PUBLIC LAW BOARD NO. 4259
PARTIES ) BROTHERHOOD OF MAINTENANCE OF WAY EMPLOYEES
TO ) AND
DISPUTE ) NATIONAL RAILROAD PASSENGER CORPORATION
(AMTRAK) - NORTHEAST CORRIDOR
QUESTION AT ISSUE:
What is the proper application of the incentive pay
provisions of Rule 42?
BACKGROUND:
This case involves the interpretation and application of
Rule 42 as it was revised in an agreement dated January 22,
1987. Rule 42 as it existed prior to January 22, 1987 read as
follows:
Starting Time Hours = Change In
(a) When three (3) shifts are employed, the starting time
of the first shift shall not be earlier than 6 a.m. nor
later than 8 a.m. The second shift will start immediately
following the first shift and the third shift will start
immediately following the second shift.
(b) Except as provided in paragraphs (c), (f) and (g) of
this Rule 42, when less than three (3) shifts are
employed, the starting time of employees shall be between
the hours of 6 a.m. and 8 a.m. (Track production Gangs may
be required to start between 5 a.m. and 8 a.m. from May 1
through September 30).
(c) Starting times other than those set forth in
paragraphs (a) and (b) of this Rule 42 may be established
for the following assignments:
1. Surfacing Gangs, when paid the district rate of pay.
2. Welding/Joint Elimination Gangs, when paid the
district rate of pay.
3. Switch and Rail Renewal Gangs, when paid the district
rate of pay. The term "Switch and Rail Renewal Gangs"
refers to gangs engaged in the renewal of frogs, switch
.. 0 0
~5~-i
points, stock rails and leads or the transposition of
rail."
4. Electric Traction Wire Train Gangs.
5. Inspectors, Watchmen and ET "Class A" men when
assigned for protection purposes.
Employees filling assignments in any of the gangs
established pursuant to this paragraph (c) shall be paid
an incentive allowance of 25 cents per hour for all
straight time hours worked. The incentive allowance shall
be considered separate and apart from the basic rate of
pay and shall not be subject to cost-of-living or general
wage increases.
(d) The starting time and ending time of tour of duty
will be shown on advertisements.
(e) Starting times will not be changed without first
giving employees affected thirty-six (36) hours posted
notice and then not more often than every seven (7) days.
Changes in starting times made under the provisions of
this Rule 42 shall not require readvertisement; however,
employees whose starting times are changed more than one
(1) hour may elect to exercise their seniority to other
positions in accordance with Rule 18.
(f) The provisions of this rule 42 do not apply to:
1. Special Construction Gangs established in accordance
with the provisions of the Agreement dated November 3,
1976.
2. Track Gangs whose tour of duty is changed temporarily
for two (2) or more consecutive days to conform to the
working hours of Corridor Gangs in conjunction with which
they are working.
3. Track Gangs when assigned temporarily to perform work
in tunnels at night which on account of the density of
traffic cannot be performed during normal working hours.
4. Drawbridge Operators, Drawbridge Tenders, Camp
Overseers, Camp Car Attendants and Cooks, except that the
provisions of paragraph (a) shall apply where three (3)
shifts are employed.
5. New Haven Rail Welding Plant.
(g) Except as provided in paragraphs (c) and (f) of this
Rule 42, starting times outside the hours specified in
paragraphs (a) and (b) of this Rule 42 may not be
established except by agreement, in writin , between the
Director of Labor Relations and the Genera Chairman.
-03
There is no dispute, generally speaking, over the meaning and
application of this language. Basically, the Carrier could
have non-standard starting times (those outside the brackets of
rule 42 (a) and (b) for certain gangs as set forth in 42 (c).
If the Carrier did establish non-standard times for such gangs
the employees were entitled to 25 cents per hour "incentive
pay" for all straight time hours worked. Additionally, there
was no dispute that second or third shift employees who had
standard starting times under 42 (a) did not qualify for
incentive pay.
The Organization pursuant to its Section 6 notice dated
August 21, 1984, sought to modify Rule 42. The notice was
handled locally. Their proposal read as follows:
"Starting Time Hours - Change In:
"(a), (b) same
"(c) add: The provisions of this paragraph shall apply
to Surfacing Gangs and Switch and Rail Renewal Gangs when
such gangs are engaged in work exclusively related to
surfacing and switch and rail renewal work. Should such
gangs be used for work other than surfacing and switch and
rail renewal, their assigned hours will be subject to
paragraphs (a) and (b) of this Rule.
s..
