2014-08-12T14:29:00-05:00 2013-09-30 KPMG LLP 210 Park Ave Suite 2850 Oklahoma City OK 73102 990 2012-10-01 742094204 TEXAS GUARANTEED STUDENT LOAN CORP % MARK J ZARSKY TEXA 5122195700 PO BOX 83100 Suite ROUND ROCK TX 786833100 James Patterson 5122195700 2014-08-12 true 4052396411 2012 2015-11-30 17:44:51Z SUE C MCMILLIN PO BOX 83100 ROUND ROCK TX 786833100 165223954 false X www.tgslc.org X 1979 TX "TO BE THE PREMIER PROVIDER OF INFORMATION, PRODUCTS, AND SERVICES TO HELP STUDENTS AND FAMILIES REALIZE THEIR EDUCATION AND CAREER DREAMS." TG ADMINISTERS THE FEDERAL FAMILY EDUCATION LOAN PROGRAM. X 6 6 724 0 19951 17056 230031273 143412819 1926242 3080909 22472348 18503472 27633 188051 254457496 165185251 21419662 309241574 0 0 53507453 57466280 0 0 0 91012970 9297549 165940085 376005403 88517411 -210820152 839348071 551186743 280986080 227040516 558361991 324146227 X SEE SCHEDULE O, GENERAL STATEMENT 1 false false 39557396 1826008 SEE SCHEDULE O, GENERAL STATEMENT 2 321458163 309241574 1254901 SEE SCHEDULE O, GENERAL STATEMENT 2 361015559 true true false true false false false false true false true false false false true false 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 true false true true true false false true 103 0 true 724 true true true false false false false false false false false false X 6 6 false false true false false false false true true false false true true true true true true true true false X MARK J ZARSKY 5122195700 301 SUNDANCE PARKWAY ROUND ROCK TX 786818004 X IVAN ANDARZA 2.0 0.0 X 0 0 0 YVONNE BATTS 2.0 0.0 X 0 0 0 FH LANDIS 2.0 0.0 X 0 0 0 RICHARD RHODES 2.0 0.0 X 0 0 0 MICHAEL SAVOIE 2.0 0.0 X 0 0 0 CONNIE SITTERLY 2.0 0.0 X 0 0 0 DORA ANN VERDE 2.0 0.0 X 0 0 0 PHIL WORLEY 2.0 0.0 X 0 0 0 FERNANADO TREVINO 2.0 0.0 X 0 0 0 SUE C MCMILLIN 50.0 1.0 X 440163 0 29103 JAMES PATTERSON 42.0 0.0 X 273208 0 34020 LLOYD DODGE 40.0 0.0 X 253480 0 24813 DEANNE VARNER 48.0 0.0 X 266526 0 28327 KIM M ALEXANDER 44.0 0.0 X 192484 0 28409 JOHN R ZANOT 47.0 0.0 X 168145 0 34752 RINN D HARPER 41.0 0.0 X 166939 0 29241 CAROL N LINDSEY 55.0 11.0 X 157111 0 26265 PHILLIP E CERVIN 54.0 0.0 X 179806 0 34225 JACOB FRAIRE 45.0 0.0 X 158790 0 34403 CHANCE R WATSON 41.0 0.0 X 135481 0 16509 CALVIN H ABBOTT 40.0 0.0 X 169230 0 28381 JAMES E ZIMMERMAN 41.0 0.0 X 157997 0 33069 MARY O NEGRETE 41.0 0.0 X 174263 0 21721 MARK J ZARSKY 41.0 0.0 X 169656 0 26526 WILLIAM LOVEALL 42.0 0.0 X 155015 0 24715 KARA J THOMPSON 40.0 0.0 X 138831 0 23665 KEVIN G STRUCKHOFF 50.0 0.0 X 132235 0 32411 SUSAN G HIGH 47.0 0.0 X 138088 0 26900 JEFF J WEBSTER 46.0 0.0 X 133615 0 17794 JAMES B BRADLEY 42.0 0.0 X 131993 0 32109 3893056 0 587358 21 false true false SEE SCHEDULE O GENERAL STATEMENT 4 9 143412819 143412819 DEFAULT AVERSION SOLUTIONS 900099 1254901 1254901 REPURCHASE INTEREST 900099 1826008 1826008 3080909 18503472 18503472 0 0 58654 38703 19951 0 19951 19951 0 0 0 0 MISC. 