PRINTED IN THE USA · International Union of Painters and Allied Trades by IUPAT at 7234 Parkway...

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PRINTED IN THE USA

Transcript of PRINTED IN THE USA · International Union of Painters and Allied Trades by IUPAT at 7234 Parkway...

Page 1: PRINTED IN THE USA · International Union of Painters and Allied Trades by IUPAT at 7234 Parkway Drive, Hanover, MD 21076. Periodicals postage paid at Washington, DC and additional

PRINTED IN THE USA

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10/2010

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The Official Journal of the International Union of Painters and Allied Trades,

Organized March 15, 1887, and the Only Publication Issued Under Its Auspices.

Kenneth Rigmaiden, EditorGeorge Galis, Publisher

POSTMASTER:Send address changes to

THE PAINTERS AND ALLIED TRADES JOURNAL

7234 Parkway DriveHanover, MD 21076

A P R I L - J U N E 2 0 1 5 • V O L . 1 3 3 • N O . 2

PAINTERS& ALLIED TRADES

3A P R I L - J U N E 2 0 1 5 • J O U R N A L

39

I U P A T O N T H E W E B

www.IUPAT.org

34 36Expanding the Workforce Skill SetThe IUPAT FTI training the best on the job site.

Construction Economy is Great News for Our Pension PlanOrganizing builds an even stronger pension plan.

Job Corps: A Rising Force to Meet the Labor DemandRecruitment on a different level.

Construction Hiring: Good News and Bad NewsIUPAT Government Affairs tackles wage theft.

D E P A R T M E N T S

6 Union News & Events

13 FCA

30 Job Corps

32 LMCI

34 Finishing Trades Institute

36 Government Affairs

39 Retirement & Pension

42 In Memoriam

28 32

36

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34

As the Construction Economy Grows, So Does OpportunityLabor and management move forward as partners build members and market share.

Cover Story: A Bold Future in the TradesAs the economy recovers, the IUPAT aims to grow.28

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THE PAINTERS AND ALLIED TRADES JOURNAL (ISSN

1522-2241) is published quarterly for members of the

International Union of Painters and Allied Trades by

IUPAT at 7234 Parkway Drive, Hanover, MD 21076.

Periodicals postage paid at Washington, DC and additional

mailing offices. Canadian publications mail agreement

#41479512. Canada Post: Return undeliverables to P.O.

Box 2601, 6915 Dixie Rd, Mississauga, ON L4T 0A9.

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Today, most construction num-bers, including employment, are some of the best we have seen since before the market crash. There are new construction firms opening throughout North America, and all of us are seeing more cranes in the sky signaling new opportunities for the workers in so many of our crafts.

The question is – with these renewed opportunities in construc-tion, is the IUPAT ready to meet the challenges that come with them? Are we ready to put our skills to the test? Are we ready to recruit the new members we need to meet the higher demand for workers in our crafts, and work with our employers to expand our market share beyond where we stand now? I am pleased to report that the answer is a resounding yes to every question.

When the recession hit, the IUPAT leadership was certain of one thing: this recession, like all other reces-sions, would eventually pass. So, in addition to provid-ing every service and benefit we could muster to help our members in need, and search the farthest corners of the United States and Canada to discover work oppor-tunities, we also began our preparation for the better days ahead.

The training programs in the Finishing Trades Institute did not slow down. In fact, we accelerated the develop-ment of new curriculum and new certifications to give us the professional edge over our non-union counterparts who may not have had the chance to continue their training and testing in the recession. We have comple-mented these efforts with political action that has moved government on the local and national levels to mandate

the skills we possess on public jobs, giving us yet even more job oppor-tunities.

Our Organizing Department embraced new technology and techniques, while still working the tried and true ways of increasing our ranks at the same time. We began reaching out on the local level for new community partners through Community Organizing for Real Economics (CORE), and we’ve already seen progress in creating partnerships that not only benefit the communities in which we live, but in growing our union and amplifying the voice and impact of the labor movement, as well.

That being said, there were defi-nitely days more challenging than others. The hard times brought some honest talk between IUPAT labor and management. Our employers made it quite clear that they needed us to be the best of the best to give them the competitive edge in the shrinking pool of new work projects. Falling short of that goal wasn’t an option.

Yet, out of that honest talk between us, both IUPAT labor and management leaders recognized that we could only move through and over the recession by act-ing as industry partners. We continued to meet, plan and execute labor/management initiatives such as training, marketing and, yes, recruitment. We did this together and have emerged from the down time stron-

T he last recession was no doubt one

of the greatest challenges the mem-

bers of this union and their families

ever had to face. Many of us continue to

pick up the pieces, with the support of our

union brothers and sisters,

and begin a new chapter for

working families in a recover-

ing economy.

A Bold Future Begins for the IUPAT and Working Families

K E N N E T H E . R I G M A I D E NGENERAL PRESIDENT

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Continued on page 9

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5A P R I L - J U N E 2 0 1 5 • J O U R N A L

GENERAL SECRETARY-TREASURER’S REPORT

I believe we can emerge a

stronger union with a greater mar-

ket share. However, to do so, we

must revert back to the tactics of our founders, cre-

ating a monopoly of the workforce. We must take

advantage of the demand for workers by attracting

the most skilled tradespeople from the non-union

ranks and filling positions needed by our contrac-

tors. At the same time, we must pursue all the work

in our area, no matter how small, even if we have

plenty of big work in the area.

Also, at the same time, we must provide training

faster and better than we have ever done before, in

order to meet the demands for new apprentices and to

upgrade the skills of those we take from the non-union

ranks. These three factors of taking the non-union work-

force, pursuing all the work, regardless of size, and

continuing to enhance our training, will put upward

pressure on wages and begin to make the IUPAT the

main source of skilled tradespersons for the industries

we represent.

All of this must be done without stopping any of

our other programs and policies. We must continue to

form alliances with community partners and groups;

maintain the relentless use of all

of the organizing tools we have

learned; keep servicing our current

members; and remain involved in

government affairs.

All of this will require hard work

on the part of every representa-

tive of our union, at every level,

and activism on the part of every

member.

We must not make the mistakes

of the past when work opportu-

nities become plentiful, when we

picked the low hanging fruit and were satisfied to

neglect the rest. This time, we must, even in the good

times, work as if there was no work.

Together, we can ensure that we have sustained

growth. When the economy again shifts downward,

which it will inevitably do at some point, the IUPAT can

emerge with a greater market share that will allow us

to continue our strength and growth beyond fickle eco-

nomic cycles.

I pray we are all equal to the task.

God Bless you all.

B arring another economic crisis, North

America should see at least a 5-year

period of growth in the construction

industry. Can we meet the demand for skilled

workers in our trades? Can we expand into

markets we currently have little presence in,

while there is growth in the markets where

we have a greater presence? The answer to

these two questions will deter-

mine if we emerge from this

coming period of expansion

as a stronger, larger union

with greater market share, or

a union that rides the econ-

omy up and down, getting

weaker with each downturn.

G E O R G E G A L I SGENERAL SECRETARY-TREASURER

Sustaining Our Growth

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D istrict Council 3 has been campaigning against Topgolf Kansas City, a golf entertain-

ment center, since 2014. The general contractor they are using for construc-tion, ARCO National Construction, is using non-union contractors to com-plete construction work on the project. Once every week, members of DC 3 hang banners and pass out handbills on site and in surrounding neighbor-hoods. To date, about 400 handbills have been distributed to raise aware-ness of Topgolf’s unethical business practices. Union activism is what keeps the IUPAT and the labor move-ment strong. Check with your district council or local union to find out how you can do your part to protect the jobs of working families.

DISTRICT COUNCIL 3 – MISSOURI, ARKANSAS, KANSAS, OKLAHOMA

Campaign Against Topgolf

DISTRICT COUNCIL 3 – MISSOURI, ARKANSAS, KANSAS, OKLAHOMA

KANSAS CITY COATINGS AND CORROSION EXPO

I n F e b r u a r y 2 0 1 5 , D i s t r i c t Council 3 held its first Kansas City Coa t ings and Cor ros ion Expo . Prior to the expo, DC 3 launched www.stopmidwestcorros ion.com, a website designed to promote the event, coatings application specialist training, and corrosion awareness. With over 80 professionals invited to the expo, it was a great success. Many of the attendees were able to see CAS testing in progress, and were all impressed with the certification and training processes. The expo was a great networking and learning experience for DC 3, and they plan to expand on it next year.

DC 3 banner and campaign against Topgolf.

General Vice President Harry Zell and expo participants discuss the importance of corrosion at the Kansas City Coatings and Corrosion Expo in February.

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DISTRICT COUNCIL 3 – MISSOURI, ARKANSAS, KANSAS, OKLAHOMA

Campaign Against Topgolf

DISTRICT COUNCIL 7– WISCONSIN

STAR AWARDS

On April 25, 2015 IUPAT District Council 7 hosted their 10th Annual Star event to reward members who participated in the innovative safety program. The event was well attended by members and their families. Many great prizes were awarded including cordless tool sets, fishing charters, electronics and more. The two grand prizes, 2015 Chevrolet Equinoxes, were won by members of Local 802 (Big Bend, Wisconsin), Tony Leggett and Erin Becker. Business

Manager/Secretary-Treasurer Joe Jazdzewski congratulated

them and gave them the keys to their new vehicles.

The acronym STAR stands for Safety Training Awards

Recognition; it is a program that was developed to promote

safe work practices on the job site. Members qualify for

STAR awards by participating in advanced safety training

classes and maintaining safe work practices on the job.

DISTRICT COUNCIL 5 – WASHINGTON, ALASKA, IDAHO, MONTANA, OREGON, UTAH

HONORING OUR VETERANS

Members of District Council 5/Local Union 1964 (Tacoma, Washington) know the importance of giving back to our military veterans. In 2014, Rally Point 6, the local non-profit program that aids veterans in their transition to civilian life, approached the council to ask for assistance in completing work on their building.

Leaders and members LU 1964 didn’t hesitate to volunteer to complete work on the interior and some exterior sections of the building. With additional help from community volunteers from around the local area, the project took about six weekends to complete. Since completion, the council has used the facility to host multiple meetings for the Painters and Allied Trades Veterans Program.

IUPAT members lend a hand to a noble cause for veterans in Tacoma, Washington.

Local 802 member Erin Becker and District Council 7 BM/ST Joe Jazdzewski.

Local 802 apprentice Tony Leggett and District Council 7 BM/ST Joe Jazdzewski.

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DISTRICT COUNCIL 9 – NEW YORK CITY

Men in Black (and Gold) Give Iconic NY Landmark a New Shine

One of the most renowned attractions of the New York 1964-65 World’s Fair in

Flushing Meadows Corona Park in Queens was the Tent of Tomorrow. At that time, it was a structure that boasted the largest cable suspension roof in the world with sixteen 100-foot columns. It still stands today, albeit a little worse for wear after 50 years, and was even prominently featured in the action-filled climax of the first “Men in Black” motion picture.

Th i s spr ing, the New York Structural Steel Painting Contractors Association and District Council 9/

Local Union 806 of the International Union of Painters and Allied Trades (IUPAT) announced that they were volunteering materials and labor to restore the “original luster and beauty to one of New York City’s most pres-tigious landmarks.” The workers will apply approximately 700 gallons of primer and 500 gallons of finish to replace the flaking and peeling paint that has exposed the steel structure to the elements.

The $3 million project began in May and is expected to be completed in October in time for the 50th anni-versary of the fair.

The IUPAT and the New York Structural Steel Painting Contractors Association are teaming to restore one of the most iconic World Fair attractions in Queens – the Tent of Tomorrow.

DISTRICT COUNCIL 16 – NORTHERN CALIFORNIA, NORTHERN NEVADA

PROMOTING WOMEN IN THE BUILDING TRADES

On May 1 – 3, 2015, the 5th Annual Women Building the Nation conference took place at the Sheraton Gateway LAX in Los Angeles, California. This national conference grew out of the annual Women Building California conference established in 2002. Now in its 5th national year, Women Building the Nation offers women who work in the Building Trades the opportunity to participate in workshops that focus on networking, organizing, skill building and leadership development. This year’s conference was attended by over 1 ,200 women and their supporters, and leaders and members of the IUPAT from around the country were there as well.

Members of the IUPAT attended the Women Building the Nation conference in May. The annual event brought over 1,200 women who work in the trades together to network, learn and advance their presence in the industry.

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DC 46 – ONTARIO, CANADA

THE UNION SPIRIT

On April 16, 2015, Armindo Correia of DC 46 received the Fred Farkas Award for outstanding contribution to the IUPAT. This award is presented annually to the most deserving business representative in Ontario. The recipient best exemplifies everything Fred Farkas stood for, including contributions to IUPAT industries and exceptional service to DC 46 members.

(L to R): DC 46 Business Representative Armindo Correia, Retired Business Representative Fred Farkas and DC 46 BM/ST Joe Russo.

IUPAT Local Union 1036 (Monterey Park, California) member Ron Hickman pre-

sented IUPAT Pins to Business Representative Jim Irwin (35 years), Business Representative Fred Garcia (35 years) and President Tom Pruett (45 years) for their years of service. The IUPAT is proud of our members for reaching these milestones in their careers. We thank them for their years of devoted service to our union and wish them all the best.

GENERAL PRESIDENT’S REPORTContinued from page 4

ger partners than ever before as we embark on expanding our market share in this recovery.

As you read reports in this Journal about some of the good news coming out of the construction sector, keep one thing in mind - in many ways, the days ahead of us now in this recovery are just as precarious as they were back in the recession when we were battling to retain our ranks in the union. The increase in job opportunities doesn’t always translate

into organizing success. As more and more of us are working, there is sometimes a resistance to increasing our membership. We must fight that complacency so that we are prepared for any hard times that may be waiting for us down the road.

Last August, we touted a Bold Future for the IUPAT. Well, thanks to this economy, we are now getting the opportunity to make that Bold Future a reality. Let’s make the most of it.

DISTRICT COUNCIL 36 – SOUTHERN CALIFORNIA

Honoring Years of Service

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DC 50 – HAWAII

Advanced Training Makes a Difference in Career

Brother Keliikoa twice travelled the 15 hours to Baltimore to attend the week-long NACE Coating Inspector Program (CIP) Level I and Level II cer-tification courses. No complaints from Richie, though. He saw it as an incred-ible opportunity to learn more about his passion - industrial coatings - and to earn the notable certifications.

The NACE CIP courses are high-level, intense instruction, and cover corrosion, coatings, and the inspec-tion of coating systems. District Council 50 is proud of Brother Keliikoa for not only passing these courses, but for performing as well as he did on the testing. Richie’s name was one of the names recommended to the Finishing Trades Institute (FTI) by District Council 50. Previously, he had acquired the Coating Application Specialist (CAS) certification through the Society for Protective Coatings (SSPC) and FTI CAS program, where he also scored very highly in the testing.

THE INTERVIEWWe had a chance to talk to Richie

after he returned from FTI and here’s what he told us.

The F in isher: Te l l us about Metropolitan Painting & Environmental Systems, Inc.

Richie: Metro is a family company - Mom and Dad run the company and my sister Tammy works in the office. We do mostly industrial abrasive blasting and coating, and specialize in refinery work at Oahu’s two refin-eries in Campbell Industrial Park. I

am a general foreman in charge of Metropolitan’s work at the Chevron Refinery, and run their jobs from plan-ning to completion.

The Finisher: What is your history with the company?

Richie: I graduated high school in 1994 on a Saturday, and on Monday my Dad brought me to the union office to become an apprentice. I’ve been a union painter ever since.

The Finisher: We heard you did very well at the classes and scored very well. For you, what was the most dif-ficult part of the certification process?

Richie: I had no problem with the hands-on portion because it’s what I do every day on the job site. The book-work was definitely the most difficult. The first day of the course we were given a six inch binder full of informa-tion with assignments to cover a chap-ter each day, which meant studying at night in my room. After so much intense study, my brain wouldn’t stop, so I almost couldn’t sleep. I got it done, but it wasn’t easy.

The Finisher: What was the total pro-cess like? The travel, the FTI and IUPAT facilities, etc.

Richie: I have a whole new way about looking at our union. I can’t speak highly enough about the IUPAT and the FTI. The first time I saw the training center I was blown away. When the airport shuttle driver turned into the driveway at the residence hall, I said, “Wow!” General President Ken Rigmaiden, FTI Director Dan Penski, and all of their staff treated me with

utmost respect. I kept thinking how gen-erous the union is to spend this amount of money on my education. The train-ing center, the residence hall, the food were all great. I can’t believe how well I was treated.

The Finisher: How has your NACE Certification helped you and the com-pany?

Richie: I’ve already been able to use my certification on the job. Also, I find that I look at what I do differently since I’ve taken the course. I can really see how corrosion works, where it starts, and how important it is to perform my work well. I love learning, so this was a great thing for me.

The Finisher: What do you want to tell the other members of District Council 50 about this experience?

Richie: If other members have an opportunity to better themselves with training and certification, they should go for it. You’d be a fool not to.

Richie inspects blasted steel with Instructor Mike Bush at the CAS Prep Course in 2013.

Recently, District Council 50 (Hawaii) member Richmond “Richie” Keliikoa Jr. had one of those life-changing events that will for-ever help him, his company and this union. He was selected by

IUPAT General President Kenneth Rigmaiden to attend two elite National Association of Corrosion Engineers (NACE) courses for the Coating Inspector Program.

Richie Keliikoa Jr.

