Washington State's Paycheck Protection Report

Paycheck Protection Timeline in Washington State

An Introduction

In 1996, a handful of courageous teachers came to Evergreen Freedom Foundation (EFF) with evidence that Washington Education Association (WEA) officials were illegally funneling mandatory dues into politics.

Teachers' mailboxes were swamped with the union's costly, highly partisan political propaganda as election season approached. Though it is a well recognized fact among teachers that most do not choose to contribute to the union's political action fund, the WEA budgeted a whopping $1.4 million from compulsory dues to defeat two ballot initiatives. Wasn't Initiative 134, passed in 1992 by an overwhelming majority of Washington state voters, supposed to protect the union rank-and-file from this kind of political exploitation?

When these teachers made inquires, their union responded to their concerns with ridicule. Their multiple complaints filed with the Public Disclosure Commission had gone unnoticed. Could EFF with its reputation as a citizen's fiscal watchdog help?

After filing several lawsuits and encouraging the state Attorney General to pursue litigation, the ball started rolling forward on enforcing paycheck protection. But the WEA fought back on multiple fronts. After an attempt to sue EFF failed in 1997, the WEA enacted an aggressive public relations campaign to discredit our efforts to help teachers.

Since then EFF has also championed workers rights in other unions, including the Washington State Labor Council and the Washington Federation of State Employees. No worker should be compelled to support political ideologies they do not endorse. The United States Supreme Court has ruled that political financial support is an expression of free speech. Therefore these workers' First Amendment rights are being violated. We do not wish for the abrogation of all unions. We simply wish for them to be more accountable to their members and to the public. No one should be forced to pay for someone else's politics.

Below is a timeline of important dates in the paycheck protection struggle.

1992

October: Union leaders, including the officials of the WEA, spend nearly $200,000 to defeat Initiative 134, a campaign finance reform ballot measure that includes a provision requiring unions to get annual permission from their members before using their dues for politics.

November: Washington voters overwhelmingly approve Initiative 134.

December: WEA officials and other labor leaders meet with the Director of the Public Disclosure Commission (PDC) about implementation of Initiative 134.

1993


February-June: Leaders of the WEA form the "Life After 134" task force and meet monthly to discuss efforts aimed at undermining the provisions of I-134 and stripping teachers of their consent rights.

July: The PDC adopts an interpretation of Initiative 134, which incorporates many of the WEA's recommendations and permits unions like the WEA to continue its practice of payroll deductions for politics without the annual consent of members.

1994

January: Initiative 134 is finally implemented. More than 85 percent of teachers choose not to contribute to WEA's Political Action Committee (PAC).

May: The WEA Representative Assembly approves the formation of a secret political action committee--the Community Outreach Program (COP)--which automatically deducts dues from teachers' paychecks. The COP's budget is dedicated to pay for the operations of WEA's recently-formed political action committee, WEA-PAC.

1996

January-November: The WEA and NEA draft and implement a $2 million political plan to target political races and defeat charter school and school voucher initiatives.

January: Teachers approach Evergreen Freedom Foundation on the matter of their mandatory union dues going to the WEA political activities.

July: EFF investigates and requests that the PDC take action.

September: A 45-day "Citizen Action Complaint" is filed with the state Attorney General (AG) charging that:

1. the WEA-PAC failed to disclose sources of at least $200,976 in contributions;

2. a WEA loan (and subsequent loan forgiveness) of $162,255 was extended to the WEA-PAC from union dues without written permission of teachers;

3. the WEA funded WEA-PAC administrative expenses (estimated $120,000) through the WEA "Community Outreach Program" (COP) from union dues without written permission of teachers; and

4. the WEA COP functioned as a political action committee without receiving written permission from teachers and without reporting to the PDC.

October: The PDC asks the state Attorney General to prosecute the WEA for violations.

December: The WEA sues the Public Disclosure Commission.

1997

February: The Attorney General files suit against the WEA for items one, two and four from the above citizen action complaint.

March: The Moore Information Public Opinion Research takes a poll of Washington voters discovering that 69 percent believe the WEA's illegal political fundraising practices are a problem.

June: EFF and Teachers for a Responsible Union (TRU) file suit against the NEA and WEA charging: WEA is a political action committee and has failed to register and report as one; WEA local affiliates are political action committees and have failed to register and report as such; WEA deducts dues for COP's political activities without written permission of the teachers; the NEA failed to report contributions and failed to report lobbyists.

July: The WEA files lawsuit against EFF.