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CAPACITY NACOGDOCHES INDEPENDENT SCHOOL DISTRICT 511 S UNIVERSITY DR NACOGDOCHES TX 75961 756002119 TX PUB. SCHOOL 50000 SERVICES TO STUDENTS OUR LADY OF THE LAKE UNIVERSITY 411 SW 24TH ST SAN ANTONIO TX 78207 741109631 501(C)(3) 44800 SERVICES TO STUDENTS SAN ANTONIO EDUCATION PARTNERS 131 EL PASO ST SAN ANTONIO TX 78204 742547643 501(C)(3) 126120 SERVICES TO STUDENTS ST EDWARD'S UNIVERSITY 3001 S CONGRESS AVE AUSTIN TX 78704 741109641 501(C)(3) 90055 SERVICES TO STUDENTS TEXAS A&M INTERNATIONAL UNIVERSITY 5201 UNIVERSITY BLVD LAREDO TX 78041 741761398 STATE OF TX 120774 SERVICES TO STUDENTS UNIVERSITY OF CALIFORNIA MERCED 5200 N LAKE ROAD MERCED CA 95343 270093858 STATE OF CA 94500 SERVICES TO STUDENTS UNIVERSITY OF CENTRAL OKLAHOMA 100 N UNIVERSITY DRIVE EDMOND OK 73034 736017987 STATE OF OK 80912 SERVICES TO STUDENTS THE UNIVERSITY OF TEXAS AT DALLAS 800 W CAMPBELL RD MP13 RICHARDSON TX 75081 751305566 STATE OF TX 150000 SERVICES TO STUDENTS UNIVERSITY OF TEXAS AT SAN ANTONIO 1 UTSA CIR SAN ANTONIO TX 78249 741717115 STATE OF TX 199126 SERVICES TO STUDENTS SCHOLARSHIP AMERICA 1 Scholarship Way St Peter MN 56082 042296967 501(C)(3) 4835358 STUDENT FIN. 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CAPAPCITY HOUSTON COMMUNITY COLLEGE 3100 MAIN STREET SUITE 12B12 HOUSTON TX 77002 741885205 STATE OF TX 75000 SERVICES TO STUDENTS I KNOW I CAN 3798 E BROAD ST COLUMBUS OH 43213 311229135 501(C)(3) 39653 SERVICES TO STUDENTS NATIONAL COLLEGE ACCESS NETWORK 1001 CONNECTICUT AVE NW STE 632 WASH DC 20036 311793562 501(C)(3) 19875 ORGANIZTNL. CAPACITY PASADENA INDEPENDENT SCHOOL DISTRICT 1515 CHERRYBROOK LANE PASADENA TX 77502 746001850 TX. PUB. SCHOOL 98295 SERVICES TO STUDENTS SOUTHERN EDUCATION FOUNDATION 135 AUBURN AVENUE VE ATLANTA GA 30303 135562388 501(C)(3) 150000 SERVICES TO STUDETNS TEXAS A&M UNIVERSITY 1265 TAMU COLLEGE STATION TX 77843 746000541 STATE OF TX 100000 SERVICES TO STUDENTS TEXAS COMMUNITY COLLEGE EDUCATION 1304 SAN ANTONIO ST SUITE 201 AUSTIN TX 78701 562358912 501(C)(3) 50000 STRATEGIC IMPACT TEXAS WOMAN'S UNIVERSITY 304 ADMINISTRATION DRIVE DENTON TX 76204 756002618 STATE OF TX 82000 SERVICES TO STUDENTS UNIVERSITY OF TEXAS AT AUSTIN PO BOX 7458 AUSTIN TX 78713 746000203 STATE OF TX 293445 STRATEGIC IMPACT Texas Grant (THECB) 1200 E ANDERSON LN AUSTIN TX 78752 743017895 ST. HIGHER EDU. 30000000 STUDENT FIN. AID T-STEM (THECB) 1200 E ANDERSON LN AUSTIN TX 78752 820569407 ST. HIGHER EDU. 21938000 STUDENT FIN. AID VETERANS EDUCATION ASSISTANCE PO Box 13528 Cap Station Austin TX 78711 746000089 ST. HIGHER EDU. 248062000 STUDENT FIN. AID 47 0 PROCEDURES FOR MONITORING THE USE OF GRANT FUNDS FORM 990, SCHEDULE I, PART I, LINE 2 Regarding TG's competitive grant process, ONCE APPROVED FOR FUNDING, EACH GRANTEE MUST REVIEW AND EXECUTE A GRANT AGREEMENT DOCUMENT WITH TG. IN THIS DOCUMENT, THE EXPECTATIONS ARE OUTLINED FOR THE GRANTEES AND THEIR RESPECTIVE PROJECTS, INCLUDING THE REPORTING REQUIREMENTS FOR THE MIDPOINT (PROGRESS) REPORT AND THE FINAL REPORT. EACH OF THE PROJECT DELIVERABLES IS IDENTIFIED IN THE GRANT AGREEMENT DOCUMENT. GRANTEES ARE INSTRUCTED TO PROVIDE A PROGRESS REPORT ON EACH OF THE ITEMS LISTED AND TO PROVIDE A REPORT OF EXPENDITURES TO-DATE COMPARED TO THE ORIGINAL BUDGET SUBMITTED WITH THE APPLICATION. GRANTEES THEN PROVIDE A FINAL ACCOUNT ON THE DELIVERABLES AND BUDGET AT THE CONCLUSION OF THE GRANT PERIOD. GRANT MANAGEMENT STAFF REVIEWS EACH MIDPOINT REPORT TO DETERMINE IF THE GRANT PROJECTS ARE PROGRESSING AS ANTICIPATED. SPECIFICALLY, STAFF LOOKS TO SEE IF ANY OF THE FOLLOWING CONDITIONS EXIST: A) BUDGET LINE ITEMS THAT SEEM TO BE FALLING SHORT OF ANTICIPATED COSTS B) ANY CHANGES