- Submitted by DC 50

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DISTRICT COUNCIL 57 – WESTERN PENNSYLVANIA

PAYING IT FORWARD TO VETERANS

DISTRICT COUNCIL 77 – ALABAMA, GEORGIA, KENTUCKY, NORTH CAROLINA, SOUTH CAROLINA, TENNESSEE, VIRGINIA

COMMUNITY AND LABOR ACTIVISM IN ATLANTA

As part of the United Way Days of Caring, nine volunteers from

District Council 57 painted recreation and common areas at The

Veteran’s Place - a homeless shelter in the Pittsburgh area that

houses support services for homeless veterans. Members of DC 57

donated their time and energy to this project because they care

about our veterans and want them to have nice living conditions

while they are transitioning back into the community. The council

received the Fred Rogers Legacy Award for their commitment

to volunteerism. The award is presented to “individuals who

have made exemplary professional contributions and personal

commitments to service that pay forward elements of Fred Rogers’

legacy as a person embodying universal human values, a creative

artist, a teacher and model of core principles.”

The International Union of Painters and Allied Trades

is working every day to bolster its ranks in the organized

labor movement by working with local community and labor

groups to establish the IUPAT as a partner, and offer our union

activism expertise for the benefit of all.

This spring, David Webster and Winston McKenzie were

sworn in as new delegates to the Atlanta-North Georgia Labor

Council for IUPAT Local Union 1940 (Forest Park, Georgia).

The council describes its mission as a calling to “improve the

lives of working families so as to bring economic justice to the

workplace and social justice to our community. To accomplish

this mission we will build and constantly seek to improve the

American labor movement.”

Congratulations to Brothers Webster and McKenzie on their

appointments, the IUPAT is grateful for your service to the

community, the labor movement and our proud union.

Members of DC 57 collectively volunteered to paint at The Veteran’s Place in Pittsburgh.

Webster and McKenzie taking oath at ceremonial swearing in of delegates.

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DISTRICT COUNCIL 78 - FLORIDA

Greek Independence Day Parade 2015

T arpon Springs, FL – Members of The IUPAT District Council 78 and Local Unions 1010, 73, 88, 164, 1175 and 2301, with members of the International

staff and General Executive Board, proudly marched in the 2015 Greek Independence Day Parade and Festival hosted by the city of Tarpon Springs and the Saint Nicholas Greek Orthodox Cathedral.

Several members of the IUPAT were given special recognition, including General Secretary/Treasurer George Galis, Eastern Region General Vice President William Candelori, District Council 78 Business Manager/Secretary Treasurer Walter Ilczyszyn, at a formal ceremony by the St. Nicholas Parish Council, prior to the start of the parade. Parish Council President Nik Manias of CL Industrial Coatings and St. Nicholas Pastor Father Anastasios Gounaris presented the IUPAT dignitaries with commemorative plaques denoting their service to the American/Greek Community. Both the International and District Council 78 were given recog-nition for generous donations of $5,000 and $2,500 respectively to the Parish Building Fund.

The IUPAT’s contingent in the parade was led by General Secretary George Galis, General Vice President William Candelori, District Council 78 Business Manager/Secretary Treasurer Walter Ilczyszyn and members of Local Union 88 with the U.S. and Greek National Colors (flags) and the IUPAT District Council 78 Painter’s Union Banner. The procession consisted of 40 plus

IUPAT members including, DC 78 President Al Litchtman, Local 88 President Allen Scep, Local 2301 President Richie Jones, Local 164 President Terrance Thompson, Local 1010 President William Thomas, DC 78 Business Representatives Chris Analetto, Alex Vargas, Paul Orvosh, Gerry Showers, Debbie Greco, Al Trombetta, DC 78 Trustee Lora Greenwell and DC 78 Directors Jack Plettinck, Steve Hall and Andrew Bott. All IUPAT participants wore our union colors on t-shirts with “Eleftheria”, the Greek word for freedom, on the front. The members’ children rode atop the District Council 78 super duty work truck with a 20-foot trailer wrapped in Greek colors in tow. They waved Greek and American flags, and tossed Ouzo flavored candy and IUPAT T-Shirts to the crowds lining the 1.5 mile parade route.

The procession culminated at the end of Tarpon Springs’ World Famous Sponge Docks, where the official reviewing stand was located and thousands of spectators cheered and applauded the IUPAT members for their participation.

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- Submitted by Andrew Bott/DC 78

DISTRICT COUNCIL 88 – TEXAS, OKLAHOMA, NEW MEXICO, CALIFORNIA

IUPAT PATCH FOUNDATION SUPPORTS LOCAL YOUTH SPORTS TEAM

On April 11, 2015 the Tigers Youth Club of Whittier, California received a donation from Painters and Allied Trades for Children’s Hope (PATCH) Foundation in the amount of $150. The donation was used to sponsor the Tigers Basketball Tournament. All proceeds from the tournament and sponsorships will be used to expand the Youth Scholarship Program. The PATCH Foundation was founded by the IUPAT in 2001 with the mission to assist and advance programs that enhance the lives of children.

The Tigers Youth Club appreciates the support from PATCH and will continue to support and encourage youth activities in the community.

The Tigers Youth Club receiving a check from The PATCH Foundation.

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13A P R I L - J U N E 2 0 1 5 • J O U R N A L

By Mike Cassidy, Chairman of the Board

T he construction industry, therefore our finishing crafts, is seeing a very positive uptick in our work loads. We are experiencing the increase in con-

struction spending (as has been predicted), and we are experiencing a shortage in skilled labor (also as pre-dicted). Even though 2014 showed some positive gains in the construction industry, the finishing trades’ collec-tive crafts did not show an increase in membership.

General President Kenneth Rigmaiden has rolled out a plan to gain 30,000 net new members by the end of 2019. A challenge was issued during the 31st General Convention in mid-August of 2014: for each District Council to add 17 members every month for the next 60 months. That challenge was not made in a vacuum. It is not only real, but it is paramount to both our current and future survival. Absent members, both the union and the contractors will certainly perish.

The IUPAT is hard at work developing tools to help attract members. Several programs have been developed; some have launched and some are underway or on the cusp of roll-out. From the CORE program to social media alerts, to marketing specific sectors that pinpoint selections of craft workers, several tools are becoming available to enhance our ability to gain new members.

The Job Corps has always been, and will continue to be, a source of upcoming membership. The Painters and Allied Trades Veterans Program is beginning to take hold, and it will become an intake source for our returning veterans seeking employment in our trades. Some areas are learning how to get involved with local community groups and other local affiliations that can become a source for craft workers. The tools are there to help regain what we’ve lost.

Since the 2008 economic market downturn and the retraction experienced in the construction industry, we have all witnessed a mass exodus of craft workers. Was it early retirement, a defection from the trades or this five-year pattern of construction stagnation that caused it? Don’t know. Don’t care. What matters is what we can do collectively going forward to save our house and increase our market share. That’s what we need to focus on, and it starts with getting more skilled people in our world.

If economic indicators are correct, we are anticipat-ing moderate, yet steady, construction industry growth over the next five years (similar to pre-recession growth). One of the primary preventers of such a recovery will be the absence of skilled and available craft workers. We need to make our collective crafts a first choice for young people, and inspire those that left the trade to return. Young people have not been incentivized to

enter and train in our trades. Perhaps that’s a starting place for many.

The Finishing Trades Institute (FTI) has developed (and put into play) more training schemes and oppor-tunities to help individuals enter our crafts and enhance their skills. We have more of these tools than we have ever had at our disposal. Our trades don’t just offer jobs, they offer careers.

We must grow our ranks and, thereby, increase our market share. Your signatory contractors’ primary desire is to recapture or grow market share. Without risk takers, the contractors’ appetite to take on more work growth for us will stagnate. Contractors retract bidding when manpower is deemed unavailable.

Imagine the power of doubling our forces over-night and the positive effect that would have on each individual member. If we want increased wages and benefits, we first must control the market we are in or that demand falls on deaf ears. I assume no one joined one of our crafts because they had to. I joined because I wanted to and am still proud to say I’m a craftsman. It was a choice, and if still active, you must be proud of your craft and what you do, as well. Share that pride with a friend or another craft worker who is not in the unionized segment. If each of us just brought in one new recruit, we would double almost overnight.

General Secretary-Treasurer George Galis has been clear in his words when it relates to our markets with three pointed bullets: we can compete in it, be irrelevant in it or we can control it. Once you get control, your demands are heard through clearer ears on bargaining day when increased wages and benefits are on the table.

So, we each have a job to do in the field of recruit-ment. That includes a promise FCA International made while at the General Convention:

“We are fully in support of the General President’s plan for a Bold Future,” and “We are on board and stand ready to help in any way we can.”

Perhaps we can play a bigger role in organizing and recruiting our future craft workers, because we are in this together. Every DC and Local needs to develop ways to make new members welcome, wanted and work ready. It is past time that we start thinking outside of the box. We need a willingness to change and add new members to our team. If the entry barrier to our trades is too high, new members will quietly walk away from our fold. That is a message we need to change: how we attract and retain good members and craft workers.

We can grow together if we all have the same goal in mind, and our legacy will continue to flourish and not perish. As always, glad to be here.

Necessity for Survival: Attracting & Retaining a Skilled Workforce

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Report of the Audit Committee

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JANUARY 1, 2014 TO DECEMBER 31, 2014INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADES

In accordance with Section 22 of the Constitution of the International Union of Painters and Allied Trades, the Audit Committee convened on April 23 and 24, 2015 for the pur-pose of auditing the accounts of the International Union for the year ended December 31, 2014. The Committee mem-bers were duly appointed and consisted of Michael Turkal, District Council 6/Local Union 181, Brian Dahl, District Council 30/Local Union 448, and Alex “Mike” Kisielewski, District Council 711/Local Union 1976.

The General Executive Board engaged the services of the independent certified public accounting firm of Novak Francella LLC to act in conjunction with the Audit Committee. The Committee reviewed the consolidated financial statements of the International Union for the year ended December 31, 2014, including the detail of assets, liabilities, revenue and expenses. The Committee concludes that the transactions undertaken by the International Union were in accordance with established policies and the Constitution.

The Committee had access to all of the International Union’s records including bank statements, investment custody reports, receipts and disbursements. The Committee noted that a strong internal control system was in place for safeguarding the assets of the International Union.

General Fund operating expenses exceeded revenue by $365,403 during 2014. The total assets of the International Union were $76.1 million at December 31, 2014. The sav-ings that were planned from increased efficiencies and cost controls have continued to be realized. More importantly, services have been expanded. A total of $48 million was spent this year for the benefit and advancement of our mem-bers and affiliates.

The reduction in net assets and the deficit spending in 2014 is a direct result of the membership loss that had been occurring since 2009. It was reported to the Committee that the membership change is no longer a loss, and starting to slowly reverse that trend from 2009.

At the 2014 International Union Convention, the per capita was increased. There was a significant loss in revenue caused by the reduction in membership during the last six years, as well as certain per capita waivers during the last ten years. Due to these events, it was necessary to have a dues increase beginning January 1, 2015.

The Audit Committee noted that the Death Benefit Fund was healthy with a stable investment income. It was reported to the Audit Committee that due to the soundness of the Death Benefit Fund, the International Union had a professional actuary perform a study of the funding level needed for the

foreseeable future. The actuary recommended that the Death Benefit Fund contribution could be reduced $1 per member per month. At the International Union Convention, the $1 was ceded from the Death Benefit Fund to the General Fund, and the General Executive Board was given the discretion to deter-mine where the $1 per member per month was most needed.

The International Union Convention was held during 2014. The Audit Committee noted that the cost of the conven-tion was slightly higher than the convention held five years ago, a notable accomplishment.

$3.4 million was returned to the affiliates during 2014. That amount is 15% of the per capita received from the affili-ates during 2014. Nearly $21 million has been returned to the affiliates during the last five years. The Organizing and GO Fund were combined.

Operating Funds cash and investments at December 31, 2014 were $31.2 million. The General Fund per cap-ita increased for the first time in a number of years. The Committee was informed that the IUPAT strives to maintain cash and investments reserves at 12 months, as recom-mended by our independent accountants. We noted that the goal was maintained for 2014.

The financial condition of our International Union is sound. We noted that the General Executive Board has worked to minimize the operating costs and maximize the investment performance in a difficult economic environment. These actions have provided, at the lowest cost to members, the financial strength and stability that is reflected in our net assets.

We have found the accounts to be maintained in a careful and systematic manner. The independent auditor has pro-vided an unqualified opinion on the consolidated financial statements. We, the Members of the Audit Committee, are in agreement as to the International Union’s financial status for the year ended December 31, 2014.

MEMBERS OF THE AUDIT COMMITTEE:April 24, 2015Michael TurkalDistrict Council 6/Local Union 181Brian DahlDistrict Council 30/Local Union 448Alex “Mike” KisielewskiDistrict Council 711/Local Union 1976Working in conjunction with the Audit Committee:NOVAK FRANCELLA, LLCCertified Public AccountantsBy: Peter F. Novak, CPA

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Members of the General Executive BoardInternational Union of Painters and Allied Trades

We have audited the accompanying consolidated finan-cial statements of the International Union of Painters and Allied Trades (the International Union), which comprise the consolidated statement of financial position as of December 31, 2014, and the related consolidated statements of activi-ties and cash flows for the year then ended, and the related notes to the financial statements.

Management’s Responsibility for the Financial StatementsManagement is responsible for the preparation and fair

presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s ResponsibilityOur responsibility is to express an opinion on these finan-

cial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial

statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor consid-ers internal control relevant to the International Union’s prepa-ration and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opin-ion on the effectiveness of the International Union’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant account-ing estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

OpinionIn our opinion, the consolidated financial statements

referred to above present fairly, in all material respects, the financial position of the International Union of Painters and Allied Trades as of December 31, 2014, and the changes in net assets and cash flows for the year then ended, in accor-dance with accounting principles generally accepted in the United States of America.

Bala Cynwyd, PennsylvaniaApril 13, 2015

Report of Independent Auditors

The 2015 IUPAT Audit Committee (L to R): IUPAT General Secretary-Treasurer George Galis, Michael Turkal of DC 6/LU 181, Alex “Mike” Kisielewski of DC 711/LU 181, Brian Dahl of DC 30/LU 448 and CPA Peter Novak of Novak/Francella.

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AUDITREPORT

See accompanying notes in consolidated financial statements.

Total Disaster Death Accidental IUPAT

General Organizing Building Operating Convention Relief Benefit Death Temporarily

Fund Fund Fund Elimination Funds Fund Fund Fund Fund Unrestricted Unrestricted Restricted Total

Assets

Cash and cash equivalents 3,101,830$ 2,693,099$ 4,922,371$ -$ 10,717,300$ 798,296$ 636,936$ 4,006,376$ 342,108$ 16,501,016$ 322,397$ 469,194$ 17,292,607$

Accrued interest receivable 43,353 - - - 43,353 - - 5,523 - 48,876 - - 48,876

Per capita receivable 4,715,612 - - - 4,715,612 - - - - 4,715,612 - - 4,715,612

Due from related funds 217,699 - 1,058 - 218,757 - - - - 218,757 109,769 - 328,526

Due from U.S. Government 881,248 - - - 881,248 - - - - 881,248 - - 881,248

Other receivable 268,041 - 81,547 - 349,588 8,500 - - - 358,088 - 127,662 485,750

Intrafunds receivable (payable) (1,403,516) 838,654 (12,956,419) - (13,521,281) 206,850 - 13,260,395 8,426 (45,610) 45,610 - -

Prepaid expenses 292,013 43,000 17,200 - 352,213 43,265 - - - 395,478 - - 395,478

Loan to affiliate 1,588,273 - - - 1,588,273 - - - - 1,588,273 - - 1,588,273

Investments 17,860,544 2,666,001 - - 20,526,545 525,046 - 5,145,047 - 26,196,638 - - 26,196,638

Property and equipment, net 7,742 - 24,125,451 - 24,133,193 - - - - 24,133,193 - - 24,133,193

Total assets $ 27,572,839 $ 6,240,754 $ 16,191,208 $ - $ 50,004,801 $ 1,581,957 $ 636,936 $ 22,417,341 $ 350,534 $ 74,991,569 $ 477,776 $ 596,856 $ 76,066,201

Liabilities and Net Assets

Liabilities Accounts payable and

accrued expenses 789,121$ 92,907$ 478,630$ -$ 1,360,658$ 27,935$ -$ 67,613$ -$ 1,456,206$ 8,888$ 51$ 1,465,145$

Accrued post retirement benefit 1,748,157 - - - 1,748,157 - - - - 1,748,157 - - 1,748,157

Due to related funds 14,659 - 11,087 - 25,746 - - - - 25,746 - - 25,746

Prepaid per capita 355,900 - - - 355,900 - - - - 355,900 - - 355,900

Total liabilities 2,907,837 92,907 489,717 - 3,490,461 27,935 - 67,613 - 3,586,009 8,888 51 3,594,948

Net assets 24,665,002 6,147,847 15,701,491 - 46,514,340 1,554,022 636,936 22,349,728 350,534 71,405,560 468,888 596,805 72,471,253

Total liabilities and net assets 27,572,839$ 6,240,754$ 16,191,208$ -$ 50,004,801$ 1,581,957$ 636,936$ 22,417,341$ 350,534$ 74,991,569$ 477,776$ 596,856$ 76,066,201$

PAT

Consolidated IUPAT Statement of Financial Position

International Union of Painters and Allied Trades

December 31, 2014INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADESCONSOLIDATED IUPAT STATEMENT OF FINANCIAL POSITION • DECEMBER 31, 2014

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See accompanying notes in consolidated financial statements.

