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Article 13 Dues and Assessments Section 1. The initiation fee for membership in this Local shall be as determined from time to time by the International Union. The dues of this Local shall be determined using the following procedure: 1. Prior to the area budget meetings, a Budget Committee comprised of the Executive Board and voluntary members in good standing, will meet to develop a comprehensive operating budget for the coming year. The times and places for these meetings will be selected by the First Business Representative/Financial Secretary Treasurer who shall act as the chairperson of the Budget Committee. 2. At the area budget meetings and the October General Meeting the First Business Representative/Financial Secretary Treasurer will announce the per-capita structure to be assessed during the coming year. 3. At the area budget meetings and the October General Meeting the First Business Representative/Financial Secretary Treasurer will present a comprehensive operating budget for the coming year together with a dues structure to support such a budget to be debated and voted upon by the members present and voting at these meetings. 4. The Budget Committee will determine the proposed per-capita structure and dues structure referred to in items 2 and 3 or Article 13 section 1 in the following manner: a.) The Budget Committee will establish a per-capita structure, per member, rounded up to the nearest dollar based on Journal fees, current per-capita taxes and membership fees paid to every organization to which we are affiliated, plus the projected increase by the International Union, divided by the total number of members projected to be on the rolls January 1 of the coming year. No member shall be excluded from this per-capita structure assessment. b.) The Budget Committee will estimate the operating costs plus adequate reserves and savings less the per-capita structure listed above. c.) The Budget Committee will project a realistic number of Mechanics and Helpers that are expected to maintain employment throughout the coming year. d.) The following formulas will then be used to determine the dues rates for the coming year: X = Mechanics annual rate REDUCED. Y = Helpers annual rate REDUCED (.70X) A = Number of Mechanics expected to work. B = Number of Helpers expected to work C = Amount of income required for budget plus reserves plus savings. C = (A * X) + (B * Y) Full rate is equal to the reduced rate divided by .85 rounded up to the nearest dollar. e.) All members receiving a wage higher than the base wage as determined by the contract shall have their dues structure adjusted by the percentage their wage is above the base wage rounded up to the nearest dollar. 5. Should the body fail to approve the budget the dues structure for the coming year shall be three (3) times the hourly wage rounded up to the nearest dollar, based on the highest wage earned for eight (8) hours or more during that calendar month. The dues structure will be adjusted every January first to the rates determined by a majority vote of the members present at the previous October general meeting. Every member that attends at least one general or L.R. meeting per quarter and has his/her quarterly working card paid before the first day of the next quarter will pay his/her dues according to the "reduced rate" as determined by the preceding formulas. Any member out of work and available for work for a period in excess of seventy percent (70%) of the total regular hours available for that calendar month, will have his/her dues for that month reduced to an amount equal to the current per-capita assessments established by the Local for that year. Section 2. After a resolution has been introduced at a regular meeting of the Local to levy or change an additional assessment, the resolution shall be laid over at least one meeting for consideration. The Local shall mail specific written notice to each member at the last known home address at least fifteen (15) days prior to the next regular meeting at which the membership will consider the question of whether or not an additional assessment shall be changed or levied. The notice shall indicate the proposed assessment, assessment increase or the changed assessment to be voted on. All voting shall be conducted in accordance with Article 11, Section 7, of the Local No. 12 Constitution and By-Laws. Section 3. There is hereby created a Defense Fund, which, although part of the general treasury, shall be kept as a separate entry in the financial records of the Local. 1. The purpose of the Defense Fund shall be: to pay all organizing expenses; to pay expenses incurred during a work stoppage of any kind, by all or a portion of our membership, including normal operating expenses to the extent normal revenues are depleted, and all extraordinary expenses such as picket duty reimbursements and other expenses directly related to the work stoppage. 2. Approval or ratification of expenditures from the Defense Fund shall be at the sole discretion of the Executive Board. All such expenditures shall be reviewed by the Trustees of the Local and reported to the membership at the next Regular Meeting. The day-to-day management of the Defense Fund shall be the responsibility and within the discretion of the Business Manager. The Business Manager shall keep the First Business Representative/Financial Secretary-Treasurer and the Executive Board apprised of his day-to-day activities and expenditures from the Fund. The management of the Defense Fund shall be in strict compliance with all rules and regulations of the International Union, the Local Union and all applicable law. 3. The Defense Fund shall be funded primarily by an annual assessment of all active members in an amount equal to one hour’s wage. This assessment shall be made on January 1 of every year and will be due and payable with the first quarter’s dues payment. In addition to this assessment, all fines and late dues assessments shall be credited to the Defense Fund, as well as all money payable to the Local Union as a result of any grievance or other proceeding against an employer. 4. In the event that the Defense Fund becomes depleted, the Executive Board, in its sole discretion, may use money from the general treasury to pay for matters that would otherwise be paid from the Defense Fund. Such expenditures shall be reported to the membership at the next Regular Meeting. Section 4. A member shall lose his/her good standing in the Local Union by suspension or expulsion for non-payment of dues. Quarterly dues are payable in advance before the first day of the first month of each quarter. Any member working without a current card will automatically be assessed Ten Dollars ($10.00) for each day worked, not to exceed one (1) quarter’s dues at the current full rate. A member owing over three (3) months’ dues shall automatically be suspended from membership without notice of any kind. A suspended member is denied all rights and privileges of membership including voice and vote in the Local. A suspended member becomes in good standing and his/her suspension is lifted by the payment of all back dues through the current month together with a reinstatement fee. A suspended member must pay all back dues through the current month before the reinstatement fee can be paid. Upon payment of back dues through the current month and the payment of the reinstatement fee, the member shall be in good standing and entitled to attend Local meetings with voice and vote. (Note) The International will set reinstatement fees periodically. A suspended member, upon becoming five (5) months in arrears, shall be so notified by the First Business Representative/Financial Secretary-Treasurer, by certified mail, at the member’s expense. Any member in arrears in dues or assessments for a period of six (6) months or more, shall stand expelled and must pay six (6) months’ back dues and all monies that he/she legally owes to the expelling Local at the time of the expulsion and a new initiation fee to the Local in which he/she desires to be initiated. Section 5. Any member of Local 12 in good standing who becomes sick or disabled for a period of more than one (1) month will have his dues reduced during his disability to an amount equal to the current per capita assessments paid by the Local, not to exceed a period of 12 months. Section 6. The First Business Representative/Financial Secretary-Treasurer shall require money orders for money due the Local from any member whose checks have been refused by the bank because of insufficient funds. This requirement of money orders will continue for a period of two years, thereafter said member may make a request to the First Business Representative/Financial Secretary Treasurer to pay moneys due the Local by check. Section 7. All financial obligations (including but not limited to fines, penalties, and unpaid dues, fees and assessments) owed by a member of the International Union of Elevator Constructors, or one of its Local Unions, under the Constitution and Bylaws of this Local Union shall constitute debts owed by the individual members to this Local Union, and may be recovered by the Local Union through legal action brought in a court of competent jurisdiction. It is the intent of this provision that internal Union discipline (e.g. suspension or expulsion) is not the Local Union’s sole remedy for a member’s failure to satisfy his or her financial obligations. If it is necessary for the Local Union to institute legal proceedings in order to recover any such debt, the individual member shall also be liable for all costs of said proceedings, together with a reasonable attorney’s fee incurred by the Local Union, the amount thereof to be fixed by the Court. 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