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Office of Labor-Management Standards (OLMS)

U.S. Department of Labor Employment Standards Administration
Office of Labor-Management Standards
Philadelphia District Office
170 S. Independence Mall West
Room 760 W
Philadelphia, PA 19106
(215)861-4818 Fax: (215)861-4819

September 25,2007

Mr. Carl Crone, President
Electrical Workers (IBEW), AFL-CIO
Local 1451
1701 W. Market St.
York, PA 17404

Re: Case Number: - - LM File Number: 004-147

Dear Mr. Crone:

This office has recently completed an audit of IBEW Local 1451 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 September 24,2007 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 financial reports accurately disclosing their financial condition and operations. The Labor Organization Annual Report Form LM-3 filed by Local 1451 for fiscal year ending December 31,2006 was deficient in the following areas:

Failure to File Bylaws

The audit disclosed a violation of LMRDA section 201(a) which requires that unions submit a copy of their current constitution and bylaws with its LM report when it makes changes to its constitution or bylaws. Local 1451 amended its constitution and bylaws in 2002, but did not file a copy with its LM report for that year.

As agreed, Local 1451 will file a copy of its current constitution and bylaws with OLMS as soon as possible but no later than October 12,2007.

Other Violation

The audit disclosed the following other violation:

Inadequate Bonding

The audit revealed a violation of LMRDA Section 502(bonding), which requires that union officers and employees be bonded for no less than 10 percent of the total funds those individuals or their predecessors handled during the preceding fiscal year. Local 1451's officers and employees are currently bonded for $10,000, but they must be bonded for at least $10,363. Local 1451 should obtain adequate bonding coverage for its officers and employees immediately. Please provide proof of bonding coverage to this office as soon as possible, but not later than October 12, 2007.

I want to extend my personal appreciation to IBEW Local 1451 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.

cc: Vince Hamberger, Treausrer