efforts to collect signatures to place a measure on the ballot, and any efforts, including but not limited to direct mail and media campaigns, to solicit signatures for initiative petitions or to discourage voters from signing initiative petitions; iv. contributions to, and/or the operations or expenses of, a Political Action Committee; or v. communications or other activities of organizations where a substantial part of their activity which involves carrying on propaganda, or otherwise attempting to influence voters or legislation or ballot issues. C. The terms used in this subsection shall have the same meaning as under Section 501(c)(3) of Title 26, United States Code, and regulations promulgated by the Secretary of the Treasury thereunder. D. This section shall not apply to activities that are necessary to fulfill statutory obligations to inform the electorate and/or the public about the candidates or issues to be voted upon in a forthcoming election. Section 4. {Prohibitions} A. A public employer is prohibited from collecting or

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deducting or transmitting political funds within the meaning of this section. Section 5. {Penalties} A. For a period of two years, no public employer shall collect, deduct, or assist in the collection or deduction of funds for any purpose for a person or organization if, in violation of this article, the person or organization has: i. used as political funds, as defined in section 3(A) or (B), any of the funds collected or deducted for it by any public employer, or ii. commingled funds collected or deducted by any public employer with political funds. iii. whenever funds for multiple levels of an organization (local, regional, state, and/or national) are deducted, collected, and/or transmitted to a single recipient for all affiliates that receive funds from the recipient organization. B. Any employee whose wages have been deducted in violation of the provisions of this article may bring suit in a court of competent jurisdiction to obtain injunctive relief against the violator or person or public employer threatening violation. If the state enjoys sovereign immunity, nothing in this section shall be considered or otherwise construed to waive, or in any way abrogate such immunity. An employee whose wages have been deducted in violation of this article may bring suit in a court of competent jurisdiction to recover damages equal to: i. from a public employer violating the provisions of this article, or failing to take appropriate action

when informed of the violation, any amounts actually deducted from the public employee’s wages; and ii. from any individual or organization acting separately or in league with a public employer to violate the provisions of this article, twice any amounts actually received by said individual or organization from the injured public employee iii. The remedies in i. and ii. above shall not preempt any other causes of action and damage awards which may be available to public employees injured as a result of violations of this act. C. In any judgement for the plaintiff intended to enforce of this article the court may award reasonable attorneys’ fees as part of the court costs. Section 6. {Void Agreements} Any written or oral agreement, understanding, or practice between a public employer and any individual or organization that is in violation of the provisions of this article shall be deemed void on the effective date of this legislation, or ninety (90) days after its passage, whichever is later. Section 7. {Severability Clause} If any phrase, clause, or part of this article is found to be unconstitutional by a court of competent jurisdiction, the remaining phrases, clauses, and parts shall remain in full force and effect. Section 8. {Effective Date} ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Workers Bill of Rights

Prohibited conduct; service fee. (1) It shall be unlawful for a public employer or an officer or agent of a public employer to (a) Initiate, create, dominate, contribute to, or interfere with the formation or administration of any labor organization: Provided, That a public employer shall not be prohibited from permitting employees to confer with it during working hours without loss of time or pay; (b) Discriminate in regard to hire, terms or other conditions of employment in order to encourage or discourage membership in a labor organization: Provided further, That nothing in this act or in any law of this state shall preclude a public employer from making an agreement with an exclusive bargaining representative as defined in section 11 to require as a condition of employment that all employees in the bargaining unit pay to the exclusive bargaining representative a service fee equivalent to the amount of dues uniformly required of members of the exclusive bargaining representative; (c) Discriminate against a public employee because he has given testimony or instituted proceedings under this act; or (d) Refuse to bargain collectively with the representatives of its public employees, subject to the provisions of [collective bargaining provision]. (2) It is the purpose of this amendatory act to reaffirm the continuing public policy of this state that the stability and effectiveness of labor relations in the public sector require, if such requirement is negotiated with the public employer, that all employees in the bargaining unit shall share fairly in the financial support of their exclusive bargaining representative by paying to the exclusive bargaining representative a service fee which may be no greater than the part of the membership fee that represents a pro rata share of expenditures for purposes germane

to the collective bargaining process, to contract administration, or to grievance assistance. (a) Where a mandatory service fee is agreed upon, the exclusive bargaining representative must, on a yearly basis, not more than 90 days after the end of its fiscal year, provide financial disclosure information to all employees of the bargaining unit and to the general public by filing with the Commission a report containing the following information, detailed by functional spending categories, which accurately discloses its financial condition and operations for the preceding fiscal year: (i) assets and liabilities at the beginning and end of the fiscal year; (ii) salary, the cost of fringe benefits, allowances and other direct or indirect disbursements to each officer of the local, bargaining representative, and support staff, as well as all contributions to state or national affiliates and any official or employee thereof; (iii) all income received or the value of services furnished to an exclusive representative by either a parent affiliated labor organization or by any other labor organization on behalf of the exclusive representative; (iv) an itemization of the total amount spent by the exclusive bargaining representative for: (A contract negotiation and administration; (B) organizing activities; (C) strike activities; (D) litigation, specifying the matters and cases involved; (E) public relations activities; (F) political activities; (G) activities attempting to influence the passage

