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News IUOE Local #487 1425 NW 36th Street Miami, FL 33142 305-634-3419 Phone 305-634-4314 Phone 305-633-0698
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Newsletter Damon Brabham, who ably served as our Vice President for many years has retired. In accordance with the IUOE Constitution, the IUOE Local 487 Executive Board appointed Scott Singer to fill the vacancy left by Brother Brabham; Rodney Sanders was appointed to fill the Recording-Corresponding Secretary vacancy; and Danny McCullers was appointed Guard.
Although the overall initial claims for unemployment insurance benefits are trending down, unemployment in the construction industry continues to rise. The unemployment number in the construction industry was 19.4% for November. Because of Florida’s overall high unemployment rate (10.7%), Congress recently granted a 13-week extension of unemployment benefits. Privately funded building construction continues to be scarce. With so many unsold condominiums and vacant commercial real estate, building construction will be slow in recovering. Work on the Marlins Stadium project is progressing. Construction of the stadium’s ancillary $68 million parking garage is now in jeopardy because of the Securities and Exchange Commission’s inquiry into the City of Miami’s financial status. This could affect the bond sale necessary to fund the project. Construction on the Miami-Dade Transit Orange Line, Phase I project is continuing. Unfortunately, the Miami-Dade Responsible Employer Ordinance was not applied to the project because of apparent misinterpretation of the Ordinance’s accompanying Administrative Order by county administrators. An Implementation Order clarifying the scope of the Ordinance to include projects jointly funded by federal and county dollars has passed a Committee review and will soon be considered by the full Miami-Dade County Commission. We hope to make clear to county administrators that the Metro-Rail North Corridor and the East-West Corridor will be subject to the Ordinance, before the bids are solicited. The Poole & Kent Company has been awarded two projects with a total value of almost $30 million at Miami-Dade’s South District Wastewater Treatment Plant. Poole & Kent is the apparent low bidder on another project worth $11.4 million at the same plant, and another $16.3 million project at the Miami-Dade South Miami Heights Water Treatment Plant. The Miami-Dade Commission approved the awards on December 15th. The Port of Miami Tunnel project will be developed under a “Public/Private Partnership” (PPP) similar to the development of the I-595 Express project. A PPP is a contractual agreement between a public agency, in this case the Florida Department of Transportation, and a private sector bidder. The private partner in the development is Meridiam-Bouygues. The projected cost is $607 million, to be funded partly by the Florida Dept. of Transportation (50%), with the balance coming from Miami-Dade County and the City of Miami. Construction includes roadway work on Dodge and Watson Islands, widening of MacArthur Causeway, and a tunnel with twin tubes, each 3,900 feet in length and 41 feet in diameter, 120 feet beneath the Government Cut waterway. Work is expected to begin in June 2010, with a scheduled completion date of 2014. The City of Miami’s reported financial problems could affect the funding of this project as well as the Marlins Stadium parking garage. Work in the crane rental business is still very slow, but seems to be picking up to some extent. Work in the industry specializing in rental of earth moving, excavating and grading equipment is still extremely slow. Most of our members working in the equipment rental industry are working less than full time. Foundation related work is sporadic, busy for a while, and then another slow-down. Most of the work is for government funded projects or related to energy production facilities. We have heard little from the City of Stuart since they succeeded
in shifting more of the cost of health insurance onto the backs of their
employees. Tarmac continues to struggle through the recession and the decline in demand for construction materials has not abated. Our bargaining unit has been reduced by almost 50%. Those still working, are working reduced hours. In a recent grievance procedure, we were successful in reaching a settlement agreement, whereby the employment of a Tarmac ready-mix plant employee was reinstated. We reached the agreement prior to arbitration. Dunn Transportation and Stringing, Inc., the company which was awarded a contract by PSL North America/FGT, recently resumed unloading and stockpiling pipe in Okeechobee County, only to shut down again. They originally began operations in August but temporarily shut down because of pipe quality problems. The pipe is to supply a portion of the 550 miles of 36” and 42” pipeline stretching from Mobile Alabama to Okeechobee County, Florida. Approximately 100 miles of the pipeline is within our jurisdiction. At this time, we have no indication as to when work on the pipeline itself will begin. We now have two members qualified to issue operator qualification (OQ) certifications for pipeline work. This certification will be required of all operators dispatched to the FGT pipeline project. In the last newsletter, I reported that FPL had received a positive recommendation from a majority of the Florida Public Service Commission (PSC) staffers on its petition to build a $1.53 billion pipeline from Bradford County to Martin County. Before the PSC voted on the project, a scandal broke alleging improper ties between some PSC members and staffers, and FPL lobbyists. The PSC rejected the proposal in a subsequent vote. Bidding is underway on a 6.6 mile 30-inch pipeline link in the vicinity of FPL’s Turkey Point facility. Bechtel Corp. is beginning operations on the power upgrade at FPL’s St. Lucie nuclear facility, with the first operating engineer scheduled for a January 11, 2010 hire. They will be