Cease & Desist Document

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July 8, 2010 Barry L. Mead, CFBE, CHE Assistant Professor Faculty Union Chair Guam Community College (;'uam's Local Union RECEIVED ::e: 91pJ;il Executive Council Members Guam Federation Of Teachers Local 1581 AFT, AFL-CIO P.O. Box 2301 Hagatna, Guam 96932 RE: ORDER TO CEASE AND DESIST ALL CONTRACT NEGOTIATIONS WITH THE GOVERNMENT OF GUAM AND IMMEDIATE SUSPENSION OF MATT RECTOR Dear Executive Council Members, This is to bring an URGENT matter to your attention for immediate action. Pursuant to 4 GCA §15206 and §15210 A territorial agency shall not enter into a contract with any person or business which is represented or assisted in a material manner in the matter by a person who has been an elected officer of the Government of Guam within the preceding twelve (12) months or who participated while in territorial office or employment in a material manner in the matter with which the contract is directly concerned. On 18 January 2010 Senator Matt Rector announced his resignation from his position in the 30th Guam Legislature as a result of two ethics complaints that had been filed against him. Mr. Rector was the Chair for the Committee on Labor in the 30 th Guam legislature. Following his resignation from the Legislature, Mr. Rector engaged as Chief Negotiator in contract negotiations with the Port Authority of Guam, the Department of Public Works, the Guam Memorial Hospital, the Guam Fire Department and has involved himself in the final phase of contract negations with the GWA as welt The referenced section of the local code prohibits any agency from contracting with Mr. Rector (a former Elected Official) within a 12 month period of limitations stated herein. Since the President of the Guam Federation of Teachers is required to sign all negotiated CBA's, and has acted as chief negotiator, this raises serious Iconcerns that this activity may be illegal and compromise the Union. GFT members should also be concerned that Mr. Rector has decided to

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Cease and Desist

Transcript of Cease & Desist Document

Page 1: Cease & Desist Document

July 8, 2010

Barry L. Mead, CFBE, CHEAssistant ProfessorFaculty Union ChairGuam Community College (;'uam's Local Union

RECEIVED

::e: 91pJ;ilExecutive Council MembersGuam Federation Of TeachersLocal 1581 AFT, AFL-CIOP.O. Box 2301Hagatna, Guam 96932

RE: ORDER TO CEASE AND DESIST ALL CONTRACT NEGOTIATIONS WITHTHE GOVERNMENT OF GUAM AND IMMEDIATE SUSPENSION OF MATTRECTOR

Dear Executive Council Members,

This is to bring an URGENT matter to your attention for immediate action.

Pursuant to 4 GCA §15206 and §15210 A territorial agency shall not enter into a contract withany person or business which is represented or assisted in a material manner in thematter by a person who has been an elected officer of the Government of Guam within thepreceding twelve (12) months or who participated while in territorial office or employment in amaterial manner in the matter with which the contract is directly concerned.

On 18 January 2010 Senator Matt Rector announced his resignation from his position in the 30thGuam Legislature as a result of two ethics complaints that had been filed against him. Mr.Rector was the Chair for the Committee on Labor in the 30th Guam legislature. Following hisresignation from the Legislature, Mr. Rector engaged as Chief Negotiator in contractnegotiations with the Port Authority of Guam, the Department of Public Works, the GuamMemorial Hospital, the Guam Fire Department and has involved himself in the final phase ofcontract negations with the GWA as welt

The referenced section of the local code prohibits any agency from contracting with Mr. Rector(a former Elected Official) within a 12 month period of limitations stated herein. Since thePresident of the Guam Federation of Teachers is required to sign all negotiated CBA's, and hasacted as chief negotiator, this raises serious Iconcerns that this activity may be illegal andcompromise the Union. GFT members should also be concerned that Mr. Rector has decided to

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~ocontinue in his position as President of the GFT under these circumstances while knOwin~his presence prevents the Union from negotiating with the Government of Guam, all negotiatecontracts are void and the Government of Guam may seek to recover such associated costs. Mr.Rector now exists as an obstacle and liability to the GFT in direct conflict with his position asPresident, and those contracts affecting thousands of employees may be void. I am aware thatthe Government of Guam has expended hundreds of thousands of dollars negotiating thesecontracts and that the Government may now seek to recover these costs.

Additionally, it appears that 4 GCA, Chapter 10 §10105 now prohibits Mr. Rector fromparticipating in the management of the GFT or act as an organization representative, becausesuch activity results in a conflict of interest or is otherwise incompatible with law and thePresident's official duties. Specifically, this section of the code (PEMRA) states:

4 GCA Chapter 10 § 10105. Right of Organization.Public employees shall have the right to form, join, assist andparticipate in the management of employee organizations or their ownchoice and to act as organization representative or to refrain from any suchactivity, without interference, restraint, coercion or discrimination andwithout fear of penalty or reprisal; provided that, employees shall notparticipate in the management of an organization or act as an organizationrepresentative, where such activity would result in a conflict of interest orotherwise be incompatible with law or with employee's official duties.

