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DOPT has clarified that Hostel subsidy would mean expenses incurred by the Government servant if he/she keeps his/her children in a hostel of a residential school/institution located beyond a distance of 50 kilometers from his/her residence.
It is also clarified that grant of hostel subsidy is not related to transfer liability of the Government servant. This clarification has rectified the doubt raised by various administrative authorities to the effect that whether Hostel subsidy would be allowed only if a Government Employee was transferred from the place where children are studying and consequently they are admitted in hostel.
As far as eligibility of children education allowance in respect of children pursuing Diploma course from Polytechnic or ITI or from an Engineering College is concerned it is clarified by DOPT that those children will be entitled for CEA only if children eduction allowance was not obtained in respect of those children for 11th and 12th standard or its equivalent.
The detailed Office Memorandum No.12011/07/2011-Estt.(AL) dated 31.05.2012, issued by DOPT in this regard is as follows
Government of India
Ministry of Personnel, Public Grievances and Pension
Department of Personnel & Training
New Delhi, May 31, 2012
Subject: Children Education Allowance/Hostel Subsidy — Clarification
Subsequent to clarifications issued vide O.M.No.12011/3/2008-Estt.(Allowance) dated 11.11.2008 and O.M.No.12011/08/2010-Estt.(AL) dated 30.12.2010, on the captioned subject, references have been received on (i) definition of the term “station” and (ii) admissibility of Hostel Subsidy and Children Education Allowance in respect of children pursuing diploma / certificate courses from polytechnic / ITI / Engineering College, after passing 10th standard.
2. After due consideration of the references in consultation with the Department of Expenditure, the following has been decided:
a. The term Hostel Subsidy would mean expenses incurred by the Government servant if he/she keeps his/her children in a hostel of a residential school/institution located beyond a distance of 50 kilometers from his/her residence. The reimbursement would be subject to other conditions laid down in the O.M. dated 2.9.2008 and subsequent instructions issued from time to time. It is further clarified that grant of hostel subsidy is not related to transfer liability of the Government servant.
b. To allow reimbursement of Children Education Allowance/Hostel Subsidy for the initial two years of a diploma/certificate course from Polytechnic / ITI / Engineering College, if the child pursues the course after passing 10th standard and the Government servant has not been granted CEA/Hostel Subsidy in respect of the child for studies in 11th and 12th standards. This is further subject to fulfillment of other conditions laid down in the O.M. dated 2.9.2008 and subsequent instructions issued from time to time.
3. This comes into effect from the current academic year.
Hindi version will follow.