Hazlewood Exemption

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Hazlewood Exemption

• Justin Greiner
• Texas Higher Education Coordinating Board

2
Overview

• Changes from SB639
• Eligibility Requirements
• Default Loan Verification Procedure
• New Applications
• Supporting Documentation
• How to View Database Information
• Where to Obtain Program Information

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Changes from SB639

• Veterans are required to reside in Texas during
  the time for which the exemption is claimed
  applies to new recipients beginning fall 2011
• Applicants to submit the application and
  supporting documentation to the school no later
  than one year after the earlier of the date the
  school
• provides written notice to the applicant of
  his/her eligibility, or
• receives written notice from the applicant that
  acknowledges the applicants awareness of his/her
  eligibility
• A veterans spouse or childs guardian,
  conservator, custodian, or other legally
  designated caretaker can re-assign unused hours
  to an eligible child through Legacy on behalf of
  a veteran who died prior to requesting the
  transfer of hours

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SB639 Changes, Continued

• Clarifies that an eligible child must be 25 years
  of age or younger on the first day of classes.
  The eligible child may be the biological child,
  stepchild, adopted child, or claimed as a
  dependent in the current or previous tax year.
  Applies to both regular Hazlewood and Legacy
  (unless granted an extension due to an illness or
  debilitating condition).
• Grandfathers recipients who received the
  exemption prior to fall 2011 from the
  requirements that the veteran must reside in
  Texas, and children must be under the age of 26,
• Adds new provisions and moves the Combat
  Exemption from Hazlewood to its own statutory
  section, 54.2031
• NOTE There is no funding for FY2012 or FY2013 to
  reimburse institutions for the Combat Exemption.
  Institutions may choose to continue to grant this
  exemption, but it is at the institutions
  expense.

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Eligibility for Children and Spouse
Eligibility for Veterans

• Veterans who, at the time of entry into the U.S.
  Armed Forces
• Were Texas residents,
• Designated Texas as Home of Record, or
• Entered the service in Texas.
• Have served at least 181 days of active military
  duty, as indicated as "net active service" (the
  sum of 12(c) and 12(d)) on the DD214).
• Have received an honorable discharge or
  separation or a general discharge under honorable
  conditions.
• Are not in default on a student loan made or
  guaranteed by the State of Texas.
• Physically reside in Texas applies to new
  recipients beginning fall 2011

• Current spouse or children/dependents of veterans
  who, at the time of entry
• Were Texas residents,
• Designated Texas as Home of Record, or
• Entered the service in Texas.
• Have parent or is the current spouse of a veteran
  of the U.S. Armed Forces, Texas National Guard,
  or Texas Air National Guard who
• Died as a result of service-related injuries or
  illness, or
• Are missing in action, or
• Became 100 disabled for purposes of
  employability as a result of service-related
  injury or illness.
• Children must be 25 or younger on the 1st day of
  the semester applies to new recipients beginning
  fall 2011

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Eligibility for Veterans, Children and Spouse

• Who
• (Children and spouse only) Are classified as
  residents of Texas during the term or semester in
  which they enroll.
• Have federal veterans education under CH33 Post
  9/11 GI Bill or CH31 Vocational Rehabilitation
  that do not exceed the value of Hazlewood
  benefits.  (Other federal veterans education
  benefits that can be used for purposes other than
  tuition and fees are not relevant).
• Enroll in classes for which the college receives
  tax support or formula funding, unless the
  college's governing board has ruled to let
  veterans receive the benefit while taking
  non-funded courses.
• Applicants are required to submit the application
  and supporting documentation to the school no
  later than one year after the earlier of the date
  the school
• Provides written notice to the applicant of
  his/her eligibility, or
• Receives written notice from the applicant that
  acknowledges the applicants awareness of his/her
  eligibility.

