3.74 – Tuition Reimbursement Plan

A.    Purpose

To provide a tuition reimbursement plan for qualified employees who desire to continue their education.

B.    Policy

All qualified full-time employees pursuing a bachelors, masters or doctorate degree program may qualify for tuition reimbursement if the program is college or job-related. All courses, required and elective, which are related to an employee’s work or which lead to a college-related degree may be eligible for reimbursement.

C.    Procedures

Only full-time employees who have completed one (1) year of employment are eligible for tuition reimbursement under the reimbursement plan. Only tuition will be eligible for reimbursement. Books and fees are not reimbursable under the plan. Equivalent courses offered by the college and transferrable into the desired degree program must be taken at OTC and are not eligible for tuition reimbursement if taken elsewhere.

An employee must indicate in writing their intent to be employed with the college for the next fiscal year from the last reimbursement. If an employee leaves prior to completing their agreement year, the tuition payback will be prorated for the reimbursement they received in the prior fiscal year.

Any tuition reimbursement application must be submitted and reviewed by their supervisor, respective vice chancellor, and recommended to the chancellor for approval prior to starting any class. Courses must be a part of a curriculum leading to a degree related to the business and operation of an institution of higher learning.

If an employee is eligible to receive funding from alternative sources (i.e. Pell Grant, scholarship, military benefits, state funding, etc.), OTC will not reimburse those employees for their tuition expenses. However, if the employee’s tuition exceeds the amount that is reimbursable through financial assistance, the employee may be eligible for reimbursement for the amount of tuition in excess of the amount paid from other financial assistance. Loans are not considered an alternative source of funding for the calculation of tuition reimbursement.

Funding for the tuition reimbursement plan will be dependent on the availability of funds in the annual budget. Reimbursement amounts may vary, as available funds will be distributed equally for all credit hours submitted. However, the maximum reimbursement will be no greater than the maximum amount that is considered exempt from employment taxes, as determined by the Internal Revenue Service. In no instance will an employee be reimbursed for an amount that exceeds their covered out-of-pocket tuition costs.

An employee must submit a copy of their paid itemized tuition receipt, and a record of their grade(s) to the Benefits Administrator for reimbursement. Only courses with a grade of “B” or better will be considered for reimbursement. Employees will not be reimbursed for courses in which the employee can receive a grade of only “Pass” or “Fail,” unless there is no other grade option, then a “Pass” grade will be eligible for reimbursement. Reimbursement will be made in June of each fiscal year.

D.    Definitions

E.    Authority

This policy is maintained under the authority of the executive vice chancellor for administrative services.

F.  Related Policies

3.71 – Employee Tuition Waiver

G.  Implementation

Policy approved and adopted by the Board of Trustees on 3/12/01 and 5/11/20. Revised 8/13/07 and 3/9/20.

Purpose, Procedures, Definitions, Authority and Related Policies sections approved and adopted by the chancellor’s cabinet on 3/17/20.

Set for review in fiscal year 2026-2027.