IN KEY PERSONNEL ASSOCIATED WITH THE PROJECT C) ANY OBSTACLES IDENTIFIED BY THE GRANTEE AS IMPEDING PROGESS TOWARD GOALS D) ANY REQUESTS FROM THE GRANTEE TO ADJUST THE BUDGET, DELIVERABLES OR PROGRAM ACTIVITIES. IF THERE ARE SIGNIFICANT ISSUES NOTED IN THE PROGRESS REPORT, STAFF WILL FOLLOW UP WITH THE GRANTEE BY PHONE OR WILL SCHEDULE A SITE VISIT TO DETERMINE THE BEST COURSE OF ACTION TO ADDRESS ANY CONCERNS. IF THERE ARE NO SIGNIFICANT ISSUES NOTED, STAFF ACKNOWLEDGES THE RECEIPT OF THE REPORT AND SCHEDULES THE SECOND DISBURSEMENT OF THE FUNDING (IF APPLICABLE). AT THE TERMINATION OF THE GRANT PERIOD, STAFF REVIEWS THE FINAL REPORT ON EACH PROJECT AND COMPLETES A CLOSE OUT REPORT. THIS REPORT SUMMARIZES THE FOLLOWING: A) PROJECT OBJECTIVES AND THE DEGREE TO WHICH THEY WERE ACHIEVED B) OBSERVATIONS ABOUT THE PROJECT'S SUCCESS OR LACK THEREOF C) FINANCIAL STATUS OF THE PROJECT. THE CLOSE OUT REPORT ALSO PROVIDES AN OPPORTUNITY FOR GRANT MANAGEMENT STAFF TO ASSIGN A LETTER GRADE TO THE PROJECT AND INDICATE WHETHER THE GRANTEE IS A GOOD CANDIDATE FOR FURTHER FUNDING. IF THERE ARE ANY REMAINING FUNDS AT THE END OF THE GRANT PERIOD, GRANT MANAGEMENT STAFF WORKS WITH THE GRANTEE TO ENSURE THE RETURN OF THESE FUNDS TO TG. FORM 990, SCHEDULE I, PART IV GRANT REFUNDS - UNEXPENDED GRANT FUNDS AWARDED IN PREVIOUS YEARS RETURNED ARE REPORTED AS FOLLOWS: ABILENE INDEPENDENT SCHOOL DISTRICT $10,356 NATIONAL COLLEGE ACCESS $11,147 NATIONAL ASSOCIATION FOR COLLEGE ADMISSION $44,198 X X X X X false false false false false true false false false SUE C MCMILLIN 299445 0 128604 0 12114 0 22050 0 7053 0 469266 0 0 0 JAMES PATTERSON 212055 0 60379 0 774 0 19146 0 14874 0 307228 0 0 0 LLOYD DODGE 199740 0 52966 0 774 0 17760 0 7053 0 278293 0 0 0 DEANNE VARNER 205373 0 60379 0 774 0 18500 0 9827 0 294853 0 0 0 KIM M ALEXANDER 162223 0 29487 0 774 0 14627 0 13782 0 220893 0 0 0 JOHN R ZANOT 138244 0 29487 0 414 0 12784 0 21968 0 202897 0 0 0 RINN D HARPER 137009 0 29516 0 414 0 12610 0 16631 0 196180 0 0 0 CAROL N LINDSEY 131089 0 25608 0 414 0 11901 0 14364 0 183376 0 0 0 PHILLIP E CERVIN 150167 0 29225 0 414 0 13239 0 20986 0 214031 0 0 0 CALVIN H ABBOTT 142434 0 25608 0 1188 0 12979 0 15402 0 197611 0 0 0 JAMES E ZIMMERMAN 132119 0 25608 0 270 0 12083 0 20986 0 191066 0 0 0 MARY O NEGRETE 147867 0 25622 0 774 0 13253 0 8468 0 195984 0 0 0 MARK J ZARSKY 143778 0 25608 0 270 0 12880 0 13646 0 196182 0 0 0 JACOB FRAIRE 129739 0 28781 0 270 0 11977 0 22426 0 193193 0 0 0 WILLIAM LOVEALL 129223 0 25018 0 774 0 11575 0 13140 0 179730 0 0 0 KARA J THOMPSON 116174 0 22243 0 414 0 10485 0 13180 0 162496 0 0 0 KEVIN G STRUCKHOFF 109578 0 22243 0 414 0 10225 0 22186 0 164646 0 0 0 SUSAN G HIGH 115431 0 22243 0 414 0 10453 0 16447 0 164988 0 0 0 CHANCE R WATSON 109445 0 25856 0 180 0 9456 0 7053 0 151990 0 0 0 JEFF J WEBSTER 110944 0 22257 0 414 0 9949 0 7845 0 151409 0 0 0 JAMES B BRADLEY 111212 0 18495 0 2286 0 9976 0 22133 0 164102 0 0 0 FORM 990, SCHEDULE J, PART I: QUESTIONS REGARDING COMPENSATION PART I, LINE 6A: TG'S BOARD OF DIRECTORS' APPROVED CORPORATE PERFORMANCE AWARD PROGRAM COMPENSATES ELIGIBLE EMPLOYEES BASED UPON PREDETERMINED FORMULAS. THE BOARD APPROVES THE TOTAL AWARD POOL FORMULA BEFORE THE BEGINNING OF THE FISCAL YEAR BASED ON THE ORGANIZATION ACHIEVING ITS CORPORATE GOALS, ONLY