LOCAL 6787 DEPARTMENT OF LABOR AUDIT FINALIZED

Many of you are aware that our Local Union was selected by the Federal Department of Labor (DOL) for our first Labor Management Standard Compliance Audit that began in September of last year.  This audit is now complete and was officially finalized on October 21, 2011.

A Local Union can be selected in one of two ways:

1. Union member request to audit finance
2. Random audits done on a yearly basis.

After 47 years, we were selected at random.

What is included in the audit?

• Complete check and balance of all union finances including bank and credit union transactions and statements.  The Union was required to provide all receipts, cancelled checks, deposit slips, disbursement journals, expense receipts, invoices, reconciliation reports, investment records, and details pertaining to all assets.
• Lost time pay vouchers, payroll ledgers, and membership records.
• Bookkeeping practices.  These must be accurate and to the letter of the law.  Every Union is required by Federal Law to be in compliance with the DOL Financial Accounting Standards including the Reporting and Disclosure Act (LMRDA) and the Civil Service Report Act.
• All internal controls as stipulated in the Local Union By-Laws and International USW Constitution.  Copies of current Constitution and By-Laws, including Union Financial Policy were provided.
• Copies of all other audit reports performed by Union Auditors or accountants; although the DOL cannot accept the findings of any independent audit.
• All minutes of Executive Board Meetings and membership meetings.
• As opposed to a basic Financial Audit, Compliance Audits are more detailed for large Local Unions.  They involve a more through and highly detailed report that can pertain to years of record keeping.  A Federal Auditor may also request additional records as needed.

An audit of this magnitude determines the integrity of a Labor Union and its members.  Local 6787 ~ USW went above and beyond the Federal Law requirements and I am happy to inform you that our Local Union is in total compliance with the Department of Labor Final Audit Report.