"Change incentive allowance to the following: Five (5)
percent increase over the base hourly rate for employees
working second shift.
"Ten (10) percent increase over the base hourly rate for
employees working third shift.
"These incentive allowances shall apply to all employees
working the shifts listed supra, including employees
working in gangs established pursuant to Rules 89, 90-A,
90-B and 90-C.
"(d), same
"(e), (f) delete
"(g) same
"(h) Eight hour shifts will be concurrent with the
calendar day. i.e., shifts will be midnight to 8:00 a.m.,
8:00 a.m. to 4:00 p.m. and 4:00 p.m. to midnight."
It is also necessary to note that the Organization on April 30,
1984 served a Section 6 notice--to be handled nationally. The
portion 'of that notice relevant to this dispute is the proposal
for a shift differential. The proposal read as follows:
· · y~9
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"Shift Differentials"
"In addition to all other wage payments required, effective
July 1, 1984, all employees shall be paid shift
differentials of five per cent (59) of the current
applicable hourly wage rate each hour for all work on any
shift beginning after 2 p.m. and before 8 p.m. and ten
per cent (107.) of the applicable hourly wage rate each
hour for all work on any shift beginning after 8 p.m. and
before 6 a.m. This proposal contemplates increases in
tandem with all subsequent wage adjustments."
It is clear that if accepted the national proposal would have
extended a shift differential to all second and third shift
employees including those that had standard starting times under
Rule 42 (a). However, it is undisputed that the Union's
national proposal for a shift differential was resisted by the
Carriers and was ultimately withdrawn and did not become part of
the National Agreement.
Pursuant to the local Section 6 notice the Parties engaged
in protracted bargaining with respect to Rule 42 and other issues. The
Carrier made a written proposal in an effort to resolve the Union's
demand to modify Rule 42. Their proposal was accepted by the
Union and became effective January 22, 1987. The new Rule 42
reads as follows:
Starting Time Hours - Change In
(a) When three (3) shifts are employed, the starting time
of the first shift shall not be earlier than 6 a.m. nor
later than 8 a.m. The second shift will start immediately
following the first shift and the third shift will start
immediately following the second shift.
(b) Except as provided in paragraphs (c), (g) and (h) of
this Rule 42, when less than three (3) shifts are
employed, the starting time of employees shall be between
the hours of 6 a.m. and 8 a.m. (Track production Gangs may
be required to start between 5 a.m. and 8 a.m. from May 1
through September 30).
(c) Starting times other than those set forth in
paragraphs (a) and (b) of this Rule 42 may be established
for the following assignments:
1. Surfacing Gangs, when paid the district rate of pay.
2. Welding/Joint Elimination Gangs, when paid the
district rate of pay.
3. Switch and Rail Renewal Gangs, when paid the district
rate of pay. The term "Switch and Rail Renewal Gangs"
refers to gangs engaged in the renewal offrogs, switch
0 0 y~ ~~-f
points, stock rails and leads or the transposition of
rail."
4. Electric Traction Wire Train Gangs, Electric Traction
Hi-Rail Platform Truck Gangs.
5. Inspectors, Watchmen and ET "Class-A" men when
assigned for protection purposes.
6. One Maintenance Gang per former operating Division
(three (3) gangs total) on the Southern District and one
Maintenance Gang on the Northern District, when paid the
district rate of pay, between March 15 and November 15,
each gang with a consist no greater than ten (10) which
will include a Foreman and Truck Driver. The March 15 to
November 15 period may be extended by written agreement
between the Assistant Chief Engineer Maintenance of Way and
Structures and the appropriate General Chairman.
(d) Employees filling assignments in any of the gangs
established with starting times other than between 6 a.m.
and 8 a.m. (5 a.m. and 8 a.m. from May 1 through September
30 for Track Production Gangs) shall be paid an incentive
allowance of 55 cents per hour for all hours, or portion of
an hour, worked. The incentive allowance shall
be considered separate and apart from the basic rate of
pay and shall not be subject to cost-of-living or general
wage increases.
