2025-05-13T12:27:11+00:00 2024-06-30 440160260 Forvis Mazars LLP 14221 Dallas Parkway Suite 400 Dallas TX 75254 990 2023-07-01 742129255 Brazos Higher Education Service Corporation Inc BRAZ 2547530915 5609 Crosslake Pkwy Waco TX 76712 RICKY TURMAN EVP/COO/CFO 2025-05-13 true Jeanette Verrelli P00742631 9727028262 2025-05-15 2023 2025-03-06 01:10:19Z Brazos Higher Education RICKY TURMAN 5609 Crosslake Pkwy Waco TX 76712 19156221 false X WWW.STUDENTLOANS.COM X 1980 TX BRAZOS HIGHER EDUCATION SERVICE CORPORATION, INC.'S MISSION IS TO MAKE EDUCATION A REALITY BY SUPPORTING PROGRAMS & INITIATIVES TO FINANCE EDUCATIONAL OPPORTUNITIES 9 6 30 7 0 0 0 0 9508446 17936114 6791655 1198032 4910 22075 16305011 19156221 131250 133425 0 0 6688664 7467745 0 0 0 1233972 1399791 8053886 9000961 8251125 10155260 212610560 277854175 10209963 9287630 202400597 268566545 BRAZOS HIGHER EDUCATION SERVICE CORPORATION, INC.'S MISSION IS TO MAKE EDUCATION A REALITY BY SUPPORTING PROGRAMS AND INITIATIVES TO FINANCE EDUCATIONAL OPPORTUNITIES. false false 7720491 133425 17958189 BRAZOS HIGHER EDUCATION SERVICE CORPORATION (BHESC) PROVIDES ADMINISTRATIVE AND MANAGEMENT SERVICES FOR AFFILIATED NON-PROFIT ENTITIES BY SERVING AS ADMINISTRATOR. THESE SERVICES INCLUDED ADMINISTERING STUDENT LOANS WITH OUTSTANDING PRINCIPAL IN EXCESS OF $1.9 BILLION UNDER THE FEDERAL FAMILY EDUCATION LOAN PROGRAM (FFELP), HEAL, TERI, AND VARIOUS OTHER ALTERNATIVE LOAN PROGRAMS. 7720491 true false false false false false false false false true false false true true true false true false false false false false false false false false true false true false false false false false false false false false false false false false true true true false false true 20 0 true 30 true false false false false false false false false false false false false X 9 6 false false false false false false false true true false false true true true true true true true true false X RICKY TURMAN EVPCOOCFO 2547530915 5609 CROSSLAKE PKWY WACO TX 76712 KELLI UTTECH EVP/GENERAL COUNSEL 30.0 10.0 X X 398669 0 78893 RICKY TURMAN EVP/COO/CFO 29.0 11.0 X X 620836 0 94644 THOMAS BEN LITLE PRESIDENT/CEO 29.0 11.0 X X 749347 0 79508 David Myers Director 1.0 7.0 X 0 0 0 DR ANDY POPEJOY DIRECTOR 1.0 7.0 X 0 0 0 DR TERRY MANESS DIRECTOR 1.0 7.0 X 0 0 0 GRETA WATSON DIRECTOR 1.0 7.0 X 0 0 0 JOHN PERRY DIRECTOR End: 02/24 1.0 7.0 X 0 0 0 ROBERT B CHAMBERS DIRECTOR 1.0 7.0 X 0 0 0 STEVEN BOSTICK DIRECTOR 1.0 7.0 X 0 0 0 ANDREW ELLIS VP HUMAN RESOURCES 39.0 1.0 X 308125 0 75458 DARRELL BROOKS TREASURER 30.0 10.0 X 219241 0 62199 NAN MACDONALD VP MARKETING 39.0 1.0 X 220035 0 67213 RANDALL LARSON VP SALES 39.0 1.0 X 258173 0 67950 SAMUEL REDDEN SVP/CIO End: 08/23 39.0 1.0 X 488496 0 60667 TAMMY HARRALSON VP/CONTROLLER 30.0 10.0 X 246347 0 67073 TIFFANY JONES SECRETARY 29.0 11.0 X 102795 0 29339 VICKY SMITH ASSISTANT SECRETARY End: 08/23 30.0 10.0 X 98799 0 23691 Debra Urias VP Student Lending Operations 40.0 0.0 X 217015 0 54746 Christy Alleman IS Manager 40.0 0.0 X 131013 0 31945 Jessica Fadal Data Warehouse & Bus. Intel. Manager 40.0 0.0 X 147477 0 30477 John M Wright Director Structured Finance 40.0 0.0 X 256724 0 72425 Milicent Larson Executive Dir., Brazos Found. 