State Aid in TexasTASFAA New Aid Officers Workshop

May 13, 2014

Lyn Wheeler KinyonAssistant Director, Grants and Special Programs

Texas Higher Education Coordinating Board

Role of the Texas Higher Education Coordinating Board General Overview of Financial Aid in Texas General Overview of the Eligibility Requirements for the

State Financial Aid Programs Questions

Topics

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Institutional Administration Governing Board

Federal Department of Education (DOE)

State Texas Higher Education Coordinating Board (THECB)

Governing Authorities

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Created by the Texas Legislature in 1965 Purpose:

Provide leadership and coordination for the Texas higher education system

Responsibilities: Assess the state of higher education in Texas; Develop recommendations to the Legislature, Governor, and

institutions for its enhancement; and Establish policies for the efficient and effective use of the state’s

higher education resources.

The Texas Higher Education Coordinating Board (THECB)

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Workforce, Academic Affairs and Research Academic Affairs and Research Planning and Accountability P-16 Initiatives

Finance and Administration Business and Support Serviceso Business Office o Grants and Special Programs (G&SP) *o Loan Programs Operations (LPO) *

Information Technology Human Resources

* Main areas that work closely with colleagues in the financial aid community

Divisions of the Agency

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Provide customer service to students, families, and institutions

Provide training Interpret legislation and develop rules Allocate available funding and process funding requests Process applications, collect student loan payments, and

process benefits Perform program reviews and audits Collect and provide information requested by the Legislature

G&SP and LPO Responsibilities

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Legislature passes a statute authorizing a program Legislature appropriates funds for the program – or not THECB writes & adopts rules – if applicable Programs are administered as:

Decentralized (Campus-Based) - THECB allocates funding, applications submitted through the institution, institution selects recipients, THECB supplies funding, and the institution submits reports to the THECB.

Solely at the institutional level - applications submitted through the institution, institution determines eligibility, and THECB supplies no funding.

Centralized (THECB-Based) - applications submitted to the THECB, THECB determines eligibility, and THECB notifies institution of award.

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The Birth of a State Program

Grant, Scholarship, Loan, and Work Programs

as well as

Exemption ProgramsExempt tuition and/or fees for certain groups of eligible

students

and

Waiver Programs Waive tuition rates for non-resident students

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Types of State Programs

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Sources of Aid in Texas (FY13)Institutional

13.0%Other8.4%

State6.3%

Federal72.3%

Federal $6,683,059,787

State $580,516,883

Institutional

$1,199,739,412

Other $778,462,271

Total $9,241,778,353

Eligible institutions: Are defined in statute Have signed agreements/MOU’s with the CB Administer programs via state statutes and CB rules Complete required funding processes and reports Are subject to audits and program reviews

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Institutional Participation

Eligible Student: Federal – citizen or eligible non-citizen State – resident of Texas

Shadowing of Federal Processes: Federal Methodology (FM) Calculationo FAFSA – citizen or eligible non-citizeno TASFA – non citizen or ineligible non-citizen, but resident of Texas

Verification Guidelines/Requirements Satisfactory Academic Progress (SAP) Guidelines/Requirements

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Federal vs. State

To aid in prioritizing limited funding to eligible students and to provide consistency for Texas students at Texas institutions

Though all institutions are encouraged to advertise and implement, implementation of the priority deadline is required at the General Academic Teaching Institutions or GATI’s (public universities, Lamar-Orange, and Lamar-Port Arthur).

Institutions have the flexibility to define what it means to meet the deadline – except for the Top 10 Percent Scholarship Program which is defined in rule

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State Priority Deadline – March 15

Initial Year (IY) and Renewal Year (RY) eligibility requirements Texas residency Selective Service Registration Calculated need or need component Encourage student efficiency through:

Enrollment – sufficient and timely Performance – GPA and successful completion of attempted

SCH’s Program Completion – timely

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Common Threads

Provide grants to academically-prepared needy students at public institutions Beginning 14/15, public 2-year institutions will only be able to

make RY awards to eligible students with an IY award prior to fall 2014

Funded through appropriations and gifts CB allocates available funding to participating institutions

annually Student eligibility:

Initial year (IY) “basic” eligibility requirements Initial year (IY) “priority model” eligibility requirements Renewal year (RY) or continuation eligibility requirements

Maximum award amounts determined annually

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Toward EXcellence, Access, & Success (TEXAS) Grant

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TEXAS Grant – IY Basic Eligibility Basic Requirements:

Classified as a Texas resident by the institution Registered with Selective Service, or exempt No felony conviction or crime involving a controlled substance Demonstration of financial need and EFC capo 9-month EFC cap for 13/14 = $4,620o 9-month EFC cap for 14/15 = $4,800

Enroll at least ¾-time as an undergraduate baccalaureate student who is in one of the four initial eligibility avenues

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TEXAS Grant – IY Basic Eligibility1. Incoming student who:

Graduated from an accredited public or private high school in Texas after completing the Foundation, Recommended, or Distinguished Achievement high school program or the equivalent; and enrolls within 16 months from high school graduation having not accumulated more than 30 SCH’s (excluding credits for dual enrollment or by examination).