Total Disaster Death Accidental IUPAT

General Organizing Building Operating Convention Relief Benefit Death Temporarily

Fund Fund Fund Elimination Funds Fund Fund Fund Fund Unrestricted Unrestricted Restricted Total

Assets

Cash and cash equivalents 3,101,830$ 2,693,099$ 4,922,371$ -$ 10,717,300$ 798,296$ 636,936$ 4,006,376$ 342,108$ 16,501,016$ 322,397$ 469,194$ 17,292,607$

Accrued interest receivable 43,353 - - - 43,353 - - 5,523 - 48,876 - - 48,876

Per capita receivable 4,715,612 - - - 4,715,612 - - - - 4,715,612 - - 4,715,612

Due from related funds 217,699 - 1,058 - 218,757 - - - - 218,757 109,769 - 328,526

Due from U.S. Government 881,248 - - - 881,248 - - - - 881,248 - - 881,248

Other receivable 268,041 - 81,547 - 349,588 8,500 - - - 358,088 - 127,662 485,750

Intrafunds receivable (payable) (1,403,516) 838,654 (12,956,419) - (13,521,281) 206,850 - 13,260,395 8,426 (45,610) 45,610 - -

Prepaid expenses 292,013 43,000 17,200 - 352,213 43,265 - - - 395,478 - - 395,478

Loan to affiliate 1,588,273 - - - 1,588,273 - - - - 1,588,273 - - 1,588,273

Investments 17,860,544 2,666,001 - - 20,526,545 525,046 - 5,145,047 - 26,196,638 - - 26,196,638

Property and equipment, net 7,742 - 24,125,451 - 24,133,193 - - - - 24,133,193 - - 24,133,193

Total assets $ 27,572,839 $ 6,240,754 $ 16,191,208 $ - $ 50,004,801 $ 1,581,957 $ 636,936 $ 22,417,341 $ 350,534 $ 74,991,569 $ 477,776 $ 596,856 $ 76,066,201

Liabilities and Net Assets

Liabilities Accounts payable and

accrued expenses 789,121$ 92,907$ 478,630$ -$ 1,360,658$ 27,935$ -$ 67,613$ -$ 1,456,206$ 8,888$ 51$ 1,465,145$

Accrued post retirement benefit 1,748,157 - - - 1,748,157 - - - - 1,748,157 - - 1,748,157

Due to related funds 14,659 - 11,087 - 25,746 - - - - 25,746 - - 25,746

Prepaid per capita 355,900 - - - 355,900 - - - - 355,900 - - 355,900

Total liabilities 2,907,837 92,907 489,717 - 3,490,461 27,935 - 67,613 - 3,586,009 8,888 51 3,594,948

Net assets 24,665,002 6,147,847 15,701,491 - 46,514,340 1,554,022 636,936 22,349,728 350,534 71,405,560 468,888 596,805 72,471,253

Total liabilities and net assets 27,572,839$ 6,240,754$ 16,191,208$ -$ 50,004,801$ 1,581,957$ 636,936$ 22,417,341$ 350,534$ 74,991,569$ 477,776$ 596,856$ 76,066,201$

PAT

Consolidated IUPAT Statement of Financial Position

International Union of Painters and Allied Trades

December 31, 2014

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INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADESCONSOLIDATED IUPAT STATEMENT OF ACTIVITIES • YEAR ENDED DECEMBER 31, 2014

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AUDITREPORT

See accompanying notes to consolidated financial statements.

Total Disaster Death Accidental IUPATGeneral Organizing Building Operating Convention Relief Benefit Death TemporarilyFund Fund Fund Elimination Funds Fund Fund Fund Fund Unrestricted Unrestricted Restricted Elimination Total

Revenue Per capita 15,713,439$ 6,112,671$ 643,602$ -$ 22,469,712$ 1,179,008$ -$ -$ -$ 23,648,720$ 1,548,462$ -$ -$ 25,197,182$ Administrative processing, reinstatement and

clearance card fees 425,067 5,524 - - 430,591 26,830 - - - 457,421 - - - 457,421 Benefit contributions - - - - - - - 1,826,289 50,279 1,876,568 - - - 1,876,568 Individual contributions - - - - - - - - - - - 2,651,784 - 2,651,784 Contributions and donations - - - - - - 9,087 - - 9,087 - - - 9,087 Investment income 166,167 97 - - 166,264 13,172 - 1,243,112 10,117 1,432,665 126 325 - 1,433,116 Office rent - - 3,079,668 (1,174,171) 1,905,497 - - - - 1,905,497 - - (12,444) 1,893,053 Administrative cost reimbursements 4,502,311 402,000 298,723 (2,468,841) 2,734,193 - - - - 2,734,193 - - (63,145) 2,671,048 Royalties and reimbursements 287,512 - - - 287,512 - - - - 287,512 - - - 287,512 Local union supplies and bond premiums 256,340 - - - 256,340 - - - - 256,340 - - - 256,340 Job Corps program 6,495,999 - - - 6,495,999 - - - - 6,495,999 - - - 6,495,999 Meals and lodging revenue (Residence Hall) - - 991,448 - 991,448 - - - - 991,448 - - - 991,448 Other 468,783 18 824 - 469,625 380,974 - 17,500 - 868,099 1,818 - - 869,917

28,315,618 6,520,310 5,014,265 (3,643,012) 36,207,181 1,599,984 9,087 3,086,901 60,396 40,963,549 1,550,406 2,652,109 (75,589) 45,090,475 Net assets released from restriction - - - - - - - - - - 2,648,843 (2,648,843) - - Total revenue 28,315,618 6,520,310 5,014,265 (3,643,012) 36,207,181 1,599,984 9,087 3,086,901 60,396 40,963,549 4,199,249 3,266 (75,589) 45,090,475

Expenses Personnel costs 11,966,813 1,906,111 231,664 (2,106,985) 11,997,603 133,821 - - - 12,131,424 21,090 - - 12,152,514 Affiliation fees 2,024,076 - - - 2,024,076 - - - - 2,024,076 - - - 2,024,076 Benefits and awards - - - - - - - 1,674,730 39,027 1,713,757 - - - 1,713,757 Assistance to affiliates - 3,444,757 - - 3,444,757 - - - - 3,444,757 - - - 3,444,757 Communications (including IUPAT Journal) 443,220 - - - 443,220 266,051 - - - 709,271 40,395 - - 749,666 Convention - - - - - 5,342,173 - - - 5,342,173 - - - 5,342,173 Conferences, committees and seminars 1,875,797 - - - 1,875,797 - - - - 1,875,797 42,936 - - 1,918,733 Government affairs

contributions - - - - - - - - - - 3,287,088 - - 3,287,088 Member mobilization - - - - - - - - - - 248,968 - - 248,968 Financial assistance to affiliates 41,330 - - - 41,330 - - - - 41,330 - - - 41,330 Regional organizing efforts - 402,898 - (6,618) 396,280 - - - - 396,280 - - - 396,280 Legal and litigation 171,575 6,680 323 - 178,578 - - - - 178,578 120,199 - - 298,777 Audit and other professional fees 640,503 826,244 39,697 (39,697) 1,466,747 - - 27,580 - 1,494,327 326,350 - (29,093) 1,791,584 Charitable contributions 435,461 - - - 435,461 - 18,000 - - 453,461 - - - 453,461 Local union supplies and bond premiums 348,356 - - - 348,356 - - - - 348,356 - - - 348,356 Job Corps program and administration 6,479,217 - - (269,470) 6,209,747 - - - - 6,209,747 - - - 6,209,747 Meals and lodging expenses - - 1,182,544 - 1,182,544 - - - - 1,182,544 - - - 1,182,544 Administrative, office and general

office and computer equipment andsoftware enhancements 2,144,249 421 296,782 - 2,441,452 73,442 - - - 2,514,894 (892) - 2,514,002

Occupancy 1,184,787 - 1,303,220 (1,129,792) 1,358,215 - - - - 1,358,215 47,359 - (12,444) 1,393,130 Postage, printing and supplies 390,067 925 197,765 (90,450) 498,307 108,679 - - - 606,986 55,136 - (34,052) 628,070 Insurance 235,321 - - - 235,321 - - - - 235,321 1,803 - - 237,124 Investment and bank fees 113,880 - - - 113,880 - - 14,648 - 128,528 2,411 - - 130,939 Depreciation and amortization - - 1,579,836 - 1,579,836 - - - - 1,579,836 - - - 1,579,836 Currency translation 157,421 26,902 2,696 - 187,019 10,735 - 35,170 9,527 242,451 - - - 242,451 Other 28,948 - 55,047 - 83,995 6,297 - - - 90,292 223 - - 90,515 Total expenses 28,681,021 6,614,938 4,889,574 (3,643,012) 36,542,521 5,941,198 18,000 1,752,128 48,554 44,302,401 4,193,066 - (75,589) 48,419,878

Change in net assets (365,403) (94,628) 124,691 - (335,340) (4,341,214) (8,913) 1,334,773 11,842 (3,338,852) 6,183 3,266 - (3,329,403)

Conversion of Building Fund investment to capital contribution (16,490,145) - - 16,490,145 - - - - - - - - - -

Net assets at beginning of year 41,520,550 6,242,475 15,576,800 (16,490,145) 46,849,680 5,895,236 645,849 21,014,955 338,692 74,744,412 462,705 593,539 - 75,800,656

Net assets at end of year 24,665,002$ 6,147,847$ 15,701,491$ -$ 46,514,340$ 1,554,022$ 636,936$ 22,349,728$ 350,534$ 71,405,560$ 468,888$ 596,805$ -$ 72,471,253$

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Year Ended December 31, 2014

Consolidated IUPAT Statement of Activities

International Union of Painters and Allied Trades

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See accompanying notes to consolidated financial statements.

Total Disaster Death Accidental IUPATGeneral Organizing Building Operating Convention Relief Benefit Death TemporarilyFund Fund Fund Elimination Funds Fund Fund Fund Fund Unrestricted Unrestricted Restricted Elimination Total

Revenue Per capita 15,713,439$ 6,112,671$ 643,602$ -$ 22,469,712$ 1,179,008$ -$ -$ -$ 23,648,720$ 1,548,462$ -$ -$ 25,197,182$ Administrative processing, reinstatement and

clearance card fees 425,067 5,524 - - 430,591 26,830 - - - 457,421 - - - 457,421 Benefit contributions - - - - - - - 1,826,289 50,279 1,876,568 - - - 1,876,568 Individual contributions - - - - - - - - - - - 2,651,784 - 2,651,784 Contributions and donations - - - - - - 9,087 - - 9,087 - - - 9,087 Investment income 166,167 97 - - 166,264 13,172 - 1,243,112 10,117 1,432,665 126 325 - 1,433,116 Office rent - - 3,079,668 (1,174,171) 1,905,497 - - - - 1,905,497 - - (12,444) 1,893,053 Administrative cost reimbursements 4,502,311 402,000 298,723 (2,468,841) 2,734,193 - - - - 2,734,193 - - (63,145) 2,671,048 Royalties and reimbursements 287,512 - - - 287,512 - - - - 287,512 - - - 287,512 Local union supplies and bond premiums 256,340 - - - 256,340 - - - - 256,340 - - - 256,340 Job Corps program 6,495,999 - - - 6,495,999 - - - - 6,495,999 - - - 6,495,999 Meals and lodging revenue (Residence Hall) - - 991,448 - 991,448 - - - - 991,448 - - - 991,448 Other 468,783 18 824 - 469,625 380,974 - 17,500 - 868,099 1,818 - - 869,917

28,315,618 6,520,310 5,014,265 (3,643,012) 36,207,181 1,599,984 9,087 3,086,901 60,396 40,963,549 1,550,406 2,652,109 (75,589) 45,090,475 Net assets released from restriction - - - - - - - - - - 2,648,843 (2,648,843) - - Total revenue 28,315,618 6,520,310 5,014,265 (3,643,012) 36,207,181 1,599,984 9,087 3,086,901 60,396 40,963,549 4,199,249 3,266 (75,589) 45,090,475

Expenses Personnel costs 11,966,813 1,906,111 231,664 (2,106,985) 11,997,603 133,821 - - - 12,131,424 21,090 - - 12,152,514 Affiliation fees 2,024,076 - - - 2,024,076 - - - - 2,024,076 - - - 2,024,076 Benefits and awards - - - - - - - 1,674,730 39,027 1,713,757 - - - 1,713,757 Assistance to affiliates - 3,444,757 - - 3,444,757 - - - - 3,444,757 - - - 3,444,757 Communications (including IUPAT Journal) 443,220 - - - 443,220 266,051 - - - 709,271 40,395 - - 749,666 Convention - - - - - 5,342,173 - - - 5,342,173 - - - 5,342,173 Conferences, committees and seminars 1,875,797 - - - 1,875,797 - - - - 1,875,797 42,936 - - 1,918,733 Government affairs

contributions - - - - - - - - - - 3,287,088 - - 3,287,088 Member mobilization - - - - - - - - - - 248,968 - - 248,968 Financial assistance to affiliates 41,330 - - - 41,330 - - - - 41,330 - - - 41,330 Regional organizing efforts - 402,898 - (6,618) 396,280 - - - - 396,280 - - - 396,280 Legal and litigation 171,575 6,680 323 - 178,578 - - - - 178,578 120,199 - - 298,777 Audit and other professional fees 640,503 826,244 39,697 (39,697) 1,466,747 - - 27,580 - 1,494,327 326,350 - (29,093) 1,791,584 Charitable contributions 435,461 - - - 435,461 - 18,000 - - 453,461 - - - 453,461 Local union supplies and bond premiums 348,356 - - - 348,356 - - - - 348,356 - - - 348,356 Job Corps program and administration 6,479,217 - - (269,470) 6,209,747 - - - - 6,209,747 - - - 6,209,747 Meals and lodging expenses - - 1,182,544 - 1,182,544 - - - - 1,182,544 - - - 1,182,544 Administrative, office and general

office and computer equipment andsoftware enhancements 2,144,249 421 296,782 - 2,441,452 73,442 - - - 2,514,894 (892) - 2,514,002

Occupancy 1,184,787 - 1,303,220 (1,129,792) 1,358,215 - - - - 1,358,215 47,359 - (12,444) 1,393,130 Postage, printing and supplies 390,067 925 197,765 (90,450) 498,307 108,679 - - - 606,986 55,136 - (34,052) 628,070 Insurance 235,321 - - - 235,321 - - - - 235,321 1,803 - - 237,124 Investment and bank fees 113,880 - - - 113,880 - - 14,648 - 128,528 2,411 - - 130,939 Depreciation and amortization - - 1,579,836 - 1,579,836 - - - - 1,579,836 - - - 1,579,836 Currency translation 157,421 26,902 2,696 - 187,019 10,735 - 35,170 9,527 242,451 - - - 242,451 Other 28,948 - 55,047 - 83,995 6,297 - - - 90,292 223 - - 90,515 Total expenses 28,681,021 6,614,938 4,889,574 (3,643,012) 36,542,521 5,941,198 18,000 1,752,128 48,554 44,302,401 4,193,066 - (75,589) 48,419,878

Change in net assets (365,403) (94,628) 124,691 - (335,340) (4,341,214) (8,913) 1,334,773 11,842 (3,338,852) 6,183 3,266 - (3,329,403)

Conversion of Building Fund investment to capital contribution (16,490,145) - - 16,490,145 - - - - - - - - - -

Net assets at beginning of year 41,520,550 6,242,475 15,576,800 (16,490,145) 46,849,680 5,895,236 645,849 21,014,955 338,692 74,744,412 462,705 593,539 - 75,800,656

Net assets at end of year 24,665,002$ 6,147,847$ 15,701,491$ -$ 46,514,340$ 1,554,022$ 636,936$ 22,349,728$ 350,534$ 71,405,560$ 468,888$ 596,805$ -$ 72,471,253$

PAT

Year Ended December 31, 2014

Consolidated IUPAT Statement of Activities

International Union of Painters and Allied Trades

A P R I L - J U N E 2 0 1 5 • J O U R N A L

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See accompanying notes to consolidated financial statements.- 5 -

IUPAT PAT TotalCash flows provided by (used in) operating activities

Cash received fromDistrict councils, local unions and members 26,134,859$ 4,272,236$ 30,407,095$ Investment income 1,284,277 451 1,284,728 Other revenue and reimbursements 17,075,655 21,614 17,097,269

Net cash received 44,494,791 4,294,301 48,789,092

Cash disbursedFor personnel costs (12,131,424) (21,090) (12,152,514) To service providers, suppliers, vendors and others (34,105,346) (4,190,846) (38,296,192)

Net cash used (46,236,770) (4,211,936) (50,448,706)

Net cash provided by (used in) operating activities (1,741,979) 82,365 (1,659,614)

Cash flows used in investing activitiesProceeds from sale or redemption of investments 37,928,938 - 37,928,938 Purchase of investments (35,034,525) - (35,034,525) Loan to affiliate (1,600,000) - (1,600,000) Principal collected on loan 11,727 - 11,727 Purchase of property and equipment (921,415) - (921,415)

Net cash provided by investing activities 384,725 - 384,725

Net increase (decrease) in cash (1,357,254) 82,365 (1,274,889)

Cash and cash equivalents Beginning of year 17,858,270 709,226 18,567,496

End of year 16,501,016$ 791,591$ 17,292,607$

Reconciliation of change in net assets to net cash provided by (used in) operating activities

Change in net assets (3,338,852) 9,449 (3,329,403) Net depreciation of investments (298,298) - (298,298) Depreciation and amortization expense 1,581,152 - 1,581,152 (Increase) decrease in assets

Receivables (166,436) (22,147) (188,583) Intrafund receivables and payables (113,932) 113,932 - Prepaid expenses 329,953 15,627 345,580

Increase (decrease) in liabilitiesAccounts payable and accrued expenses 217,697 (33,305) 184,392 Prepaid per capita (8,364) (1,191) (9,555) Due to related funds 55,101 - 55,101

Net cash provided by (used in) operating activities (1,741,979)$ 82,365$ (1,659,614)$

International Union of Painters and Allied Trades

Consolidated IUPAT Statement of Cash Flows

Year Ended December 31, 2014

INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADES

CONSOLIDATED IUPAT STATEMENT OF CASH FLOWS

YEAR ENDED DECEMBER 31, 2014

A P R I L - J U N E 2 0 1 5 • J O U R N A L

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NOTE 1. NATURE OF OPERATIONSThe International Union of Painters and Allied Trades

(the International Union) is a labor organization repre-senting painters and workers in allied trades throughout the United States and Canada. The primary source of revenue is per capita paid by Local Unions and District Councils.

NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIESMethod of Accounting - The financial statements have

been prepared using the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America. Net assets are classi-fied as unrestricted, temporarily restricted, or permanently restricted based on the presence or absence of donor restrictions. Net assets are “released from restriction” when amounts are expended for the purpose specified. The International Union does not have any permanently restricted net assets.

Consolidation and Fund Accounting - The consolidated financial statements include the accounts and activities of the International Union and related entities under the International Union’s control. For purposes of presentation in the con-solidated financial statements and in accordance with require-ments set forth in its Constitution, the International Union reports its accounts and activities as follows:

IUPAT - The funds of the IUPAT are the General, Building, Convention, Accidental Death, Disaster Relief, Death Benefit, and Organizing. Per capita revenue is based on monthly billings to District Councils and Local Unions for membership activity reported through December each year. The alloca-tion of per capita among the funds is in accordance with the International Union’s Constitution.

General Fund - Provides for the ongoing activities of the International Union not specifically carried out by any other fund. The General Fund also includes the activity of the Job Corps program which is a party to a U.S. Government agency contract as discussed in Note 5.

Organizing Fund - This Fund was established to defray the costs of enhanced organizing activities. Funding sources include administrative processing fees and an allocation of per capita tax in the amount of $6.00 per member, per month.

Building Fund - The IUPAT Building Corp., LLC was formed on December 14, 2004, to acquire and hold title to the property to be used for the national headquarters complex.

Currently, per capita tax in the amount of $.70 per member, per month, is allocated to the Building Fund.

Convention Fund - This Fund accumulates allocated assess-ments received from affiliates to defray the costs of the con-vention held every five years. Currently, an allocation of per capita tax in the amount of 5% of total per capita is allocated to the Convention Fund.

Disaster Relief Fund - This Fund was established to provide assistance to areas affected by natural disaster. Funding sources include contributions from the General Fund, Local Unions, District Councils, members, and others.

Death Benefit Fund - Provides a death benefit for eligible members. The benefits paid vary in amount depending upon the classification of the member. Most payments are for the normal death benefit which is $2,500. This benefit is funded by allocating $2.00 per member, per month.

Accidental Death Fund - Provides accidental death benefits for all members in good standing. The benefit for eligible members is $10,000. This benefit is funded by allocating $.05 per member, per month, to this Fund.

PAT - The International Union has established two sepa-rate segregated entities for political, legislative and educa-tional purposes. The Political Action Together - Legislative and Educational Fund (PAT-LEC) is financed through an allocation of per capita tax in the amount of $0.24 per member, per month, and payments from Local Unions and District Councils. The Political Action Together - Political Committee Fund (PAT-PC) directly receives voluntary contributions, including payroll check-offs, from members of the International Union.

Cash and Cash Equivalents - Cash and cash equivalents consist of amounts held in demand deposit and money market accounts.

Investments - Securities are reported at their aggregate fair value. The fair value of investments in U.S. Government and Government Agency securities, corporate bonds, and common stock are determined by quoted market prices. The certificates of deposit are carried at estimated fair value as determined by the investment custodian. The short-term invest-ments and ULLICO stock are carried at cost, which approxi-mates fair value.

Property and Equipment - Property and equipment are carried at cost. Major additions in excess of $10,000 are capitalized, while replacements and repairs that do not improve or extend the lives of the respective assets are

INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS

DECEMBER 31, 2014

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expensed. Depreciation expense is computed using the straight-line method over the following estimated useful lives of the assets:

Building 20 yearsFurniture and equipment 5-20 yearsAutomobiles 5 yearsDepreciation expense totaled $1,579,836 for the year

ended December 31, 2014.

Canadian Currency - The International Union maintains checking and savings accounts in Canada as well as the United States. For financial statement purposes, all assets are expressed in U.S. dollar equivalents.

Canadian currencies included in the consolidated statement of financial position are translated at the exchange rates in effect on the last day of the year. Unrealized increases and decreases due to fluctuations in exchange rates are included in the consolidated state-ment of activities.

Funds received and disbursed in Canada are stated in U.S. dollars based on the average exchange rate in effect during the year when reported in the revenue and expenses included in the consolidated statement of activities. The average exchange rate for 2014 used to translate revenue and expenses was $0.90270 per Canadian dollar. At December 31, 2014, the exchange rate was $0.86199 per Canadian dollar.

Use of Estimates in the Preparation of Financial Statements - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make esti-mates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Financial Presentation - The International Union’s finan-cial statements present its net assets, revenues, expenses, gains, and losses, classified between unrestricted, tempo-rarily restricted, and permanently restricted, based on the existence or absence of donor-imposed restrictions.

NOTE 3. TAX STATUSThe International Union is exempt from Federal income

taxes under Section 501(c)(5) of the Internal Revenue Code.

The financial statements include the activity of the PAT-LEC and PAT-PC. Section 527 of the Internal Revenue Code provides for the exemption from Federal income tax for “exempt function income” of a political committee that is a separate segregated fund of an exempt organiza-tion which is not a political organization. Contributions received are exempt function income provided that the receipts are primarily expended for an exempt function or for some or all of its administrative expenses. However, interest income will be taxed. Both the PAT-LEC and the PAT-PC file Internal Revenue Service Form 1120-POL to report financial activities. Income tax expense for 2014 totaled $51.

Accounting principles generally accepted in the United States of America require management to evaluate tax posi-tions taken by the International Union and recognize a tax liability if the International Union has taken an uncertain position that, more likely than not, would not be sustained upon examination by the U.S. Federal, state, or local tax-ing authorities. The International Union is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress. Typically, tax years will remain open for three years; however, this may differ depending upon the circumstances of the International Union.

NOTE 4. UNINSURED CASH BALANCES The International Union maintains its cash accounts

primarily with banks located in Washington, D.C. The total cash balances are insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per bank. The International Union has cash balances on deposit at December 31, 2014, that exceeds the balance of FDIC insurance coverage by approximately $14,965,183.

The International Union also maintains cash at a Canadian financial institution, which is insured up to $100,000 in Canadian dollars. As of December 31, 2014, the International Union’s cash in the Canadian financial institution in excess of insurance coverage totaled approximately $2,310,014 in Canadian dollars ($1,977,420 U.S. equivalent).

NOTE 5. U.S. GOVERNMENT AGENCY CONTRACTThe International Union is a party to a cost reimburse-

ment contract with the U.S. Department of Labor Job Corps Program.

The 2014 activity and contract funds due from the U.S. Government at December 31, 2014, were as follows:

NOTES TO CONSOLIDATED FINANCIAL STATEMENTSContinued from previous page

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The base period of the DOLJ131A22026 contract expired on May 31, 2014, with the option to renew for 4 additional years.

NOTE 6. INVESTMENTSThe cost and fair value of investments held by the

International Union at December 31, 2014, is summarized below:

Investment income for the year ended December 31, 2014, consisted of the following:

NOTE 7. PROPERTY AND EQUIPMENTAt December 31, 2014, property and equipment consisted

of the following:

NOTE 8. 401(K) PLANSThe International Union maintains two 401(k) plans,

one for International Union employees and one for Job Corp employees. The International Union contributes 6% of salary for eligible employees. These contributions

totaled $329,141 for the International Union employees and $204,722 for the Job Corp employees for the year ended December 31, 2014.

NOTE 9. MULTIEMPLOYER DEFINED BENEFIT PENSION PLAN

The International Union contributes to a multiemployer defined benefit pension

plan under the terms of a collective-bargaining agreement and a participation agreement that covers its union-repre-sented employees. The risks of participating in this multi-employer defined benefit pension plan are different from a single-employer plan in the following aspects: a. Assets contributed to the multiemployer defined ben-

efit pension plan by one employer may be used to provide benefits to employees of other participating employers.

b. If a participating employer stops contributing to the mul-tiemployer defined benefit pension plan, the unfunded obligations of the multiemployer defined benefit pen-sion plan may be borne by the remaining participating employers.

c. If the International Union chooses to stop participat-ing in its multiemployer defined benefit pension plan, the International Union may be required to pay that multiemployer defined benefit pension plan an amount based on the underfunded status of the multiemployer defined benefit pension plan, referred to as a with-drawal liability. The International Union’s participation in this multi-

employer defined benefit pension plan for the annual period ended December 31, 2014, is outlined in the table below. The zone status is based on information that the International Union received from the multiem-ployer defined benefit pension plan and is certified by the multiemployer defined benefit pension plan’s actuary. Among other factors, pension plans in the red zone are generally less than 65 percent funded, pen-sion plans in the yellow zone are less than 80 percent funded, and pension plans in the green zone are at least 80 percent funded.

***The staff employees of the International Union par-ticipate in the International Painters and Allied Trades Industry Pension Plan through a collective bargaining agreement. Employees that are not covered under the collective bargain-ing agreement are covered by a participation agreement. The participation agreement does not have an expiration date.

- 10 -

NOTE 5. U.S. GOVERNMENT AGENCY CONTRACT (continued) The 2014 activity and contract funds due from the U.S. Government at December 31, 2014, were as follows:

Due from U.S.Government Due from U.S.at beginning Contract Government

of year Receipts Expenditures at end of year

U.S. Department of Labor Job Corps Program

DOLJ131A22026 852,473$ 6,466,872$ 6,495,647$ 881,248$

The base period of the DOLJ131A22026 contract expired on May 31, 2014, with the option to renew for 4 additional years. NOTE 6. INVESTMENTS The cost and fair value of investments held by the International Union at December 31, 2014, is summarized below:

Cost Fair Value

United States Government andGovernment Agency obligations 500,000$ 500,465$

Corporate bonds 10,043,187 9,966,690 Certificates of deposit 850,000 843,220 Common stock 4,388,783 4,960,793 ULLICO stock 39,826 39,826 Short-term investments 9,885,644 9,885,644

25,707,440$ 26,196,638$

Investment income for the year ended December 31, 2014, consisted of the following: Interest and dividends 1,134,818$ Net realized and unrealized loss on investments 298,298

1,433,116$

- 10 -

NOTE 5. U.S. GOVERNMENT AGENCY CONTRACT (continued) The 2014 activity and contract funds due from the U.S. Government at December 31, 2014, were as follows:

Due from U.S.Government Due from U.S.at beginning Contract Government

of year Receipts Expenditures at end of year

U.S. Department of Labor Job Corps Program

DOLJ131A22026 852,473$ 6,466,872$ 6,495,647$ 881,248$

The base period of the DOLJ131A22026 contract expired on May 31, 2014, with the option to renew for 4 additional years. NOTE 6. INVESTMENTS The cost and fair value of investments held by the International Union at December 31, 2014, is summarized below:

Cost Fair Value

United States Government andGovernment Agency obligations 500,000$ 500,465$

Corporate bonds 10,043,187 9,966,690 Certificates of deposit 850,000 843,220 Common stock 4,388,783 4,960,793 ULLICO stock 39,826 39,826 Short-term investments 9,885,644 9,885,644

25,707,440$ 26,196,638$

Investment income for the year ended December 31, 2014, consisted of the following: Interest and dividends 1,134,818$ Net realized and unrealized loss on investments 298,298

1,433,116$

- 10 -

NOTE 5. U.S. GOVERNMENT AGENCY CONTRACT (continued) The 2014 activity and contract funds due from the U.S. Government at December 31, 2014, were as follows:

Due from U.S.Government Due from U.S.at beginning Contract Government

of year Receipts Expenditures at end of year

U.S. Department of Labor Job Corps Program

DOLJ131A22026 852,473$ 6,466,872$ 6,495,647$ 881,248$

The base period of the DOLJ131A22026 contract expired on May 31, 2014, with the option to renew for 4 additional years. NOTE 6. INVESTMENTS The cost and fair value of investments held by the International Union at December 31, 2014, is summarized below:

Cost Fair Value

United States Government andGovernment Agency obligations 500,000$ 500,465$

Corporate bonds 10,043,187 9,966,690 Certificates of deposit 850,000 843,220 Common stock 4,388,783 4,960,793 ULLICO stock 39,826 39,826 Short-term investments 9,885,644 9,885,644

25,707,440$ 26,196,638$

Investment income for the year ended December 31, 2014, consisted of the following: Interest and dividends 1,134,818$ Net realized and unrealized loss on investments 298,298

1,433,116$

- 11 -

NOTE 7. PROPERTY AND EQUIPMENT At December 31, 2014, property and equipment consisted of the following:

Land 882,714$ Furniture and equipment 4,682,840 National Training Facility building 11,287,341 Headquarters building 13,194,745 Generator 840,679 Residence Hall building 5,172,593 Automobiles 92,572

36,153,484 Less accumulated depreciation

and amortization (12,020,291)

Net property and equipment 24,133,193$

NOTE 8. 401(K) PLANS The International Union maintains two 401(k) plans, one for International Union employees and one for Job Corp employees. The International Union contributes 6% of salary for eligible employees. These contributions totaled $329,141 for the International Union employees and $204,722 for the Job Corp employees for the year ended December 31, 2014. NOTE 9. MULTIEMPLOYER DEFINED BENEFIT PENSION PLAN The International Union contributes to a multiemployer defined benefit pension plan under the terms of a collective-bargaining agreement and a participation agreement that covers its union-represented employees. The risks of participating in this multiemployer defined benefit pension plan are different from a single-employer plan in the following aspects:

a. Assets contributed to the multiemployer defined benefit pension plan by one employer may be used to provide benefits to employees of other participating employers.

b. If a participating employer stops contributing to the multiemployer defined

benefit pension plan, the unfunded obligations of the multiemployer defined benefit pension plan may be borne by the remaining participating employers.

c. If the International Union chooses to stop participating in its multiemployer

defined benefit pension plan, the International Union may be required to pay that multiemployer defined benefit pension plan an amount based on the underfunded status of the multiemployer defined benefit pension plan, referred to as a withdrawal liability.

- 12 -

NOTE 9. MULTIEMPLOYER DEFINED BENEFIT PENSION PLAN (continued) The International Union’s participation in this multiemployer defined benefit pension plan for the annual period ended December 31, 2014, is outlined in the table below. The zone status is based on information that the International Union received from the multiemployer defined benefit pension plan and is certified by the multiemployer defined benefit pension plan's actuary. Among other factors, pension plans in the red zone are generally less than 65 percent funded, pension plans in the yellow zone are less than 80 percent funded, and pension plans in the green zone are at least 80 percent funded.

PensionPlan's Pension Extended

Employer Plan's AmortizationIdentification Plan Provisions

Legal Name of Pension Plan Number Number Zone Status Used?

International Painters and Allied Trades Industry Pension Plan 52-0673909 001

Yellow as of 01/01/14 No

June 30, 2016 ***

Expiration Date of Collective Bargaining Agreement

Pension Protection Act Zone Status

***The staff employees of the International Union participate in the International Painters and Allied Trades Industry Pension Plan through a collective bargaining agreement. Employees that are not covered under the collective bargaining agreement are covered by a participation agreement. The participation agreement does not have an expiration date.

International Painters and Allied Trades Industry Pension Plan

Legal Name of Pension Plan

Contributions to the Pension Plan

Employer Contribution

Rates

Number of Employees

Covered by Plan

Contributions to the Pension Plan greater than 5% of total Pension Plan Contributions

(Plan year ending)12/31/2014

$1,784,092 No, Plan year ending 12/31/14.

12/31/2014

18.97% of employees'

salaries

12/31/2014

132

No If yes, description

Surcharge paid to Pension Plan by the

International Union of

Painters and Allied Trades?

Minimum contributions required in future by CBA, statutory requirements, or other

contractual requirements?

Funding Improvement Plan or Rehabilitation Plan Implemented or

Pending?Legal Name of Pension Plan

International Painters and Allied Trades Industry Pension Plan

Funding Improvement Plan Implemented No No N/A

A P R I L - J U N E 2 0 1 5 • J O U R N A L

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NOTE 10. AFFILIATIONS PER CAPITADuring the year ended December 31, 2014, the

International Union incurred per capita expenses to affili-ated organizations as follows:

NOTE 11. RELATED ENTITIESThe Building Fund currently leases a portion of the head-

quarters building space to the International Painters and Allied Trades Industry Pension Plan (Pension Plan), Painters and Allied Trades Labor-Management Cooperation Initiative (LMCI), and Painters and Allied Trades for Children’s Hope Foundation (PATCH). The Building Fund also leases office space in the national training center to the International Union of Painters and Allied Trades Finishing Trades Institute (FTI). The Building Fund received $1,893,053 in rent from these entities for the year ended December 31, 2014, and was also owed $1,058 from related parties at year end December 31, 2014.

On October 31, 2005, the Death Benefit Fund loaned $4,500,000 to the IUPAT Building Corp, LLC to be used for renovating the national training facility. The loan is secured by national training facility property. On June 22, 2010, the Death Benefit Fund loaned an additional $9,922,800 to the IUPAT Building Corp, LLC to make the loan $14,000,000 to be

used to pay for the new headquarters and residence hall. The loan is payable in monthly installments of $75,248 beginning August 1, 2010, including interest at the annual rate of 5.00%. Final payment is due in July 2040. Interest expense for the year ended December 31, 2014, for this loan totaled $657,727.

