BILL REQ. #:  S-0607.1 

Read first time 01/25/2005.   Referred to Committee on Early Learning, K-12 & Higher Education.

     AN ACT Relating to creating a new institution of higher education in northern Snohomish county; amending RCW 28A.600.300, 28B.10.016, 28B.10.020, 28B.10.022, 28B.10.025, 28B.10.050, 28B.10.140, 28B.10.265, 28B.10.280, 28B.10.300, 28B.10.350, 28B.10.400, 28B.10.401, 28B.10.405, 28B.10.407, 28B.10.410, 28B.10.415, 28B.10.417, 28B.10.420, 28B.10.485, 28B.10.487, 28B.10.500, 28B.10.550, 28B.10.560, 28B.10.567, 28B.15.628, 28B.15.725, 28B.15.730, 28B.15.740, 28B.15.750, 28B.15.756, 28B.15.820, 28B.15.910, 28B.15.915, 28B.35.370, 28B.35.700, 28B.35.710, 28B.35.790, 28B.40.010, 28B.65.030, 28B.76.020, 28B.76.100, 28B.110.020, 34.05.010, 39.19.020, 39.90.060, 40.04.040, 40.04.090, 40.06.040, 41.04.340, 41.06.020, 41.40.108, 41.56.030, 41.76.005, 41.80.005, 43.19.450, 43.41.040, 43.79.150, 43.84.092, 43.88.195, 46.63.040, and 82.12.0264; reenacting and amending RCW 42.17.2401 and 43.84.092; adding a new chapter to Title 28B RCW; creating a new section; providing an effective date; and providing an expiration date.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION.  Sec. 1   (1) The legislature finds that, over the next decade, large numbers of Washington students will graduate from high school and seek access to higher education. Washington continues to lag significantly behind other states in its production of students with baccalaureate degrees and graduate degrees.
     (2) The legislature also finds that a new public four-year institution of higher education has not been created in the state of Washington since 1967. The three comprehensive institutions of higher education were created in the late 1890s when the state normal schools were established and no new comprehensive institution of higher education has been created since then.
     (3) The legislature further finds that northern Snohomish county and the surrounding region do not have reasonable access to a four-year institution of higher education. The legislature further finds that the creation of an additional four-year institution would complement the existing structure and provide additional options for students.
     (4) The legislature intends to create a four-year baccalaureate degree granting institution in north Snohomish county.

NEW SECTION.  Sec. 101   North Snohomish State College shall be in north Snohomish county.

NEW SECTION.  Sec. 102   (1) The governance of North Snohomish State College shall be vested in a board of trustees consisting of eight members, one of whom shall be a student. The governor shall select the student member from a list of candidates, of at least three and not more than five, submitted by the student body. They shall be appointed by the governor with the consent of the senate and, except for the student member, shall hold their offices for a term of six years from the first day of October and until their successors are appointed and qualified. The student member shall hold his or her office for a term of one year from the first day of June and until his or her successor is appointed and qualified. The student member shall be a full-time student in good standing at the college at the time of appointment. Except for the student member, initial members shall be appointed to staggered terms.
     (2) Five members of the board constitute a quorum for the transaction of business. In case of a vacancy, or when an appointment is made after the date of expiration of the term, the governor shall fill the vacancy for the remainder of the term of the trustee whose office has become vacant or expired.
     (3) Except for the term of the student member, no more than the terms of two members will expire simultaneously on the last day of September in any one year.
     (4) A student appointed under this section shall excuse himself or herself from participation or voting on matters relating to the hiring, discipline, or tenure of faculty members and personnel.

NEW SECTION.  Sec. 103   The board of North Snohomish State College trustees shall elect one of its members chairperson, and it shall elect a secretary, who may or may not be a member of the board. The board may adopt bylaws for its government and for the government of the school, which bylaws shall not be inconsistent with law, and may prescribe the duties of its officers, committees, and employees. A majority of the board constitutes a quorum for the transaction of all business.

NEW SECTION.  Sec. 104   The board of North Snohomish State College trustees shall hold at least two regular meetings each year, at such times as may be provided by the board. Special meetings shall be held as may be deemed necessary, whenever called by the chairperson or by a majority of the board. Public notice of all meetings shall be given in accordance with chapter 42.32 RCW.