2. Incoming student who:Earned an associate’s degree from a public or private nonprofit institution of higher education in Texas, and enrolls within 12 months after receiving the associate’s degree.

3. Incoming student who:Graduated from an accredited public or private high school in Texas May 1, 2013 or later after completing the Foundation, Recommended, or Distinguished Achievement high school program or the equivalent; enlisted in military service within 12 months of high school graduation; and enrolls within 12 months of receiving an honorable discharge.

4. Incoming transfer student who:Transfers into a public university in Texas with at least 24 SCH’s and a 2.5 GPA; and received an initial year (IY) Texas Educational Opportunity Grant (TEOG) in Fall 2014 or later.

Priority Model Requirements: Meet the basic IY eligibility requirements Meet the state priority deadline Meet the requirements in at least 2 of the following 4 areas:

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TEXAS Grant – IY Priority Model

AREA REQUIREMENT(S)

Advanced Academic Program

12 hours of college credit (dual credit or AP courses), complete the Distinguished Achievement Program (DAP), or complete the International Baccalaureate Program (IB).

TSI Readiness Meet the Texas Success Initiatives (TSI) assessment thresholds or qualify for an exemption.

Class Standing Graduate in the top one/third of the HS graduating class or have a B average.

Advanced Math Complete at least one math course beyond Algebra II as determined by the Texas Education Agency (TEA).

Enroll at least ¾-time as: an undergraduate student who previously received an IY award

prior to fall 2014; or an undergraduate student enrolled in a baccalaureate program

who received an IY award fall 2014 or later. Maintain:

classification as a resident of Texas registration with Selective Service, or exemption no felony conviction or crime involving a controlled substance financial need (no EFC cap)

Meet satisfactory academic progress (SAP) requirements

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TEXAS Grant – RY Eligibility

GPA End of initial year – institution’s SAP policy End of successive years – minimum 2.5 cumulative GPA

Completion Rate End of initial year – institution’s SAP policy End of successive years –24 SCH’s successfully completed for the year

Maximum Time Frame Entering HS Graduates – 5 years for a 4 year degree or 6 years for a

degree requiring > 4 years; 150 SCH attempted while receiving the grant; or completion of a baccalaureate degree – whichever comes first

Entering with an associate’s degree – 3 years for a 4 year degree or 4 years for a degree requiring > 4 years; 90 SCH attempted while receiving the grant; or completion of a baccalaureate degree – whichever comes first

Entering as a transfer with prior TEOG – # of Years/SCH’s TBD; or completion of a baccalaureate degree

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TEXAS Grant – SAP

Provide grants to needy students at public 2-year institutions Funded through appropriations

CB allocates available funding to participating institutions annually

Student Eligibility: Initial year (IY) eligibility requirements Renewal year (RY) or continuation eligibility requirements

Maximum award amounts determined annually Prior to 2014-15 – maximum award for 6 SCH’s or more Beginning 2014-15 – award proration requiredo 12 or more SCH’s through census date – 100% of maximum awardo 9 to 11 SCH’s through census date – 75% of maximum awardo 6 to 8 SCH’s through census date – 50% of maximum award

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Texas Educational Opportunity Grant (TEOG)

Classified as a Texas resident by the institution Registered with Selective Service, or exempt No felony conviction or crime involving a controlled

substance Demonstration of financial need

9-month EFC cap for 13/14 = $2,000 9-month EFC cap for 14/15 = $4,800

Enroll at least ½-time as an entering undergraduate student having not accumulated more than 30 SCH’s (excluding credits for dual enrollment or by examination)

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TEOG – IY Eligibility

Enroll at least ½-time as: An undergraduate student who previous received an IY TEOG

award Maintain:

classification as a resident of Texas registration with Selective Service, or exemption no felony conviction or crime involving a controlled substance financial need (no EFC cap)

Meet satisfactory academic progress (SAP) requirements

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TEOG – RY Eligibility

GPA End of initial year – institution’s SAP policy End of successive years – minimum 2.5 cumulative GPA

Completion Rate End of initial year – institution’s SAP policy End of successive years –75% annual completion rate

Maximum Time Frame 4 years, 75 SCH’s attempted while receiving the grant, or an

associate’s degree – whichever comes first

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TEOG – SAP

Provide grants to needy students at private/independent non-profit institutions

Funded through appropriations CB allocates available funding to participating institutions annually

Student eligibility: Initial year (IY) eligibility requirements Renewal year (RY) or continuation eligibility requirements

Maximum award amounts determined biennially

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Tuition Equalization Grant (TEG)

Classified as a Texas resident by the institution, or a National Merit Finalist with at least $1,000 in scholarships

Registered with Selective Service, or exempt Not currently receiving an athletic scholarship Demonstration of financial need Required to pay more tuition than is required at a comparable public

institution Enrolled at least ¾-time as an undergraduate or graduate student

working on the first associate’s, baccalaureate, master’s, or doctoral degree that does not lead to ordination or licensure to preach

Maintain satisfactory academic progress (SAP) requirements

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TEG – IY and RY Eligibility

GPA End of initial year – institution’s SAP policy End of successive years – minimum 2.5 cumulative GPA