As of December 31, 2014, the future principal maturi-ties of this loan are as follows:

Certain operating expenses are incurred by the International Union during the year and are allocated to the related entities of the International Union based on allo-cation studies. These operating expenses include shared accounting support, computer technology support, reim-bursement for postage, meeting and travel expenses and other miscellaneous reimbursements. For the year ending December 31, 2014, the allocation of expenses received during the year by the International Union was as follows:

For the year ending December 31, 2014, the allocation of expenses that was receivable at year end was as follows:

The International Union also pays related parties for miscellaneous expenses that include classroom rentals, employee withholdings, meeting and travel reimburse-ments and other miscellaneous reimbursements. For the

24

NOTES TO CONSOLIDATED FINANCIAL STATEMENTSContinued from previous page

- 13 -

NOTE 10. AFFILIATIONS PER CAPITA During the year ended December 31, 2014, the International Union incurred per capita expenses to affiliated organizations as follows:

AFL-CIO 612,745$ AFL-CIO - State (Full Affiliation Program) 521,192 Building & Construction Trades Dept., AFL-CIO 469,588 BCTD CHOICE Assessment 23,748 BCTD Fair Contracting Assessment 16,568 Maritime Trades Dept., AFL-CIO 4,320 Union Label Trades Dept., AFL-CIO 6,000 Metal Trades Department, AFL-CIO 105,328 Professional Employees Dept., AFL-CIO 1,080 IUPAT Canadian Organizing Fund (U.S. Dollars) 90,648 Union Sportsmen’s Alliance 75,000 Union Veterans Council 8,500 Alliance for Retired Americans 36,575 Canadian Provincial Federation of Labour (U.S. dollars) 52,784

2,024,076$

NOTE 11. RELATED ENTITIES The Building Fund currently leases a portion of the headquarters building space to the International Painters and Allied Trades Industry Pension Plan (Pension Plan), Painters and Allied Trades Labor-Management Cooperation Initiative (LMCI), and Painters and Allied Trades for Children’s Hope Foundation (PATCH). The Building Fund also leases office space in the national training center to the International Union of Painters and Allied Trades Finishing Trades Institute (FTI). The Building Fund received $1,893,053 in rent from these entities for the year ended December 31, 2014, and was also owed $1,058 from related parties at year end December 31, 2014. On October 31, 2005, the Death Benefit Fund loaned $4,500,000 to the IUPAT Building Corp, LLC to be used for renovating the national training facility. The loan is secured by national training facility property. On June 22, 2010, the Death Benefit Fund loaned an additional $9,922,800 to the IUPAT Building Corp, LLC to make the loan $14,000,000 to be used to pay for the new headquarters and residence hall. The loan is payable in monthly installments of $75,248 beginning August 1, 2010, including interest at the annual rate of 5.00%. Final payment is due in July 2040. Interest expense for the year ended December 31, 2014, for this loan totaled $657,727.

- 14 -

NOTE 11. RELATED ENTITIES (continued) As of December 31, 2014, the future principal maturities of this loan are as follows:

Year Ended Death BenefitDecember 31, Fund

2015 257,792$ 2016 270,982 2017 284,845 2018 299,419 2019 314,737

Thereafter 11,592,911

13,020,686$

Certain operating expenses are incurred by the International Union during the year and are allocated to the related entities of the International Union based on allocation studies. These operating expenses include shared accounting support, computer technology support, reimbursement for postage, meeting and travel expenses and other miscellaneous reimbursements. For the year ending December 31, 2014, the allocation of expenses received during the year by the International Union was as follows:

TotalPension Received

FTI LMCI Plan PATCH from Related

Accounting support 134,984$ 107,978$ -$ 21,582$ 264,544$ Computer technology support 35,827 34,294 114,258 6,787 191,166 Postage Reimb. 31,523 24,038 160,752 - 216,313 Meeting & Travel Reimb. 13,208 698,847 69,838 - 781,893 Other reimbursements 47,362 458,961 169,250 26,672 702,245

Totals 262,904$ 1,324,118$ 514,098$ 55,041$ 2,156,161$

For the year ending December 31, 2014, the allocation of expenses that was receivable at year end was as follows:

TotalPension Due from

FTI LMCI Plan PATCH Related

Accounting support -$ -$ -$ 1,789$ 1,789$ Computer technology support 1,480 906 63,891 566 66,843 Postage Reimb. 896 2,537 9,130 - 12,563 Meeting & Travel Reimb. 3,511 205,977 867 - 210,355 Other reimbursements 638 17,670 14,220 3,390 35,918

Totals 6,525$ 227,090$ 88,108$ 5,745$ 327,468$

- 14 -

NOTE 11. RELATED ENTITIES (continued) As of December 31, 2014, the future principal maturities of this loan are as follows:

Year Ended Death BenefitDecember 31, Fund

2015 257,792$ 2016 270,982 2017 284,845 2018 299,419 2019 314,737

Thereafter 11,592,911

13,020,686$

Certain operating expenses are incurred by the International Union during the year and are allocated to the related entities of the International Union based on allocation studies. These operating expenses include shared accounting support, computer technology support, reimbursement for postage, meeting and travel expenses and other miscellaneous reimbursements. For the year ending December 31, 2014, the allocation of expenses received during the year by the International Union was as follows:

TotalPension Received

FTI LMCI Plan PATCH from Related

Accounting support 134,984$ 107,978$ -$ 21,582$ 264,544$ Computer technology support 35,827 34,294 114,258 6,787 191,166 Postage Reimb. 31,523 24,038 160,752 - 216,313 Meeting & Travel Reimb. 13,208 698,847 69,838 - 781,893 Other reimbursements 47,362 458,961 169,250 26,672 702,245

Totals 262,904$ 1,324,118$ 514,098$ 55,041$ 2,156,161$

For the year ending December 31, 2014, the allocation of expenses that was receivable at year end was as follows:

TotalPension Due from

FTI LMCI Plan PATCH Related

Accounting support -$ -$ -$ 1,789$ 1,789$ Computer technology support 1,480 906 63,891 566 66,843 Postage Reimb. 896 2,537 9,130 - 12,563 Meeting & Travel Reimb. 3,511 205,977 867 - 210,355 Other reimbursements 638 17,670 14,220 3,390 35,918

Totals 6,525$ 227,090$ 88,108$ 5,745$ 327,468$

- 14 -

NOTE 11. RELATED ENTITIES (continued) As of December 31, 2014, the future principal maturities of this loan are as follows:

Year Ended Death BenefitDecember 31, Fund

2015 257,792$ 2016 270,982 2017 284,845 2018 299,419 2019 314,737

Thereafter 11,592,911

13,020,686$

Certain operating expenses are incurred by the International Union during the year and are allocated to the related entities of the International Union based on allocation studies. These operating expenses include shared accounting support, computer technology support, reimbursement for postage, meeting and travel expenses and other miscellaneous reimbursements. For the year ending December 31, 2014, the allocation of expenses received during the year by the International Union was as follows:

TotalPension Received

FTI LMCI Plan PATCH from Related

Accounting support 134,984$ 107,978$ -$ 21,582$ 264,544$ Computer technology support 35,827 34,294 114,258 6,787 191,166 Postage Reimb. 31,523 24,038 160,752 - 216,313 Meeting & Travel Reimb. 13,208 698,847 69,838 - 781,893 Other reimbursements 47,362 458,961 169,250 26,672 702,245

Totals 262,904$ 1,324,118$ 514,098$ 55,041$ 2,156,161$

For the year ending December 31, 2014, the allocation of expenses that was receivable at year end was as follows:

TotalPension Due from

FTI LMCI Plan PATCH Related

Accounting support -$ -$ -$ 1,789$ 1,789$ Computer technology support 1,480 906 63,891 566 66,843 Postage Reimb. 896 2,537 9,130 - 12,563 Meeting & Travel Reimb. 3,511 205,977 867 - 210,355 Other reimbursements 638 17,670 14,220 3,390 35,918

Totals 6,525$ 227,090$ 88,108$ 5,745$ 327,468$

- 12 -

NOTE 9. MULTIEMPLOYER DEFINED BENEFIT PENSION PLAN (continued) The International Union’s participation in this multiemployer defined benefit pension plan for the annual period ended December 31, 2014, is outlined in the table below. The zone status is based on information that the International Union received from the multiemployer defined benefit pension plan and is certified by the multiemployer defined benefit pension plan's actuary. Among other factors, pension plans in the red zone are generally less than 65 percent funded, pension plans in the yellow zone are less than 80 percent funded, and pension plans in the green zone are at least 80 percent funded.

PensionPlan's Pension Extended

Employer Plan's AmortizationIdentification Plan Provisions

Legal Name of Pension Plan Number Number Zone Status Used?

International Painters and Allied Trades Industry Pension Plan 52-0673909 001

Yellow as of 01/01/14 No

June 30, 2016 ***

Expiration Date of Collective Bargaining Agreement

Pension Protection Act Zone Status

***The staff employees of the International Union participate in the International Painters and Allied Trades Industry Pension Plan through a collective bargaining agreement. Employees that are not covered under the collective bargaining agreement are covered by a participation agreement. The participation agreement does not have an expiration date.

International Painters and Allied Trades Industry Pension Plan

Legal Name of Pension Plan

Contributions to the Pension Plan

Employer Contribution

Rates

Number of Employees

Covered by Plan

Contributions to the Pension Plan greater than 5% of total Pension Plan Contributions

(Plan year ending)12/31/2014

$1,784,092 No, Plan year ending 12/31/14.

12/31/2014

18.97% of employees'

salaries

12/31/2014

132

No If yes, description

Surcharge paid to Pension Plan by the

International Union of

Painters and Allied Trades?

Minimum contributions required in future by CBA, statutory requirements, or other

contractual requirements?

Funding Improvement Plan or Rehabilitation Plan Implemented or

Pending?Legal Name of Pension Plan

International Painters and Allied Trades Industry Pension Plan

Funding Improvement Plan Implemented No No N/A

- 12 -

NOTE 9. MULTIEMPLOYER DEFINED BENEFIT PENSION PLAN (continued) The International Union’s participation in this multiemployer defined benefit pension plan for the annual period ended December 31, 2014, is outlined in the table below. The zone status is based on information that the International Union received from the multiemployer defined benefit pension plan and is certified by the multiemployer defined benefit pension plan's actuary. Among other factors, pension plans in the red zone are generally less than 65 percent funded, pension plans in the yellow zone are less than 80 percent funded, and pension plans in the green zone are at least 80 percent funded.

PensionPlan's Pension Extended

Employer Plan's AmortizationIdentification Plan Provisions

Legal Name of Pension Plan Number Number Zone Status Used?

International Painters and Allied Trades Industry Pension Plan 52-0673909 001

Yellow as of 01/01/14 No

June 30, 2016 ***

Expiration Date of Collective Bargaining Agreement

Pension Protection Act Zone Status

***The staff employees of the International Union participate in the International Painters and Allied Trades Industry Pension Plan through a collective bargaining agreement. Employees that are not covered under the collective bargaining agreement are covered by a participation agreement. The participation agreement does not have an expiration date.

International Painters and Allied Trades Industry Pension Plan

Legal Name of Pension Plan

Contributions to the Pension Plan

Employer Contribution

Rates

Number of Employees

Covered by Plan

Contributions to the Pension Plan greater than 5% of total Pension Plan Contributions

(Plan year ending)12/31/2014

$1,784,092 No, Plan year ending 12/31/14.

12/31/2014

18.97% of employees'

salaries

12/31/2014

132

No If yes, description

Surcharge paid to Pension Plan by the

International Union of

Painters and Allied Trades?

Minimum contributions required in future by CBA, statutory requirements, or other

contractual requirements?

Funding Improvement Plan or Rehabilitation Plan Implemented or

Pending?Legal Name of Pension Plan

International Painters and Allied Trades Industry Pension Plan

Funding Improvement Plan Implemented No No N/A

A P R I L - J U N E 2 0 1 5 • J O U R N A L

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25

year ending December 31, 2014, the allocation of expenses that was paid to related parties and amounts payable at year end were as follows:

NOTE 12. COMMITMENTS AND CONTINGENCIESThe International Union is involved in litigation arising

in the normal course of operations. Some of the litigation involves matters common to any organization of comparable size, including personnel, employment, contract, and trade-mark issues. None of this litigation involves any substantial potential liability on the part of the International Union.

NOTE 13. FAIR VALUE MEASUREMENTSThe framework for measuring fair value provides a fair

value hierarchy that prioritizes the inputs to valuation tech-niques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active mar-kets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described as follows

Basis of Fair Value Measurement Level 1 - Inputs to the valuation methodology are

unadjusted quoted prices for identical assets or liabilities in active markets that the International Union has the ability to access.

Level 2 - Inputs to the valuation methodology include: quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; inputs other than quoted prices that are observable for the asset or liability; inputs that are derived principally from or corroborated by observable market data by correlation or other means.

If the asset or liability has a specified (contractual) term, the level 2 input must be observable for substan-tially the full term of the asset or liability.

Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measure-ment. The asset’s or liability’s fair value measurement level

within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques maximize the use of relevant observable inputs and minimize the use of unobservable inputs.

The availability of observable market data is moni-tored to assess the appropriate classification of financial

instruments within the fair value hierarchy. Changes in economic conditions or model-based valuation techniques may require the transfer of financial instruments from one fair value level to another. In such instances, the transfer is reported at the beginning of the period.

For the year ended December 31, 2014, there were no transfers in or out of levels 1, 2, or 3.

NOTE 14. POSTRETIREMENT BENEFITSThe International Union provides postretirement life insur-

ance for all employees and postretirement medical insur-ance for former general officers or general executive board members and their spouses. To be eligible for these ben-efits, employees must retire and immediately be eligible to receive a pension from the International Painters and Allied Trades Industry Pension Fund. Generally, retirees and their spouses may continue medical benefits until the earliest of the attainment of age 65 or death. The life insurance benefit continues for the life of the retiree. The life insurance benefit is in the amount of $10,000 or $5,000 depend-ing on job classification. The International Union reports in accordance with Financial Accounting Standards Board Accounting Standards Codification 715, “Compensation-Retirement Benefits” (FASB ASC 715).

The amount reported as the postretirement benefit obliga-tion represents the actuarial present value of those estimated future benefits that are attributed to employees’ service ren-dered to the date of the financial statements. Postretirement benefits include future benefits expected to be paid to or for currently retired employees and their spouses and employees and their spouses after retirement from service. Prior to an active employee’s full eligibility date, the postretirement ben-efit obligation is the portion of the expected postretirement benefit obligation that is attributed to that employee’s service rendered to the valuation date.

- 15 -

NOTE 11. RELATED ENTITIES (continued) The International Union also pays related parties for miscellaneous expenses that include classroom rentals, employee withholdings, meeting and travel reimbursements and other miscellaneous reimbursements. For the year ending December 31, 2014, the allocation of expenses that was paid to related parties and amounts payable at year end were as follows:

FTI 29,910$ 1,732$ LMCI 394 20,859 Pension Plan 7,550 2,377 PATCH 13,558 778

Totals 51,412$ 25,746$

December 31, 2014the year ended

related parties duringAmount paid to

Amount due torelated parties at

December 31, 2014

NOTE 12. COMMITMENTS AND CONTINGENCIES The International Union is involved in litigation arising in the normal course of operations. Some of the litigation involves matters common to any organization of comparable size, including personnel, employment, contract, and trademark issues. None of this litigation involves any substantial potential liability on the part of the International Union. NOTE 13. FAIR VALUE MEASUREMENTS The framework for measuring fair value provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). The three levels of the fair value hierarchy are described as follows: Basis of Fair Value Measurement: Level 1 - Inputs to the valuation methodology are unadjusted quoted prices for

identical assets or liabilities in active markets that the International Union has the ability to access.

- 16 -

NOTE 13. FAIR VALUE MEASUREMENTS (continued)

Level 2 - Inputs to the valuation methodology include: quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; inputs other than quoted prices that are observable for the asset or liability; inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the level 2 input must be observable for substantially the full term of the asset or liability.

Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques maximize the use of relevant observable inputs and minimize the use of unobservable inputs.

Total Level 1 Level 2 Level 3

U.S. Government and GovernmentAgency obligations 500,465$ 500,465$ -$ -$

Corporate bonds 9,966,690 - 9,966,690 - Certificates of deposit 843,220 - 843,220 - Common stock 4,960,793 4,960,793 - - ULLICO stock 39,826 - - 39,826 Short-term investments 9,885,644 9,885,644 - -

26,196,638$ 15,346,902$ 10,809,910$ 39,826$

Fair Value Measurements at December 31, 2014

ULLICO Total stock

Beginning balance 39,826$ 39,826$ Realized gains - - Unrealized gains - - Purchases - - Sales - - Transfers into Level 3 - -

Ending balance 39,826$ 39,826$

Level 3 Fair Value Measurements

- 16 -

NOTE 13. FAIR VALUE MEASUREMENTS (continued)

Level 2 - Inputs to the valuation methodology include: quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in inactive markets; inputs other than quoted prices that are observable for the asset or liability; inputs that are derived principally from or corroborated by observable market data by correlation or other means. If the asset or liability has a specified (contractual) term, the level 2 input must be observable for substantially the full term of the asset or liability.

Level 3 - Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

The asset’s or liability’s fair value measurement level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Valuation techniques maximize the use of relevant observable inputs and minimize the use of unobservable inputs.

Total Level 1 Level 2 Level 3

U.S. Government and GovernmentAgency obligations 500,465$ 500,465$ -$ -$

Corporate bonds 9,966,690 - 9,966,690 - Certificates of deposit 843,220 - 843,220 - Common stock 4,960,793 4,960,793 - - ULLICO stock 39,826 - - 39,826 Short-term investments 9,885,644 9,885,644 - -

26,196,638$ 15,346,902$ 10,809,910$ 39,826$

Fair Value Measurements at December 31, 2014

ULLICO Total stock

Beginning balance 39,826$ 39,826$ Realized gains - - Unrealized gains - - Purchases - - Sales - - Transfers into Level 3 - -

Ending balance 39,826$ 39,826$

Level 3 Fair Value Measurements

A P R I L - J U N E 2 0 1 5 • J O U R N A L

Continued on next page

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AUDITREPORT

The actuarial present value of the expected postre-tirement benefit obligation is determined by the Plan’s actuary and is the amount that results from applying actuarial assumptions to historical claims cost data to estimate future annual incurred claims costs per par-ticipant and to adjust such estimates for the time value of money (through discounts for interest) and the probability of payment (by means of decrements such as those for death or retirement) between the valuation date and the expected date of payment. The actuarial cost method used to determine the liability is the Projected Unit Credit Cost Method.

