WSR 16-07-150 PROPOSED RULES STATE BOARD FOR COMMUNITY AND TECHNICAL COLLEGES [Filed March 23, 2016, 9:34 a.m.]
Original Notice.
Preproposal statement of inquiry was filed as WSR 16-02-088.
Title of Rule and Other Identifying Information: Institutional financial aid fund, WAC 131-36-050, 131-36-055, 131-36-100, and 131-36-250.
Hearing Location(s): Skagit Valley College, 2405 East College Way, Mount Vernon, WA 98273, on May 5, 2016, at 8:30 a.m.
Date of Intended Adoption: May 5, 2016.
Submit Written Comments to: Scott Copeland, 1300 Quince Street S.E., Olympia, WA 98504, e-mail scopeland@sbctc.edu, by April 21, 2016.
Assistance for Persons with Disabilities: Contact Beth Gordon by April 21, 2016, TTY (360) 704-4309 or bgordon@sbctc.edu.
Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: The purpose of this proposal is to make rule amendments necessary to align with and meet recent statutory changes.
Reasons Supporting Proposal: RCW 28B.15.820 requires the state board to adopt necessary rules to implement subsection (11), which was added to the statute in 2009, allowing funds in this account to be used for "a locally administered financial aid program for high school students enrolled in dual credit programs. Moneys from this fund may be used for all educational expenses related to a student's participation in a dual credit program including but not limited to tuition, fees, course materials, and transportation."
Statutory Authority for Adoption: RCW 28B.15.067.
Statute Being Implemented: RCW 28B.15.067.
Rule is not necessitated by federal law, federal or state court decision.
Name of Proponent: State board for community and technical colleges, governmental.
Name of Agency Personnel Responsible for Drafting: Scott Copeland, 1300 Quince Street S.E., Olympia, WA 98504, (360) 704-4397; Implementation and Enforcement: John Ginther, 1300 Quince Street S.E., Olympia, WA 98504, (360) 704-4380.
No small business economic impact statement has been prepared under chapter 19.85 RCW. The proposed changes do not impact small business or school district costs.
A cost-benefit analysis is not required under RCW 34.05.328. The proposed changes do not create or change any costs.
March 23, 2016
Beth Gordon
Executive Director
and Rules Coordinator
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-050 Definitions.
For the purposes of chapter 131-36 WAC, the following definitions shall apply:
(1) "Fund" shall mean the institutional financial aid fund established by RCW 28B.15.820.
(2) "Current federal methodology" shall mean the method of determining financial need as prescribed by the United States Department of Education.
(3) (("NELA")) "Loan guarantor" shall mean ((Northwestern Education Loan Association, a private student loan guaranteeing association)) the Washington student loan guaranty association or its successor agency authorized to guarantee educational loans in Washington granted pursuant to 20 U.S. Code Section 1071.
(4) "Operational" shall mean that the institution has been approved as a lender and is eligible to provide loans guaranteed by ((NELA)) the Washington student loan guaranty association successor agency.
(5) "Needy student" is defined in RCW 28B.92.030(3).
(6) "Other institutional financial aid" shall be defined as locally administered, need-based institutional employment, tuition and fee scholarships, or grants.
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-055 Use of fund.
Moneys in this fund shall be used for student financial aid:
(1) Long-term loans;
(2) Short-term loans; or
(3) Locally administered need-based grants, tuition scholarships and institutional employment programs for needy, resident students, or a financial aid program for high school students enrolled in a dual credit program to cover expenses including, but not limited to, tuition, fees, course materials, and transportation. The moneys in this fund shall not be used for college operating expenses.
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-100 Eligibility.
(1) Long-term loans and other institutional financial aid to needy students shall be made only to students who qualify as residents for tuition purposes under RCW 28B.15.012 ((and 28B.15.013)) (2)(a) through (e) or to align with federal guidelines and are enrolled for at least three credit hours of instruction or the equivalent.
(2) Priorities for use of other institutional financial aid shall be given to:
(a) Needy students who have accumulated excessive educational loan burdens;
(b) Needy single parents for educational expenses, including child care and transportation; ((and))
(c) Other eligible needy students; and
(d) Needy dual credit enrolled students for tuition, fees, course materials, and transportation.
(3) Short-term loans may be made to any student enrolled in the institution.
(4) For long-term and short-term loans, institutions must have ample evidence that students have the capability of repaying the loan within the time frame specified by the institution.
(5) No individual shall be eligible for long-term loans, short-term loans or other institutional financial aid for needy students if currently in default or delinquent in the payment on any educational loan or who owes a repayment on any federal or state grant.
AMENDATORY SECTION (Amending WSR 98-15-012, filed 7/2/98, effective 8/2/98)
WAC 131-36-250 Initiating, servicing, and collecting loans.
(1) Community colleges shall utilize the loan collecting and servicing agency designated by the state director for community and technical colleges and the ((NELA)) loan guarantor.
(2) The state director of community and technical colleges shall determine and designate on behalf of the state board an appropriate entity to conduct servicing and collection activities with regard to loans made from the fund.
(3) The state director of community and technical colleges shall, when (s)he determines that it is in the best interest of the college system, determine and designate on behalf of the state board an appropriate entity to perform loan initiation activities and transaction reporting regarding loans made from the fund.
(4) Subsequent to granting loans from the fund each college shall cooperate with the ((NELA)) loan guarantor and the servicing and collection agency through informing students of their rights and responsibilities regarding such loans; timely provision of student status verification information and information pertaining to determinations of default, forbearance, and deferment of loans; consolidation of loans; and records maintenance.
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