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Legacy Requirements

• Eligible veterans may assign unused hours of
  exemption to an eligible
• child under certain conditions. To be eligible,
  the child must
• Be classified as a Texas resident,
• Be the biological child, stepchild, adopted
  child, or claimed as a dependent in the current
  or previous tax year,
• Be 25 years or younger on the first day of the
  semester or term for which the exemption is
  claimed (unless granted an extension due to a
  qualifying illness or debilitating condition),
  and
• Make satisfactory academic progress in a degree,
  certificate, or continuing education program as
  determined by the institution.
• A veterans spouse or childs guardian,
  conservator, custodian, or other legally
  designated caretaker may re-assign unused hours
  to an eligible child on behalf of a veteran who
  died prior to requesting the transfer.
• Veterans spouses are not eligible to receive a
  transfer of the veterans unused hours.

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Legacy Policies

• Veteran may revoke assigned hours at any time.
• If Child 1 does not use all available hours,
  veteran may cancel the assignment to that child
  and re-assign remaining hours to another child.
  Only one child can be assigned unused hours at a
  time.
• Hours may be transferred to a child who is not
  yet college-age.
• Once hours have been transferred, veteran loses
  access to Hazlewood for his/her education (unless
  assignment of hours is revoked).
• Veteran may transfer up to 150 hours even if the
  veteran is eligible to receive CH33 or CH31
  benefits.

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Loan Default Verification

• Hazlewood Exemption rule 21.2107 states that for
  each term or semester of an academic year in
  which the veteran, spouse, or child receives a
  Hazlewood Exemption, the institution shall
  confirm that the veteran, spouse, or child is not
  in default on an education loan made or
  guaranteed by the State of Texas.
• Applicants who have a loan with THECB
• Applicants who have outstanding state student
  loans (CAL, HELP, Stafford, BOT) should logon to
  www.HHLoans.com to register and print their loan
  status page and submit to the institution.
• Applicants who do not have a loan with THECB
• Institution may submit a secure e-mail with an
  attachment listing the students that need to be
  verified. The students data will be bounced
  against our loan files to confirm whether a loan
  does or does not exist in the system, and if so,
  the current status. Each record submitted will
  return a response that will say No Loan On
  File, Loan In Good Standing, or Defaulted
  Loan. To obtain access to a secure e-mail,
  please e-mail Hazlewood_at_thecb.state.tx.us to
  request to be setup.

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New Hazlewood Applications

• HE-V for veterans
• Veterans using the exemption or establishing
  benefits for a child or spouse must complete this
  form. The HE-V should be used for returning
  veterans.
• HE-D for dependents
• Eligible children and the spouse of an eligible
  veteran who have never used the exemption must
  complete both the HE-V and the HE-D. The HE-D
  should be used for returning children or spouse
  of the veteran.
• Applications can be downloaded online at
  www.collegeforalltexans.com

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Supporting Documentation

• Appropriate Hazlewood application
• Plus
• DD214 or revised DD215 for the veteran
• DD1300 for surviving dependent of deceased
  veterans
• Rating Decision Letter for the dependent of a
  qualified disabled vet
• Federal education benefits letter (CH33, CH31)
• This letter is required for all veterans who
  served on active duty after 9/11/2001.
• Death certificate for the qualifying veteran if
  hours are being transferred though Legacy on the
  deceased veterans behalf
• Tax return, birth certificate, marriage
  certificate, legal guardianship, adoption papers,
  etc. to show relationship to qualifying veteran.

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Supporting Documentation Contd

• DD214 documentation is available through the
  Military National Archives.
• http//www.archives.gov/veterans/military-service
  -records/get-service-records.html
• This request can be faxed to their office
• NPRC Fax Number 314-801-9195 NPRC Mailing
  Address National Personnel Records
  Center Military Personnel Records 9700 Page
  Avenue St. Louis, MO 63132-5100 314-801-0800
• To obtain a copy of the federal education
  benefits letter, a veteran can
• call 1-888-442-4551, or
• visit www.gibill.va.gov

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Database Login (to view hours taken)

• Students (link on the Hazlewood page at College
  For All Texans website)
• https//www1.thecb.state.tx.us/apps/HSH/students/
  
• Schools
• https//www1.thecb.state.tx.us/apps/HSH/
• To obtain a password contact Justin Greiner at
  800-242-3062 ext. 3

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For More Information

• Web www.collegeforalltexans.com
• Email hazlewood_at_thecb.state.tx.us
• Phone Inside Austin 512-427-6340
• Outside Austin 800-242-3062