1.0 39.0 X 192344 0 58026 Sarah MacCarthy VP, Compliance End: 06/23 40.0 0.0 X 284052 0 30894 4939488 0 985148 18 false true false Forvis Mazars LLP 14221 Dallas Parkway Suite 400 Dallas TX 75254 Audit and Tax 135606 1 0 Operating Income 551114 7645481 7645481 Beneficial Interest (M&O) 551114 554500 554500 Commission Income 551114 243602 243602 Interest Income - Bonds / Intercompany 551114 9492531 9492531 0 0 0 0 17936114 1198032 1198032 0 0 0 0 0 3rd Party Marketing Fee Income 551114 12484 12484 Miscellaneous Revenue 551114 9591 9591 0 0 0 0 22075 19156221 17958189 0 1198032 133425 133425 0 0 4689260 4220334 468926 1922708 1730437 192271 549956 494960 54996 305821 275239 30582 10238 9214 1024 165760 165760 138045 138045 133998 0 133998 0 3061 3061 213979 192581 21398 307222 276500 30722 67130 60417 6713 55533 49980 5553 10661 9595 1066 87234 78511 8723 57930 52137 5793 Bad Debt Expense 81483 73335 8148 Administrative Expense 48976 44078 4898 Special Event Expense 11331 10198 1133 7210 6489 721 0 9000961 7720491 1280470 0 6319127 5448392 7435181 0 0 62543 89641 0 0 0 0 0 14049 22214 2781361 235563 2633032 2545798 152143540 205116979 81483 0 0 43921605 64631151 212610560 277854175 3833704 606760 0 1889685 0 0 0 0 0 0 4486574 8680870 10209963 9287630 0 0 X 202400597 268566545 0 0 202400597 268566545 212610560 277854175 X 10155260 -505086 3 56515771 X false true X false false X X 3 Brazos Higher Education Authority Inc 742099402 9 false 0 0 Brazos Education Loan Authority Inc 203868073 9 false 0 0 Brazos Education Lending Corporation 203870081 9 false 0 0 3 0 0 false false false false false false false false false false false false false false false false Schedule A, Part IV, Section A, Line 1 Supported Orgs Listed By Name The supported organizations are designated by purpose. BHESC and its supported organizations are committed to providing financial assistance in the form of student loans to individuals pursuing higher education. This designation is based on the organizations shared mission to promote educational opportunities. THE Supported Organizations are: - BRAZOS HIGHER EDUCATION AUTHORITY, INC. (BHEA) - BRAZOS EDUCATION LOAN AUTHORITY (BELA) - BRAZOS EDUCATION LENDING CORPORATION (BELC) Schedule A, Part IV, Section C, Line 1 Majority director detail As a Type II Supporting Organization, the supporting organization must be supervised or controlled by the persons supervising or controlling the supported organizations to ensure that the supporting organization is responsive to the needs and requirements of the supported organizations. The control or management of BHESC is vested in the same persons that control or manage the supported organizations. This is illustrated by the fact that the top two executives serve as officers of all the companies. These executives also have the decision-making power across all the companies. The President/CEO and the Executive VP-COO & CFO of BHESC serve in the same capacities for all companies although their titles may slightly differ among the organizations. The EVP-General Counsel and the Controller are also common across the companies. BHESC conducts and operates the business affairs of each student loan company shown below to carry out all aspects of a student loan program pursuant to: (i) exclusive administration agreements with each student loan company, (ii) common control with board overlap with each student loan company, (iii) common management (including the CEO and EVPs) with each student loan company, (iv) with respect to BHEA, the requirements of Chapter 53B of the Texas Education Code) (the Act) and (v) an extended course of dealing between these entities for several decades. The student loan companies