U.S. Department of Labor
Office of Labor-Management Standards
Nashville Office
233 Cumberland Bend Drive, Suite 110
Nashville, TN 37228
(615) 736-5906 Fax: (615) 736-7148
August 7, 2015
Mr. Tim Shultz, Business Manager
Elevator Constructors AFL-CIO Local 93
2001 Elm Hill Pike
Nashville, TN 37210
Case Number: 410-6003882
LM Number: 009922
Dear Mr. Shultz:
This office has recently completed an audit of Elevator Constructors AFL-CIO Local 93 under the Compliance Audit Program (CAP) to determine your organization’s compliance with the provisions of the Labor-Management Reporting and Disclosure Act of 1959 (LMRDA). As discussed during the exit interview with you on June 4, 2015, the following problems were disclosed during the CAP. The matters listed below are not an exhaustive list of all possible problem areas since the audit conducted was limited in scope.
Reporting Violation
The audit disclosed a violation of LMRDA Section 201(b), which requires labor organizations to file annual financial reports accurately disclosing their financial condition and operations. The Labor Organization Annual Report Form LM-2 filed by Local 93 for the fiscal year ended December 31, 2014 was deficient in that:
Cash Reconciliation
It appears that the cash figures reported in Item 25 (Cash) are not the figures according to Local 93’s books after reconciliation to the bank statements. The instructions for Item 25 state that the union should obtain account balances from its books as reconciled to the balances shown on bank statements.
Local 93 failed to record bank debits from its checking account for taxes and bank fees deductions in its union books. Adequate documentation of all disbursements insures the union is reporting the correct cash reconciliation in its books and reports.
I am not requiring that Local 93 file an amended LM report for 2014 to correct the deficient items, but Local 93 has agreed to properly report the deficient items on all future reports it files with OLMS.
Other Issue
Local 93 failed to deposit all of its cash receipts, specifically, cash collected from the sale of union t-shirts and belt buckles totaling at least $170. Unless the local is maintaining a petty cash fund, all cash receipts should be regularly deposited at the time of or shortly after the cash transaction occurs.
I want to extend my personal appreciation to Elevator Constructors AFL-CIO Local 93 for the cooperation and courtesy extended during this compliance audit. I strongly recommend that you make sure this letter and the compliance assistance materials provided to you are passed on to future officers. If we can provide any additional assistance, please do not hesitate to call.
Sincerely,
Investigator