(e) The starting time and ending time of tour of duty
will be shown on advertisements.
(f) Starting times will not be changed without first
giving employees affected thirty-six (36) hours posted
notice and then not more often than every thirty (30) days.
Changes in starting times made under the provisions of
this Rule 42 shall not require readvertisement; however,
employees whose starting times are changed more than one
(1) hour may elect to exercise their seniority to other
positions in accordance with Rule 18.
(g) The provisions of this rule 42 do not apply to:
1. Special Construction Gangs established in accordance
with the provisions of the Agreement dated November 3,
1976.
2. Track Gangs whose tour of duty is changed temporarily
for two (2) or more consecutive days to conform to the
working hours of Corridor Gangs in conjunction with which
they are working.
3.. Track Gangs when assigned temporarily to perform work
in tunnels at night which on account of the density of
traffic cannot be performed during normal working hours.
' ,,
4. Drawbridge Operators, Drawbridge Tenders, Camp
Overseers, Camp Car Attendants and Cooks, except that the
provisions of paragraph (a) shall apply where three (3)
shifts are employed.
5. New Haven Rail Welding Plant.
(h) Except as provided in paragraphs (c) and (g) of this
Rule 42, starting times outside the hours specified in
paragraphs (a) and (b) of this Rule 42 may not be
established except by agreement, in writing, between the
Director of Labor Relations and the Genera Chairman.
The question at issue relates to the new Rule 42.
Specifically, subsequent to ratification the Union took the
position that Rule 42 (d) dictates that incentive pay is due to
an employee on a gang with starting times outside 6:00 a.m.
ani 8:00 a.m. The Carrier took the position that there was no
intent to establish in effect what becomes a shift differential -
for all employees outside first shift employees starting
between 6:00 a.m. and 8:00 a.m. The intent was only to
increase the 25 cents per hour incentive pay to 55 cents per
hour for--with one addition--those gangs to whom it previously
applied.
The Parties agreed to submit the question to a public law
board without the necessity of filing claims. They also agreed
in writing that each party could " . . . present whatever
materials they deem relevant to the support of their respective
positions . " A hearing was held in Philadelphia on April -
23, 1987 at which the Parties presented evidence, submissions
and rebuttal submissions.
FINDINGS:
This Board, upon the whole record and all of the evidence,
finds and holds that the Employee and Carrier involved in this
dispute are respectively Employee and Carrier within the
meaning of the Railway Labor Act, as amended, and that the
Board has jurisdiction over the dispute involved herein.
OPINION
OF
THE BOARD:
The critical issue here is the meaning and effect of the
change in the construction of Rule 42 as it relates to who is
entitled to incentive pay. As noted, it is agreed that
previously incentive pay only applied to employees who had
a non-standard starting time, which could occur by virtue of
being on a gang set forth in paragraph c.
While the change in the language arguably supports the
Organization's view, the new language is not clear and
unambiguous. The Organization essentially reads paragraph (d)
out of the context of the entire rule. When the rule is read
as a whole and paragraph (d) is read contextually the Carrier's
interpretation is at least as plausible.
It is plausible as the Carrier argues to say--even without
reference to the previous rule or negotiations--that the
reference to "any of the gangs" in paragraph d is a reference
to the gangs established under "c" in view of the title of the
Article and sequence of the language. It is plausible to argue
(1) since paragraphs (a) and (b) remained unchanged and set forth
tTie required starting time for multiple shifts and one shift
operations and (2) since paragraph (c) sets forth the
exceptions to (land (b), therefore (c) and its exceptions are the
subject of the pecuniary considerations in (d). Ancillary to
this it is plausible to argue that a general shift differential
applicable to all gangs with starting times outside 6:00 a.m.
and 8:00 a.m. would not be set forth within the context of Rule
42 which applies to standard starting times and the exceptions.
Instead, it would be set forth separately. The fact the
incentive allowance is set forth within Rule 42 and its purpose
suggest a more limited scope to the effect of the change.
