Tag Archive for International Brotherhood of Electrical Workers (IBEW) Local No. 569

Union Operatives Infiltrate Office of San Diego Mayor Bob Filner to Push Costly and Burdensome Prevailing Wage Mandate for City Contracts

As of today, San Diego Mayor Bob Filner says he will remain in office despite women accusing him of sexual harassment. For the mayor, this is the most damaging of several recent scandals that include a mysterious trip to Paris, a generous complimentary refurbishing of the mayor’s office reception area, and alleged demands for payments in exchange for project approval.

While some of Mayor Filner’s staff have resigned in recent weeks, other people are coming into his administration to fill the power vacuum. And who better to become entrenched in this scandal-ridden administration than union officials?

Jennifer Badgley, Director of Special Projects and Labor Affairs

Apparently the mayor has brought on a former (or current) professional organizer and political director of San Diego’s International Brotherhood of Electrical Workers (IBEW) Local Union No. 569. Jennifer Badgley has recently become the “Director of Special Projects and Labor Affairs” for Mayor Filner, according to her Linked In profile.

Jennifer Badgley – San Diego Mayor’s Office and IBEW Local Union No. 569

According to a lobbying report filed by the IBEW Local 569, Badgley had lobbied Mayor Filner and staff on a few issues during the second quarter of 2013 (April 1 to June 30), including “good green local jobs and career pathways for local workers,” Community Choice Aggregation, and “responsible construction and development,” including on the San Diego Convention Center Expansion. She also “sat in with business” concerning a “potential San Diego energy project.”

She arrived just in time! A vote at the San Diego City Council is scheduled on July 30, 2013 to adopt a union-backed ordinance proposed by Mayor Filner to require construction companies with city contracts to pay wage rates (“prevailing wages”) set by the State of California. Since 1980, the City of San Diego has exercised its authority as a charter city to issue contracts for most purely municipal projects without state-mandated wage rates, as a result saving money for taxpayers. Filner’s proposal would submit the City of San Diego to state law regarding wage rates on public works projects.

Circumstances have now allowed the mayor’s Director of Special Projects and Labor Affairs to be the coauthor of a July 16, 2013 propaganda memo to the San Diego City Council arguing why city taxpayers should pay more for construction and why the city bureaucracy should be entangled in $250,000 worth of monitoring and enforcement of cumbersome unfunded state mandates per $100 million spent on construction. Some of the highlights of this memo:

  • It disparages the city’s Office of the Independent Budget Analyst, which issued a Review of Proposal to Require Compliance with the State’s Prevailing Wage Laws on All City Public Works Projects. The review estimated a cost increase of 5 to 10 percent on projects and noted “the likely trade off in the form of higher capital project costs and the resulting impact to infrastructure programs which are a high priority for the City.”
  • It claims that the state exempts volunteers from prevailing wage requirements, but doesn’t note that the exemption has an expiration date and that certain unions have objected to this exemption.
  • It cites and provides text of the 2010 Azusa Land Partners v. Department of Industrial Relations California appellate court decision that expanded prevailing wage to certain private housing developments, but it doesn’t mention the much more relevant 2012 California Supreme Court decision in State Building & Construction Trades Council of California v. City of Vista. Unions lost this case badly when the California Supreme Court upheld the right of charter cities to establish their own policies concerning government-mandated wage rates for purely municipal contracts.
  • It reports that “staff presented this proposal to construction industry stakeholders at their quarterly meeting on June 20, 2013,” apparently through a presentation by Murtaza Baxamusa, City of San Diego, Office of the Mayor, Special Advisor for Public Policy. (See more about Baxamusa below.) The association representatives at the meeting were reportedly delighted about the proposal; of course, the groups listed as attending the meeting represent and provide contract negotiation and administration services to companies that choose to be bound under the requirements of union collective bargaining agreements. They have a financial interest in government increasing project costs.

