Thread: Observations
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Old 02-25-2002, 05:07 PM
ladygreek ladygreek is offline
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Join Date: Apr 2001
Location: In the fraternal Twin Cities
Posts: 6,433
Very thoughtful dicussion

Quote:
Originally posted by DoggyStyle82
... Those being legal, risk management, collegiate rules and regs, the media, and most of all, big donors.

What many of us do not notice is that now that each of our orgs are 501C corporations, we are bound by U.S tax regulations. As such, the U.S. govt can determine indirectly, how each of our orgs should operate. Therefore, any membership rules have to meet "their" standards. Anything construed as hazing, even as innocuous as dressing alike, will jeopardize that coveted tax exempt status. If you lose that designation, you lose sponsors, partners, and organizations that make donations to tax exempt service orgs.

Right now, on the national level, our fraternal organizations are businesses (beyond internal maintenance). That is their priority. If the brotherhood/sisterhood of those organizations suffer, so be it, as long as the business aspect remains strong. The impact on unity is seen as a viable trade-off to the interests of the "big picture". 10 years from now, their will be no undergraduate initiation, because it is becoming more of an onus andless of a necessity to the greater interests of the orgs themselves.
While I cannot speak for the other BGLOs I can say that DST is a 501 c(7), catagorized as a membership organization and not a 501 c(3) which is a charitable organization. Donations to c(7)s are not tax deductible for the donor. Therefore, donors give to our orgs for reasons other than our tax status.

The liabilities of hazing extend beyond our tax-exempt status (which simply means that we do not pay tax on any income we receive--unless it is non-business related.) It extends to the very existence of our organizations. Being hit with law suits to the tune of millions of dollars will bankrupt us. What we stand to lose is our insurance coverage thus wiping us out financially. We all have bills to pay--mortgages on headquarter buildings, staff salaries, operating expenses, etc. Without our infrastructures we will no longer exist. And yes we must maintain the very core of our orgs.--sisterhood and brotherhood--but these alone will not pay the bills. So if we are to maintain our core values as well as our infrastructures we must refrain from the very behavior that is threatening both--HAZING! JMHO
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