Based on the above stated and 4 GCA 15, the Government of Guam and Matt Rector are barredby statute from negotiating or entering into any CBA with the GFT at this time.

In order to insure the maintenance of fiscal integrity in the conduct of the organization structureand internal affairs of the Guam Federation of Teachers, in my capacity and responsibility as anOfficer of the GFT, Imust now demand that Matt Rector immediately suspend all duties andresponsibilities responsive to contract negotiations, cease all management activities at the GFTUnion and desist in all representation of GFT Union Members immediately. [See 4 GCA §10107 (c)]

Please provide me with your written compliance to this matter immediately but not later than 10days of receipt of this notice. Any failure on your part to fulfill both your legal and ethical dutyin this regard will result in immediate action to compel the same.

~Y~------~~~CHE

cc: Attorney General of GuamGovernor of Guam

Guam's Local UnionRECEIVED

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Relevant law is attached below as follows:

SPECIFIED STANDARDS§ 15102. Definitions.When used in this Chapter, these key words shall have the indicatedmeaning:(a) business includes any corporation, partnership, any soleproprietorship, any trust or foundation, or any other individual ororganization carrying on any business whether or not operated forprofit;(b) compensation means any money, thing of value or economicbenefit conferred on or received by any person subject to this Chapter,in return for services rendered or to be rendered by himself or another;(c) controlling interest means any proprietary or ownershipinterest in a business or other undertaking;(d) employee means any nominated, appointed, or elected officeror individual employed with a territorial agency as defined herein,including members of boards or commissions, and persons underpersonal services contracts;(e) employment means any rendering of services forcompensation;(f)jinancial interest means an interest held by an individual, hisor her spouse, natural, adopted, or dependent children, parents,parents-in-law, siblings, or siblings-in-law which is:(1) an ownership interest in a business;(2) a creditor interest in an insolvent business;(3) an employment, or prospective employment for whichnegotiations have begun;(4) an ownership interest in personal or real property;(5) a loan or other debtor interest; or(6) a directorship or officership in a business.(g) judicial officers includes the Justices of the Supreme Court,whether full- or part-time, and Judges of the Superior Court, includingJudges pro tern and referees;(h) legislator means any duly elected members of the GuamLegislature;(i) official act or official action means a decision,recommendation, approval, disapproval, or other action, includinginaction which involves the use of discretionary and non-discretionaryauthority;G) official authority includes administrative, judicial or legislativepowers of decision, recommendation, approval, disapproval, or otherdiscretionary or non-discretionary action; and(k) territorial agency or agency shall mean every branch ofgovernment, public corporations, all government of Guamdepartments, bureaus, and line agencies, autonomous and

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semi-autonomous agencies, instrumentalities, entities or sub-entitiesthereof, the Mayor's Council, and Mayors' Offices.§ 15203. Confidential Information.No employee shall disclose information which is considered a privatedocument by existing law, and which the employee acquires in the course ofofficial duties, or use the information for personal gain or for the benefit ofsomeone else.§ 15207. Contracts Voidable.In addition to any other penalty provided by law, any contract enteredinto by the Territory in violation of this Chapter, is voidable by theTerritory; provided that in any act to void a contract pursuant to thisSection, the interests of third parties who may be damaged thereby, shall betaken into account, and the action to void the transaction is initiated withinninety (90) days after the determination of a violation under this Chapter.The Attorney General shall have the authority to enforce this provision.

§ 15210. Restrictions on Post Employment.(a) No former employee shall disclose any information which by law isnot available to the public and which the employee acquired in the course ofofficial duties or use the information for personal gain or the benefit ofanyone.(b) No former employee shall, within twelve (12) months aftertermination from employment, assist any person or business, or act in arepresentative capacity for a fee or other consideration, on matters involvingofficial action by the particular territorial agency with which the employeehad actually served.(c) This Section shall prohibit any agency from contracting with aformer employee to act on a matter on behalf of the Territory within theperiod oflimitations stated herein, unless exempted by law.

§ 15211. Violation.(a) Any territorial action obtained in violation of this chapter foremployees is voidable in the same manner as voidable contracts as providedfor under § 15207; and the Territory, by the Attorney General, may pursueall legal and equitable remedies available to it.(b) The Territory, by the Attorney General, may recover any fee,compensation, gift, or profit received by such person as a result of aviolation of these standards by an employee or former employee. Action torecover under the Subsection (b) shall be brought within two (2) years ofsuch violation under this Chapter.COL 1106094 GCA PUBLIC OFFICERS &EMPLOYEESCH. 15 STANDARD OF CONDUCT10 Guam's Local Union

RECEIVED c"

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