For measurement purposes, 10.00% annual rate of increase in the per person cost of covered medical health care benefits was assumed, grading down to 5% over 10 years.

The following were other significant assumptions used in the valuations as of December 31, 2013: Discount rate: 6.00% Mortality: RP-2000 Mortality Table with Blue Collar

Adjustment projected to 2005 with Scale AA Retirement Age: 100% of eligible participants are

assumed to retire at age 63The foregoing assumptions are based on the pre-

sumption that the International Union will continue. Were the International Union to terminate, different actuarial assumptions and other factors might be applicable in determining the actuarial present value of the postretirement benefit obligations.

The estimated post-retirement benefit obligation liability at December 31, 2014 of $1,748,157, is based on an actuarial valuation report for the fiscal year ended December 31, 2013.

NOTE 15. LOAN RECEIVABLEOn September 17, 2014, the International Union

loaned $1,600,000 to the Painters District Council 51 to be used to pay off their property located at 4700 Boston Way, Lanham, MD. The loan is secured by the

clean title of the two buildings on this property and a CD for $400,000. The loan is payable in monthly installments of $10,559 beginning October 15, 2014, including interest at the annual rate of 5.00%. Final payment is due in September 2034. Interest income for the year ended December 31, 2014, for this loan totaled $19,951.

As of December 31, 2014, the future principal maturities of this loan are as follows:

NOTE 16. RISKS AND UNCERTAINTIESThe International Union invests in various invest-

ments. Investments are exposed to various risks such as economic, interest rate, market, and sector risks. Due to the level of risk associated with certain invest-ments, it is at least reasonably possible that changes in the values of investments will occur in the near term and that such changes could materially affect the amounts reported in the Statement of Financial Position.

NOTE 17. SUBSEQUENT EVENTSThe International Union has evaluated subsequent

events through April 13, 2015, the date the financial statements were available to be issued, and they have been evaluated in accordance with relevant account-ing standards.

26

NOTES TO CONSOLIDATED FINANCIAL STATEMENTSContinued from previous page

- 18 -

NOTE 14. POSTRETIREMENT BENEFITS (continued) The foregoing assumptions are based on the presumption that the International Union will continue. Were the International Union to terminate, different actuarial assumptions and other factors might be applicable in determining the actuarial present value of the postretirement benefit obligations. The estimated post-retirement benefit obligation liability at December 31, 2014 of $1,748,157, is based on an actuarial valuation report for the fiscal year ended December 31, 2013. NOTE 15. LOAN RECEIVABLE On September 17, 2014, the International Union loaned $1,600,000 to the Painters District Council 51 to be used to pay off their property located at 4700 Boston Way, Lanham, MD. The loan is secured by the clean title of the two buildings on this property and a CD for $400,000. The loan is payable in monthly installments of $10,559 beginning October 15, 2014, including interest at the annual rate of 5.00%. Final payment is due in September 2034. Interest income for the year ended December 31, 2014, for this loan totaled $19,951. As of December 31, 2014, the future principal maturities of this loan are as follows:

Year Ended DC 51 LoanDecember 31, Receivable

2015 48,397$ 2016 50,873 2017 53,476 2018 56,212 2019 59,088

Thereafter 1,320,227

1,588,273$

NOTE 16. RISKS AND UNCERTAINTIES The International Union invests in various investments. Investments are exposed to various risks such as economic, interest rate, market, and sector risks. Due to the level of risk associated with certain investments, it is at least reasonably possible that changes in the values of investments will occur in the near term and that such changes could materially affect the amounts reported in the Statement of Financial Position. NOTE 17. SUBSEQUENT EVENTS The International Union has evaluated subsequent events through April 13, 2015, the date the financial statements were available to be issued, and they have been evaluated in accordance with relevant accounting standards.

A P R I L - J U N E 2 0 1 5 • J O U R N A L

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27A P R I L - J U N E 2 0 1 5 • J O U R N A L

The International Union of Painters and Allied Trades, AFL-CIO (IUPAT) has modified its business practices as they relate to receiving correspondence and communications. Business communications and correspondence for the General President may be sent to the following email address:

[email protected]

If necessary, or required by the IUPAT General Constitution, or by law, communications for the General President may be sent via regular mail, delivery service or courier to our offices at:

7234 Parkway DriveHanover, MD 21076

Communications for the General Executive Board may be sent to the following email address:

[email protected]

Please be advised that pursuant to section 282 of the IUPAT

General Constitution, all appeals from trial board decisions

must contain an original signature of the party appealing.

Therefore, all such appeals must still be sent by regular

mail, delivery service or courier to the General Secretary-

Treasurer at:

7234 Parkway Drive

Hanover, MD 21076

Any other communication that must bear an original

signature, or that must by law be by regular mail, shall

be addressed to the General President or the General

Secretary-Treasurer, as appropriate, at the above address.

Thank you for your attention to this matter.

ATTENTION ALL MEMBERS AND LEADERS IN THE INTERNATIONAL UNION OF PAINTERS AND ALLIED TRADES

The following is an official notice regarding business communications and correspondence.

JUST BECAUSE YOU’RE UNION.

Discover savings at

UnionPlus.org/Auto

Get the union member auto advantage with car buying and parts and service discounts negotiated and designed just for hard working union members like you. These Union Plus auto savings and services include:

• 24-hour roadside assistance at a lower price than AAA

• A hassle-free, money-saving car buying service from TRUECar®

• Up to $200 in rebates on new union-made cars• 10% off on Goodyear® tires and service• Special group rates on auto insurance• Car rental discounts

Page 28: PRINTED IN THE USA · International Union of Painters and Allied Trades by IUPAT at 7234 Parkway Drive, Hanover, MD 21076. Periodicals postage paid at Washington, DC and additional

It was just five years ago that the unemployment rate for construction workers in the United States peaked at a staggering 27.1 percent. With Canada suffering similar, albeit not as severe, unemploy-ment numbers in construction during the recession, the members of the International Union of Painters and Allied Trades were seeing the most challenging times of their lives when it came to their career in the trades.

Fortunately, today, the numbers tell a far different story.

SPIKE IN CONSTRUCTION SPENDING FUELS JOB GROWTH

One of the main factors affecting the construction employment rate is the obvious connection to construc-tion spending. This economic indicator measures the amount of money spent on residential and non-residential construction in the private, state and federal sectors. When construction spending is higher, there is more con-struction work, and that means more jobs.

In June, the U.S. Commerce Department reported that construction spending in April “reached the fastest pace in more than six years.” Although the current spending is not equal to the amount before the recession, it continues to grow and has economists optimistic about the days ahead.

Not surprisingly, the positive trend in construction spend-ing was mirrored in the latest construction employment numbers. According to the June Department of Labor num-bers, construction employment grew faster than overall employment in most states over the past 12 months. In May, construction firms added 17,000 jobs to bring a 12 month gain to over 273,000 new jobs in the sector. This is compelling news for the industry that now hovers at a 6.7 percent unemployment rate, dramatically less than the 2010 number above. In fact, the Associated General Contractors of America (AGC) reported that the number of unemployed construction workers “is at the lowest May level since 2005.” Canada has also seen improvement in construction employment numbers with over 1 percent growth in just one year.

Another important trend to note is the number of construction firms with their doors open and ready to bid on new projects. The Bureau of Labor Statistics

(BLS) recently reported that the number of construc-tion firms went up 1 percent in 2014 since suffering a steady decline beginning in 2007. Today, there are over 750,000 construction firms operating in the U.S. and approximately 300,000 in Canada.

INDUSTRY FORECASTSOkay – construction spending is up, unemployment is

down and more construction firms are ready to do busi-ness. What does that mean for you? It means that there is going to be more work than what we have seen in years and your union, the International Union of Painters and Allied Trades, is readying itself to meet what is certainly going to be a high demand for a skilled workforce.

The future for our crafts is promising according to U.S. government and industry sources.

Sign and Display – B2B Magazine, a premier busi-ness publication, released its marketing outlook report and cited that events (i.e., trade shows) are the second largest area of growth for brand marketing and show no signs of slowing. Exhibit City News recently surveyed meeting and event planners in various organizations and found that their budgets are on the rise, and found it evi-dent that “many organizations are willing to spend more per meeting in 2015.”

Floor Covering Installation – MarketWatch reported that the most rapid growth in flooring demand will occur in North America through 2018 thanks to a recovering economy and building market. Office, health care and educational construction and maintenance are three of the areas currently on the rise according to FMI, a construction and engineering industry consulting firm, in their Construction Outlook report.

Glazing – Thanks to innovations in the energy effi-ciency of glass, the BLS reports that employment growth

A BOLD FUTURE IN THE TRADES

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for glaziers is expected as glass exteriors are increas-ingly used. It projects that growth to be 17 percent from 2012 to 2022, one of the largest increases in the trades.

“The construction glass industry is in the early phase of a massive rebound,” said General Vice President at Large/Organizing Jim Williams Jr. “Most areas of the country, with Northern California, South Florida, Boston and Texas leading the turn around, have seen multiple large-scale new projects dot their sky line. What is even more encouraging is that in areas where there was little or no construction for years now have work projected for the next five years. We are also seeing massive new projects like the new billion dollar glass project for the Apple headquarters in Cupertino, California, the new Minnesota Vikings football stadium in Minneapolis, and the Brickell City Center in Miami.”

Drywall Finishing - The rise in commercial and resi-dential construction definitely means there is going to be much more drywall to finish and cover in the coming years. Tapers are expected to increase by 15 percent through 2022, according to the BLS.

Industrial and Commercial Painting – Like drywall fin-ishing, jobs in industrial and commercial painting are on the rise thanks to the increase in construction spending. In fact, the BLS projects employment in these crafts to grow by 20 percent through 2022. That is nearly double the growth expected for all occupations in the U.S. econ-omy (11 percent).

In Canada, the demand for new construction workers is certain to grow as well. BuildForce.ca reports in its Construction and Maintenance Looking Forward study that over the “last three years, from 2011 to 2014, national growth [in construction] was 62,400 jobs, while gains across the 10-year scenario period, 2015-2024, will be 81,000 jobs.” The report goes on to say that there will high demand for new workers because of a “looming increase in retirements, which will add 250,000 hires in replacement demand.”

A CAREER BEYOND THE TOOLSAnother career to consider that is on the rise is

construction manager. Tasked to prepare timetables,

ensure job site compliance and oversee budgets and work progress, among other things, the construction manager, often called a project manager, is expected to see a 16 percent increase in job opportunities through 2022 as projected by the BLS. This increase is not only due to more construction spending spurring more and more projects. The BLS reports that a “sub-stantial number of construction managers are expected to retire over the next decade, resulting in additional job openings.”

How is the IUPAT preparing its members and even employers for this career? The Painters and Allied Trades Labor Management Cooperation Initiative (LMCI) holds Project Management Training on a yearly basis to increase our ranks in this position.

OPPORTUNITIES AND OBSTACLESClearly, the work opportunities for IUPAT members

are on a definite rise. However, as one official in the AGC put it after the latest jobs report for construction, the two most daunting threats to future construction growth are “tight labor markets and political gridlock that could curtail public-sector construction spending.”

The IUPAT has ramped up its organizing efforts to build the workforce throughout North America, and members are being called upon to do their part in recruiting. The IUPAT Finishing Trades Institute is working year-round on train-the-trainer classes at the International Training Center and developing new curriculum to keep our skills on the state-of-the art level.

As for the political obstacles that may lie ahead of us? The IUPAT has that covered, as well. As you read this, the IUPAT Government Affairs team is working closely with lawmakers in both countries to resolve the issues important to working families.

Your union is hard at work in organizing, training and political action to make certain each and every member has the opportunity he or she needs to be a part of the growing work in construction. Go to your next dis-trict council or local union meeting to find out what you can do to grow the IUPAT, and help us all build the Bold Future we all know that we have ahead of us.

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JOB CORPS

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Job Corps: A Rising Force to Meet the Labor Demand

W hen you talk about organizing and labor unions, the first thing that comes to mind for

most is how each is building its apprenticeship program. Just about everyone is famil-

iar with unions recruiting young men and women to enter their training programs to

build union ranks on projects throughout North America. Yet, many don’t know about a program that

recruits and trains youth in our trades on a completely different level – the Job Corps program.

Also referred to as pre-apprentice-ship, the Job Corps mission is to teach disadvantaged youth a professional skill with which they can then turn into a successful career. The program was launched by President Lyndon B. Johnson in 1964 and it has since changed countless lives for the better.

The International Union of Painters and Allied Trades is a proud part-

ner of the Job Corps program and our instructors not only teach the students our many trades, they also teach these young men and women the value and difference that being in a union can mean for them as they enter their careers and eventually start a family.

The IUPAT has 45 pre-apprentice-ship training programs in the United

States, spanning from Hawaii to Massachusetts. The students complete a nine to twelve month program work-ing with tools in the painting, dry-wall, glazing, floor covering and sign & display crafts. In addition to skills training, students have the oppor-tunity to earn their GED, a driver’s license and OSHA 10 or 30 cards. “Job Corps is a program that gives

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Cass .......................................................... Ozark, AROuachita .................................................... Royal, ARSan Diego ......................................Imperial Beach, CALong Beach ........................................ Long Beach, CAInland Empire ...............................San Bernardino, CATreasure Island ................................San Francisco, CA Collbran ................................................Collbran, COMiami ............................................ Miami Gardens, FLGainesville ............................................Gainesville, FLHawaii .............................................. Waimanalo, HICentennial ................................................ Nampa, IDChicago.................................................... Chicago, ILGolconda ................................................ Golconda,ILAtterbury ............................................... Edinburgh, INGreat Onyx ..................................Mammoth Cave, KYShreveport ............................................Shreveport, LAShriver .....................................................Devens, MA Flint/Genesee .................................................Flint, MI Hubert H. Humphrey ................................ St. Paul, MNExcelsior Springs ........................... Excelsior Springs, MO Mingo ..................................................... Puxico, MO

St. Louis ................................................. St. Louis, MO Anaconda ............................................ Anaconda, MT Trapper Creek ............................................ Darby, MT Lyndon B. Johnson .................................... Franklin, NCSchenck .................................................. Brevard, NCPine Ridge .............................................. Chadron, NESierra Nevada ............................................. Reno, NV Iroquois ...................................................Medina, NYCleveland ............................................Cleveland, OH Tongue Point .............................................Astoria, ORTimberlake .............................................Estacada, ORAngell......................................................Yachats, OR Keystone .....................................................Drums, PA Boxelder .................................................... Nemo, SD Jacobs Creek ...............................................Bristol, TN North Texas ...........................................McKinney, TX Flatwoods ...............................................Coeburn, VA Curlew .................................................... Curlew, WA Columbia Basin ................................ Moses Lake, WACharleston ..........................................Charleston, WV

J O B C O R P S C E N T E R S B Y S T A T E A N D C I T Y

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young men and women every tool necessary to build a life that they can be proud of,” said Andrew Larson, national project coordinator for the IUPAT Job Corps training programs. “Our graduates are also among the best union men and women who enter our trades as apprentices, and will no doubt become a part of our bold future as a union going forward.”

As the demand for highly skilled workers in our crafts grows in this construction upturn (and who is more highly skilled than IUPAT mem-bers?), the IUPAT Job Corps pro-gram has made some fundamental changes to ensure that not only the program grows, but the IUPAT, as well.

After training, a primary prior-ity of the IUPAT Job Corps staff is to make certain that graduates of the program are placed on a job. They are also working to maintain and build upon partnerships with employers throughout the country to tout the value of hiring Job Corps graduates.

Job Corps i s drawing on a younger generation that is hun-gry for direction and training, and building them up to skilled crafts men and women, and good union members. Learn more about the Job Corps program by visiting www.IUPAT.org/JobCorps.

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J A N U A R Y - M A R C H 2 0 1 5 • J O U R N A L

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Grows, So Does Opportunity

T he Painters and Allied Trades Labor Management Cooperation Initiative (LMCI) works every day to build upon an already productive partnership between IUPAT labor and management to expand our market share and generate new work opportunities. It is also

on the frontline (along with organizers) of promoting the benefits of a union workforce to new or existing companies that are not currently signatory.

In recent years, the latter mission has understandably been a challenge. However, positive changes in the con-struction market have spurred the LMCI to refocus on promoting the union workforce in our crafts.

First, let’s go back to when it seemed like everything was coming to an end. In what has come to be called the Great Recession, you didn’t have to be a construction worker to know that our segment of the work-force was hit particularly hard with unemployment. At its peak, the unem-ployment rate for construction workers in the United States was over 27 per-cent, while the overall unemployment rate peaked at 10 percent. One of the primary reasons for this enormous discrepancy in the unemployment

numbers is that construction spending dropped severely during the banking crisis, and some projects not only went on work stoppages due to lack of available funds, some were scrapped altogether.

Moreover, as the unemployment rate for construction workers skyrock-eted, a number on another important metric was sinking like a stone – the amount of construction firms in busi-ness in the United States.

CLOSED DOORSOfficially, the recession lasted from

2007-2009. In that time, according to the Department of Labor Bureau of Labor Statistics, the average number of construction establishments dropped from 891,032 in 2007, to 831,969 in 2009, a seemingly slight drop. However, as the economic hangover of that recession dragged on, the decline in construction firms was much more dramatic. The numbers quickly plummeted to a low of 743,452 in

2013. That is a 16.6 percent loss from the 891,032 high in 2007.

This obviously contributed greatly to the unemploy-ment of construction work-ers since there were fewer companies hiring.

