U.S. Department of Labor
Office of Labor-Management Standards
Buffalo District Office
130 South Elmwood Avenue, Suite 510
Buffalo, NY 14202
(716) 842-2900 Fax: (716) 842-2901
March 12, 2012
Mr. Robert Dwyer, Treasurer
Stage & Picture Operators AFL-CIO Local 9
P.O. Box 617
Syracuse, NY 13201
Case Number:
LM Number: 005205
Dear Mr. Dwyer:
This office has recently completed an audit of Stage & Picture Operators Local 9 under the Compliance Audit Program (CAP) to determine your organization’s compliance with the provisions of the Labor-Management Reporting and Disclosure Act of 1959 (LMRDA). As discussed during the exit interview with you and Trustee Shane Preston on March 6, 2012, the following problems were disclosed during the CAP. The matters listed below are not an exhaustive list of all possible problem areas since the audit conducted was limited in scope.
Reporting Violations
The audit disclosed a violation of LMRDA Section 201(b), which requires labor organizations to file annual financial reports accurately disclosing their financial condition and operations. The Labor Organization Annual Report Form LM-3 filed by Local 9 for the fiscal year ended December 31, 2010, was deficient in that:
Disbursements to Officers
Local 9 did not include some reimbursements to officers totaling at least $1,500 in the amounts reported in Item 24 (All Officers and Disbursements to Officers). It appears the union erroneously reported these payments in Item 48 (Office and Administrative Expense).
The union must report most direct disbursements to Local 9 officers and some indirect disbursements made on behalf of its officers in Item 24. A "direct disbursement" to an officer is a payment made to an officer in the form of cash, property, goods, services, or other things of value. See the instructions for Item 24 for a discussion of certain direct disbursements to officers that do not have to be reported in Item 24. An "indirect disbursement" to an officer is a payment to another party (including a credit card company) for cash, property, goods, services, or other things of value received by or on behalf of an officer. However, indirect disbursements for temporary lodging (such as a union check issued to a hotel) or for transportation by a public carrier (such as an airline) for an officer traveling on union business should be reported in Item 48.
I am not requiring that Local 9 file an amended LM report for 2010 to correct the deficient items, but Local 9 has agreed to properly report the deficient items on all future reports it files with OLMS.
I want to extend my personal appreciation to you and Trustee Shane Preston for the cooperation and courtesy extended during this compliance audit. I strongly recommend that you make sure this letter and the compliance assistance materials provided to you are passed on to future officers. If we can provide any additional assistance, please do not hesitate to call.
Sincerely,
Investigator
CC: Mr. Robert Cleland
Mr. Shane Preston, Trustee