1. (a)

   1. (1) The scholarship will pay that portion of charges that exceeds the amount of the Survivors’ and Dependents’ Education Assistance program educational assistance allowance or the full amount if the recipient is ineligible for the Survivors’ and Dependents’ Education Assistance program, but is eligible for the MDS.
   2. (2) Reimbursement is limited to the cost of tuition at the in-state rate, mandatory fees, and a room and meal plan when provided in campus facilities from such institution or school.
   3. (3) The amount reimbursed for the room shall not exceed the usual and custom amounts charged by the institution as for similar scholarship programs.

2. (b)

   1. (1) Payment on behalf of the scholarship recipient will be made directly to the recipient's institution.
   2. (2) The Division of Higher Education will reimburse the institution at the beginning of each semester for approved charges covered by this program upon receipt of the reimbursement form, and verification of the charges.
   3. (3) Reimbursement can only be made for the year in which the student is currently enrolled and has made application.
3. (c) The division will pay the institution for the award covered by this program upon receipt of the reimbursement form, and verification of the charges.

4. (d)

   1. (1) A recipient who has received a Military Dependents’ Scholarship may transfer to another eligible institution after providing written notification of the change of status to the division by:

      1. (A) October 1 for a fall term;
      2. (B) February 1 for a winter or spring term; and
      3. (C) June 1 for a summer term.
   2. (2) Failure to notify the division of the transfer by the deadline will disqualify the student for waiver of tuition and fees at the institution to which he or she has transferred.

5. (e)

   1. (1) Recipients may withdraw from the Military Dependents’ Scholarship Program upon written notification to, and approval by, the division.
   2. (2) The petition shall give the reason for withdrawal and will be supported with documentation.
   3. (3) Recipients who withdraw from school and fail to notify the division by October 1 for the fall term, February 1 for the winter and/or spring terms, and June 1 for the summer terms will not be eligible for a tuition waiver for that semester.
   4. (4) The recipient may receive the tuition waiver if he or she can demonstrate that extraordinary circumstances prevented him or her from notifying the division.

6. (f)

   1. (1) The award will be permanently revoked if the recipient fails to enroll full-time and the division receives neither written notification of transfer to another eligible institution, nor a petition for withdrawal by the recipient by:

      1. (A) October 1 for the fall term;
      2. (B) February 1 for the winter/spring terms; and
      3. (C) June 1 for the summer terms.
   2. (2) At the discretion of the division, the award will not be revoked if the division determines that extraordinary circumstances prevented the student from notifying the division by the required dates.

7. (g)

   1. (1) Recipients who are members of the Arkansas National Guard or Armed Forces Reserve units who are called to active duty for reasons other than regular unit training and are unable to complete the current term will not be penalized.
   2. (2) They will be placed in deferred status until six (6) months after release from active duty.

8. (h)

   1. (1) Acts 1999, No. 1180, states that students who receive scholarships from public funds may not use those funds in a financial aid package to exceed the federally recognized cost of attendance at the institution where the student enrolls.
   2. (2) The institution must follow division policy in repaying public funds in the amount exceeding the total cost of attendance for any student who receives public funds in a financial aid package above the cost of attendance.
9. (i) The state assistance awarded to a dependent attending a private, nonprofit institution of higher education in this state shall not exceed the amount of state assistance awarded to dependents attending state-supported institutions of higher education.

Codification Notes: “MDS” means Military Dependents’ Scholarship.