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or defeat of federal, state or local legislation or the content or enforcement of federal, state or local regulations or policies; (H) voter education and issue advocacy activities, (I) training activities for each officer of the local bargaining representative or union support Staff, (J) conference, convention, and travel activities engaged in by exclusive bargaining representatives; (v) the percentage of the labor organization’s total expenditures that were spent for each of the activities described in subparagraphs (A) through (J) of paragraph (iv); (vi) the names, addresses and activities of any of the law firms, public relations firms or lobbyists whose services are used by the labor organization for any activity described in subparagraphs (D) through (J) of paragraph (iv); (vii) a list of political candidates, political organizations, charitable organizations, non-profit organizations and community organizations to which the labor organization contributed financial or in-kind assistance and the dollar amount of such assistance; (viii) the name and address of any political action committees with which the labor organization is affiliated or to whom it provides contributions, the total amount of contributions to such committees, the candidates or causes to which such committees provided any financial assistance, and the amount provided to each such candidate or cause. (b) The report required in subsection (a) shall be prepared by an auditing organization, independent of the exclusive bargaining representative, using generally accepted auditing standards, and generally accepted accounting principles, which shall ensure the accuracy and veracity of the information provided by the labor organization. All union expenditures shall be reported as either germane to collective

bargaining, contract administration, or grievance processing, or not so related. (3) It shall be unlawful for a labor organization or its agents (a) to restrain or coerce: (i) public employees in the exercise of the rights guaranteed this section: Provided, That this subdivision shall not impair the right of a labor organization to prescribe its own rules with respect to the acquisition or retention of membership therein; or (ii) a public employer in the selection of its representatives for the purposes of collective bargaining or the adjustment of grievances; (b) to cause or attempt to cause a public employer to discriminate against a public employee in violation of subdivision (c) of subsection (1); or (c) to refuse to bargain collectively with a public employer. (d) to fail or refuse to prepare the report required, in violation of subsections (2)(a) and (2)(b). A failure or refusal to provide the report required herein shall result in the refund of all membership dues or agency fees to employees of the bargaining unit for the period covered by the report. A second failure or intentional refusal to report shall result in mandatory deauthorization of the exclusive bargaining representative which shall not represent the bargaining unit for a period not less then one year.

Most of the above work derived from, The Michigan Union Accountability Act, Robert P. Hunter, Author. © 2001MACKINAC CENTER FOR PUBLIC POLICY All RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Entitling Public Employees Paying Dues or Fees Under A Contract With “Union Security” Certain Disclosure Rights

Section 1 {Purpose} An Act requiring union disclosure as a condition of allowing union security agreements in contracts for public employee bargaining units. An act relating to public employees rights regarding union security; amending the following sections (list statutes to be adjusted.): Section 2 {Compliance} A. Employee organizations and all affiliated organizations receiving funds collected under union security contracts must provide the following to all employees in a represented bargaining unit, members and non-members alike: 1. Annual notice of the fact that membership is optional and a description of the method by which they may pay only a fee for “germane” or “chargeable” activities of the bargaining unit. 2. Annual notice specifying the financial information the exclusive bargaining representative will make available to the represented employee upon request.

B. Any exclusive bargaining representative (or affiliate collecting dues or fees pursuant to an union security provision), with annual receipts of $200,000 or more, shall at a minimum provide, upon request by an affected employee: 1. The compensation of the exclusive bargaining representative’s officers (including salaries and benefits), and 2. An itemized list with brief explanation of the exclusive bargaining representative’s expenditures that aggregate more then $5,000.00. C. Delete any remaining statutory references to union security clauses. Section 3 {Enforcement} Workers who are subjected to unauthorized dues or fees assessment deductions in public workplaces are granted a cause of action to seek penalties, repayment (treble if intentional) and injunctions to redress their injuries. Section 4 {Severability Clause}

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Disclosure of Union Salaries

