TERENCE M. O'SULLIVAN
General President

CARL E. BOOKER
General Secretary -Treasurer

Vice Presidents:

MASON M. WARREN
VERE 0. HAYNES
CHUCK BARNES
GEORGER R.GUDGER
MIKE QUEVEDO, JR
ARMAND E. SABITONI
Assistant to the
General President

TERRENCE M. HEALY
RAYMOND M. POCINO
EDWARD M. SMITH
JAMES C. HALE
JOSEPH S. MANCINELLI
STEVE HAMMOND
JOSEPH J. LICASTRO
WILLIAM H. QUINN

MICHAEL S. BEARSE
General Counsel

HEADQUARTERS:
905-16th Street, NW
Washington, D.C.
20006-1765
(202) 737-8320
Fax: (202) 737-2754

Re: Arthur A. Coia - Emeritus Status

Dear Brothers and Sisters:

I am advised that the membership of Local 942 recently adopted a resolution opposing the General Executive Board's decision to name Arthur A. Coia as General President Emeritus.

Briefly, the Board's unanimous action in awarding emeritus status to former General President Coia was intended to recognize his many contributions to LIUNA and our members, including his leadership in encouraging training and apprenticeship programs, organizing, labor-management cooperation, workers' health and safety programs, and more recently, in leading our unique internal reform programs instituted in 1995 and recognized by the Department of Justice as successful and effective. Indeed, the U.S. Attorney's office in Boston as a matter of record has acknowledged former General President Coia's essential role in the establishment and support for these programs.

Prior to the Board's action to grant emeritus status, both the Department of Justice and the General Executive Board Attorney were so advised, and the Department of Justice expressly approved the award of "emeritus" status as part of the recent Plea Agreement. Further, the General Executive Board was informed of the paiticulars of that Plea Agreement. Moreover, as former General President Coia was never indicted while in office, he was never subject to suspension. Indeed, while the internal disciplinary charges were pending, Mr. Luskin affirmed that he had no objection to Mr. Coia's continuing to serve.

As I am certain you know, Mr. Coia was fully and completely exonerated on all charges that he had improper associations with organized crime figures. Moreover, it was expressly found by the Independent Hearing Officer that while his actions in purchasing the Ferrari F40 constituted a conflict of interest warranting a significant fine, there was no financial loss or detriment to LIUNA or our members. The subsequent plea agreement in Boston likewise did not involve conduct resulting in any economic harm to the Union.

As for Mr. Coia's unique contributions in developing LIUNA's successful internal reform programs, let me quote from a letter of January 19, from U.S. Attorney Donald Stern confirming that Mr. Coia had provided substantial assistance to the United States, as follows:

Mr. Coia has been supportive of the reform process from the beginning, both overall and in specific areas. The General Executive Board Attorney of LIUNA, who has been responsible for developing cases and bringing charges in the reform process, has determined that Mr. Coia's assistance in establishing the process, encouraging support for the process within the Union, and assisting in specific cases has been instrumental and substantive.

In the past, the General Executive Board granted emeritus status to officers who, over the years, made especially significant contributions to the Union. The authority for such action is expressly provided in Article VIII, § 2(b) of the International Union Constitution, which states that:

It [the General Executive Board] may for good cause, illness, or disability, make such financial provision for an officer or employee of the International Union as it deems is warranted by the length and character of the service rendered to the International Union by the individual.

Brother Thomas reported that at least some members are under the mistaken impression that Mr. Coia's "emeritus" status costs the Union $250,000. Rather, as in prior cases, the cost is limited to the difference between Mr. Coia's $250,000 salary as General President and his earned pension. That difference is approximately $84,000 per year in this case.

This letter is being forwarded to the General Executive Board Attorney for such further response or consideration as he may deem warranted.

Fraternally yours,

MICHAEL BEARSE
General Counsel

pr
cc: Terence M. O'Sullivan, General President
Carl E. Booker, General Secretary-Treasurer
Northwest Regional Office
Robert D. Luskin, GEB Attorney
W. Douglas Gow, Inspector General