July-December: The Attorney General fails to incorporate charges against the NEA into state lawsuit against the WEA and instead defers the NEA charges to the PDC for investigation. The Attorney General refrains from completing discovery in lawsuit and fails to follow-up on interrogatories or schedule depositions.
September: The Moore Information Public Opinion Research takes a poll of WEA members and finds that 59 percent are concerned that the WEA spent money from union dues on 1996 election activities.

1998

January: PDC delays enforcement hearings on NEA charges.

February: The Attorney General and PDC announce a settlement agreement with the WEA. This settlement includes guidelines indicating that PDC state authorities will not require that annual written permission be obtained from teachers and other union members before general union dues can be used for politics. Settlement fines are paid by WEA members, not by the individuals responsible for the campaign finance violations.

March: EFF's lawsuit proceeds and provides an opportunity for true investigation and the levying of appropriate penalties for the lawbreakers.

March: EFF asks the Attorney General and the PDC for documents relating to the state settlement with the WEA; AG and PDC refuse to release documents.

July: At the WEA's request, the judge in the EFF vs. WEA/NEA trial dismisses the charge that WEA failed to secure written permission for payroll deductions which were diverted to campaigns. EFF is permitted to immediately appeal this ruling to the State Supreme Court.

July: EFF files a motion to compel the Attorney General and PDC to release settlement documents.

November: EFF wins motion to compel - the Attorney General's office is fined $33,110 for failing to produce settlement documents. The documents show state complicity; the WEA dictated the terms of the settlement.

November: EFF challenges the PDC to correct its narrow interpretation of Initiative 134's paycheck protection provision; PDC refuses to correct, and EFF files an appeal to the Thurston County Superior Court for judicial review of the PDC's interpretation.

1999

January: The WEA fails to produce crucial documents in EFF's lawsuit; the Olympia Education Association president files a 45-day notice with the PDC, charging EFF with campaign finance violations.

February: Judge fines the WEA $15,000 for failing to produce documents in EFF's lawsuit.

March: The PDC clears EFF of charges brought by OEA President. The judge blocks attempts by state agencies to delay judicial review of paycheck protection rule adopted by PDC.

May: The EFF vs. WEA trial is conducted from May 3 to May 27.

May: EFF challenges the state of Washington in a one-day trial to challenge WAC 390-17-100 and guidelines permitting unions to divert payroll deductions to politics. The judge's ruling allows the agency rule to stand.

May: The Moore Information Public Opinion Research poll of WEA members finds that 66 percent believe union leaders should be required to get permission before they spend dues for campaign activities; 89 percent believe WEA should be required to give members a full accounting of all the funds spent on political activities.

June: EFF appeals EFF vs. State case directly to the state Supreme Court.

August: The judge rules in EFF v. WEA, finding that WEA's political activities did not violate campaign finance laws.

November: The Supreme Court hears argument on charge in EFF v. WEA/NEA case that WEA was obligated to secure written permission for payroll deductions diverted to campaigns.

2000

January: EFF research exposes that several districts with high percentages of teachers enrolled in the union-PAC do not actually get their signed authorization to continue collecting these funds. EFF files a complaint with the PDC.

February: The WEA deposes EFF staff and presses for release of EFF documents in the countersuit against EFF for fomenting discontent and for allegedly causing 631 teachers to break their contract with the WEA. EFF sends 46,000 teachers a message about cumulative total WEA political giving from mandatory dues.

February: EFF enables fifty teachers to publish a signed "open letter" newspaper advertisement in thirteen key newspapers.

April: The WEA drops the countersuit against EFF when further pursuit would have resulted in non-members learning that they have a right to a rebate.

May: The Supreme Court rules that the paycheck protection law applies only to employers. However, the ruling also says that if an employer has notice that funds withheld for employees are for use as political contributions, the employer must not make the withholding. EFF e-mails 59,000 teachers to advise them of the failure of the court to protect them.

June: EFF gives formal notice to all school districts that the WEA dues are being used as political contributions and that the district is liable for fines of up to $10,000 per violation. EFF publishes a study Taking employee wages to hijack elections exposing twelve unions' electioneering in 1998. In preparing research for this study, EFF files approximately thirty complaints against unions and contribution recipients.

July: EFF sends 43,000 teachers a booklet publication explaining the ruling and their rights under law to opt out of union politicking. NEA imposes a $5 per member assessment for its contingency fund for state electioneering. EFF publishes a template of methodology titled How to follow the money: from teachers' paychecks to elections.

July: NEA Assembly approves a $5 dues increase earmarked for "Ballot Measure/Legislative Crises and Media Campaign Fund."