Model Legislation Section 1. {Definitions} (A) “Available” means available for inspection at no cost upon written request at the local office of the teachers’ union. (B) “Employer Paid Benefits” means any payment by a teacher’s union to an employee, former employee, or dependent of an employee or former employee which would not have been made if the employee or former employee had not been employed by a teachers’ union. Employer paid benefits shall not include any payment from any insurance trust or fund which is offset by previous payments by a teachers’ union or employee of a teachers’ union. (C) “Represented employees” means any member of a teachers’ union or those teachers or school support services employees who pay partial payment to the teachers’ union for representation. (D) “Union Employee” means someone who works for the teachers’ union or spends their time primarily performing duties designed to manage, promote or provide support for the functioning of the teachers’ union. (E) “Teachers’ union” means any association or organization of employees, and any agency, employee representation committee, or plan in

which employees participate that exists, in whole or in part, to advocate on behalf of teachers or school support services employees about grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work. (F) “Wages and Salaries” means all payments made either directly or indirectly to an employee of a teachers’ union. Section 2. {Reporting} (A) Teachers’ unions shall prepare and maintain contemporaneous records recording the amount of all wages and salaries and employer paid benefits being provided to all union employees. (B) Teachers’ unions shall make such records available for inspection to all represented employees within (28) days after a request for inspection. (C) Failure to provide access to the requested records within the allotted time will result in a penalty of ($$$) per day being assessed against the teachers’ union until such time as the information is provided to the represented employee. ©1998 - 2005 ALEC All RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Religious Objection

Section 1. {Short Title} This Act shall be known as the Employee’s Religious Rights Reform Act. Section 2. {Legislative declarations} This legislature finds and declares: A. That many public employees are required against their will to pay agency fees for representation they do not want, and B. The U.S. Supreme Court has held that the amount of agency fees must not exceed the fee payer’s pro rata share of union expenses for collective bargaining, contract administration, and grievance processing; and C. That many public employees are required against their will to pay agency fees to a union that they believe is immoral or in contradiction to their religious beliefs; and D. Federal law prevents individual employees from being forced to financially support a union if doing so violates the employee’s sincerely held religious beliefs, and accommodates the conflict between an employee’s faith and a requirement to pay fees to a union he believes to be immoral by allowing employees instead to donate that money to a charitable organization; and E. That legislation is imperative to provide public employees from excessive fees. Section 3. {Definitions} A. “Agency fee payer” means an individual who is not a union member, but is employed in a bargaining unit represented by an exclusive representative that has negotiated a “union security” or “agency shop” clause subjecting all represented employees to the obligation to either maintain membership in the exclusive representative, or pay some portion of union dues as a condition of continued employment with the public employer. No agency fee payer shall be deemed to

have consented to any exaction of agency fees as a condition of continued employment. B. “Available” means available for inspection at no cost upon written request at the local office of the exclusive representative. C. “Chargeable activity” means an expenditure or activity for purposes of collective bargaining, contract administration, and grievance adjustment undertaken by the exclusive representative, or an affiliate of the exclusive representative, directly on behalf of the bargaining unit in which the “agency fee payer” is employed. D. “Charitable organization” means any organization granted 501(c)3 tax status by the Internal Revenue Service. F. “Exclusive representative” means a labor union, employee organization, or professional association consisting of and representing public employees in a particular workplace. E. “Expenditure” means all union expenditures of funds in any amount. F. “Nonchargeable activity” means an expenditure or activity for purposes other than collective bargaining, contract administration, and grievance adjustment undertaken by the exclusive representative, or an affiliate of the exclusive representative, on behalf of the bargaining unit in which the “agency fee payer” is employed, including, but not limited to, organizing activities, social activities, and activities to maintain the exclusive representative’s corporate existence. G. For the purposes of this Act, “public employer” means any state or local government, government agency, government instrumentality, special district, joint powers authority, school board or special purpose organization that employs one or more persons in any capacity. H. “Religious objector” means any individual that sincerely holds a personal religious belief that he or she may not contribute financially to a union, or 45