Completion Rate End of initial year – institution’s SAP policy End of successive years – minimum 75% annual completion rate;

and 24 SCH’s successfully completed annually for an undergraduate or 18 SCH’s completed annually for a graduate

Maximum Time Frame 5 years for a 4-year undergraduate degree 6 years for a 5-year undergraduate degree No limit for a graduate degree

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TEG – SAP

Texas Public Educational Grant (TPEG) Provide grants to needy students at public institutions Funded through statutory tuition set-asideso Allocated at the institutional level

Eligibility requirements:o Financial need o Register with Selective Service or be exempt (not required of community

colleges) Awarded based on institution’s policies and procedures Eligibility continuation:o Renewal awards occur at the institution’s discretiono No statutory end to student eligibility

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Tuition Set-Aside Programs

Designated Tuition Set-Aside Program – named by the institution Provide need-based financial aid at public universities Funded through designated tuition set-asideso Allocated at the institutional level

Eligibility requirements:o Financial need o Priority to students whose tuition/fee costs are not met through other

non-loan programs Awarded based on institution’s policies and procedures Eligibility continuation:o Renewal awards occur at the institution’s discretiono No statutory end to student eligibility

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Tuition Set-Aside Programs

Encourage outstanding high school graduates in the top 10 percent of their class to attend a public institution in Texas

Funded through appropriations No allocation to institutions/funding administered centrally

Student eligibility: Initial year (IY) eligibility requirements Renewal year (RY) or continuation eligibility requirements

Award amounts determined annually

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Top 10 Percent Scholarship

Classified as a Texas resident by the institution Registration with Selective Service, or be exempt Graduation from a public or private accredited high school in

Texas in the top 10 percent of the HS graduating class Completion of the Recommended or Distinguished (or the

equivalent) curriculum Submit the FAFSA in time to generate the CPS results in a non-

rejected status by the state priority deadline (March 15), or the TASFA to the institution by the state priority deadline

Meet need component (COA – EFC – PELL > $0) Enroll full-time in the fall semester immediately following high

school graduation and maintain full-time enrollment through the census date

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Top 10 – IY Eligibility

Submit the FAFSA in time to generate the CPS results in a non-rejected status by the state priority deadline (March 15), or submit the TASFA by the state priority deadline

Meet need component (COA – EFC – PELL > $0) Enroll full-time in the fall semester and maintain full-time

enrollment through the census date of the semester Meet SAP requirements

Maintain a cumulative 3.25 GPA, successfully complete at least 30 SCH’s in the previous year, and successfully complete of at least 75% of the SCH’s attempted in the previous year

4 years or completion of a Bachelor’s degree – whichever comes first

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Top 10 – RY Eligibility

Provide eligible Texas students no-interest loans and/or loan forgiveness upon graduation for meeting specific goals

Funded through appropriations and designated tuition set-asides CB allocates available funding to participating institutions annually

Eligibility requirements: Texas resident enrolled full-time and eligible for federal aid

Eligibility continuation: End of 1st year – institution’s SAP policy Thereafter, overall GPA of 2.5; 75% completion in the most recent year Eligibility ends with completion of a baccalaureate degree or 150

attempted SCH’s while receiving the loan Repayment benefits:

Loan forgiveness if graduation time frame, GPA, and number of hours are within program guidelines – or 0% interest if not eligible for forgiveness

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Texas B-On-Time Loan (BOT)

Provide alternative loans to Texas students who are unable to meet the cost of attendance at public and private/non-profit institutions.

Funded through the sale of state bonds CB allocates available funding to participating institutions

annually Eligibility requirements:

Texas resident enrolled at least ½-time Receive a favorable credit evaluation or provide an eligible

cosigner who has a favorable credit standing (VantageScore≥591) Meet the institution’s SAP policy

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College Access Loan Program (CAL)

Provide eligible Texas students employment as a means to fund their education at public and private institutions

Funded through appropriations and subject to matching – unless proof is provided that matching is waived for FCWS

Eligibility requirements: Enrolled at least ½-time Texas resident as determined by the institution Financial need Registered with Selective Service (or exempt) Not receiving an athletic scholarship Not enrolled in a seminary or other religious program

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Texas College Work-Study (TCWS)

Complete Listing: http://collegeforalltexans.com/

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Exemption/Waiver ProgramsExemption Programs Waiver Programs

HazlewoodHighest Ranking HS Grad

Police OfficersFirefightersFoster CareDual Credit

Etc.

Competitive ScholarshipMilitary

Teaching/Research AssistantsGood Neighbor Scholarship

Border CountyBorder States

Etc.

Direct Contact Information: lyn.kinyon@thecb.state.tx.us 512.427.6393 or 800.242.3062

x6393

General Contact Information : grantinfo@thecb.state.tx.us 512.427.6340 or 800.242.3062

General Website: www.collegeforalltexans.com

G&SP Site: https://www1.thecb.state.tx.us/apps/SpecialPrograms/

Distribution List: http://lists.state.tx.us/mailman/listinfo/txgnsp-l

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Contact Information

Questions?

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