Thus, given there is more than one plausible
interpretation, it must be recognized that there is some
ambiguity in the new language. Accordingly, the new language is
subject to construction and the Arbitrator must consider
whether, among other things, there is any evidence of mutual
intent that the change in the language should have the
meaning and effect urged by the Organization. Additionally, it
is the Arbitrator's opinion that there would have to be very
strong and convincing evidence of this since themere change in
the language by itself is not sufficient to support the
petitioner's burden. Changing the meaning of Rule 42 from a
limited arbitrary for non-standard starting times to an
unqualified shift differential for all second and third shift
employees is a major change in an agreement which
casually read into the contract.
It is the Arbitrator's opinion that there is no and cannot
be any evidence that the change was meant to be anything but an
increase in the amount of the old incentive allowance since the
Union's original proposal was limited to such an effect.
Close scrutiny of the August 21, 1984 Section 6 notice
shows that the Organization sought an increase in the incentive
allowance under the umbrella of old paragraph (c). Therefore,
they did not seek an allowance apart from the conditions set
forth in old paragraph "c." Thus, it is difficult to say that
the end result of negotiations on such a proposal should be more
than the proposal itself.
The plain fact is--based on their August 21, 1984
proposal--the Organization never sought a shift differential
under the guise of modifying Rule 42. While the proposal to
should not be
. . _ _ ~ ~ Nam -r
modify Rule 42 may be subject to creative interpretations, the
fact it was not a shift differential is made crystal clear by
the Organization's efforts to secure a shift differential under
a separate and distinct notice. Significantly, that effort
failed.
The Organization did argue that if the language of the new
Rule 42 (d) was ambiguous--and indeed it is considering its
internal and historical context--any ambiguity in line with a
well established principal of contract interpretation should be
resolved against the Carrier since it proposed the language
ultimately adopted by the Parties. This, under these
circumstances, is a superficial argument. As a threshold to
this argument the Organization would have to show that it had
communicated to the Carrier their initial proposal was in fact
intended to be a payment applicable to all but employees
starting between 6:00 a.m. and 8:00 a.m. The language of the
proposal did not communicate this nor did they communicate this
in bargaining. It is undisputed that there was simply no
evidence of bilaterial discussions, especially at the time the
Carrier presented their counter proposal, that the change
sought by the Organization was to, in effect, expand and
elevate the coveraga of the incentive pay to a broad acrossthe-board shift differential.
In absence of such evidence and in view of the nature of
the proposals and the construction of the new language, the
change must be viewed--in spite of the sloppiness in the
Carrier's construction--as a change in form and not substance.
The change instead was limited to increasing the incentive pay
and adding one more category of gangs to the list in (c).
Gilbert
H.
Vernon, Uha rm
and Neutral Member
e
Wo,
mp dye er
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ri c a c, ar er . em er
Dated June
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1987 at Eau Claire, Wisconsin.
ORGANIZATION'S DISSENT TO CASE NO. 1, 81®RD NO. 1 PLB # 4259
Ordinarily decisions of Arbitrators (neutrals) regarding contract
interpretation are based on several principles: (a) the clear,
unambiguous language of the Agreement; (b) principles established
in other Awards of the National Railroad Adjustment Board, Public
Law Boards and Special Boards of Adjustment relating to contract
interpetation; (c) legal precedents relating to contract
interpretation; and (d) logic. In the opinion of the
organization, Arbitrator (Neutral) Gil Vernon's decision in this
important case is in direct, intentional, biased, hostile
conflict with: (a) the clear, unambiguous language of the
agreement; (b) principles established by the National Railroad
Adjustment Board, Public Law Boards and Special Boards of
Adjustment relating to contract interpretation; (c) legal
precedents relating to contract interpretation; and (d) logic.
In short Vernon's decision is so outrageously erroneous that the
Organization strongly questions his qualifications to decide any
cases regarding a significant dispute between Rail Labor and Rail
Management.
I. TEE
DISPUTE.