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any individual that belongs to or subscribes to the teachings of a religious organization that prohibits financially supporting a union. Section 4. {Compliance} A. Public employers negotiating and enforcing “union security” or “agency shop” clauses in their agreements with an exclusive representative of its employees shall not force public employees to violate their religious beliefs by payment of agency fees. Upon receiving notice of a religious objector’s sincerely held religious belief prohibiting contribution to the exclusive representative, the public employer shall deduct and place in an escrow account the full amount of union dues from the wages of religious objectors. B. Each year, public employers shall refund to religious objectors from the escrow account the amount of his or her union dues that is designated non-chargeable by the exclusive representative. C. Public employers shall direct from the escrow the amount of the religious objector’s union dues that is designated chargeable by the exclusive representative to a charitable organization of the religious objector’s choosing. D. Exclusive representatives of public employees negotiating “union security” or “agency shop” clauses in their agreements with public employers shall, as a condition of enforcement of such agreements require their employees to prepare and maintain contemporaneous records recording the nature of their activities and the amount of time expended in each such activity, and shall allocate those activities into chargeable and nonchargeable categories. E. To fulfill the purposes of this Act, exclusive representatives shall allocate all time and expenditures paid for by the dues and fees collected from public employees as either “chargeable to agency fee payers” or “nonchargeable to agency fee payers” not later than fourteen (14) days after the date upon which the activity occurs. All activities and expenditures not so allocated within the required period shall be deemed “nonchargeable to agency fee payers.” 46

F. As to determining the “chargeablility” of political and ideological activities and expenditures, the exclusive representative shall apply the legal standards set forth in controlling court decisions. As to determining the “chargeability” of all other activities and expenditures, the exclusive representative shall limit the “chargeable” activities to those collective bargaining, contract administration, and grievance adjustment activities undertaken for, or on behalf of the bargaining unit within which the agency fee payer is employed. It is the purpose of this section to limit “chargeable expenditures” to a greater degree than set forth in the Supreme Court’s decision in Lehnert v. Ferris Faculty Ass’n, 500 U.S. 507 (1991). G. All allocations of activities and expenditures of an exclusive representative shall be made available to represented employees no later than twenty-eight (28) calendar days after the activity or expenditure. Any activity or expenditure not made available for review within such period shall be deemed “nonchargeable” to agency fee payers. H. To the extent that the exclusive representative may, by virtue of its affiliation with a regional, state, national, international, or any other form of affiliated labor organization, seek to compel represented employees to subsidize the activities of such affiliate or affiliates, similar records must be provided to, and maintained by the exclusive representative. Payments made by an exclusive representative to any such affiliate not maintaining and providing such records to the exclusive representative shall be deemed “nonchargeable to agency fee payer.” I. For activities or expenditures continuing for more than fourteen (14) days, the exclusive representative shall provide an estimate of the duration and anticipated allocation to “chargeable” and “nonchargeable” costs in records made available for review pursuant to the terms of this section. Section 5. {Penalties} A. An exclusive representative failing to prepare and make reports available as set forth herein shall be deemed to have surrendered its authority to collect from nonmembers agency fees for a period of one

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(1) month. After two such occurrences, the exclusive representative shall be deemed to have surrendered its authority to collect from nonmembers agency fees for a period of one (1) year. B. Upon sworn written notice to a public employer of an exclusive representative’s failure to provide a timely opportunity for inspection, a public employer shall suspend deductions of agency fees from all agency fee payers for a period of one (1) month. After two (2) such occurrences, the public employer shall suspend deductions of all agency fees from all agency fee payers for a period of one (1) year. C. A public employer failing to comply with this section shall be liable to all agency fee payers for an amount equal to twice the fees wrongfully held, plus the costs (including attorney’s fees) of any action to recover such fees. Section 6. {Effective Date}

Section 7. {Severability Clause} The provisions of this Act are severable. If any provision of this measure or its application to any person or circumstance is held invalid, that invalidity shall not affect any other provision or application of this measure which can be given effect without the invalid provision or application. If any provision of this measure is held to be in conflict with federal law, that provision shall remain in full force and effect to the maximum extent permitted by federal law. For purposes of this section, “provision” shall mean any section, subdivision, sentence, phrase or word. Section 8. {Construction} This Act shall be liberally construed to accomplish its purposes. Compliance herewith is not intended to, nor is to be construed as, substitute for compliance with “the constitutional

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Right to Work Act

Summary ALEC’s model Right to Work Act provides that no employee need join or pay dues to a union, or refrain from joining a union, as a condition of employment. The Act establishes penalties and remedies for violations of the Act’s provisions. Model Legislation Section 1. { Title.} This Act may be cited as the Right to Work Act. Section 2. {Declaration of public policy.} It is hereby declared to be the public policy of the State of (state), in order to maximize individual freedom of choice in the pursuit of employment and to encourage an employment climate conducive to economic growth, that the right to work shall not be subject to undue restraint or coercion. The right to work shall not be infringed or restricted in any way based on membership in, affiliation with, or financial support of a labor organization. Section 3. {Labor organization.} The term “labor organization” means any organization of any kind, or agency or employee representation committee or union, that exists for the purpose, in whole or in part, of dealing with employers concerning wages, rates of pay, hours of work, other conditions of employment, or other forms of compensation. Section 4. {Freedom of choice guaranteed, discrimination prohibited.} No person shall be required, as a condition of employment or continuation of employment: (A) to resign or refrain from voluntary membership in, voluntary affiliation with, or voluntary financial support of a labor organization; (B) to become or remain a member of a labor organization;

