Protest Decisions

OFFICE OF THE ELECTION SUPERVISOR

for the

INTERNATIONAL BROTHERHOOD OF TEAMSTERS

IN RE: HOFFA-HALL 2016,                      )           Protest Decision 2017 ESD 364

                                                                        )           Issued: January 13, 2017

            Protestor.                                           )           OES Case No. P-304-062316-NA     

____________________________________)                      

Hoffa-Hall 2016 filed a pre-election protest pursuant to Article XIII, Section 2(b) of the Rules for the 2015-2016 IBT International Union Delegate and Officer Election (“Rules”).  The protest alleged that Teamsters United’s period 4 CCER report showed two deficiencies: first, that it failed to account for the contributions of Take Back Our Union; and second, that it failed to report event expenses for particular fundraisers.

            Election Supervisor representative Jeffrey Ellison investigated this protest.

Findings of Fact and Analysis

Teamsters United filed its original report for the February 1, 2016 to May 31, 2016 reporting period on June 15, 2016.  The report was signed electronically on behalf of the slate by Myaisha Hayes, a campaign staffer who was not a member of the IBT.  The Rules require that slate reports be filed by their treasurers, who must be members of the IBT.  Teamsters United corrected the error by filing, also on June 15, 2016, an amended CCER report.  The only difference between the original and amended reports was the electronic signature, with the latter report signed by the slate’s designated treasurer, Nick Perry, who is a member of Local Union 413.

Pursuant to a standing written request from each campaign, OES notified the representatives of each campaign of the CCER period 4 filings and provided electronic links to the reports of candidates and slates.  Hoffa-Hall 2016 reviewed Teamsters United’s report and filed this protest.

The protest alleged deficiencies in Teamsters United’s CCER filing for the February 1, 2016 to May 31, 2016 reporting period.  With respect to the protest’s assertion that Teamsters United’s filing failed to account for the alleged continued existence and alleged ongoing relationship of independent committee Take Back Our Union (TBOU) with Teamsters United, we disposed of that assertion by holding, in Hoffa-Hall 2016, 2016 ESD 276 (July 20, 2016), that TBOU ceased to exist when it transferred its funds to Teamsters United, zeroed out its balances, and closed its bank accounts in March and April 2015.  No appeal was taken from that decision and we do not revisit it here.

With respect to fundraising activity of Teamsters United that occurred during the fourth CCER reporting period, the protest alleged that the filing failed to identify and account for expenses necessarily incurred in conducting the fundraising events the filing identified.  We address each of these events as follows.

A “Fundraising Events Held” addendum was filed for an event on February 13, 2016, designated as the “Providence Organizing Meeting.”  The event was held at the Rosario Society in Providence RI.  The number of persons making contributions to Teamsters United at this event was 68; together they contributed the cumulative amount of $3,709.00.  The cost incurred in conducting this fundraiser was listed as $0.00.  The protest asserted that “[t]here are always expenses to holding an event, however minimal,” yet Teamsters United’s filing declared that the slate incurred no expenses for this fundraiser.  Information provided in response to the protest showed that the February 13 event was organized and hosted by the Local Union 251 slate of candidates for delegates and alternate delegates allied with Teamsters United.  That local union slate arranged and paid for the venue and the sundry expenses associated with it.  Teamsters United supporters solicited contributions on behalf of the slate of International union candidates at the event.  Photos posted to the Facebook page of the United Action slate, the Local Union 251 delegate slate allied with Teamsters United, announced that “#251UnitedAction activists get together to support the 251 United Action Slate and #TeamstersUnited.”  Accordingly, we conclude the fundraising event addendum documenting activity at this event accurately reported that Teamsters United, the filing party, incurred no expenses for this event.  No local union slate of candidates is required by the Rules to file CCER reports.  Further, nothing in the Rules prohibits a local union slate allied with a candidate or slate of candidates for International office from hosting and paying for an event at which contributions are made to that candidate or slate of candidates for International office. 

A similar arrangement occurred at an event held at the Eagles Club in Wadsworth OH, near Akron, on February 14, 2016.  There, the slate of candidates for Local Union 24’s delegates and alternate delegates election hosted and paid for an event at which contributions were made to the Teamsters United slate of candidates for International office.  Publicity for the event announced, “Meet Fred Zuckerman, Tony Jones, Bill Frisky, Avral Thompson, and Your Local 24 Delegate Candidates;” in addition, it declared, “TEAMSTERS UNITED 24 Delegate Slate is running to be your voice at the Teamster Convention in June. We represent the membership -- NOT out of touch Officials!”  The “Fundraising Events Held” addendum attached to the CCER report for this event showed that 38 persons contributed a cumulative $986.00.  The addendum further showed that the slate incurred $0.00 to conduct this event, for the reason that the local union slate bore the expense.