Fo r tuna te l y , 2014 saw an upturn in con-struction firms opening their doors and hiring, moving up 1 percent to 751,085; a modest upsurge, but a positive

one, nonetheless. Now, as more com-panies open their doors, the unemploy-ment rate is dropping and construction spending is seeing its best growth in six years. The Painters and Allied Trades LMCI is making some changes in the way it advances the IUPAT work-force and signatory companies; it is becoming specialized.

OPENING DOORSFor over ten years, the industry liai-

sons of the LMCI have worked with IUPAT employers and leaders across North America, each of them work-ing in assigned regions and on issues regarding our many crafts. One week, a liaison may be handling an initiative in floor covering installation, and then the next week, working on a glazing project.

Recognizing the new opportunities in this economy, LMCI Administrator Greg Renne announced at the 2014 General President’s Advisory Committee (GPAC) in February that, per the direction of the LMCI Board of Trustees, the LMCI will now focus programs and personnel on specific crafts to make better progress in expanding our market share in the many industries in which we work. The industry liaisons will each represent a craft and, in addition to their regular regional duties, serve as a specific subject matter expert (industrial coat-ings, glazing, commercial painting, floor covering installation, etc.).

In addition to having personnel spe-cialize in a craft, some LMCI events, such as industry roundtables, will now

Steve Havens is one of two LMCI industry

liaisons currently in the field. Dave Stvartak (not

pictured) is the second member of the industry

liasons team.

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focus on a single craft in a meeting rather than trying to cover the devel-opments in all of our industries in one sitting.

“This renewed focus will give us the ability to monitor trends within our many industries which, in turn, will provide us with a valuable perspec-tive on how IUPAT contractors and IUPAT membership can grow,” said Renne.

The construction industry is head-ing toward a strong recovery after the recession, and what has come to be known as one of the leading labor/management organizations in North America, the Painters and Allied Trades LMCI, is making certain the IUPAT and its industry partners get every opportunity to grow.

AVERAGE NUMBER OF U.S. CONSTRUCTION ESTABLISHMENTS

900,000

850,000

800,000

750,000

2005 2006 2007 2008 2009 2010 2011 2013 2014

SOURCE: Bureau of Labor Statistics

2012

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In June, the U.S. Commerce Department announced that construc-tion spending is rising at its fastest pace in over six years. It also reported that the increase in spending runs across the board with

growth in private construction (e.g. apartments), commercial build-ings (e.g. power plants), public construction (e.g. educational facili-ties) and nearly double digit growth for highways and the country’s infrastructure.

MarketWatch.com couldn’t sum up the release of the new data from Commerce any better. “More con-struction is good news for at least two reasons. Faster building rates show that developers see demand for more homes, stores and such. More construction also means more jobs, growth that lends support to the broader economy.”

Obviously, this is welcome news for not only the economic recovery in North America, but for members of the International Union of Painters and Allied Trades, as well. All signs point to more jobs in our crafts are on the way.

The IUPAT Finishing Trades Institute is already at work to ensure our current and future members will be ready for what is certain to be a high demand for construction workers. In addition to continuously updating the skills training aspect of our programs, the FTI is also working on expanding the skill set of our members.

The logic is simple; the more responsibilities and positions that our members become qualified to fill on a job site, the more job opportunities for IUPAT members. This increase of pro-duction also leads to expanding the market share of our employers and increasing their bottom line.

Two of the most recent dem-onstrations of this effort are the Ames Taping Tools and Tape Tech Certification and CCO Signalperson Certification.

AMES TAPING TOOLSIn Chesterfield, Missouri, just

outside of St. Louis, IUPAT District Council 58 Business Manager/Secretary-Treasurer Gregg Smith and Director of Training Art Hurlburt, along with the Finishing Trades Institute, hosted the first certification program for Ames at the local training center with the support of local con-tractor and FTI Trustee T.J. Wies.

IUPAT trainers f rom the four regions of the IUPAT recently under-went training and testing on some of the most advanced automatic taping and finishing tools that will help lead to increased productivity and quality of workmanship for our membership and contractors. Upon the completion of the program, 16 IUPAT members received their cer-tification. The program is expand-ing throughout North America in the coming months.

CCO SIGNALPERSON CERTIFICATION

The Crane Operators Signalperson Certification initiative is one of the most recent FTI projects to give IUPAT members more opportunities on the job site. A signalperson is a crane operator’s eyes and ears on a site as they lift heavy materials to waiting workers. Their signals are meant to prevent accidents and increase pro-ductivity. This role is in especially high demand in the glazing industry. In Southern California, District Council 36 held the first CCO Signalperson exam at their training center with great success. After successfully com-pleting a written and hands-on exam, 12 out of 14 members received the NCCCO signalperson certification. Other certification exams are already

scheduled at IUPAT official NCCCO registered test sites to certify IUPAT members, which should create even more opportunities for work for our membership.

PARTNERSHIP BUILDINGIn addition to training programs,

the FTI is working on a daily basis to build industry partnerships that will keep our skills on a level ahead of our competitors.

This spring, FTI Apprenticeship

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and Training Representative John Burcaw and FTI Project Coordinator Dan Penski Jr. joined IUPAT drywall instructors from throughout the Central Region of the IUPAT to meet with a team from Trim-Tex Drywall Products at the company’s Design & Training Center in Lincolnwood, Illinois. Joe Koenig, Trim-Tex owner, and com-pany Vice President Mark Budzik per-sonally oversaw their own version of a “train-the-trainer” course on their products presented to the IUPAT FTI representatives.

The meeting was also an oppor-tunity for the FTI to showcase how it offers curriculum online via its Learning Management System (LMS). This was seen by all as an opportunity to strengthen a partnership and share resources to move the drywall indus-try forward while the IUPAT grows in membership and market share.

SAFETY ALWAYS A PRIORITYAs the work grows, so does the

danger of accidents on the job site. The FTI is always seeking best safety training and just recently completed a pilot training program for fall protec-tion, meeting the requirements of the Army Corps of Engineers and OSHA. IUPAT trainers collaborated with instructors from Seattle-based Overton

Engineering to finalize a curriculum that will satisfy federal safety laws, meet EM 385 ACE requirements and national ANSI/ASME standards.

The training never ends at the IUPAT Finishing Trades Institute as we train to meet the demands of grow-ing construction market. Visit www.FinishingTradesInstitute.org for more information.

The Painters and Allied Trades Veterans Program (PAT-VP) continues to succeed in helping veterans transition from military life to civilian life.

On May 8, 2015, District Council 5 (Washington, Alaska, Idaho, Montana, Oregon and Utah) hosted a PAT-VP graduation. There were a total of nine graduates who have all been placed in jobs with signatory contractors, joining the ranks of the IUPAT and will be attending apprenticeship classes in the near future.

The graduation was attended by ten-term Congressman Adam Smith from Washington’s 8th Congressional District; and Kierra Phifer, regional director for Senator Patty Murray. Both officials addressed the over 80 attendees.

FTI staff members Ken Seal and Anton Ruesing ensured that this group of transitioning veterans successfully completed the four weeks of industrial coatings training at Joint Base

Lewis-McChord and DC 5 in Seattle, and are ready to meet the industry demands entering their new careers as industrial painters.

Their training included:• First Aid/CPR• Confined Space• Intro to Industrial Coatings• Intro to Corrosion Theory and Control• Intro to Surface Preparation• Abrasive Blasting• Spray ApplicationsAt the conclusion of the training, the veterans took the SSPC

CAS Level 1 certification exam, and passed with great success. Congratulations to the graduates and welcome to the

International Union of Painters and Allied Trades.

PAINTERS AND ALLIED TRADES VETERANS PROGRAM TRAINING AND GRADUATION

Members of IUPAT District Council 51 (Maryland, Virginia, Washington, DC)recently underwent the Total Stations training course at the DC 51 Training Center in Lanham, Maryland. The instructors were Wayne Daigle from DC 11 and Matt Fox from DC 21.

Front Row (L to R): CMSGT Anthony Woods, Joint Base Senior Enlisted Advisor; Robin Baker, Joint Base Lewis-McChord Education Services Officer; SSG Albert Barcelo*; SPC Amanda Hall*; A1C Savannah Burgess*; PFC Tommy Brown*; SSG Albert Barcelo*.Back Row (L to R): AGP Chad Smith; DC 5 BM/ST Denis Sullivan; SSG Rodney McCullum*; SSG Michael Cleveland*; SSG Gregory Matzen*, SSGKeith Antram*; US Congressman Adam Smith: Anton Ruesing FTI; Ken Seal FTI; CSM Kevin Bryan, Joint Base Command Sergeant Major.*Graduate

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Construction Hiring: Good News and Bad NewsIUPAT GOVERNMENT AFFAIRS LIFTS ORGANIZING EFFORTS THROUGH POLITICAL ACTION

T he mission of the IUPAT Government Affairs Department is far more than rallying mem-

bers to get out the vote for pro-union candidates and initiatives on Capitol Hill and

Parliament. In between, and even during, these high-profile campaigns that we are all

used to watching unfold on television, the Government Affairs team is working to solve issues for

working families that may be unfamiliar to many.

GOOD NEWS & BAD NEWSAfter a devastating recession

where the unemployment rate in the construction sector hit a high of 27 percent, companies are finally hiring again at an almost pre-recession rate. That’s the good news.

The bad news is that wage theft is a growing problem in construction, and not only threatens workers’ wal-lets, it weakens their benefits, includ-ing their pension.

Wage theft, by definition, is the illegal withholding of wages or the

denial of benefits that are right-fully owed to an employee. Various reports and studies indicate that the practice has been on the rise since the recession, and it is certainly not limited to construction alone. In fact, a recent study by the Economic Policy Institute calls wage theft “a nation-wide epidemic that costs American workers as much as $50 billion a year.”

Violations range in everything from not paying legally mandated over-time, making employees punch out

for breaks, cheating servers out of tips and paying below the prevailing wage. In many cases, workers are simply too afraid of losing their jobs to report such violations to authorities.

The sever i ty of the problem is made evident by the amount of money state and federal agencies have been able to recover on behalf of employees who worked for unscru-pulous employers:n U.S. DOL recovered $280 million

from wage and hour violators.n State departments of labor in 44

states recovered $172 million.n State attorneys general in 45

states recovered $14 million.n Private attorneys recovered $467

million in wage and hour class action lawsuits.The epidemic of worker misclassifi-

cation creates an unfavorable climate for the growth of the labor movement because non-union companies that commit these violations can grossly underbid union companies, and even companies that are not union but “play by the rules.”

So, the IUPAT Government Affairs Department and district council politi-cal and organizing directors have stepped up to push legislation that would give government more author-ity to fight bad contractors, and empower workers in the underground economy to come forward and level

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the playing field in the business of the construction industry.

For example, in Massachusetts, over the past year and a half, the State Attorney General’s Office has issued 253 wage violation citations to construction companies, more than any other sector. So far, more than $1.6 million in penalties and unpaid wages have been recovered.

IUPAT D i s t r i c t Counc i l 35 (Massachusetts, Connecticut, Maine, New Hampshire, Rhode Island, Vermont), like many other district coun-cils in North America, has joined the fight against wage theft and worker misclassification by lobbying for leg-islation that would give the state more

power to deal with companies that misclassify workers, and allow govern-ment agencies to hold lead employers accountable for the actions of their sub-contractors. The legislation would also give the state the power to place stop-work orders on sites where workers are being misclassified or paid in cash.

The passage of these legislative initiatives, and the proper enforce-ment of misclassification laws, will lead to construction workers coming out from the shadows of the under-ground economy, and enable the IUPAT to organize workers, and our contractors to compete against actual employers, not a hodge-podge of independent contractors.

WAGE THEFT ALSO RAMPANT IN CANADA

A recent study by the Workers’ Action Centre polled a large group of workers (immigrants, racialized workers, women and non-status and low-wage) and found a disturbing truth to being a worker in Canada:• Twenty-two percent of workers surveyed reported being paid less than the federal minimum wage ($10.25) in

their current job.• Thirty-three percent of workers surveyed reported being owed wages from their employer. Of those, 77 percent

reported that they were not successful in obtaining the wages owed to them. • 60 percent of respondents reported working more than 44 hours in a week during the past five years. Yet, 39

percent of those workers reported never receiving overtime pay.

F O L L O W U S !

Facebook.com/GoIUPAT

@GoIUPAT

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RAISING THE BAR ON CORROSION PREVENTION

The Government Affairs Department continues to work

with organizers and political action representatives in

District Councils 36 and 16 in California to successfully

lobby the state to implement an industrial coatings

standard requiring the highest quality corrosion

prevention training certification for workers on all public

works. Lawmakers are starting to take note that the

infrastructure (e.g. bridges and overpasses) is in dire

need of maintenance and repair, and only best standards

and training should be used to not only prevent future

maintenance costs, but the possibility of deadly structural

failure.

The IUPAT has long been aware of our quickly

deteriorating infrastructure and that the industrial

painting and coatings industry would need manpower

to meet what are sure to be in high demand. That

is why the IUPAT Finishing Trades Institute has been

training and certifying the next generation of coating

application specialists to ensure the IUPAT is on the

forefront of filling those manpower needs.

This California initiative will create a favorable

business environment for the organizing and compliance

departments of District Council 36 and 16, and it will

create a better bidding environment for our signatory

contractors. “The vision of BM/ST Grant Mitchell (DC 36)

is to grow in the industrial paint market,” said IUPAT

Government Affairs Director Chris Sloan. “This initiative is

not a silver bullet, but it shows what we can do when we

put together a plan, develop strong political relationships,

and work together for growth.”

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D Good News for the Construction Economy is Great News for Our Pension Plan

The defined benefit pension model is a simple one: participants pay a portion of their hourly earn-ings into their pension fund until they become eligible to collect that benefit, and then live the retirement they worked so hard for thanks to a regular monthly check from that pension plan.

However, in order for this model to be successful, we must continue to grow our union. To be more specific, we must increase the amount of participants contribut-ing to the pension plan. Each worker in the field today helps to support the financial security of our retirees. And, a steady inflow of new members helps to keep the plan fiscally sound as current members retire.

Your pension plan grows stronger when the ben-efits of a retiree are funded by a group of contrib-uting workers on the job. This is how organizing fuels a pension plan; we put more in each month than we take out.

The IUPAT is undertaking some bold moves to organize new members and the experience, exper-tise and proven dedication of our retirees is greatly needed for our success. Join us at a district council or local union meeting to find out more about your local organizing initiatives, and how you can help in this effort

As construction spending rises and construction unemployment drops, the International Union of

Painters and Allied Trades has the best opportunity to organize new members in years. If you’re a

retiree, those positive numbers may not mean as much as they used to when you were on the job

– but they should. Why? Because the success of the IUPAT in organizing new members is a component that

results in the strength of pension benefits, which allows you to enjoy a long retirement under the Plan.

In San Francisco, the AFL-CIO Housing Investment

Trust (HIT) recently celebrated the progress of one of its

construction projects by hosting a lunch for all of the union

workers on this $82.8 million job. The project, 101 Polk, is

a 13-story mixed-income rental development in the city’s

Central Market Neighborhood. It is a 100 percent union job

putting nearly 500 Building Trades members to work.

HIT is an investment company that manages assets from

union (including the IUPAT) and public employee pension

plans. One of its primary missions in making construction

investments is to generate jobs for union members on their

projects. Since its inception, the HIT has invested $8.5 billion

in projects and generated 74,000 union jobs.

IUPAT PENSION DOLLARS FUELING NEW CONSTRUCTION

On the rise in San Francisco, the 101 Polk project is an investment for IUPAT pension dollars through the AFL-CIO Housing Investment Trust and employs nearly 500 union

construction workers.

939A P R I L - J U N E 2 0 1 5 • J O U R N A L

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There are a variety of resources available for participants

and beneficiaries on www.IUPAT.org/Pension for download.

Have you initiated direct deposit of your benefit instead

of waiting for the check to reach you in the mail? Get the

Direct Deposit Form here. You may also get the proper

forms to submit a name and address change request. Do

you have questions about your Pension Plan or Annuity

Plan? Information is ready and waiting for you to read or

download at www.IUPAT.org/Pension.

You may also contact our Pension Call Center at 1-800-

554-2479 to get the answers you need.

HAVE YOU VISITED THE IUPAT INDUSTRY PENSION FUND ONLINE?

Listed below are the pensioners awarded a pension benefit through the International Painters and Allied Trades Industry Pension Fund from April 1 through June 30, 2015. On behalf of the Board of Trustees, please join us in wishing them the best of luck, and a long and fruitful retirement.

