Labor Organization Annual Financial Reports

DEPARTMENT OF LABOR

Office of Labor-Management Standards

29 CFR Part 403

RIN 1294-AAO7

Labor Organization Annual Financial Reports

AGENCY: Office of Labor-Management Standards, Office of the American

Workplace, Labor.

ACTION: Final Rule; correction.

-----------------------------------------------------------------------

SUMMARY: This document contains a correction to the final rule which

was published on Tuesday, December 21, 1993 (58 FR 67593). The rule

relates to the annual financial reports required to be filed by labor

organizations. The final rule inadvertently omitted a revised

instruction for one of the reporting forms.

EFFECTIVE DATE: December 31, 1994.

FOR FURTHER INFORMATION CONTACT: Kay H. Oshel, Chief, Division of

Interpretations and Standards, Office of Labor-Management Standards,

Office of the American Workplace, U.S. Department of Labor, 200

Constitution Avenue, NW., room N-5605, Washington, DC 20210, (202) 219-

7373. This is not a toll-free number.

SUPPLEMENTARY INFORMATION: The final rule that is the subject of this

correction made revisions to the annual financial reporting forms

required to be filed by labor organizations pursuant to the Labor-

Management Reporting and Disclosure Act of 1959, as amended (LMRDA).

Section 201(b) of the LMRDA requires each covered labor organization to

file annually with the Secretary of Labor a financial report, signed by

its president and treasurer or corresponding principal officers,

containing information in the detail necessary to disclose accurately

its financial condition and operations for the preceding fiscal year.

The requirements of LMRDA section 201(b) apply to all labor

organizations in the private sector. In addition, section 1209(b) of

the Postal Reorganization Act (Pub. L. 91-375, 84 Stat. 737) makes the

LMRDA applicable to labor organizations which represent employees of

the U.S. Postal Service. Finally, the Department's regulations apply

the LMRDA reporting requirements to Federal sector labor organizations

subject to the Civil Service Reform Act of 1978 (Pub. L. 95-454, 92

Stat. 1192) and the Foreign Service Act of 1980 (Pub. L. 96-465, 94

Stat. 2140). 29 CFR 458.3.

Section 208 of the LMRDA authorizes the Secretary to issue, amend,

and rescind rules prescribing the form and publication of the

information and annual financial reports required by sections 201(a)

and 201(b), and to provide simplified reports for labor organizations

for whom the Secretary finds that by virtue of their size a detailed

report would be unduly burdensome.

The Secretary of Labor has delegated authority under the LMRDA to

the Assistant Secretary for the American Workplace. See Secretary's

Order No. 2-93 (58 FR 42578, August 10, 1993).

Revisions to the reporting forms were proposed in the notice of

proposed rulemaking published on Thursday, September 23, 1993 (58 FR

49671). One of the proposed revisions was to change the instructions

for Form LM-2 (to be filed by labor organizations with $200,000 or more

in total annual receipts) and Form LM-3 (to be filed by labor

organizations with less than $200,000, but $10,000 or more, in total

receipts) regarding the purchase and sale of investments to include a

reduction for reinvestments of receipts from the sale of U.S. Treasury

securities and other investments. The proposed change was identical for

both Form LM-2 and Form LM-3. 58 FR 49680, 49681, 49722, 49724, 49793,

and 49798.

After reviewing the comments submitted by the public, the

Department decided to modify the proposed instructions slightly.

However, the modification was only made to the Form LM-2 instructions

(58 FR 67600, 67602) and inadvertently not made to the Form LM-3

instructions.

Accordingly, the final rule published on December 21, 1993 is

corrected as follows:

1. On page 67603, in the 2nd column, after the 33rd line, insert

the following text:

In Item 42, the first paragraph of the instructions is revised

to read as follows:

Enter the net amount received by your organization for all

investments (including U.S. Treasury securities) and fixed assets

sold. Do not include amounts received from the sale or redemption of

investments which were promptly reinvested (i.e., ``rolled over'')

during the reporting period.

Signed in Washington, DC this 22nd day of March, 1994.

Martin Manley,

Assistant Secretary for the American Workplace.

[FR Doc. 94-7381 Filed 3-29-94; 8:45 am]

BILLING CODE 4510-86-P