Such an rigid approach to public policy as reflected in Badgley’s memo is consistent with her history of advancing the union agenda. In the summer of 2009, at a time when 20% of IBEW Local 569 members were unemployed, Badgley expressed pride in what she identified as her greatest accomplishment: derailing the plan of Gaylord Entertainment to build a $1.2 billion hotel and convention center in Chula Vista because the company wouldn’t sign a Project Labor Agreement guaranteeing 100% of the construction trade work to unions. A July 6, 2009 profile on the now-defunct San Diego News Network web site reported her perspective as part of an interview to reveal her “journey” as she sought to “create broader social change.”

Badgley is or was married to Tefere Gebre, the executive director of the Orange County Labor Federation, AFL-CIO, who is expected to become the next Executive Vice President of the national AFL-CIO. In 2012 he proclaimed The Truth About the Right-Wing’s Latest Scheme to Punish Workers in Costa Mesa, and in 2009 he decried “The assault on Orange County by Colorado-based zealot Eric Christensen (sic) and Supervisor John Moorlach.” Gebre caused a stir in August 2007 when he sent Eric Christen of the Coalition for Fair Employment in Construction a bizarre email claiming that he saw Christen “on TV as a gay whitehouse corspondent.” (sic)

Murtaza Baxamusa, Special Advisor for Public Policy

Murtaza Baxamusa used to churn out policy reports for the union-backed Center on Policy Initiatives in San Diego. He was a founder of the phony Middle Class Taxpayers Association, which advocates for union-backed initiatives that increase costs to taxpayers. In 2011 he was hired as Director of Planning and Development for the San Diego County Building Trades Council Family Housing Corporation. The San Diego County Building Trades Family Housing Corporation contributed $85,000 to the November 2012 campaign to pass Proposition Z, a $2.8 billion bond measure with a Project Labor Agreement for the San Diego Unified School District. It’s unclear if Baxamusa is still employed at the union housing corporation.

Mayor Bob Filner’s Support for the Union Political Agenda

Bob Filner, the Mayor of the City of San Diego, has long supported the political agenda of construction trade unions. Eric Christen of the Coalition for Fair Employment in Construction wrote in an opinion piece in Voice of San Diego on July 20, 2007 that Filner had “an almost canine affection for doing the unions’ bidding.”

In 1999, then-Congressman Filner recognized Art Lujan of the San Diego-Imperial Counties Labor Council, AFL-CIO for his leadership in the San Diego labor movement. He noted that “Art successfully secured a Project Labor Agreement with the County Water Authority resulting in over $700 million in construction projects throughout the next eight years.” This was the first government-mandated Project Labor Agreement in San Diego County.

As a member of Congress in 2007, Filner blamed Chula Vista Mayor Cheryl Cox for the decision of Gaylord Entertainment to withdraw its proposal to build a $1.2 billion hotel and conference center on the Chula Vista Bayfront. Unions were threatening to block the project with environmental objections unless the company signed a Project Labor Agreement to build the project. Filner apparently felt that Cox should have pressured Gaylord to give the unions what they wanted.

A letter to the editor in the July 15, 2007 San Diego Union-Tribune explained Filner’s political attack:

So now the finger-pointing begins. And the show is being led by Rep. Bob Filner, who demonstrated political grandstanding at its finest by swooping in to defend the unions. How much has he been involved in this process before now? And without demonstrating any personal effort in advancing the project, how does he justify a self-appointed role as the arbiter of who did what wrong?

In 2010, Filner wrote a letter on Congressional stationery (in apparent violation of U.S. House of Representatives ethics rules) to the Chula Vista Chamber of Commerce telling them to oppose Proposition G. Prop G was a “fair and open competition” ballot measure to enact an ordinance prohibiting the City of Chula Vista from entering into contracts that required construction companies to sign a Project Labor Agreement as a condition of work. Filner claimed that it would be a “fool’s errand” to obtain federal funding for the City of Chula Vista if voters approved Proposition G. On June 6, 2010, 56% of Chula Vista voters supported Proposition G, and Filner subsequently played the fool and continued to send federal money there.