unloading parts and equipment for the project. We don’t yet have a schedule for the manpower requirements. We have no word yet on the scheduled upgrade at Turkey Point. On December 3rd, the Palm Coast Building Trades Council affiliates met with Bechtel Corp. officials to discuss Bechtel’s intention to bid on construction of two new FPL fossil fuel fired energy producing facilities. One facility will be built in our jurisdiction. Bechtel is reportedly the only union company being solicited to submit a bid. Several companies with a non-union history are expected to submit bids for the work. Bechtel is asking for certain concessions from the building trades affiliates, some of which did not appear to be acceptable to the leadership of the majority of the affiliates, including Local 487. It is my understanding that the same plea for concessions has been presented at the national level, with some acceptance for concessions, although I don’t have the details. Anyone interested in working at FPL’s nuclear facilities should contact John Mullen (561-865-2011) for information regarding qualification requirements for “red badge” access to the facilities. Of course, there are many restrictions on gaining access to nuclear facilities. Workers at the nuclear plants must have “red badge” access authorization. The process takes at least thirty days to complete the background check and to fulfill the training requirements. The criminal background check now has no time limitation. It is from cradle to the present. We are fortunate to have several staff members from IUOE Headquarters conducting a survey in our jurisdiction, and throughout the South, of working conditions in the crane rental industry. Since this information is known in the union sector, the focus of the survey has been on the non-unionized sector of the industry. The survey has produced information regarding the financial instability of certain companies in the crane rental industry; disparate employee wage rates; and substandard benefits and conditions of employment for crane operators working in the South. The information collected has revealed that some companies have amassed huge debt; have been sued for unpaid debts; filed for bankruptcy; have been fined for OSHA violations; have underpaid employee wages and benefits in violation of Miami-Dade County’s Responsible Employer Ordinance; and have discontinued employer payments into 401K pension accounts. You can see some of the information obtained as a result of the survey by logging onto www.cranewatchdog.com. It has been said that the wheels of justice grind slowly, but they grind exceedingly fine. Justice for the employees injured by Gimrock Construction’s unlawful actions beginning in 1995, has certainly been slow in coming, but it may eventually be exceedingly fine. On November 16th, Judge Ira Sandron ordered Gimrock to make whole the seven employees who were the victims of Gimrock’s illegal actions. Agents for the National Labor Relations Board (NLRB) have calculated the due back wages and interest accrued through December 31, 2007, to come to a total of $579,326.40. The company has until December 27th to file exceptions with the NLRB, which I’m sure they will do. I have petitioned Board Chairman, Wilma Liebman, to expedite the hearing of the case if exceptions are filed. In the meantime, the back wages and interest continue to mount. Additionally, Judge Sandron determined that “special remedies” were required to bring Gimrock to satisfy its bargaining obligations with the Union. He ordered Gimrock to submit requested information to the Union and report the submission to the Board, and to bargain with the Union for a minimum of 16 hours per week until an agreement is reached, or a lawful impasse is reached. We are once again in negotiations with Okeechobee County administrators. The issue of just cause for disciplinary action is still a sticking point in the negotiations. Apprenticeship, Training & Safety We currently have 26 apprentices in training. Registration for classes preparatory to the National Commission for the Certification of Crane Operators (NCCCO) written exams for crane operator certification will take place on Sunday, January 10, 2010, beginning at 8:00 am at the Union Hall in Miami. Union dues must be paid through June 2010 in order to be eligible for registration. The fees charged by NCCCO for administering the examination must be paid on registration day. Payment to NCCCO can be made by credit card, personal check, or money order. Cash cannot be accepted. Fees paid to the NCCCO will be reimbursed by the IUOE 487 Labor-Management Committee for each test passed by the candidate. The first NCCCO tests for crane signal person certification were administered on December 12th at the apprenticeship training site. Training and testing for pipeline operator qualification (OQ) is scheduled to be held at the apprenticeship training site on January 9th. The testing is based on 13 tasks that an equipment operator would have to perform on pipeline work. These tasks are identified under the Department of Transportation Pipeline Operations and Maintenance Standards. All referrals to future pipeline work must have this training. NANTEL training and testing is now necessary before referral to work in the Turkey Point and St. Lucie nuclear facilities. The test is on information specific to the work environment in a nuclear facility. Call John Mullen for more information. I urge all members to take advantage of the upgrading and certification classes available at the apprenticeship training site. Mark Schaunaman, our Apprenticeship Director, and the training instructors have the ability to provide OSHA, MSHA, HAZMAT, and First Responder training requirements; training and certification in trenching and backhoe operation; qualified operator certification for pipeline work; and crane signaling certification. Training is the keystone for safety and job opportunity. A schedule of other classes available to journeymen seeking to upgrade their skills is available.