(C) to pay any dues, fees, assessments, or other charges of any kind or amount to a labor organization; (D) to pay to any charity or other third party, in lieu of such payments, any amount equivalent to or a pro-rata portion of dues, fees, assessments, or other charges regularly required of members of a labor organization; or (E) to be recommended, approved, referred, or cleared by or through a labor organization. Section 5. {Voluntary deductions protected.} It shall be unlawful to deduct from the wages, earnings, or compensation of an employee any union dues, fees, assessments, or other charges to be held for, transferred to, or paid over to a labor organization, unless the employee has first presented, and the employer has received, a signed written authorization of such deductions, which authorization may be revoked by the employee at any time by giving written notice of such revocation to the employer. Section 6. {Agreements in violation, and actions to induce such agreements, declared illegal.} Any agreement, understanding, or practice, written or oral, implied or expressed, between any labor organization and employer that violates the rights of employees as guaranteed by provisions of this chapter is hereby declared to be unlawful, null and void, and of no legal effect. Any strike, picketing, boycott, or other action by a labor organization for the sole purpose of inducing or attempting to induce an employer to enter into any agreement prohibited under this chapter is hereby declared to be for an illegal purpose and is a violation of the pro-visions of this chapter. Section 7. {Coercion and intimidation prohibited.} It shall be unlawful for any person, labor organization, or officer, agent or member thereof, or employer, or officer thereof, by any threatened or actual intimidation of an employee or prospective employee, or an employee’s or prospective employee’s parents, 49

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spouse, children, grand-children, or any other persons residing in the employee’s or prospective employee’s home, or by any damage or threatened damage to an employee’s or prospective employee’s property, to compel or attempt to compel such employee to join, affiliate with, or financially support a labor organization or to refrain from doing so, or otherwise forfeit any rights as guaranteed by provisions of this chapter. It shall also be unlawful to cause or attempt to cause an employee to be denied employment or discharged from employment because of support or nonsupport of a labor organization by inducing or attempting to induce any other person to refuse to work with such employees. Section 8. {Penalties.} Any person who directly or indirectly violates any provision of this chapter shall be guilty of a misdemeanor, and upon conviction thereof shall be subject to a fine not exceeding (insert amount) or imprisonment for a period of not more than (insert time period), or both such fine and imprisonment. Section 9. {Civil remedies.} Any employee harmed as a result of any violation or threatened violation of the provisions of this chapter shall be entitled to injunctive relief against any and all violators or persons threatening violations and may in addition thereto recover any and all damages, including costs and reasonable attorney fees, of any character resulting from such violation or threatened violation. Such remedies shall be independent of and in addition to the penalties and remedies prescribed in other provisions of this chapter.

Section 10. {Duty to investigate.} It shall be the duty of the prosecuting attorneys of each county (or the attorney general of this state) to investigate complaints of violation or threatened violations of this chapter and to prosecute all persons violating any of its provisions, and to take all means at their command to ensure its effective enforcement. Section 11. {Prospective application.} The provisions of this chapter shall apply to all contracts entered into after the effective date of this chapter and shall apply to any renewal or extension of any existing contract. Section 12, {Emergency Clause} An emergency existing therefore, which emergency is hereby declared to exist, this Act shall be in full force and effect on and after its passage and approval. Section 13. {Severability clause.} Section 14. {Repealer clause.} Section 15. {Effective date.} 1995 Sourcebook of American State Legislation ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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VI. Additional Policies

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Granting Cause for Unfair Labor Practices Against Employee Organizations

