Effective Date of Rule: Immediately.

     Purpose: To provide rules for the vocational indirect cost limit for middle school career and technical education programs.

     To limit middle school and secondary carry over to the ensuing year to no more than the vocational enhancement allocation less the recovery.

     Citation of Existing Rules Affected by this Order: Amending WAC 392-121-570 and 392-121-578.

     Statutory Authority for Adoption: RCW 28A.150.290(1).

     Under RCW 34.05.350 the agency for good cause finds that in order to implement the requirements or reductions in appropriations enacted in any budget for fiscal year 2009, 2010, 2011, 2012 or 2013, which necessitates the need for the immediate adoption, amendment, or repeal of a rule, and that observing the time requirements of notice and opportunity to comment upon adoption of a permanent rule would be contrary to the fiscal needs or requirements of the agency.

     Reasons for this Finding: Rule revisions are needed to implement legislative changes that add middle school career and technical programs to the vocational indirect cost limit.

     Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 1, Repealed 0.

     Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 1, Repealed 0.

     Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.

     Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0;      Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0.

     Date Adopted: November 17, 2011.

Randy Dorn

State Superintendent

OTS-4469.1

AMENDATORY SECTION(Amending WSR 04-01-058, filed 12/11/03, effective 1/11/04)

WAC 392-121-570   Vocational indirect cost limit -- Applicable code provisions -- Purpose -- Effective date.   (1) WAC 392-121-570 through 392-121-578 define the fifteen percent limit on indirect cost charges to school district state-funded vocational-secondary programs as required by the Biennial Operating Appropriations Act. These rules do not apply to federal vocational funding which is governed by federal policies.

     (2) The purpose of these sections is to assure that state allocations for vocational education are expended by school districts to support state vocational programs. The minimum levels defined here are not to be construed as recommended expenditure levels.

     (3) These sections are effective for the 2002-03 school year and thereafter.

     (4) WAC 392-121-570 through 392-121-578 also apply to program 34, with program 34 substituted wherever program 31 appears. Running start does not apply to program 34.

[Statutory Authority: 2002 c 371 § 502(2) and RCW 28A.150.290. 04-01-058, § 392-121-570, filed 12/11/03, effective 1/11/04.]

OTS-4470.1

AMENDATORY SECTION(Amending WSR 04-01-058, filed 12/11/03, effective 1/11/04)

WAC 392-121-578   Vocational indirect cost limit -- Recovery of state allocations.   (1) At the time of the January apportionment calculations after the close of the school year, the superintendent of public instruction shall recalculate each school district's minimum direct expenditures.

     (2) If the district's program 31 expenditures are below the minimum program 31 expenditure amount, the district shall be allowed to carry over into the ensuing school year an amount equal to up to ten percent of the minimum expenditure amount excluding any carryover from the prior school year. The actual amount carried over to the ensuing year shall be no more than the vocational enhancement less the recovery.

     (3) The superintendent of public instruction shall recover from the district's general apportionment allocation as a prior year adjustment an amount equal to the lesser of the district's enhancement allocation for vocational students or the following amount:

     (a) The district's minimum program 31 expenditures; minus

     (b) The district's program 31 expenditures plus any allowable carryover.

     (((2))) (4) Recoveries made pursuant to this section shall be adjusted after the January apportionment calculation if revised enrollment, staff mix, or expenditure data submitted by the district and accepted by the superintendent of public instruction materially affects the district's recovery amount.

[Statutory Authority: 2002 c 371 § 502(2) and RCW 28A.150.290. 04-01-058, § 392-121-578, filed 12/11/03, effective 1/11/04.]

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