This dispute arose when a clear, unambiguous Rule that existed in
the old AMTRAK-BMWE Agreement (Rule 42 c) was changed as a result
of Section 6 Contract Negotiations. The old Rule 42 c required
AMTRAK to pay members of certain gangs, clearly defined in the
old Rule 42 c, an "incentive" allowance of $.25 per hour. The
equally clear and unambiguous language in the new Rule (42 d of
the new Agreement) required "(d) Employees filling assignments in
any of the gangs established with starting times other than
between 6:00 a.m. and 8:00 a.m. (5:00 a.m. and 8:00 a.m. from May
1 through September 30 for Track Production Gangs) shall be paid
an incentive allowance of $.55 per hour for all hours, or portion
of an hour, worked." Before the ink was dry on the new
Agreement, AMTRAK refused to pay employees assigned to gangs
which started on the 3:00 p. m. shift and the 11:00 p. m. shift
the $.55 per hour, even though those employees were filling
assignments in gangs established with starting times other than
between 6:00 a. m. and 8:00 a. m. (5:00 a. m. and 8:00 a. m. from
May 1 through September 30 for Track Production Gangs). The
parties submitted this dispute to this Public Law Board for
resolution.
A. THE CLEAR, UNAMBIGUOUS LANGUAGE 08 TES AGREEMENT.
In what the organization considers to be an implausible gyration
of sophistic rambling completely at odds with any reasonable
understanding of the English language Neutral Vernon found that
"(d) Employees filling assignments in
any
of the gangs
established with starting times other than between 6:00 a. m. and
8:00 a. m. (5:00 a. m. and 8:00 a. m. from May 1 through
September 30 for Track Production Gangs) shall be paid an
incentive allowance of $.55 per hour for all hours, or portion of
an hour, worked." could plausibly be read as not to apply to
employees assigned to gangs which commenced work on the 3:00 p.
m. shift and the 11:00 p. m. shift. Despite reading this opinion
numerous times, the Organization is befuddled as to how Neutral
Vernon could find a plausible reading of this Section to exclude
employees assigned to gangs which commenced on the 3:00 p. m. and
11:00 p. m. shifts, when these employees have "starting times
other than between 6:00 a. m. and $:00 a. m. (5:00 a. m. and 8:00
a. m. from May 1 through September 30 for Track Production
Gangs)." Nevertheless Neutral Vernon found that the Carrier
could plausibly read the above language in (d) as not to apply to
the 3:00 p. m. and 11:00 p. m. employees. In what the
organization considers to be intentionally distorted linguistic
analysis, Neutral Vernon finds one phrase of the new Rule 42 d,
"any of the gangs", could plausibly be read to refer only to
Gangs listed in the new Rule 42 c, even though: (a) the full
language of the new Rule 42 d has no such limiting language; and
(b) the new Rule 42 d includes language which directly tracks
Paragraph b of the Rule. The relevant language of the new Rule
42 d states "any of the gangs established with starting times
other than between 6:00. m. and 8:00 a. m. (5:00 a. m. and 8:00
a. m. from May 1 through September 30 for Track Production Gangs)
shall be paid an incentive allowance of $.55 per hour ---". This
clearly and unambiguously means that employees assigned to gangs
with starting times of 3:00 p. m. and 11:00 p. m. (starting times
other than between 6:00 a. m. and 8:00 a. m., 5:00 a. m. and 8:00
a. m. from May 1 to September 30 for Track Production Gangs) are
entitled to the incentive allowance.
B.
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CONTRACT I3TJ.AMUPIt8TA.TION.
After concluding that the new Rule 42 (d) which clearly and
unambiguously requires a $.55 per hour "incentive" allowance to
all employees assigned to Gangs with starting times other than
between 6:00 a. m. and 8:00 a. m. (5:00 a. m. and 8:00 a. m. for
Production Gangs between May 1 and September 30) can plausibly be
interpreted not to require AMTRAK to pay a $.55 cent per hour
"incentive" allowance to employees assigned to Gangs with
starting times other than between 6:00 a. m. and 8:00 a. m. (5:00
a. m. and 8:00 a. m. for Production Gangs between May 1 and
September 30), Neutral Vernon devoted the rest of his opinion to
unilaterally overturning well established Board (and legal)
principles of contract interpretation. One such principle
requires that any ambiguity in Agreement language shall be read
against the interpretation of the party who drafted the ambiguous
Agreement language. AMTRAK drafted the ambiguous Agreement
language. Did that bother Neutral Vernon??? Why, of course not.