Section 1 {Purpose} The purpose of this act is to expand workers rights by granting them additional causes to file unfair labor practice complaints against employers and employee organizations. Section 2 {Title} Section 3 {Unfair Labor Practices Defined} A. It is an unfair labor practice for an employer: 1. To interfere with, restrain, or coerce employees in the exercise of the rights guaranteed by this chapter; 2. To dominate or interfere with the formation or administration of any employee organization or contribute financial or other support to it: PROVIDED, That subject to rules adopted by the commission, an employer shall not be prohibited from permitting employees to confer with it or its representatives or agents during working hours without loss of time or pay; 3. To encourage or discourage membership in any employee organization by discrimination in regard to hire, tenure of employment, or any term or condition of employment; 4. To discharge or discriminate otherwise against an employee because that employee has filed charges or given testimony under this chapter; 5. To refuse to bargain collectively with the representatives of its employees. 6. To divert funds collected as workplace representation dues or fees to make contributions or expenditures to influence an election or to operate a political committee, unless affirmatively authorized by the individual. B. It is an unfair labor practice for an employee organization: 1. To restrain or coerce an employee in the exercise of the rights guaranteed by this chapter: PROVIDED, That this subsection shall not impair the right of an

employee organization to prescribe its own rules with respect to the acquisition or retention of membership in the employee organization or to an employer in the selection of its representatives for the purpose of bargaining or the adjustment of grievances; 2. To cause or attempt to cause an employer to discriminate against an employee in violation of subsection (A)(3) of this section; 3. To discriminate against an employee because that employee has filed charges or given testimony under this chapter; 4. To refuse to bargain collectively with an employer. 5. To divert funds collected as workplace representation dues or fees to make contributions or expenditures to influence an election or to operate a political committee, unless affirmatively authorized by the individual. 6. To deny membership and full membership rights and privileges to any person because of age, sex, marital status, race, creed, color, national origin, or the presence of any sensory, mental, or physical disability or the use of a trained dog guide or service animal by a disabled person. 7. To expel from membership any person because of age, sex, marital status, race, creed, color, national origin, or the presence of any sensory, mental, or physical disability or the use of a trained dog guide or service animal by a disabled person. 8. To discriminate against any member, employer, employee, or other person to whom a duty of representation is owed because of age, sex, marital status, race, creed, color, national origin, or the presence of any sensory, mental, or physical disability or the use of a trained dog guide or service animal by a disabled person. 9. To refuse to disclose to those paying dues or fees for workplace representation records of expenditures made using funds collected under the terms of a union security contract. 53

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10. To fail to disclose information about the employees right of nonassociation including both (a) the right to pay a representation fee no greater than the part of the membership fee that represents a pro rata share of expenditures for purposes germane to the collective bargaining process, to contract administration, or to pursuing matters affecting wages, hours, and other conditions of employment, and (b) the right of those with religious objections to designate dues to charity. 11. To refuse to allow any employee (including agency fee payers) in a bargaining unit with exclusive representation the right to vote on workplace issues (i.e. contract adoption or amendment votes, strike votes, work action votes)

Section 4 {Exceptions} The expression of any views, arguments, or opinion, or the dissemination thereof to the public, whether in written, printed, graphic, or visual form, shall not constitute or be evidence of an unfair labor practice under this chapter, if such expression contains no threat of reprisal or force or promise of benefit. Section 5 {Element of age not to affect apprenticeship agreements} Section 6 {Severability} Section 7 {Effective Date}

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Affiliated Unions Share A Contribution Limit

Section 1. {Purpose} Labor unions circumvent campaign contribution limits by directing affiliated unions’ and associations to contribute in a coordinated effort. The intent of campaign contribution limits can be enforced by statutorily defining affiliated organizations as one for the purposes of campaign contribution limits. Section 2. {Attribution of contributions by controlled entities.} For purposes of this chapter: (1) A contribution by a political committee with funds that have all been contributed by one person who

exercises exclusive control over the distribution of the funds of the political committee is a contribution by the controlling person. (2) Two or more entities are treated as a single entity if one of the two or more entities is a subsidiary, branch, or department of a corporation or a local unit, branch, or affiliate of a trade association, labor union, or collective bargaining association. All contributions made by a person or political committee whose contribution or expenditure activity is financed, maintained, or controlled by a trade association, labor union, collective bargaining organization, or the local unit of a trade association, labor union, or collective bargaining organization are considered made by the same person or entity.

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Equal Access for Alternative Organizations

Summary An act to prohibit unions from holding veto power over the messages employees receive from other organizations in the workplace. Model Legislation The State Board of Education shall adopt such rules as necessary to ensure that not-for-profit, professional teacher associations which offer membership to al teachers, noninstructional personnel and administrators, and which offer teacher training and staff development at no fee to the district shall be given equal access to voluntary teacher meetings, be provided access to teacher mailboxes for distribution of professional literature.