On March 6, 2016, the slate of delegates allied with Teamsters United that competed in Local Union 100’s delegates and alternate delegates election hosted an event at a public park in West Chester OH, near Cincinnati.  Publicity for the event read, “Meet Fred Zuckerman, Avral Thompson, Bill Frisky, and Carlos Lizarraga of Teamsters United International Slate leading a national movement of Teamster officers and members uniting to elect new leadership in 2016. This event is hosted by the No More Hoffa Slate of front line stewards, former officers and agents, and workplace leaders of Local 100.”  The “Fundraising Events Held” addendum attached to Teamsters United’s CCER report for this event showed that 61 persons contributed a cumulative $1,445.00.  The addendum further showed that the Teamsters United slate incurred $0.00 to conduct this event, for the reason that the local union slate bore the expense.

On March 12, 2016, Teamsters United conducted a fundraiser at the Knights of Columbus Hall on Queens Blvd in Queens NY.  The “Fundraising Events Held” addendum attached to the CCER report showed that 52 persons contributed a cumulative $2,201.00.  Unlike the fundraising events just discussed, the expenses of this event were paid by the Teamsters United slate directly.  The CCER filing recorded the total cost at $610.46.  An entry made to the CCERS system on June 23, 2016 showed an itemized expenditure of $400.00 as the rental fee for the hall, bringing the total expenses incurred by Teamsters United for this event to 1,010.46.  In addition, one more contributor and another $100.00 contribution were associated with this fundraiser event on August 3, 2016, following a review of records prompted by the filing of this protest.  This contribution apparently was overlooked when the filing was first made.  These changes were visible to OES staff, but a formal amended filing, which would have made it visible to the protestor, was not made.

On March 19, 2016, an event was hosted at the Rameses #51 hall in Charlotte NC by the Local Union 71 slate allied with Teamsters United.  The event was organized to build support for that slate ahead of the April 4, 2016 mailing of ballots in that local union’s delegates and alternate delegates election.  Headlining the event were Fred Zuckerman and Tim Sylvester.  The CCER filing showed air travel expenses for Sylvester and Beth Breslaw, the slate’s campaign manager.  The local expenses of the event were borne by the slate of delegate and alternate delegate candidates and were not reported on the Teamsters United CCER filing.

On March 13, April 10, and May 14, 2016, separate meetings were held at the UE hall in Chicago IL.  These meetings were not conceived or executed as fundraising events; instead, they were planning sessions.  Nonetheless, on each occasion, a hall was rented, the $50 hall rental fee was paid by a member in good standing, and the payment was properly recorded in CCERS as an in-kind contribution.  Two of these payments appeared as in-kind contributions in the amended CCER filed June 15, 2016.  The third was not entered into the CCERS system until August 17, 2016; it was entered then following a review prompted by the filing of this protest.  The addition of the $50 in-kind contribution for the May 14, 2016 UE hall rental was visible to OES staff, but a formal amended filing, which would have made it visible to the protestor, was not made.

On January 9, 2017, we directed Teamsters United to file a second amended period 4 CCER report so that the additions made to the CCERS system after June 15, 2016 that were relevant to that filing period would be accessible to candidates wishing to review them.  Teamsters United complied with this directive on January 11, 2017.  We notified candidates that the second amended filing was available for review on January 13, 2017.

We DENY the portion of the protest that alleged that Teamsters United’s period 4 CCER filing failed to include fundraising event expenses, concluding that such expenses were paid for by allied local union delegate slates and as such were not reportable by Teamsters United on its filing.  With the filing of the second amended CCER report for this period, we deem the balance of the protest RESOLVED.

Any interested party not satisfied with this determination may request a hearing before the Election Appeals Master within two (2) working days of receipt of this decision.  The parties are reminded that, absent extraordinary circumstances, no party may rely upon evidence that was not presented to the Office of the Election Supervisor in any such appeal.  Requests for a hearing shall be made in writing, shall specify the basis for the appeal, and shall be served upon:

Kathleen A. Roberts

Election Appeals Master

JAMS

620 Eighth Avenue, 34^th floor

New York, NY 10018

kroberts@jamsadr.com

Copies of the request for hearing must be served upon the parties, as well as upon the Election Supervisor for the International Brotherhood of Teamsters, 1050 17^th Street, N.W., Suite 375, Washington, D.C. 20036, all within the time prescribed above.  A copy of the protest must accompany the request for hearing.

                                                                        Richard W. Mark

                                                                        Election Supervisor

cc:        Kathleen A. Roberts

            2017 ESD 364

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