Friday, August 26, 2005

CTA Mortgages HQ building to Fund Inititative Fight

According to the Washington Times, the California Teachers Association has mortgaged their headquarters building in order to fund their campaign against Gov. Schwarzeneggers initiatives regarding education. Earlier this year, the union voted to increase union dues by $60 per year for the next three years. This move is pretty interesting if you look at matters for a different point of view.

One of the ballot initiatives is a paycheck protection act, which "prohibits use of public-employee union dues for political contributions without prior consent of individual union members." This proposition is supported by some 57% of likely voters--which is a solid support number at this stage. When the CTA launched its efforts using dues money for political purposes, a large number of CTA members (for example Darren over at Right on the Left Coast) were pretty upset that their union dues continue to be used to fund a political agenda they oppose.

But this move to mortgage the headquarters building to immediately fund the political effort is sure to send Darren and others into a blind rage. See, by mortgaging the building and getting the money now, the CTA can oppose the governor with a full warchest NOW. The CTA does not have to wait for the increased union dues come in to pay for political operations.

When the loan comes due, the higher dues money (already approved) can be used to pay off the loan--which is not a political expenditure!! Thus the CTA will get full use of the dues money for political purposes, without having to worry about the paycheck protection provisions that would limit their ability to pay down the debts on their political activities.

Given that the CTA is far from a democratic organization, the rank and file surely did not get a vote on this mortgage action. The question in my mind is, was this the plan the whole time? Did CTA get a dues increase and then knowing the probable success of a paycheck protection initiative plan on the mortgage?

A question to ask.

1 comment:

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