ONE OF WHICH IS NET EARNINGS. THE TOTAL AWARD POOL IS APPORTIONED TO EACH CORPORATE GOAL. THE PAYOUT RESULTING FROM ACHIEVING AT LEAST 85% OF EACH GOAL MAY INCREASE DEPENDING ON THE EXTENT TO WHICH THE GOAL IS EXCEEDED; HOWEVER, THE INCREASE IS CAPPED WHEN 120% OF GOAL IS ACHIEVED. ELIGIBLE EMPLOYEES INCLUDE ALL REGULAR EMPLOYEES WORKING A MINIMUM OF 20 HOURS PER WEEK, EMPLOYED AT THE END OF THE FISCAL YEAR, NOT PARTICIPATING IN ANOTHER DEPARTMENTAL INCENTIVE PLAN, AND MEETING MINIMUM PERFORMANCE STANDARDS. EACH EMPLOYEE'S PAYOUT IS BASED ON A FORMULA WHICH TAKES THE SALARY MIDPOINT FOR THAT INDIVIDUAL'S PAY GRADE INTO ACCOUNT. EVERYONE AT A PARTICULAR PAY GRADE WILL GET THE SAME AWARD AS LONG AS THEY ARE ELIGIBLE TO RECEIVE THE AWARD. Cash Grant 2013-09-03 248062000 Cash 746000089 Veterans Education Assistance PO Box 13528 Capitol Station Austin TX 78711 TX Higher Edu false false false false Cash Grant to Veterans Education Assistance Program Part II, Line 1 During the fiscal year, TG made a substantial one-time grant to the State of Texas endowment for the State's Veterans Education Assistance program to provide higher education support to qualified veterans and qualified members of their families. This substantial grant resulted in net assets decreasing by over 25% during the fiscal year. TG has no intent to dissolve and expects to continue normal operations into the future. GENERAL STATEMENT 1 FORM 990, PART III, MISSION STATEMENT "To be the premier provider of information, products, and services to help students and families realize their education and career dreams." TG administers the Federal Family Education Loan Program (FFELP). GENERAL STATEMENT 2 FORM 990, PART III, LINE 4A, DESCRIPTION OF PROGRAM SERVICES FORM 990, PART III, LINE 4A: GUARANTOR OPERATIONS - TG's guarantor operations encompass the administration of the Federal Family Education Loan Program on behalf of the U.S. Department of Education. As of fiscal year end, TG's outstanding loan portfolio balance exceeded $15 billion. Promoting borrower success is a long-term endeavor, starting before a student borrower enrolls in college and lasting through repayment. TG has a set of specialized teams - Customer Assistance, Default Prevention, and Default Recovery - that serve borrowers throughout the student loan lifecycle. These teams educate student borrowers about loans and their repayment options and help them return to repayment in the case of delinquency or default. Serving as a bridge from graduation to repayment: Recent studies, including one released in 2013 by the Project on Student Debt, spotlight the growing burden of student loans. According to the report, 71 percent of students who graduated in 2012 from a four-year private or public nonprofit university borrowed to pay for their education, leaving school with an average of $29,400 in student loans. Managing such debt in a recovering economy can be a difficult task. TG's Default Prevention team offers help, reaching out to borrowers in a multi-channel communications campaign of emails, letters, and phone calls. The team's goal is to educate and empower borrowers, so that they understand their repayment options and make choices that maintain or return them to healthy repayment. Results for FY 2013 show the benefits of such an approach. The