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Prohibition on Release Time for Union Business

WHEREAS, many public agencies, including school districts, regularly provide release time for union leaders and negotiating team members to conduct union business; and WHEREAS, such time should be recorded in order to determine how much time an employee spends on union activity as opposed to performing his/her job duties; and WHEREAS, such union leaders are often senior level employees at the top of the salary schedule; and WHEREAS, drawing out the negotiating process often causes substantial costs to accrue, especially when an impasse results in prolonged negotiations lasting as long as 6-12 months; and WHEREAS, the individual agencies or school districts are still responsible for paying the salaries of their

employees, even when they are not performing their job functions, but are involved in union business; and WHEREAS, most agencies and school districts would benefit from requiring unions to pay for the time their representatives work on union business; NOW THEREFORE LET IT BE RESOLVED, that the State/Commonwealth of (insert state) urges legislatures to revise any policy that allows release time for public employees to conduct union business, and to acknowledge and preserve the role of the states and federal agencies in the interpretation and enforcement of such laws. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Public Employee Freedom Act

Summary Excluded from National Labor Relations Act (NLRA), public employees are subject to state and local laws governing collective bargaining. Many of these laws are “monopoly bargaining laws,” which means that even if an employee chooses not to join a union, he or she must accept the terms of the contract negotiated for unionized workers in the workplace. This act establishes the workers’ right, in mutual agreement with the public employer, to representation by a public employee’s own choosing. Model Legislation Section 1. {Short Title.} This Act shall be known as the Public Employee Freedom Act. Section 2. {Legislative Declarations.} This legislature finds and declares that: A. An employer and employee should be free to contract on their own terms. B. Mandatory collective bargaining laws violate this freedom. C. As a result, it is against the public policy interests of this State/Commonwealth to impose mandatory collective bargaining laws on public employees and the organizations that represent them in the collective bargaining process. Section 3. {Definitions.} A. “Employee organization” means any association or organization of employees, and any agency, employee representation committee, or plan in which employees participate that exists, in whole or in part, to advocate on behalf of employees about grievances, labor disputes, wages, rates of pay, hours of employment, or conditions of work. B. “Public employee” means a person holding a position by appointment or employment in the 58

government of this State, or any of its political subdivisions, including, but not limited to public schools, and any authority, commission or board, or in any other branch of public service. (1) “Public employee” does not include employees whose jobs entail managerial, supervisory, or confidential responsibilities. C. For the purposes of this Act, “public employer” means any state or local government, government agency, government instrumentality, special district, joint powers authority, school board or special purpose organization that employs one or more persons in any capacity. Section 4. {Public employee freedom guaranteed.} A. Public employees shall have the right to represent themselves in their relations with the public employer. B. Nothing shall prevent employees from delegating their right to represent themselves to an agent or agents. Such delegation shall be authorized by each employee in writing on an annual basis only after the agent has submitted a certified financial accounting of fees accepted and expenditures made over the past year to each employee. C. No provision of any agreement between an employee organization and a public employer, or any other public policy, shall impose representation by an employee organization on public employees who are not members of that organization. Section 5. {Prohibition of automatic payroll deductions} No dues, fees, assessments or any other automatic payroll deductions by public employers from public employee payroll compensation shall be allowed for transmission to any public employee organization, any intermediary, or private individual, other than for primary and supplemental pension plans, life, health and other employee benefits, or contributions made to 501C(3) charitable organizations through a workplace givings program.

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Section 6. {Agreements in violation, and actions to induce such agreements, declared illegal.} Any agreement, understanding, or practice, written or oral, implied or expressed, between any employee organization and public employer that violates the rights of employees as guaranteed by provisions of this chapter is hereby declared to be unlawful, null and void, and of no legal effect. Any strike, picketing, boycott, or other action by an employee organization for the purpose of inducing or attempting to induce an employer to enter into any agreement prohibited by this chapter is hereby declared to be for an illegal purpose and is a violation of the provisions of this chapter. Section 7. {Coercion and intimidation prohibited.} It shall be unlawful for any person, employee organization, or officer, agent, or member thereof, by any threatened or actual intimidation of an employee or perspective employee, or an employee or perspective employee’s parents, spouse, children, grandchildren, or any other persons residing in the employee’s or perspective employee’s home, or by any damage or threatened damage to an employee’ or perspective employee’s property, to compel or attempt to compel such employee to join, affiliate with, or financially support an employee organization. Section 8. {Penalties.} Any person who directly or indirectly violates

any provision of this chapter shall be guilty of a misdemeanor, and upon conviction thereof shall be subject to a fine not exceeding(insert amount) or imprisonment for a period of not more than (insert time period), or both such fine or imprisonment. Section 9. {Duty to investigate} It shall be the duty of the state attorney general to investigate complaints of violation or threatened violations of this chapter and to prosecute any or all persons violating any of its provisions, and to take all means at his or her command to ensure its effective enforcement. Section 10. {Prospective application} The provisions of this chapter shall apply to all contracts or contract extensions entered into after the effective date of this chapter, but no later than two years hence. Section 11. {Severability clause.} Section 12. {Repealer clause.} Section 13. {Effective date.} ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Resolution Opposing “Card Check” and Forced, Compulsory Binding Arbitration