TIMOTHY REY ADAMIK ...........LU 31RONALD W ANDERSON .....LU 487KENNY W ARNOLD ..............LU 47 BRAD R ASTLE .......................LU 77SEDAT ATMACA ...................LU 24ALAN R BAKER ....................LU 164JOHN M BAKER ................LU 1292BASIL B BAPTISTE ...................LU 24WARD F BARAN ...............LU 2006GARY ALLEN BEACH ...........LU 820 LEWIS E BELKNAP, SR. ......... LU 639JOSEPH S BENBOW ..............LU 18JOHN H BERGSTRAND ........LU 502RONALD LEROY BICKNELL ...LU 123DONALD J BLANCHARD ....LU 1244ROBERT D BLAYLOCK ............ LU 86

GARY E BOLES ..................LU 1010EDWARD E BOWEN .........LU 1964GARRY L BRADFIELD ..........LU 1005JERRY L BRINKLEY ................LU 427RANDOL L BROWN .............LU 256WILLIAM G BROWN ............LU 607ARCHIE BUSTOS .................LU 823LEE R CALAME ....................LU 288ANTHONY CALUDIS ...........LU 123DAVID CARDINAL.................. LU 61WARREN A CAROTHERS ... LU 1103BEVERLY J CARTWRIGHT ......LU 456EARLIEST J CEASAR ............LU 1244RICHARD CHARBONNEAU ..LU 691JOHN A CHRISTIE ............... LU 201JOSEPH CIANCI ................LU 2001MICHAEL D CLEVENGERLOUIS J COCCHIARELLI III .....LU 669JOSEPH T COLLINS ............LU 1447PATRICK N COLLINS ..............LU 53ROBERT L COWDREY ...........LU 718BILL A CRAWFORD ..............LU 363ROGER LEE CREECH ............LU 300MICHAEL E CROCKETT ........ LU 288RANDALL CLAYTON CROWELL .....LU 1010ROBERT P DAROUZEBRADLEY GENE DAVIS .........LU 145RICHARD L DAWSON ............LU 58

RICHARD N DE SOUSA ......LU 1165ROBERT D DEUSTER .............LU 770ROBERT B DOUGHERTY, III. .. LU 277ROLAND R DUBE .................LU 130EDWARD R DURAN ...........LU 2001LARRY DURAN ..................LU 1778BARRY D EDGIN ................ LU 1165JOHN C EDSELL ..................LU 660MARK N ERICKSEN .............LU 256MANOEL A ESTEVES ...........LU 806JOSE ANTONIO FERNANDEZ .... LU 1004TERRENCE P FITZMAURICE ...LU 194RYSZARD J FLOREK ............LU 1331THOMAS R FOX ................ LU 1165GEORGE RENET GALLUP.........LU 33MARK W GEIL ROBERT L GENTRY, JR. .........LU 774SINH V GIAP .......................LU 300ALAN K GIBSON ................LU 277JUAN PEDRO GONZALEZ ..LU 1456FRANKLIN GOODIN ............ LU 238DENNIS G GORDON ..........LU 372KEITH A GORDON ............ LU 1940JOSEPH J GURDGIEL, JR. ....LU 1976JERRY L HAMMER ................LU 156BRIAN E HATHAWAY .............. LU 6JOHN R HERBIG ................LU 1185MICHAEL T HESTEKIN ..........LU 259

WILLIAM VINCENT HOOPES LU 277DAVID A HORNSBY ...............LU 47RODNEY GERALD JASIONKOWSKI.... LU 364GORDON A JENNINGS .... LU 1053KEVIN R JETT .........................LU 93JOHN KAFKIAS .................LU 2011KEVIN K KELLEY ...................LU 178THOMAS M KEPPERLING ....... LU 27DWAIN E KING ..................LU 636DJURO KONJEVIC ................LU 460PAUL A. KRAMER ...............LU 1007FRANCIS M LATULIPPE ...........LU 88ALLAN F LAUHER ................... LU 90WAYNE R LEACH ..............LU 2001FLOYD E LEE .......................LU 604JOSE R LEON ........................LU 19MARK E LEONARD ..............LU 465GARY B LERCH ..................LU 1269ROBERT L LESSIN .................LU 831BROOK N MANLEY ...........LU 1803THOMAS J MANSFIELD ......LU 2011GERARD ANTHONY MARLEY .....LU 910RAYMOND ARTHUR MARTEL LU 481DIEGO MARTINEZ .................LU 20JESUS M MARTINEZ ............LU 365MARK S MAVRAKES ..........LU 1087RAYMOND ARTHUR MC ABEE ... LU 1010RICHARD L MC CLINTOCK .LU 2011

OUR RETIREES

A P R I L - J U N E 2 0 1 5 • J O U R N A L40

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JAMES C MCCLUNG .............LU 88KARL MCLAIN .....................LU 246RANDY J MELTON ...............LU 676PATRICK WILLIAM MERK ......LU 252ANDREW JOSPEH MICKLOS ... LU 1009WILLIAM R MIDDLETON ....... LU 424GEORGE E MILLS ...............LU 1962SCOTT A MINER ................. LU 845RANDY PARIS MIXER .........LU 1168WILLIAM F MONROE III .......LU 890MIGUEL N MONTECINO ... LU 1976GEORGE A MUHAMMAD ....LU 639ROBERT F MULHOLLAND .....LU 277RALPH S MURDOCK .......... LU 1292LEA PHILLIP MURPHY, JR. ......LU 106PATRICK M MURPHY ..........LU 1165BILLY C NABORS, JR. ......... LU 1778WILLIAM R NASH, JR. ........ LU 1964JULIO A NIVAR ....................LU 639MICHAEL OKON .................LU 201ANTONIO OLIVERI ................LU 24THOMAS E OPPER .............LU 1010FEDERICO T ORTIZ ............ LU 1036ANTHONY E OVERTON ...LU 1837CARLOS E OWENS ...........LU 1165DAVID B PARCHER .............. LU 718ELIAS PETRATOS .................... LU 20GREG D PILATE ................. LU 1244MARGARET M POTTER .......LU 2011ROBERT M POWELL .............LU 718LESLIE P PROTEAU .................LU 83STEPHEN G RAUSCHER ....... LU 806GARY E REFFITT .................LU 1072WILLIAM F REGAN ................LU 10LARRY ALLEN RHODES .......LU 1144GARY M RIES ....................LU 1159MATTHEW J RITTER, SR. ....... LU 123RANFORD REGINALD ROBINSON ...LU 1456SUSAN JEANETTE ROBINSON ...LU 1165MARK T RODMAN ..................LU 6MICHAEL J ROMBA .............LU 549LUIS RUFIN .........................LU 365 JEFFREY S SAHLI ................LU 1324BOUNTHALAY SANANIKONE LU 386STEVEN J SANDOVAL ........ LU 1136LEO SANTANA .................LU 1176MARIANNE K SANTANA ...LU 1175JOHN SCHLOWINSKI ........LU 1087 ROBERT C SCHULMERICH ....LU 300DENNIS JOHN SCHULTZ ...LU 1165RICHARD A SHAPIRO ..........LU 490MATTHEW D SHIELDS ........LU 2006RICKEY E SHIRLEY ...............LU 1293ANTHONY A SICARI .........LU 1486DAVID F SKOMROCK .......... LU 707JESS S SMAIL ......................LU 364TERRENCE SMITH ..............LU 1486ROBERT L SNYDER ...............LU 294MICHAEL G SPRIKS ............ LU 1011 JAMES G STAHN ...................LU 61ROBERT EDWARD STEARNS .LU 249MARK GREGORY STIFF ........LU 880ERIC LEON SUMMERVILLE ...... LU 27MICHAEL A TANGRADI ......LU 1955WILLIAM W TASIC .................LU 27EDWARD F TAYLOR ...........LU 2011

MELVIN G TAYMAN ............LU 368MARK A TEUBNER ...............LU 159ALBERT THOMAS ................. LU 169RICHARD J THOMAS ........... LU 558JOSEPH J TOMASULO .......... LU 201RICHARD T TOSCANO ........LU 688DAVID R TREVASKIS ........... LU 1237CHERYL R TREVIS ...................LU 61RONALD L TRUJILLO .............LU 460BENOIT E TURGEON ...........LU 481ANTON TURKOVIC ...............LU 20

TERENCE M TUSTAN ..........LU 639ALBERT VALENTINE .............LU 452SHERWIN L VAN HART ........LU 921MARK T VANNESTE .............LU 357DAVID JOHN WALTERS .......LU 487RONALD STEVEN WARE ...... LU 364HERMAN WATERS ..............LU 226THOMAS WEAVER .............. LU 639 RONALD A WHITE .............. LU 159WILLIAM D WHITE .............LU 1399SCOTT DANIEL WILGAR ....LU 2001

PAUL NORMAN WILKINSON .... LU 2011ARTHUR WINSTEAD ............LU 777ALEX B WITT, SR ................LU 1053BRENDA FAY WITTROCK ...LU 1165DENNIS R WOODY .......... LU 1176CAROLYN L YOUNG ............... LU 1GILBERT T YZAGUIRRE, JR. .... LU 775JOHN ZATOR ................... LU 1009

ScotchBlue™ Painter’s Tape with Advanced Edge-Lock™ Paint Line Protector

© 3M 2015. All rights reserved. 3M, Edge-Lock, ScotchBlue and the BLUE color of the tape are trademarks of 3M.

Features 3M adhesive technology for clean

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ScotchBlue™

Painter’s Tape Delicate Surfaces

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41A P R I L - J U N E 2 0 1 5 • J O U R N A L 41

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LOCAL NAME AMOUNT

January 1, 2015 – March 31, 2015LOCAL NAME AMOUNT LOCAL NAME AMOUNT LOCAL NAME AMOUNT

IUPAT IN MEMORIAM

3 Raymond Binion ....................$2,500.00

6 Robert E. Gammiere ...............$2,500.00

10 Bryan E. Phillips ....................$2,500.00

12 Bryan K. Smith......................$2,500.00

12 Donald Goody .......................$2,500.00

18 Paul Rodriguez ......................$2,500.00

20 Ivica Glavan ..........................$2,500.00

20 Jose Priegue .........................$2,500.00

41 Gene Bulman ........................$2,500.00

43 Henry Gallati .........................$2,500.00

43 Leonard H. Wansart ...............$2,500.00

53 Charles C. Allcon ....................$2,500.00

61 Victor R. Beltran ....................$2,500.00

61 William Driver .......................$2,500.00

61 Mark A. Cullen ......................$2,500.00

61 Marvin W. Wolf .....................$2,500.00

77 Edward Stelly........................$2,500.00

86 Francis E. Foster ....................$2,500.00

88 Carville A. Reid ......................$2,500.00

106 Robert L. Nelson ....................$2,500.00

109 Thomas Calabro ....................$2,500.00

109 James B. Gillen .....................$2,500.00

112 Shawn McCluskey .................$2,500.00

112 Clark E. Thompson .................$2,500.00

113 Peter Basile ..........................$2,500.00

118 Lavern C. Trent ......................$2,500.00

130 Roman W. Kobak ..................$2,500.00

130 Pete Gaytan..........................$2,500.00

138 Edward Babington .................$2,500.00

138 Olaf Wortmann .....................$2,500.00

138 Joel Pelkey ...........................$2,500.00

147 James Donovan .....................$2,500.00

147 Robert Alawerdy ....................$2,500.00

147 Michael Athy .........................$2,500.00

147 George F. Enda .....................$2,500.00

156 Douglas M. Patton .................$2,500.00

157 Daryl T. Schultz .....................$2,500.00

159 Bill B. Shoning ......................$2,500.00

169 Arlen M. Inge ........................$2,500.00

169 Bradley Russell ......................$2,500.00

169 Garland Pike .........................$2,500.00

184 Ronald Kaufman ....................$2,500.00

188 Barry J. Hagel .......................$2,500.00

188 Benjamin Zanin .....................$2,500.00

188 Ronald K. Smith ....................$2,500.00

191 James F. Enright ..................$2,500.00

191 Joseph P. Shultz....................$2,500.00

193 Jesse L. King .........................$2,500.00

205 Ange Iemmolo ......................$2,500.00

218 Frank J. Solano, Sr. ...............$2,500.00

246 Brian G. Hodges ....................$2,500.00

252 Scott S. Kershaw ...................$2,500.00

257 Sidney Novick .......................$2,500.00

273 Gilbert T. Salazar ...................$2,500.00

312 Alfred J. Winter .....................$2,500.00

357 Robert Tietze ........................$2,500.00

365 Heinrich Winter .....................$2,500.00

386 William A. Hoppe ..................$2,500.00

386 Marlan M. Mix, Sr. ................$2,500.00

386 Eldon W. Johnson ..................$2,500.00

386 Charles J. Snyder ...................$2,500.00

386 Todd D. Davidson ..................$2,500.00

391 John S. Laughlin ....................$2,500.00

409 George A. Mahen ..................$2,500.00

419 Dale D. DeWoody ..................$2,500.00

427 James E. Kelley .....................$2,500.00

447 Vinton J. Margretz .................$2,500.00

460 Michael Milosvich ..................$2,500.00

460 Jesus Velasco ........................$2,500.00

465 James Briddick ......................$2,500.00

467 Harry E. Bukowski .................$2,500.00

476 Jay T. Mechling .....................$2,500.00

487 Ivan Agcaoili .........................$2,500.00

487 Friedrich Graef ......................$2,500.00

502 Milton R. Bowles ...................$2,500.00

507 Francisco Azevedo .................$2,500.00

510 Glen Douglas ........................$2,500.00

510 Albert Rodrigues ...................$2,500.00

510 Ronald N. Lickers ...................$2,500.00

510 John Tornai...........................$2,500.00

558 Gerald F. Wells .....................$2,500.00

558 Ervin D. Orndorff ...................$2,500.00

558 Robert H. Rudolph .................$2,500.00

558 David B. Miner ......................$2,500.00

636 Ralph Velasco .......................$2,500.00

636 Allen D. Brown ......................$2,500.00

639 Angelo Ocasio .......................$2,500.00

677 David A. Poklinkowski ............$2,500.00

677 Michael Stathopoulos .............$2,500.00

694 Robert J. Gafgen ...................$2,500.00

707 Harold S. Leaf .......................$2,500.00

707 Gilbert E. Nadeau ..................$2,500.00

707 Raymond J. Jarina .................$2,500.00

707 Wallace Raubenstraw .............$2,500.00

740 Robert L. Johnson .................$2,500.00

740 Lindy W. Bankus ...................$2,500.00

767 Gerald DaBadie .....................$2,500.00

781 Kurt Scherer ..........................$2,500.00

781 Arnold Sprenger ....................$2,500.00

802 James A. Gates .....................$2,500.00

804 Anthony Willis .......................$2,500.00

806 Boyce Coleman ....................$2,500.00

807 Haden T. Jones .....................$2,500.00

823 Henry Montoya .....................$2,500.00

830 Alios C. Fabien ......................$2,500.00

831 Frank Basurto .......................$2,500.00

831 Robert Olson .........................$2,500.00

847 Joseph Drennen ....................$2,500.00

863 Sam Bernard ........................$2,500.00

890 William Mandley, Jr. .............$2,500.00

890 William E. Putnam .................$2,500.00

890 Clarence Dove .......................$2,500.00

930 John C. Glenn .......................$2,500.00

930 Lee Daniels ...........................$2,500.00

939 Italo Mannai .........................$2,500.00

1004 Elwood Dempsey ...................$2,500.00

1010 Robert C. Jones .....................$2,500.00

1010 Lloyd J. Landers ....................$2,500.00

1010 Thomas Masker.....................$2,500.00

1010 Gary Del Foss........................$2,500.00

1036 Brooks Henderson .................$2,500.00

1036 Paul F. Campbell ...................$2,500.00

1072 Harold D. Burgess ..................$2,500.00

1100 Richard N. Woods, Sr. ............$2,500.00

1165 Gerald Harber .......................$2,500.00

1165 Rodney Clephane ..................$2,500.00

1165 Jessye Williams .....................$2,500.00

1179 Donald E. Gray ......................$2,500.00

1195 Paul Cavender .......................$2,500.00

1269 Fotios Arnidis ........................$2,500.00

1274 James P. Vichiola .................$2,500.00

1275 Ronald McCarty .....................$2,500.00

1331 Gary K. Grimming ..................$2,500.00

1331 Kenneth A. Scheeler ...............$2,500.00

1332 James Harvey .......................$2,500.00

1621 Richard E. LeDeit ...................$2,500.00

1621 Blaine C. Groo .......................$2,500.00

1705 David W. Chiasson .................$2,500.00

1756 Norma L. Hill ........................$2,500.00

1778 Ernest T. Jackson ...................$2,500.00

1791 David Rodrigues ....................$2,500.00

1803 Gerald Beach ........................$2,500.00

1803 Richard Sniff .........................$2,500.00

1803 Todd Merchant, Jr. .................$2,500.00

1803 David Schroeder ....................$2,500.00

1805 David N. White .....................$2,500.00

1805 Jack S. Long .........................$2,500.00

1891 Neil A. Paquin .......................$2,500.00

1891 Antimo N. Donia ....................$2,500.00

1937 Toni Windsor ........................$2,500.00

1955 Henry J. Hirschmann ..............$2,500.00

1974 Leon J. Brown .......................$2,500.00

2001 Michael McLaughlin ...............$2,500.00

2001 Gregory J. Bruce ....................$2,500.00

2006 Gene A. Popp ........................$2,500.00

2011 William Buonopane, Sr. ..........$2,500.00

2011 Daniel Jamison ......................$2,500.00

2011 Charles O’ Mahoney .............$2,500.00

2011 Salvatore Fuscia ....................$2,500.00

2011 Ralph Dreis ..........................$2,500.00

2011 Allen G. Hibbs .......................$2,500.00

2012 Levergne Hammond ...............$2,500.00

2012 Marvin Green ........................$2,500.00

2012 Donald Lehman .....................$2,500.00

2012 Ernest A. Ward ......................$2,500.00

2341 William E. Ash.......................$2,500.00

2352 Paul Kukurugya .....................$2,500.00

2352 Earl M. Ehrhart ......................$2,500.00

2353 Edwin Creely .........................$2,500.00

2353 James L. Roach .....................$2,500.00

8A-28 George Molner ......................$2,500.00

42 A P R I L - J U N E 2 0 1 5 • J O U R N A L

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HomeBuyerTools

Customized advice fromexpert counselorsHow much you can afford to borrow? Which type of mortgagebest suits your needs? Whenshould you think about refinancing?

• Our specially trained mortgagecounselors are standing by toanswer all your questions, just aphone call away.

• Available during early-morning and evening hours, so you can call whenever it’s most convenient.

• Walk through the entire process of buying or refinancing a home.

Unique benefits for union families• Only program that can cover your

mortgage payments when you’reon strike, laid off or disabled.

• Parents and children of union members also eligible for UnionPlus mortgages.

• After a year, mortgage holdersbecome eligible for hospitalgrants.

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