Default Prevention team guided more than 305,000 borrowers with $4.5 billion in loans back to repayment. These efforts not only help borrowers make progress in repayment but also avoid default, which can damage credit and add collection fees to total loan costs. Guiding borrowers back onto the repayment path: Almost every borrower has options, no matter the circumstance. All TG's customer-facing teams emphasize this advice, including the Default Recovery team, which helps borrowers with loans in default. Such borrowers may feel their choices are limited, but the Default Recovery team works to explain otherwise, describing all possible solutions given each borrower's financial needs. The team's experience and willingness to help earned the trust of many borrowers, and more than 27,700 returned to repayment in the last year. Many did so through the best possible method - loan rehabilitation. Under loan rehabilitation, borrowers agree to make nine, on-time payments over a ten-month period. The default is then removed from the borrower's credit history, and the borrower becomes eligible for other benefits, such as loan deferment. Borrowers appreciate the team's comprehensive counseling approach to finding a repayment solution that could help them succeed in repayment. Educating students in the financial literacy fundamentals: Financial literacy is a highly valuable skill in today's economy, especially for students managing their first long-term repayment obligation right out of school. TG offers a robust financial literacy program that has grown more comprehensive over time. The TG Financial Literacy Program covers a broad set of topics (from credit basics to employee compensation); uses a highly interactive teaching method, including games and exercises; and is delivered both in person and online. Today, the TG Financial Literacy Program has earned a reputation as a strong teaching tool, and more than 40,000 students have taken one or more courses, with users coming from colleges, high schools, independent school districts, federal grant programs, and community-based organizations. Leveraging the power of online learning: More colleges and universities are turning to online learning as a convenient, cost-effective way to teach their students a variety of topics, including debt management. The TG Learning Center provides access to a catalog of trainings in financial literacy, default prevention, and policy topics. In the last fiscal year, more than 15,000 users completed one or more offered trainings. In FY 2013, TG added a number of new modules to the TG Learning Center, including sessions on loan counseling and repayment plans. TG also inaugurated two Spanish-language versions of several financial literacy modules previously released. GENERAL STATEMENT 3 FORM 990, PART III, LINE 4B, 4C, & 4D, DESCRIP. OF PROGRAM SERVICES CONT'D FORM 990, PART III, LINE 4B: NON-GUARANTOR OPERATIONS - TG's non-guarantor operations include various endeavors related to promoting access to higher education, including TG's philanthropic activities. Significant highlights are described below. Providing extra support to schools and borrowers: In September 2013, the Department of Education released the latest official 2- and 3-year cohort default rates, which measure the number of borrowers