Health care is the major topic of political discussion today. As of this writing, it is not certain that a health care reform bill will become law, and if it does, what effect it will have on working families. The “public option” appears dead, and a plan to extend a Medicare option to those between ages 55 and 65 has been quashed by one arrogant Senator, Joe Lieberman. The Democrats made the mistake of beginning their negotiations asking for what they thought they could get, instead of what they wanted, i.e., universal health care (Medicare for everyone). Meanwhile, the Obama administration has sat on the sidelines, more or less saying: we don’t care what it looks like, we just want to be able to say we passed health care reform. Whatever the outcome, it will have a tremendous effect on us. If nothing passes, we cannot sustain the status quo. It is also possible that something will pass which will further increase our costs. We, and the vast majority of Americans, need universal health care, the same health care provided to the citizens of almost all other industrialized countries. With the ever increasing premium costs, and the reduction of hours, hence the reduction of employer contributions into the fund, we will soon be unable to provide dependent coverage at no cost to the member. The Trustees of the IUOE 487 Benefit Plans recently contracted with a new company for the task of administering the various IUOE Local 487 benefit plans. There will be a change in administration effective January 1, 2010. The company chosen to administer the funds has an excellent reputation in administering the funds of other IUOE Locals. There may be some early confusion, but the change was necessary in order to maintain the level of competence in administration we expect, and to hold down costs as much as possible. You should have received a letter with the following contact information: The new Administrator for all Trust Funds is: Associated Administrators, LLC, 911 Ridgebrook Road, Sparks, MD 21152 Toll free phone number: 877-291-2387 Please call the administrator if you have questions about health care eligibility, or if you have questions about the Local 487 Pension Fund. Vista is still the health insurance carrier. You should call Vista regarding issues other than eligibility. If you have any problems, please call this office. In February 2009, congress passed as part of President Obama’s stimulus package, a provision which provided a supplement of 65% of the total cost of COBRA health insurance to eligible people who lost their employment because of layoff. The supplement is available for up to nine months, beginning March 2009, to eligible employees who lost their jobs between September 30, 2008, and December 31, 2009. As of this writing, there is much talk in congress of extending the deadline for the supplement beyond the end of the year, but nothing has passed. The International Union of Operating Engineers recently adopted an
International Health and Welfare reciprocity policy whereby all participating
Local Unions would be bound to reciprocate Health and Welfare contributions
to a traveling member’s home Local Union upon his or her authorization.
Local 487 is party to this agreement, as are almost all IUOE Locals.