Of course Filner supported the Project Labor Agreement that the board of the San Diego Unified School District imposed on $4.9 billion in construction (not including state matching grants) approved by voters as Proposition S in 2008 and the subsequent Proposition Z in 2012. And citing arguments from the International Brotherhood of Electrical Workers (IBEW), he wrote letters to the U.S. Department of Energy in 2009 and 2010 opposing Sempra Energy’s construction of an electricity transmission line between Mexico and San Diego County.

And notably, he recognized Murtaza Baxamura in 2012 in the Congressional Record. Now Baxamura is on his staff, pushing for government-mandated construction wage rates.

Signing the Union Project Labor Agreement to Work at the San Diego Unified School District Is a Perilous Exercise

UPDATE, September 7, 2012: I found a letter embedded in one of the grievance files that actually belongs to another grievance not provided to me by the SDUSD (I’ve added it to the list below), and I’ve learned about another grievance not provided to me by the SDUSD. I will be asking the school district to do a second check of their files, so my compilation of grievances is complete.


In the past 18 months, a few small construction companies have contacted me after unions tangled them up in costly and confusing contractual issues related to working under the Project Labor Agreement imposed by the board of education of the San Diego Unified School District. Contractors must sign this Project Labor Agreement with the San Diego Unified School District and unions in the San Diego County Building and Construction Trades Council to work on construction projects of $1 million or more funded by bonds sold under the authority of Proposition S, approved by voters in November 2008.

The school board approved this union agreement in 2009 on a 3-2 vote, to the great jubilation of union officials. As a result of a subsequent 5-0 vote of a new school board in July 2012, the union agreement will also apply to construction funded by bonds sold under the authority of Proposition Z, if voters approve that $2.8 billion bond measure on the November 6, 2012 ballot. (The San Diego County Taxpayers Association is opposed to Proposition Z.)

To ascertain the extent of the difficulties that small contractors can experience when signing this Project Labor Agreement, I requested the following records from the San Diego Unified School District:

All records generated by the SDUSD or provided to the SDUSD since July 28, 2009 concerning disputes and grievances between and/or among contractors and unions and the district that have been addressed under Article VI of the Project Stabilization Agreement (Work Stoppages and Lockouts), Article VIII of the Project Stabilization Agreement (Work Assignments and Jurisdictional Disputes), Article IX of the Project Stabilization Agreement (Management Rights), and Article X of the Project Stabilization Agreement (Settlements of Grievances and Disputes). For example, please provide all records, including grievances, concerning disputes between the Operating Engineers union and the Laborers union over trade jurisdiction.

I obtained the records in person at the school district headquarters last week. (The main receptionist and the staff at Legal Services were quite helpful, even though I arrived at 4:55 p.m.)

Unions have filed TEN at least ELEVEN grievances under the Project Labor Agreement as of the end of July 2012. Nine At least ten were against construction companies, and one was against the school district.

The San Diego Unified School District has compiled a log listing the grievances filed by unions under the Project Labor Agreement. This log does not completely match up with the actual documents. The list and summary below is based on the actual documents provided by the school district about the grievances:

Operating Engineers Union Local No. 12 went after Crown Fence Company for having a worker on the job site who was not referred from the union hiring hall. The union demanded $64.54 per hour worked by the employee to be paid into a union trust fund. See SDUSD PLA Grievance Crown Fence Company.

Ironworkers Union Local No. 229 went after Triton Structural Concrete claiming that the company improperly assigned bleacher construction to trades other than the Ironworkers. In the end, the union decided to “respectfully withdraw the grievance” so the bleachers could be finished on schedule for mid-September 2011. It appears that Worldbridge Technologies may have also been involved in this dispute. See SDUSD PLA Grievance Triton Structural Concrete.

Operating Engineers Union Local No. 12 went after FenceCorp., Inc.  for having a worker on the job site who was not referred from the union hiring hall. The union demanded $64.54 per hour worked by the employee to be paid into a union trust fund. See SDUSD PLA Grievance FenceCorp, Inc.