who enter repayment in a fiscal year and default within the next year (for 2-year rates) to two years (for 3-year rates). National rates have trended up over time, causing concern in the broader higher education community. In response, many schools are supplementing their borrower outreach efforts with third-party, for-fee servicers like TG's HigherEDGE Default Aversion Solutions. HigherEDGE offers comprehensive support to schools and their borrowers, including a dedicated call center, consulting on effective default prevention practices, online reporting tools for monitoring and managing default, and support in drafting a strategic default management plan. Since its debut, HigherEDGE has proved an important resource to schools, providing crucial help in returning borrowers to repayment. In the last year, the HigherEDGE team doubled the number of its school customers and debuted a mobile-friendly version of its website for borrowers on the go. Offering resources based on research and study: In 2012, TG's Research and Analytical Services team produced a paper, "Balancing Passion and Practicality: The Role of Debt and Major on Students' Financial Outcomes," that considered how a student's choice of major can affect his or her ability to repay education debt. In 2013, TG capitalized on this research by developing an online tool, Major Choices, which supplies an estimate of the median debt-to-income ratios for particular majors at many public colleges and for-profit institutions within Texas. The tool provides a simple way to project student loan payment as a portion of first-year earnings. It also helps students consider how pursuing particular majors at particular schools may affect their bottom line after graduation. Given the growth in college costs and loan debt levels, this Web-based tool has earned national attention. It offers an example of how to put statistical research at the command of students and borrowers weighing the costs and benefits of a worthwhile but long-term investment like college. Providing insight about the causes of high debt: Understanding why student loan debt is on the rise is a priority for many higher education organizations, including TG. Recently, TG's research team analyzed some national data on college costs and came up with some startling results. The research flyer, A Brief Look at Transfer Students and Financial Aid, summarizes this research, which calls into question the received wisdom that bachelor's degree-seeking students save money by starting at a community college. Instead, TG's research reveals that students who start at a two-year college, then transfer and graduate from a four-year university, borrow as often and as much as students who begin at the university level. In the case of private, four-year schools, the amount borrowed is higher for transfer students. One possible cause is that students who start at four-year schools receive more in financial aid from schools than their transfer peers. These findings have caught the attention of the higher education community and spurred other organizations to look closer at borrowing levels among student groups. TG will expand on its findings in an upcoming research paper. TG Philanthropy: In the last year, TG made substantial financial contributions to a variety of higher