August: EFF alerts the Attorney General that NEA's $5 dues increase violates state campaign finance law. The AG communicates with NEA. NEA avoids issue of unauthorized paycheck deductions by indicating that no portion of the funds will be used to deal with ballot initiatives.

August: EFF files a citizen action complaint with the Attorney General and all county prosecutors for school districts' failure to have authorization for political deductions and for the WEA's use of agency fees as political contributions.

August: The PDC fines two school districts for their failure to have authorizations from teachers before withholding for the WEA's political action committee. One district had been withholding from teachers who had not authorized, and it was fined for violating the paycheck protection statute.

September: The PDC recommends that the Attorney General take action against the WEA on the EFF complaint regarding use of nonmembers' funds for contributions. EFF e-mails 59,000 teachers to advise them of the PDC's announcement and telling them how to opt out of the union if they wish to escape WEA electioneering.

October: The Attorney General files a lawsuit against the WEA for use of nonmembers' funds as contributions, but dismisses the EFF complaint that school districts wrongfully withhold funds from teachers that are used as political contributions. EFF enables a teacher to speak out on a radio advertisement telling teachers of the WEA violation and advising them of how they can opt out of union politicking.

2001

March: A group of teachers file a class action lawsuit against WEA seeking refund of illegally spent dues. Thousands of teachers could be eligible for refunds.

March: EFF files complaint with the PDC for Tacoma School District's failure to provide public disclosure of WEA-PAC payroll authorizations.

May: The Amalgamated Transit Union (ATU) requested $50 assessment from King County employee's paychecks without written authorization to oppose a state initiative. PDC referred case to Attorney General's office for violation of campaign finance law.

June: The Moore Information Public Opinion Research polls Washington voters and discovers that 81 percent believe unions should be required to get permission from members before using dues money on campaign activities; 76 percent support changing the law to prohibit unions from using deductions for political purposes.

August: Judge Tabor issued a "guilty" verdict against the Washington Education Association (WEA) for what he characterized as intentional violations in the union's use of mandatory teacher dues and fees for politics. The combined penalties, sanctions and reimbursements ordered by the court make this the largest fine ever levied against the WEA - likely more than $500,000.

September: The WEA sues PDC and asks the King County Superior Court to declare the PDC guidelines regarding political activity in public taxpayer facilities unconstitutional.

October: A Lawrence Research poll of WEA members find that 65 percent believe WEA union leaders should be required to get permission before they spend dues for campaign activities; 80 percent believe WEA should be required by law to give members a full accounting of all spending each year.

October: The Court of Appeals hears the EFF case against the WEA. EFF asks for a ruling that requires WEA to register and report as a political action committee because the WEA's political expenditures are so extensive (over $700,000 in an election admitted).

October: The Attorney General and King County reach settlement in ATU $50 assessment case. ATU and King County fined for illegal paycheck deductions; King County is required to change payroll deduction procedures.

October: The WEA-PAC files suit against the PDC, asking King County Superior Court to declare campaign finance law unconstitutional. This law requires public disclosure of teacher authorizations for contributions to political action committees.

November: King County Superior Court grants the WEA-PAC's preliminary injunction stipulating that public records of teacher authorizations for political contributions must not display names, signatures, or other identifying features. Injunction made permanent in February 2003.

November: Judge Tabor upholds August 2001 ruling against WEA. The WEA is forced to refund $180,000 to teachers.

November: A judge denies a WEA motion to dismiss teacher class action suit.

2002

January: The WEA sends out rebate checks to teachers; the NEA also sends teachers money though NEA was not a party in the lawsuit.

January: EFF files suit with the PDC against the NEA, alleging that the NEA is guilty of same campaign finance violations as WEA.

February: The WEA appeals the teacher class action suit to Court of Appeals.

April: EFF files a complaint regarding the NEA's use of member dues for state politics. The PDC issues a finding that the NEA broke the law.

April: The WEA spends hundreds of thousands of dollars on an ad campaign aimed at discrediting EFF president Bob Williams and the foundation itself.

April: The PDC recommends the Attorney General file suit against the NEA or settle out of court. EFF initiates the lawsuit, suing NEA on behalf of Washington state.

April: The Democrat legislature rescinds the "Annual Authorization" section of the paycheck protection law in Senate Bill 6713.

April: The EFF complaint against "No (Initiative) 695" campaign fundraising by various unions' officials results in $10,000 forfeiture to the state.

April: The Court of Appeals rules against EFF in case against WEA for failure to report as a PAC (over $700,000 admitted election expenditures).

June: EFF President Bob Williams testifies before U.S. House of Representatives Subcommittee on Workforce Protection, focusing on the illegal and illegitimate methods teacher union officials use to build and maintain their power.