By weaving a patchwork of what the Organization considers to be
incredibly biased reasoning sprinkled with fabrications and added
manifestations of an inability to read and understand the English
language, Neutral Vernon found that the Organization did not ask
for what the language of the new Rule 42 d clearly and
unambiguously gave its Members. Ignoring the facts:
1.
that the
old Rule 42 c was the only part of the old Rule 42 which dealt
with "incentive" allowance; and
a,.
that the "incentive"
allowance sections were removed from the new Rule 42 c and put in
a separate paragraph (42 d) with all references to specific gangs
entitled to the "incentive" allowance that existed in the old
Rule 42 c dropped; Neutral Vernon found that the Organization
DID
NOT ASK
for the "incentive" allowance to be expanded to all
employees with starting times other than between 6:00 a. m. and
8:00 a. m. (5:00 a. m. and 8:00 a. m. for Production Gangs
between May 1 and September 30). Conveniently omitted from
Neutral Vernon's opinion are the facts that the only place where
the "incentive" allowance existed in the old Rule was in the old
42 c and that the Section 6 clearly asked that the incentive
allowance be expanded to cover "employees working the 8'18
supra, including employees working in gangs established pursuant
to Rules 89, 90-A, 90-B, and 90-C." Needless to say, the only
place where the word "SHIFTS" is used is in the old (and new)
Rule 42 a. Therefore Neutral. Vernon's statement "--the
Organization never sought a shift differential under the guise of
modifying Rule 42." is, in the opinion of the Organization, a
fabrication made to justify an opinion that cannot be supported
by language nor even by his distorted, sophistic reasoning. In
short the Section 6 demand for an increase and expansion in the
"incentive" allowance was placed in the only part of the old Rule
42 that dealt with the incentive allowance -- 42 c. In
recognition of this, the new Rule 42 d, expanding and increasing
the incentive allowance to cover all employees with starting
times other than between 6:00 a. m. and 8:00 a. m., 5:00 a. m.
and 8:00 a. m. for Track Production Gangs between May 1 and
September 30), was exsected from the old Rule 42 c and placed
into a separate, equal paragraph, with no language limiting it to
the previous paragraph (the new Rule 42 c) and with language
tracking Rule 42 b.
C. L06IC.
The Organization views the logic employed by Neutral Vernon to be
analogous to the following:
1. All- Employees with starting times other than between 6:00
a.m. and 8:00 a. m. (5:00 a. m. and 8:00 a. m. for
Production Gangs between May 1 and September 30) are
entitled to $.55 per hour incentive allowance.
2. Employees with starting times of 3:00 p. m. and 11:00 p. m.
are employees with starting times other than between 6:00 a.
m. and 8:00 a. m. (5:00 a. m. and 8:00 a. m. for Production
Gangs between May 1 and September 30).
THEREFORE: Employees with starting times of 3:00 p. m. and 11:00
p. m. are not entitled to $.55 per hour incentive
allowance.
. . . . Na-
-r
II. CONCLUSION.
In our opinion the decision of the Neutral in this case can only
be described as one devoid of an understanding of the English
language, Board and legal principles and logic. It cannot be
explained as a decision resolving a dispute among the parties.
It is a decision that we believe demonstrates a hostile and
biased attitude toward Rail Labor in general and the Pennsylvania
Federation and the Northeast Federation of the BMWE in
particular. This decision will have a revolutionary impact on
negotiations with the Carrier, because it means that the Union
can trust neither the Carrier nor certain "neutrals" to keep
their biases out of contract interpretation. It means that
regardless of how clear contract language is written, and
regardless of what Board and legal principles are involved, a
neutral with a bias will ignore the language in favor of his/her
bias. As a result of Neutral Vernon's opinion, all a Carrier
need do to get out of its responsibilities under an Agreement is
to declare that it did not intend to agree to what the language
of the Agreement requires. The Carrier merely needs to claim
lack of mutuality in order to evade the clear, unambiguous
language of the Agreement. Without faith that the English
language will ultimately be interpreted as it is written, there
is no way to come to Agreements with the Carrier.
Arbitrators have a great deal of power under the Railway Labor
Act. Their decisions, even when clearly and intentionally
erroneous, are not generally subject to judicial review on the
merits. This means that when biased, hostile, intentional
decisions are made by Arbitrators, the organization has no
recourse to have it corrected. The Organization considers this
opinion to be such a biased, hostile intentionally erroneous
decision made by an Arbitrator whose opinion reflects his biases.
DATED:
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