education initiatives. In FY 2011, TG pledged $25 million to the newly established T-STEM Challenge Scholarship Program. In the last fiscal year, TG fulfilled the balance of its pledge with a contribution of $19.2 million. The program will help students from community and two-year public colleges pursue degrees and certifications in science, technology, engineering, and mathematics, or STEM. In FY 2013, TG contributed $30 million to the TEXAS (Towards EXcellence, Access, and Success) Grant Program, which brings TG's total contribution to the program to $50 million. The TEXAS Grant Program provides higher education grants to eligible students who need financial help to pursue a higher education. As the state's largest financial aid program, the TEXAS Grant Program is an important component of the state's Closing the Gaps by 2015 campaign. In cooperation with the State of Texas, TG contributed $248 million to establish an endowment for the Hazlewood Act Legacy Program (Veterans Education Assistance Fund), which provides higher education funds to qualified veterans and their families. The Hazlewood Act is a State of Texas benefit that offers veterans, their spouses, and dependent children with an education benefit of up to 150 hours of tuition exemption, including most fee charges, at public higher education institutions in Texas. Offering targeted support to break down barriers to a higher education Since 2005, the TG Philanthropy Program has provided competitive grants to institutions and nonprofit organizations working to raise college enrollment and graduation rates. Grants help, either directly or indirectly, students from low- to moderate-income families as well as first-generation college students and students from populations underserved by higher education. In 2013, TG awarded $7.3 million in competitive grants to 33 institutions and nonprofit organizations to advance postsecondary access and completion, and help support educational research. To date, TG has awarded more than $44.3 million through the TG Philanthropy Program. Awards help fund a variety of initiatives, including need-based grants to students; student mentoring and internships; pre-college outreach to students and families; and education research. SIGNIFICANT CHANGES TO GOVERNING DOCUMENTS FORM 990, PART VI, SECTION A, LINE 4 Texas Guaranteed Student Loan Corporation (TG) was formed by an Act of the Texas State Legislature and was governed by Texas state statutes. Effective September 3, 2013, new legislation was enacted that converted TG from a public nonprofit corporation to a nonprofit corporation. The conversion was effectuated by filing a Certificate of Conversion with the Texas Secretary of State. This was purely an administrative matter that did not impact the corporate structure or the operations of TG. TG has received a private letter ruling from the IRS confirming that the conversion did not create a new entity and therefore TG is not required to submit a new Application for Determination of Exempt Status. Following the conversion, TG is managed by its board of directors. Directors are elected by the board and are subject to term limitations. PROCESS OF REVIEWING THE 990 FORM 990, PART VI, SECTION B, LINE 11B: TG'S ACCOUNTING DEPARTMENT WORKS WITH ITS CPA FIRM TO PREPARE THE 990. ONCE A FINAL