July: The NEA misses a court deadline, and in a default judgment, a Thurston County Judge fines NEA $800,000 and requires that they stop collecting dues from agency fee payers in Washington state. The NEA files a late response; the fine is lifted and the case is allowed to progress. The NEA unsuccessfully attempts to convince the court it was deceived by EFF. However, publicity surrounding the temporary fine motivates the judge to penalize EFF for improper use of judicial process.

July: The King County Superior Court declares PDC Guidelines regarding campaign activities in public facilities unconstitutional. The AG appeals to Supreme Court.

July: EFF appeals the Court of Appeals decision that WEA is not a PAC to the Supreme Court.
August: A Thurston County judge dismisses the EFF lawsuit against NEA and then remands case back to the PDC.

September: The Supreme Court denies Emergency Motion to Stay King County judge's order that PDC Guidelines are unconstitutional.

October: The PDC finds the NEA guilty of "apparent multiple violations" of state campaign finance law. The Attorney General files suit against NEA for illegally spending fees taken from nonmember teachers to advance political causes. The case is stayed pending the outcome of the AG v. WEA case in Supreme Court.

2003

January: The Department of Labor (DOL) proposes disclosure regulations for unions.

February: Thirty-two NEA affiliates (including WEA) sue DOL, charging DOL with exceeding its authority to regulate labor organizations.

March: The Washington Supreme Court declines to hear appeal of 1997 case filed by public school teachers and EFF against the WEA. This case held that the WEA does not have to comply with requirements for political action committees.

March: The Court of Appeals hears theAttorney General's case against the WEA. The case is on appeal after a Thurston County judge imposed a $400,000 sanction on the WEA for ignoring campaign finance law in 2001. The Court of Appeals consolidates this case with the teacher class action suit.

May: A group of teachers petitions the Public Employment Relations Committee (PERC) to adopt disclosure regulations for unions.

June: The Court of Appeals rules that state campaign finance law is unconstitutional; it overturns Thurston County Superior Court decision and dismisses teacher class action suit. The PDC and teachers appeal the case to the state Supreme Court.

September-November: The Marysville Education Association goes on strike for 49 days, the longest strike in state history.

November: EFF publishes When Values Collide: Teachers, unions, and the charity option and launches the ichoosecharity.org website.

December: The Court of Appeals rules that lawsuit filed by EFF against the NEA was improperly dismissed in August 2002.

2004

January: The Supreme Court reverses the King County Superior Court in the PDC guidelines case. PDC reinstates the guidelines regarding political activity in public facilities.

March: The Court of Appeals remands EFF v. NEA to Superior Court.

April: The EFF v. NEA status conference appeared before Judge Casey. The case stayed pending in the Supreme Court decision in AG v. WEA.

May: The Washington Supreme Court hears oral arguments in Attorney General and teacher class action cases against the WEA.

August: EFF files a petition with the Public Employment Relations Commission (PERC) on behalf of public employees requesting an administrative rule change that would allow non-union employees to participate in workplace decisions that directly affect their employment.

September: EFF files a complaint today with the Attorney General (AG), notifying the AG of multiple campaign finance violations by the Washington State Labor Council, AFL-CIO. Among the violations listed in the complaint, the WSLC failed to disclose thousands of dollars in political expenditures, exceeded campaign contribution limits, used public funds for political expenditures and failed to register and report as a political committee.

September: EFF staff meets with the PDC to discuss EFF's complaint against the Washington State Labor Council, AFL-CIO. PDC Assistant Director Susan Harris indicated the PDC is earnestly investigating the WSLC.

September: PERC denies the petition filed by EFF that would have allowed all public employees to have an equal voice in workplace decisions that directly affect their employment.

October: The PDC dismisses the EFF complaint against the Washington State Labor Council (WSLC) charging the council with unreported political expenditures of half a million dollars for the 2004 state election. The dismissal came in spite of a PDC staff investigation, which revealed that the WSLC diverts a significant amount of money into every state election.

December: The WEA encourages union members to volunteer as Democratic party observers in the recount of the ballots in the Washington governor's race.

December: EFF appeals PERC's decision to deny public employees an equal voice in workplace decisions to the state governor's office. Governor Gary Locke denies EFF's appeal.

2005

January: The Public Disclosure Commission rules that two Seattle Education Association building representatives violated state law by using the Seattle School District's internal mail and e-mail system to distribute campaign-related materials. The union representatives distributed information on R-55 and I-884 by using school district mailboxes and e-mail systems, in clear violation of state law. Each SEA representative was fined $500 ($450 suspended pending future compliance).