are: - Brazos Higher Education Authority, Inc. (BHEA) - Brazos Education Loan Authority (BELA) - Brazos Education Lending Corporation (BELC) Under each exclusive administration agreement, BHESC performs all the duties necessary to manage and carry out the student loan program functions of that specific student loan company. These duties include but are not limited to: - Creating and maintaining the loan program guidelines, including the underwriting and eligibility criteria, the terms and conditions of the loans, and the interest rates; - Retaining outside services necessary to support the program, including a loan origination processor, repayment servicers, and collection agencies; - In fact, per state law, BHEA can only obtain these services by contracting with another nonprofit organization, which BHESC serves as this company - Arranging and managing financing for the student loan program, including all duties and responsibilities of the issuing student loan company under the indentures of trust. Under the administration agreements, BHESC also performs all the administrative services for each student loan company's existence as a nonprofit corporation including but not limited to the following: - providing, or causing to be provided, all clerical and bookkeeping services; - causing an annual audit to be obtained; - causing to be prepared documents, reports, tax returns or any other such forms as may be required; - preparing for adoption by each student loan company all reports, documents, agendas, resolutions and meeting notices necessary for each student loan company's Board of Directors and its committees to conduct meetings and business affairs Therefore, as reflected in the above discussion, BHESC's role is responsive to the needs and requirements of the supported student loan companies by providing support, management and oversight to all the student loan companies. 535000 535000 2002098 150157 1851941 244263 85406 158857 2545798 Accrued Investment Interest 2925180 Due from Affiliates 57974914 Cash Balance Plan Trust 3731057 64631151 Prefunded Benefit Payable 4949813 Cash Balance Plan Payable 3731057 8680870 X Schedule D, Part X, Line 2 FIN 48 (ASC 740) footnote BHESC IS A NOT-FOR-PROFIT PUBLIC BENEFIT CORPORATION THAT IS EXEMPT FROM FEDERAL INCOME TAXES UNDER SECTION 501(A) OF THE INTERNAL REVENUE CODE AS AN ORGANIZATION DESCRIBED IN SECTION 501(C)(3). THE COMPANY IS ALSO EXEMPT FROM STATE INCOME TAX. INCOME WHICH IS NOT RELATED TO ITS EXEMPT PURPOSES, LESS APPLICABLE DEDUCTIONS, IS SUBJECT TO FEDERAL INCOME TAXES. THE COMPANY HAD NO NET UNRELATED BUSINESS INCOME FOR THE YEARS ENDED JUNE 30, 2024 AND 2023. AS SUCH, NO PROVISION FOR FEDERAL OR STATE INCOME TAXES HAS BEEN PROVIDED IN THE ACCOMPANYING CONSOLIDATED FINANCIAL STATEMENTS. THE COMPANY FILES FEDERAL INFORMATION RETURNS IN THE UNITED STATES. THE COMPANY MAY BE SUBJECT TO EXAMINATIONS FOR THE TAX YEARS ENDED JUNE 30, 2021 AND LATER BY THE INTERNAL REVENUE SERVICE. THE COMPANY IS NOT CURRENTLY UNDER EXAMINATION FOR ANY OPEN TAX YEAR. THE COMPANY FOLLOWS THE ACCOUNTING STANDARD RELATED TO THE ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES. THE STANDARD PRESCRIBES A RECOGNITION THRESHOLD AND MEASUREMENT ATTRIBUTE FOR THE FINANCIAL STATEMENT RECOGNITION AND MEASUREMENT OF A TAX POSITION TAKEN OR EXPECTED TO BE TAKEN IN A TAX RETURN. THE COMPANY CURRENTLY HAS NO UNCERTAIN TAX POSITIONS. true Texas State Technical College 3801 Campus Drive Waco TX 