APOLOGIES: Mitcham (on sabbatical until 3/04) and Wolden (on sabbatical spring semester 2004)

VISITORS: Robert Moore – Vice President for Finance and Operations; Phil Romig, Jr. – Associate Vice President for Research and Dean of Graduate Studies; Tom Boyd – Associate Dean of Academic Programs; Anne Walker – CSM Legal Services; and Ronnie Hoffman and Josh Pearson – CSM Graduate Student Association Representatives

Harrison called this special meeting to sort out the facts from the rumors surrounding the IRS audit and the recent decision regarding the tax liability of tuition payments to some graduate students.

Robert Moore and Anne Walker informed the Senate of details regarding the IRS audit that began in October 2002 at CSM and its implications on taxable income for graduate students. CSM is one of 10 to 12 higher institutions being audited by the IRS. CSM was probably chosen because of its high international population and the number of 1042 tax forms filed. The IRS auditor found a discrepancy on service-based contracts and the amount of tax that was being withheld. CSM has made a decision to report tuition as taxable income for some graduate student contracts in order to correct an error identified in 2003 withholding.

The majority of the Senators were very concerned about the impact that this will have on graduate students and the graduate program at CSM. They requested that Moore and Walker keep them abreast of the situation. They also requested that a clear statement be made to the campus community regarding the tax issues to allow faculty to provide their graduate students with factually correct information. They also want to know what CSM is going to do to help graduate students who are affected by this audit.