TranSystems Corporation - LGM Construction

February 28, 2000
Mr. Larry Blevins, Business Manager
United Association, Local 342
935 Detroit Avenue
Concord, CA
Letter of Understanding re: Prefabrication
Re: Port of Oakland Maritime and Aviation Project Labor Agreement
Article VII, Management’s Rights: Prefabrication
Dear Mr. Blevins:
This letter will confirm the discussions we had during the negotiation of the captioned
Project Labor Agreement and the clarifications we made concerning the application of Article
VII, Section 2, of the Agreement. Consistent with the provisions of that Article, the on-site
fabrication and installation of pipe and pipe formations between manufactured components
which are customarily the work of UA members will continue to be recognized as such.
As you know from the discussions in negotiations, if fabrication work recognized by this
letter as customarily the work of U.A. members is to be done off-site, this work will be
performed in the Port’s Local Business Area and in shops or at off-site assembly yards
employing workers whose terms and conditions of employment equal or exceed those established
in the area under the prevailing wage laws for employees represented by the United Association,
unless such work is performed otherwise pursuant to the provisions of this letter.
The United Association recognizes that the timely completion of this project is vital to the
Port and the Community it is intended to serve. Therefore, if the nature of the work, the project
schedule, or contracting circumstances make it necessary to obtain fabrication outside the region
or under conditions different than those described above, the United Association agrees to
cooperate in accommodating the reasonable needs of the Project. The Project Contractor and the
Union agree to discuss such circumstances affecting off-site fabrication contracting purchases
where an accommodation is sought and any reasons making it necessary to depart from the
conditions set forth above. The United Association will not unreasonably withhold its consent to
such accommodations and Local 342 agrees to install on-site any components fabricated pursuant
to the terms of this letter without limitation. The parties will make every effort to keep an open
channel of communication to insure that both parties are fully informed of the facts affecting the
substance of this letter.
If you agree that this letter accurately sets forth the substance of our understanding and
provides the basis for resolving any questions concerning the interpretation and application of
Article VII, Section 2, of the Project Labor Agreement, please indicate your acceptance in the
space provided below.
Very truly yours,
Jake Sloan, President, Davillier-Sloan, Inc.
on behalf of the Project Contractor
Agreed and accepted this ____ day of ______________ 2000.
United Association Local 342
By: ________________________________
Larry Blevins, Business Manager
PORT OF OAKLAND MARITIME AND AVIATION PLA
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