767051695 741646989 GOVT 25000 Contributions to Endowment Baylor University One Bear Place 97043 Waco TX 767987043 741159753 501 (C) (3) 50000 Contribution to Endowment McLennan Community College Foundation 1400 College Drive Waco TX 76708 741541260 501 (C) (3) 25000 Contribution to Endowment 3 0 Schedule I, Part I, Line 2 Procedures for monitoring use of grant funds. THE ORGANIZATION PROVIDES DONATIONS TO OTHER CHARITABLE AND GOVERNMENTAL ORGANIZATIONS. THESE ARE SIMPLE CHARITABLE CONTRIBUTIONS TO THE OTHER ORGANIZATIONS, SO THERE IS NO NEED TO MONITOR THE USE OF THE FUNDS. X X X true false false false false false false true false KELLI UTTECH EVP/GENERAL COUNSEL 362985 0 35684 0 0 0 72665 0 6228 0 477562 0 0 0 THOMAS BEN LITLE PRESIDENT/CEO 684179 0 64393 0 775 0 74379 0 5129 0 828855 0 0 0 RICKY TURMAN EVP/COO/CFO 564635 0 56201 0 0 0 74928 0 19716 0 715480 0 0 0 SAMUEL REDDEN SVP/CIO End: 08/23 174041 0 25234 0 289221 0 50568 0 10099 0 549163 0 0 0 ANDREW ELLIS VP HUMAN RESOURCES 271164 0 28092 0 8869 0 66149 0 9309 0 383583 0 0 0 RANDALL LARSON VP SALES 233554 0 24619 0 0 0 57248 0 10702 0 326123 0 0 0 TAMMY HARRALSON VP/CONTROLLER 222782 0 23565 0 0 0 54937 0 12136 0 313420 0 0 0 DARRELL BROOKS TREASURER 197987 0 21254 0 0 0 48922 0 13277 0 281440 0 0 0 NAN MACDONALD VP MARKETING 200053 0 19982 0 0 0 44378 0 22835 0 287248 0 0 0 Debra Urias VP Student Lending Operations 192691 0 20738 0 3586 0 42668 0 12078 0 271761 0 0 0 Jessica Fadal Data Warehouse & Bus. Intel. Manager 123243 0 14575 0 9659 0 24379 0 6098 0 177954 0 0 0 Christy Alleman IS Manager 110378 0 13833 0 6802 0 21070 0 10875 0 162958 0 0 0 John M Wright Director Structured Finance 227850 0 24032 0 4842 0 51525 0 20900 0 329149 0 0 0 Milicent Larson Executive Dir., Brazos Found. 172833 0 19511 0 0 0 38837 0 19189 0 250370 0 0 0 Sarah MacCarthy VP, Compliance End: 06/23 94688 0 17065 0 172299 0 26757 0 4137 0 314946 0 0 0 Schedule J, Part I, Line 4a Severance or change-of-control payment BHESC HOLDS A SEVERANCE PAY PLAN TRUST FOR SEVERANCE PAYMENTS. THIS IS SET ASIDE FOR ANY POTENTIAL REDUCTION IN FORCE. IN ADDITION, ANY EMPLOYEE WHO PROVIDES A MINIMUM OF SIX MONTHS NOTICE OF RETIREMENT OR RESIGNATION IS ELIGIBLE FOR A SEVERANCE PAYMENT UPON COMPLETION OF THE SIX MONTH PERIOD OR LESS IF DETERMINED BY MANAGEMENT. THE FOLLOWING INDIVIDUALS RECEIVED A SEVERANCE PAYMENT: Samuel Redden- $272,520 VICKY SMITH - $37,785 SARAH MACCARTHY - $160,274 EACH OF THESE INDIVIDUALS RECEIVED A SEVERANCE PAYMENT DUE TO FULFILLING THE RETIREMENT/RESIGNATION REQUIREMENTS IN ACCORDANCE WITH THE SEVERANCE PAY PLAN. Schedule J, Part I, Line 7 Non-fixed payments WHILE PART OF THE BONUSES GIVEN TO EMPLOYEES ARE CALCULATED USING A FIXED FORMULA, THE OTHER PART OF THE BONUS IS CALCULATED BY A SET PERCENTAGE DETERMINED AT THE DISCRETION OF THE BOARD. Form 990, Part VI, Line 11b Review of form 990 by governing body THE FORM 990 IS PROVIDED TO SENIOR MANAGEMENT FOR REVIEW. AFTER THIS REVIEW, THE RETURN IS POSTED ON A SECURE WEBSITE FOR REVIEW BY THE BOARD OF DIRECTORS. THE BOARD IS NOTIFIED OF THE POSTING AND ASKED TO PROVIDE COMMENTS OR QUESTIONS. COMMENTS OR QUESTIONS ARE INVESTIGATED AND RESOLVED OR DISCLOSED TO THE BOARD. UPON COMPLETION OF THE PROCESS, THE RETURN IS FILED. Form 990, Part VI, Line 12c Conflict of interest policy THE LEGAL DEPARTMENT PREPARES AND DISTRIBUTES A CONFLICT OF INTEREST QUESTIONNAIRE TO ALL BOARD MEMBERS AND EMPLOYEES ANNUALLY. THE LEGAL DEPARTMENT