Lawsuit alleges Southeast Missouri State University, others misapply veterans' tuition discount

Southeast Missouri State University is among four Missouri institutions of higher education named in a class-action lawsuit on behalf of combat veterans claiming the schools violated the Missouri Returning Heroes' Education Act by incorrectly applying the tuition-reduction program and costing veterans the full discount.

Southeast president Ken Dobbins, however, counters that the university followed the law in applying tuition discounts.

Southeast student Tim Miller joined four students from the University of Missouri at Columbia, the University of Missouri at St. Louis and Moberly Area Community College in filing the lawsuit. Reached Friday afternoon, Miller said he was been advised by his attorney not to comment.

The Heroes' Act, in effect since 2008, caps tuition at $50 per credit hour for veterans who have served in combat since Sept. 11, 2001.

John Campbell, a lawyer at Simon Law firm in St. Louis, said the lawsuit, which seeks restitution, challenges the schools' policy of applying other federal and state aid to tuition before the reduction is considered.

"As a result, the veteran is left to pay for the rest of his attendance," Campbell said.

The lawsuit asserts the schools should disperse other sources of aid over the full cost of attending college -- room and board, books, materials and so on. Generally the cost of attendance for in-state Missouri college students breaks down to 40 percent tuition, 40 percent room and board, 5 percent books and supplies and 15 percent personal expenses, transportation, according to the lawsuit.

"So only a portion would be applied to the cost of tuition, and the result would be the veteran really does pay less for tuition," Campbell said.

Dobbins said Southeast has adhered to the guidelines from the Missouri Coordinating Board of Higher Education.

"I think that we have followed everything that needed to be followed by the letter of the law," he said.

The Coordinating Board of Higher Education, in guidance to financial aid administrators, directs that state and federal student financial assistance must be applied to a "student's cost of attendance" before the institution calculates the waiver.

"For example, if the institution's tuition is $7,000 for an academic year for a full-time student (15 credit hours per semester) and the student is eligible for $5,000 in federal and state aid, the tuition limitation would be applied to the remaining $2,000. The student would be required to pay $1,500 (30 hours times $50) and the institution would waive $500," the Heroes' Act implementation Q&A says.

The lawsuit points to the law's tuition limitation section, noting the reduction "shall be provided after all other federal and state aid for which the veteran is eligible has been applied, and no combat veteran shall receive more than the actual cost of attendance when the [discount] is combined with other aid made available."

The higher education board recommends that institutions apply the tuition discount to fees as well, at least those that are charged by the credit hour, and notes the "actual cost of attendance" includes room and board, books and standard allowances for personal expenses.

Gov. Jay Nixon, in Cape Girardeau and Jackson on Friday, said he had not seen the pleadings in the case but added he is hopeful that there is a way to continue the college-assistance program. He said his administration will look at ways to answer the questions surrounding the act through means other than litigation.

"I will look into it. I can guarantee we'll look into making sure we're living up to the commitments for our veterans, especially the ones who served overseas," Nixon said.

Cape Girardeau City Council member Kathy Swan, who also serves on the Coordinating Board for Higher Education, said it appears the litigation comes down to a matter of interpretation.

Campbell said he doesn't think the law is vague, but the lawsuit asserts the act has been misunderstood or misapplied.

"In applying those rules, I think the court will see it is designed to reduce tuition, not the way it is applied today," he said.

The lawsuit says a class action fits the state standard, including a class of more than 40 and as many as 8,000 people.

"There are plenty of combat veterans coming back every month, and we want to make sure this is applied right in the future," Campbell said.

mkittle@semissourian.com

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