Summary A resolution opposing efforts to amend the National Labor Relations Act of 1935 removing the private election phase of union recognition campaigns and forcing binding arbitration on employers during union negotiations. Existing labor law provides for a twophase process of union recognition: the signing of authorization cards and a private election overseen by the National Labor Relations Board. WHEREAS, the right to private elections is the cornerstone of American democracy; and WHEREAS, private ballot elections are the most democratic way to determine employees’ wishes and guarantee an outcome unaffected by outside pressures; and WHEREAS, federally supervised elections conducted by the National Labor Relations Board have been the accepted law governing union recognition campaigns for 60 years, providing detailed procedures that ensure a fair election, free of fraud, where employees may cast their vote confidentially without peer pressure or coercion from unions or employers; and WHEREAS, limiting union recognition to signing authorization cards (“card check”) in the presence of union officials, coworkers and employers does not reflect the unbiased will of employees; and WHEREAS, in recent years the vast majority of businesses targeted by union organizing campaigns have been small businesses with 50 or fewer employees; and WHEREAS, small businesses are more likely to be held captive at the will of union organizing efforts as

they have less resources for the lengthy legal process of union recognition campaigns; and WHEREAS, efforts to eliminate private elections are an attack on the free speech rights of business and workers’ individual rights; and WHEREAS, compulsory binding arbitration, which would force employers to accept the terms of a first contract if the employer and the union cannot agree, is fundamentally unconstitutional, and will dramatically undermine the ability of any employer to negotiate; and WHEREAS, compulsory arbitration discourages the parties from offering compromises in bargaining for fear that they may prejudice their position in arbitration. NOW, THEREFORE BE IT RESOLVED, that the American Legislative Exchange Council (ALEC) opposes proposals seeking to eliminate the private election phase of union recognition campaigns and implement compulsory binding arbitration on employers. BE IT FURTHER RESOLVED that ALEC supports democracy in the workplace by maintaining every worker’s right to privately decide whether or not to allow a particular union to represent their interests. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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Resolution Urging Congress to Oppose Federal Standards for Monopoly Bargaining

Summary This resolution urges Congress to reject legislation to federalize monopoly collective bargaining laws for state and local public safety employees such as police officers and firefighters. Such legislation would usurp the long-standing principle that state and local jurisdictions have authority over these workers. Currently, state and local governments are empowered to regulate collective bargaining activities for these employees. Fourteen states, in fact, have decided not to adopt monopoly bargaining for public safety workers. Proposed federal legislation would turn this on its head by granting the Federal Labor Relations Authority (FLRA) the power to impose monopoly bargaining for state and local jurisdictions that have decline until now. Model Resolution WHEREAS, Proposed federal legislation would result in overturning present state laws relating to police and firefighters; and WHEREAS, the sole purpose federal legislation is to force the state of ______ into recognizing union officials as the sole bargaining agent of police and firefighters; and WHEREAS, federal legislation could result in the Federal Labor Relations Authority (FLRA) mandating the forced payment of union dues or fees as a condition of employment for police and firefighters; and

WHEREAS, federal legislation could create a shortage of volunteer firefighters; and WHEREAS, federal legislation would create a new unfounded federal mandate on the taxpayers of _____; and WHEREAS, the Supreme Court ruled on June 23, 1999 in Alden V. Maine that Congress does not have the authority to impose federal labor law on state government and therefore provisions of proposed federal legislation calling for enforcement by lawsuits in state courts are almost assuredly unconstitutional; THEREFORE BE IT RESOLVED that the state of _________ urges Congress to oppose federal legislation granting federal authorities the power to impose collective bargaining laws on public safety employees; and BE IT FURTHER RESOLVED, that the clerk (of the House or Senate) transmit copies of this resolution to the President and Vice President of the United States and to each member of Congress of the United States. Adopted by the CIED Task Force in 2000. ©1998-2005 ALEC ALL RIGHTS RESERVED All trademarks mentioned herein belong to their respective owners.

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CONTACT FOUNDATION EVERGREEN FREEDOM
P.O. BOX 552 OLYMPIA, WA 98507 360.956.3482 WWW.EFFWA.ORG

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