This means, no matter where a member may travel, contributions can be
returned to the home Local so that coverage can be maintained for the
dependents back home. Participants in Local 487’s health care plan can now access information from our current health care provider, Vista, online at www.vistahealthplan.com. Location of participating primary care physicians, specialists, and hospitals near your home is available at the website. You can also access personal information after logging-in on a secure site. You’ll need your member identification number, which is at the top of your Vista Health Plan card, in order to log-in. Member identification numbers are no longer based on a participant’s social security number because of the threat of identity theft. You should record your member I.D. number in a secure place at your home in case you lose your card. You can print a duplicate card at the above mentioned website, provided you can enter the I.D. number. Please be reminded that if you are a participant in the Local’s health care plan, and are disabled to the point that you cannot work at the trade, you are entitled to up to six months of continued eligibility while you are disabled. You must request a form from the office of Associated Administrators, LLC (The Fund Office) at 1-877-291-2387, and have your doctor confirm on the form that you are disabled, and then return the completed form to the Fund Office. You must do this each month for which you are disabled. We still have people who have been disabled and are not taking advantage of this benefit. If, for some reason you temporarily lose eligibility and your coverage is terminated, you must file a new application form with the administrator in order to renew your coverage with Vista. Also, be reminded that if you have a new dependent, like a new child, or you get married, you must notify the plan administrator within 30 days of the event, or you must wait until the annual contract renewal date, which is presently April 1st. If you have a dependent child who reaches 19 years of age, but is a full-time student, you can continue their eligibility by providing the administrator with proof of student status. If you divorce your dependent spouse, you are obligated to notify the fund within 60 days. Consult your Health & Welfare Summary Plan Description for details on eligibility rules. If you are an eligible participant in the Local’s health care plan, you are entitled to a life insurance benefit and you should have named a beneficiary. If at any time you want to change the beneficiary of record, you must notify the fund administrator and file a new beneficiary card. If you should pass away without naming a valid beneficiary, the insurance award could go to someone not of your choosing, or to your estate. Due to the reduction in market value of the assets of the Local 487 Pension Plan and reduced hours worked by participants, the Plan Trustees have been forced to make unpleasant reductions in the value of future service credits in order to keep the Plan solvent. Future service credits will provide a lesser benefit than in the past. Reduction in benefits for future early retirement will also be more severe. Additionally, as you probably already know, scheduled wage increases have been diverted toward increased pension contributions. The stock and bond markets have recovered to some extent and the value of the Fund’s assets have as well. Hopefully, the recovery will continue and the unpleasant changes can be reversed. Until that happens, it is the fiduciary responsibility of the Plan Trustees to make necessary changes in order to protect the Fund’s solvency. No past service credits or benefits of current pensioners will be affected by the changes. You will soon receive detailed notice of the changes. The IUOE Local 487 Pension Plan is party to the Pension Reciprocity Agreement for Operating Engineers Pension Funds and has been since 1995. All IUOE Locals in the U.S., and most in Canada, are party to the Agreement. Under this Agreement, credits earned in any IUOE Local’s pension fund are combined with credits earned in other Local’s pension funds for the purposes of determining total earned credits. For example, if you earned three credits in the Central Pension Fund (CPF), and three credits in the Local 487 Pension Fund, you would have a total of six vesting credits. You would be vested in both funds, and would be eligible for a benefit from both funds upon reaching retirement age. The benefits you received from each fund would be based on a pro-rata basis under the benefit formulas for each particular fund. However, you would have to earn at least one credit in a fund in order for the reciprocity agreement to take effect. In the Local 487 Pension Fund, you must have accrued at least 1,000 hours in a plan year in order to earn one credit. Upon application for retirement, all earned credits will be considered. Any questions regarding the IUOE Local 487 Pension Plan should be directed to Associated Administrators, LLC, at 1-877-291-2387. The phone number for the CPF is 202-362-1000. Remember, if you have any trouble getting the information you need, please call the Union Hall for assistance. We are leaving a decade in which, for the most part, we enjoyed an abundance of work opportunities during an unprecedented and unsustainable building boom which was riding on a bubble that was sure to burst, and burst it did. We are now suffering the predictable consequences of overbuilding in South Florida. Columnist Leonard Pitts, aptly described the decade we are leaving behind, the “00s,” as the “Uh 00s.” Looking back on the previous ten years does not evoke many fond memories: the Supreme Court deciding the 2000 presidential election results; 9/11; the misguided attack on Iraq; rendition; torture; Guantanamo; presidential “signing statements”; disregard for civil liberties; Katrina, and the aftermath; waiving of Davis-Bacon provisions; judicial appointments hostile to labor; the housing and real estate bubble burst; foreclosures; stock market crash; failed banks and financial institutions; bank bailouts; auto makers collapse and bankruptcies; stagnant wages; skyrocketing health insurance costs; unemployment at record highs… Looking back, it’s easy to see that inflation of stock equity and real estate prices were based on speculation and not value. Fortunately, we ended the decade with an election for change. The change is not coming as fast as some of us had hoped and expected, but change is bound to come. Hopefully, the new decade will bring us moral and economic recovery. Please watch this short video, Rise and Fall of the Middle Class, by Dr. Richard Levins, Professor Emeritus of Applied Economics at the University of Minnesota. In this video, Dr. Levins talks about the rise and fall of the middle class, and how it corresponds to the rise and fall of labor unions. Fraternally yours, Gary Waters Home | Calendar | News | Benefits | Apprenticeships For comments about this Web site, contact webmaster@unionwebdesign.com. |