Plumbers and Pipefitters Union Local No. 230 went after Rand Engineering claiming that the company improperly assigned “installation of piping for potable water, sewer, and storm drain” as work under the Laborers jurisdiction rather than the Plumbers and Pipefitters jurisdiction. It appears that Quality Plumbing may have also been involved in this dispute. See SDUSD PLA Grievance Rand Engineering.

Plumbers and Pipefitters Union Local No. 230 went after Bert W. Salas, Inc. claiming that the company improperly assigned “installation of piping for potable water, sewer, and storm drain” as work under the Laborers jurisdiction rather than the Plumbers and Pipefitters jurisdiction. The two unions fought over the assignment, the Project Labor Agreement administrator Parsons Construction, Inc. became involved, and there was an arbitration hearing. See SDUSD PLA Grievance Bert W. Salas, Inc.

The United Union of Roofers, Waterproofers and Allied Workers Local Union No. 45 went after A Good Roofer, Inc. because the company did not submit its fringe benefit package to the Project Labor Coordinator for evaluation to determine if it was equivalent or better than the union package. The Roofers union demanded that A Good Roofer, Inc. pay employee fringe benefits (as designated in the union collective bargaining agreement) to the applicable union trust funds, along with interest, costs, and liquidated damages. See SDUSD PLA Grievance – A Good Roofer, Inc.

International Brotherhood of Electrical Workers (IBEW) Union Local No. 569 went after Logical Choice Technologies claiming that certain work performed by the company’s employees was covered under the scope of the Project Labor Agreement. The contractor contended that the work was excluded under Section 2.3 of the union agreement. The dispute went to arbitration and lawyers became involved. See SDUSD PLA Grievance Logical Choice Technologies.

The United Union of Roofers, Waterproofers and Allied Workers Local Union No. 45 went after Mark Beamish Waterproofing claiming that the company improperly assigned “installation of Polyguard below-grade waterproofing” as work under the Painters union jurisdiction rather than the Waterproofers union jurisdiction. The two unions fought over the assignment, the Project Labor Agreement administrator Parsons Construction, Inc. became involved, and lawyers were called in. See SDUSD PLA Grievance Mark Beamish Waterproofing.

The United Union of Roofers, Waterproofers and Allied Workers Local Union No. 45 went after Roger H. Proulx claiming that the company improperly assigned waterproofing work to the Laborers union. The company changed the classification of the work. See SDUSD PLA Grievance Roger H. Proulx.

NEW ADDITION: The Laborers International Union of North America (LIUNA) Local No. 89 went after Mission Valley Landscape claiming that the company improperly assigned work to the Landscaping and Irrigation (Plumbers) Union Local No. 345. See SDUSD PLA Grievance Mission Valley Landscape.

The San Diego County Building and Construction Trades Council went after the San Diego Unified School District claiming it improperly determined under Section 5.2 of the Project Labor Agreement that Standard Electronics had a fringe benefit program equivalent to the program administered by the International Brotherhood of Electrical Workers (IBEW) Union Local No. 569. See SDUSD PLA Grievance SDUSD & Standard Electronics.

This is more evidence for non-union contractors (especially subcontractors in certain trades) that signing a Project Labor Agreement as a condition of winning a job can be a perilous exercise. It can result in significant financial losses or even going out of business if the public entity withholds payments to your company as the grievance is adjudicated.

For taxpayers, why do you vote for school board members who focus on requiring contractors to sign Project Labor Agreements with unions? What do the grievance procedures of Project Labor Agreements have to do with educating students?

Keep in mind that the board of education of the San Diego Unified School District was authorized by voters in 2008 to borrow money for school construction by selling $2.1 billion in bonds to investors, who will make money on the interest. The school district has sold Capital Appreciation Bonds, which accrue a huge amount of compounded interest to be paid back as taxes by future generations of district residents. It now wants approval from voters in November 2012 to borrow another $2.8 billion from investors by selling bonds, to be paid back later with interest. Overhanging it all is the school board’s mandate that construction companies sign an agreement with unions as a condition of work.