DRAFT IS AVAILABLE, IT IS SUBMITTED TO EXECUTIVE MANAGEMENT (INCLUDING THE CFO) FOR REVIEW. ONCE ALL QUESTIONS HAVE BEEN RESOLVED, THE RETURN, IN ITS FINAL FORM, IS PRESENTED TO THE TG BOARD OF DIRECTORS; AT WHICH TIME MANAGEMENT WILL HIGHLIGHT SIGNIFICANT SECTIONS OF THE RETURN AND ANSWER ANY QUESTIONS THAT MAY ARISE. ENFORCEMENT OF CONFLICT OF INTEREST POLICY FORM 990, PART VI, SECTION B, LINE 12C: TG'S CODE OF BUSINESS CONDUCT IS A POLICY WHICH ALL EMPLOYEES, OFFICERS AND DIRECTORS MUST AGREE TO. WITHIN THE CODE OF BUSINESS CONDUCT, MANAGERS, KEY EMPLOYEES, OFFICERS AND DIRECTORS ARE REQUIRED TO DISCLOSE ANY BUSINESS INTERESTS OUTSIDE OF TG, AND REAFFIRM EACH YEAR. TG'S LEGAL COUNSEL PROACTIVELY REVIEWS AND ACTS ON POTENTIAL CONFLICTS. ACTUAL CONFLICTS, SHOULD THEY OCCUR, MAY RESULT IN DISCIPLINARY ACTION, UP TO AND INCLUDING TERMINATION AND POSSIBLE CRIMINAL PROSECUTION. TG TEAM MEMBERS ARE REQUIRED TO COMPLETE PERIODIC TRAINING AS IT RELATES TO TG'S CODE OF BUSINESS CONDUCT. COMPENSATION DETERMINATION PROCESS FORM 990, PART VI, SECTION B, LINE 15A & 15B PART VI, LINE 15A: TG contracts with a third party consultant to provide benchmark data for TG employees and officers, including annual compensation studies which are presented to the TG Board of Directors for their review. The third party consultants use compensation data for similarly qualified persons in the comparable positions for both officers and key employees at similar organizations. Documentation to support benchmark decisions regarding compensation arrangements for all employees is retained. The officer and employee positions for which the benchmarking process is used to establish compensation occurs annually. The Board of Directors specifically reviews Senior Management compensation benchmarks and approves annual adjustments and/or merit increases as recommended by the President/CEO. Annually, the Board makes specific decisions on the President/CEO's salary. DISCLOSURE OF DOCUMENTS FORM 990, PART VI, SECTION C, LINE 19: TG'S CODE OF BUSINESS CONDUCT, AS WELL AS ITS ANNUAL REPORT, IS AVAILABLE TO ALL EMPLOYEES AND THE GENERAL PUBLIC VIA TG'S WEBSITE, WWW.TGSLC.ORG, OR UPON REQUEST. GENERAL STATEMENT 4 FORM 990, PART VII, SECTION B: INDEPENDENT CONTRACTORS NAME AND ADDRESS DESCRIPTION OF SERVICES COMPENSATION ----------------------------------------------------------------------- EDUCATION ASSISTANCE SVCS DEBT COLLECTOR 3,403,400. 3500 C WADLEY PL STE 301 AUSTIN, TX 78728 ACCOUNT CONTROL TECHNOLOGIES DEBT COLLECTOR 2,566,672. 6818 OWENSMOUTH AVE CANOGA PARK, CA 91309 REGIONAL ADJUSTMENT BUREAU DEBT COLLECTOR 2,358,923. 3009 DAVIS PLANTATION ARLINGTON, TX 38002 GENERAL REVENUE CORP DEBT COLLECTOR 2,041,197. 11501 NORTHLAKE PL CINCINNATI, OH 45249 VAN RU CREDIT CORP DEBT COLLECTOR 1,362,621. BOX 1109 SKOKIE, IL 60076-5109 --------------- TOTAL COMPENSATION 11,732,813. --------------- EDUCATION ASSISTANCE SERVICES INC PO BOX 6714 ROUND ROCK TX 78683 742748786 COLLECTION AG TX NA C 3730800 1102023 1.00000 true true true false false false false false false false true false true true false true false false false false EDUCATION ASSISTANCE SERVICES INC A, J 58654 FMV EDUCATION ASSISTANCE SERVICES INC L, O 106792 FMV EDUCATION ASSISTANCE SERVICES INC B 250000 FMV EDUCATION ASSISTANCE SERVICES INC M 3686382 FMV