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Show DAILY UTAH HRONECLE TUESDAY, OCTOBER 1$, 1985 UNIVERSITY OF UTAH VOL. 95 NO. 20 Tuition reduction rules changed to avoid taxes tuition benefits the minute they went to by Donn Walker Staff writer Courtesy of a new IRS work. regulation, faculty hired by the University of Utah who begin work in January will find one of the school's most valuable fringe benefits has been changed but not to their benefit. Previously, all faculty members and a 50 percent reduction in tuition upon employment at their spouses qualified for the U. New faculty, however, will have to wait six months before receiving a tuition break; their spouses will now wait a year. But where thcres bad news, there's usually some good news. The good news, though, isn't for faculty members, but for all other U. employees. Effective immediately, their spouses and children won't have to wait as long in the case of children, up to two years less to be eligible for reduced tuition. The reason behind the changes in the U.'s tuition reduction benefit is a change in the federal internal revenue code, which requires that university tuition reduction benefit programs be taxed if they arc discriminatory. And guess what? "Our current program is discriminatory in terms of the waiting period and percentage of full-tim- e employment required for eligibility," President Chase N. Peterson told the U.'s Institutional Council members in a letter dated before the new policy was approved. So, to avoid having one of the school's most important fringe benefits taxed by the IRS, the Institutional Council heeded Peterson's advice and approved the new tuition reduction program. Prior to that, the Administrative Policies Advisory Committee, the University Senate's Executive Committee and the faculty's Annuities and Salaries Committee had all unanimously approved the policy change. As Peterson pointed tuition-reductio- out, the former program was indeed n discriminatory. For instance, in terms of the waiting period, faculty members, the U. president, his and executive assistants, college deans and U. administrators all personally received vice-preside- nts Other university employees, however, had to wait three months before becoming eligible for the reduced rates. Spouses and children of faculty and administrators could also take advantage of the benefit immediately. But and children of U. staff members spouses had to wait five years before receiving tuition benefits. The former program also discriminated in terms of employment. Faculty members could be either full or part time and still tuition-reducti- on receive the benefit; staff members had to be employees to be eligible. the new tuition reduction under Now, program, no distinction is made between faculty and administrators and all other staff members. All employees will wait six months before their eligibility begins, their spouses will wait six months and their children will wait three years. "It became clear that it would be unfair to apply these regulations to faculty and those staff already on campus who would be hurt by the changes," Peterson's letter reads. So the policy was not made full-ti- me Journalist Jack Anderson says he won't retire from his job of uncovering political scams and misdeeds until he is 150 years old. Journalist exposes misdeeds by Mike Prater Staff writer retroactive. Newly hired faculty and administrators who began work in time for the 1985 autumn quarter will still receive benefits under the former program. n What effect will this new as a beneficial not to plan plan faculty members as the previous one have on the U.'s ability to attract quality professors and instructors? "We honestly don't think it will have too much effect," said Fred L. Petersen, the U.'s director of personnel. Tuition benefit reduction programs at other colleges and universities run the gamut from very he said. liberal to almost Even with the new changes, the U.'s produced the following interview. position comparatively." And of course, there's the upside to all of this: employees are getting a better deal. "We think it might have a beneficial effect on the retention of quality staff members," Petersen said. and even d muckraker has made an is one thing Anderson there If exception. likes to do more than expose government corruption through his nationally- - tuition-reductio- non-existe- nt, program is nevertheless competitive. "We're still in a moderate to average non-facul- ty Editor's note: Jack Anderson will address University of Utah students and faculty today during ASUU's first Challenge Lecture, at noon in the Union Ballroom. Mike Prater, Chronicle assistant sports editor, recently had an opportunity to talk with Anderson in Washington D.C., and Washington D.C. Jack Anderson, the Pulitzer investigative columnist, doesn't spend much time in his modest office, located smack in the heart of Washington, D.C. Instead, he's Prize-winni- usually criss-crossi- ng the nation's ng skyways trying to make a living via the lecture circuit. But on one brisk, autumnal afternoon, the 62-year-- old well-lik- ed more-hate- IC approves by Drew Staffanson " - V v ; The University of Utah Institutional Council approved Monday the appointment of J. Michael Mattsson as vice president of development. Mattson has been serving as executive director of development since 1977. During his tenure, private support to the U. has grown from S5.6 million to S22.7 million, an increase of over 400 percent. President Chase Peterson said Mattsson, through his leadership, has contributed significantly to the success of private giving at the U. and "he will play an even more central role in the future as we expand our efforts in this area." "Private giving, from both individuals and ' corporations, is an increasingly important factor in our movement toward becoming a world class university," ' I Peterson said. Also in Monday's meeting, the Institutional Council v d discussed the U. resolutions for increased and calling condemning apartheid Senate-approve- educational opportunities concerning South Africa. Vice President of Academic Affairs Irwin Altman told the Council that the administration supports and has J. Michael Mattsson, newly appointed vice president of development. nd company about one of his most the uncovering of the plot to assassinate Cuban leader Fidel Castro. Anderson said he believes it was his hardest story to excursions well-kno- CIA-Maf- ia break. "I was dealing with two of the most organizations in America," said Anderson. "Of course, neither of them(the CIA or the Mafia) wanted to discuss it. It took me a couple of years, but I finally found out enough information to discover the story was true." As that early 1970's story goes, Anderson received a good portion of his information from Mafia mobster Johnny Roselli. "He's the one who recruited the killers who made the attempts to knock off Fidel Castro," said Anderson. tight-lippe- d continued on page four veep appointment Staff writer ' : column, syndicated Merry-Go-Rouit's talking about it. Stretching out, trying to recover from an early morning flight from Boston, Anderson is in the midst of telling his already begun checking into broadening educational opportunities concerning the issue in the form of speakers, panels and classes. Peterson said the U.'s inquiry should include more than apartheid. "We need to look at what's going on at our southern border with the issues surrounding illegal aliens," he said. ASUU President and Institutional Council member Ned Stringham presented the ASUU Assembly resolution which calls for divestiture of U. funds in companies dealing with South Africa. But because of the lack of time, the Council decided to delay discussion on the student resolution until next month. Peterson told reporters after the meeting that the U. already has an official position deploring apartheid and the Institutional Council made that statement in 1979. At that time, he said, the Council adopted a policy known as the Sullivan Principles using the U.'s involvement in the companies it invests in to insist on fair employment practices. U. funds are invested only in companies that comply, he said, and progress in employment practices in South Africa have resulted. Peterson said since the Student Assembly has raised the issue, the Council will discuss it, "but it's difficult to know what the president or the Institutional Council or any other body should do in the name of the University." "The first question is whether to be engaged or unengaged," he said. "Right now we're advancing the Sullivan Principles, but if we sell out, others who don't hold an interest will buy. One thing I want to emphasize is that our business is education." Non-Prof- it Org. U.S. Postage Paid Permit No. 1529 Salt Lake City, UT |