REVIEWS THE QUESTIONNAIRES AND COMPILES A LIST OF POTENTIAL CONFLICTS FOR REVIEW BY SENIOR MANAGEMENT AND THE BOARD OF DIRECTORS. POTENTIAL CONFLICTS ARE ASSESSED AND RESOLVED IF DETERMINED TO BE AT RISK. IF A BOARD MEMBER CONFLICT IS FOUND TO EXIST, THE CONFLICTED BOARD MEMBER ABSTAINS FROM VOTING. Form 990, Part VI, Line 15a Process to establish compensation of top management official BRAZOS HIGHER EDUCATION SERVICE CORPORATION'S BOARD OF DIRECTORS USES AN INDEPENDENT THIRD PARTY TO REVIEW THE COMPENSATION OF THE PRESIDENT AND OFFICERS. THE THIRD PARTY REVIEWS EACH ELEMENT OF COMPENSATION TO ENSURE IT IS IN COMPLIANCE WITH IRS GUIDELINES AS WELL AS PERFORMS COMPARABILITY STUDIES TO DETERMINE WHETHER SALARIES ARE REASONABLE. THE MOST RECENT REVIEW WAS CONDUCTED DURING JUNE OF 2023 BY AN INDEPENDENT CONSULTANT AND IS DOCUMENTED IN THE BOARD'S MEETING MINUTES. Form 990, Part VI, Line 15b Process to establish compensation of other employees BRAZOS HIGHER EDUCATION SERVICE CORPORATION'S BOARD OF DIRECTORS USES AN INDEPENDENT THIRD PARTY TO REVIEW THE COMPENSATION OF THE KEY EMPLOYEES. THE THIRD PARTY REVIEWS EACH ELEMENT OF COMPENSATION TO ENSURE IT IS IN COMPLIANCE WITH IRS GUIDELINES AS WELL AS PERFORMS COMPARABILITY STUDIES TO DETERMINE WHETHER SALARIES ARE REASONABLE. THE MOST RECENT REVIEW WAS CONDUCTED DURING JUNE OF 2023 BY AN INDEPENDENT CONSULTANT AND IS DOCUMENTED IN THE BOARD'S MEETING MINUTES. Form 990, Part VI, Line 19 Required documents available to the public THE ORGANIZATION'S GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE AVAILABLE TO THE PUBLIC UPON REQUEST. Form 990, Part XI, Line 9 Other changes in net assets or fund balances Estate Contribution - 56515771; BOSQUE HIGHER EDUCATION AUTHORITY INC 5609 CROSSLAKE PKWY WACO TX 76712 742534099 STUD LOANS TX 501(c)(3) 10 NA true BRAZOS HIGHER EDUCATION AUTHORITY INC 5609 CROSSLAKE PKWY WACO TX 76712 742099402 STUD LOANS TX 501(c)(3) 10 NA true BRAZOS EDUCATION LOAN AUTHORITY INC 5609 CROSSLAKE PKWY WACO TX 76712 203868073 STUD LOANS TX 501(c)(3) 10 NA true BRAZOS STUDENT FINANCE CORPORATION 5609 CROSSLAKE PKWY WACO TX 76712 742356109 STUD LOANS TX 501(c)(3) 10 NA true BRAZOS EDUCATION FOUNDATION INC 5609 CROSSLAKE PKWY WACO TX 76712 264562436 GRANT MAKING TX 501(c)(3) 7 BHESC true BRAZOS EDUCATION LENDING CORPORATION 5609 CROSSLAKE PKWY WACO TX 76712 203870081 STUD LOANS TX 501(c)(3) 10 NA true FEDERATED STUDENT FINANCE CORPORATION 5609 CROSSLAKE PKWY WACO TX 76712 742536239 STUD LOANS TX 501(c)(3) 10 NA true BRAZOS ASSET CORPORATION (BAC) 5609 CROSSLAKE PKWY WACO TX 76712 300835799 FINANCE TRANS INVOLVING CREATION/LIQUIDATION/OWNERSHIP OF FINANCIAL ASSETS TX BRAZOS HIGHER EDUCATION SERVICE CORPORATION C Corporation -77224 0 1.0000 true true false true true false false false false false false false true false false false false false false false BRAZOS HIGHER EDUCATION AUTHORITY INC L 1366216 CASH BRAZOS STUDENT FINANCE CORPORATION L 499564 CASH BRAZOS EDUCATION LOAN AUTHORITY INC L 5547600 CASH BOSQUE HIGHER EDUCATION AUTHORITY L 146667 CASH BRAZOS EDUCATION LOAN AUTHORITY INC C 51300000 CASH BOSQUE HIGHER EDUCATION AUTHORITY INC C 1030000 CASH BRAZOS EDUCATION LOAN AUTHORITY D 20178100 CASH BRAZOS EDUCATION LENDING CORPORATION D 9572121 CASH BRAZOS HIGHER EDUCATION AUTHORITY INC A 400000 BOOK VALUE BRAZOS STUDENT FINANCE CORPORATION C 4185771 CASH BRAZOS HIGHER EDUCATION AUTHORITY D 28224693 FMV Brazos Education Loan Authority Inc A 78100 Cash