NEW SECTION.  Sec. 105   In addition to any other powers and duties prescribed by law, the board of trustees of North Snohomish State College:
     (1) Shall have full control of the state college and its property of various kinds, except as otherwise provided by law;
     (2) Shall employ the president of the state college, the president's assistants, members of the faculty, and other employees of the institution, who, except as otherwise provided by law, shall hold their positions, until discharged therefrom by the board for good and lawful reason;
     (3) With the assistance of the faculty of the state college, shall prescribe the course of study in the various schools and departments thereof and publish such catalogues thereof as the board deems necessary, however the state board of education shall determine the requisites for and give program approval of all courses leading to teacher certification by such board;
     (4) Establish such divisions, schools, or departments necessary to carry out the purposes of the college and not otherwise proscribed by law;
     (5) Except as otherwise provided by law, may establish and erect such new facilities as determined by the board to be necessary for the college;
     (6) May acquire real and other property as provided in RCW 28B.10.020;
     (7) Except as otherwise provided by law, may purchase all supplies and purchase or lease equipment and other personal property needed for the operation or maintenance of the college;
     (8) May establish, lease, operate, equip, and maintain self-supporting facilities in the manner provided in RCW 28B.10.300 through 28B.10.330;
     (9) Except as otherwise provided by law, to enter into such contracts as the trustees deem essential to college purposes;
     (10) May receive such gifts, grants, conveyances, devises, and bequests of real or personal property from whatsoever source, as may be made from time to time, in trust or otherwise, whenever the terms and conditions thereof will aid in carrying out the college programs; sell, lease, or exchange, invest or expend the same or the proceeds, rents, profits, and income thereof except as limited by the terms and conditions thereof; and adopt rules to govern the receipt and expenditure of the proceeds, rents, profits, and income thereof;
     (11) Subject to the approval of the higher education coordinating board pursuant to RCW 28B.76.230, offer new degree programs, offer off-campus programs, participate in consortia or centers, contract for off-campus educational programs, and purchase or lease major off-campus facilities;
     (12) May adopt such rules, and perform all other acts not forbidden by law, as the board of trustees may in its discretion deem necessary or appropriate to the administration of the college.

NEW SECTION.  Sec. 106   (1) Subject to the provisions of RCW 35.21.779, the board of trustees of North Snohomish State College may:
     (a) Contract for such fire protection services as may be necessary for the protection and safety of the students, staff, and property of the college;
     (b) By agreement pursuant to the provisions of chapter 39.34 RCW, join together with other agencies or political subdivisions of the state or federal government and otherwise share in the accomplishment of any of the purposes of (a) of this subsection.
     (2) Neither the failure of the trustees to exercise any of its powers under this section nor anything in this section detracts from the lawful and existing powers and duties of political subdivisions of the state to provide the necessary fire protection equipment and services to persons and property within their jurisdiction.

NEW SECTION.  Sec. 107   Each board of North Snohomish State College trustees shall appoint a treasurer who shall be the financial officer of the board and who shall hold office during the pleasure of the board. Each treasurer shall render a true and faithful account of all moneys received and paid out by him or her, and shall give bond for the faithful performance of the duties of office in such amount as the trustees require. North Snohomish State College shall pay the fees for any such bonds.

NEW SECTION.  Sec. 108   The degree of bachelor of arts or the degree of bachelor of science and/or the degree of bachelor of arts in education may be granted to any student who has completed a four-year course of study or the equivalent thereof at North Snohomish State College.

NEW SECTION.  Sec. 109   In addition to all other powers and duties given to it by law, the board of trustees of North Snohomish State College is hereby authorized to grant any degree through the master's degree to any student who has completed a program of study and/or research in those areas that are determined by the faculty and board of trustees of the college to be appropriate for the granting of such degree. Any degree authorized under this section is subject to the review and approval of the higher education coordinating board.
     The board of trustees, upon recommendation of the faculty, may also confer honorary bachelor's or master's degrees upon persons other than graduates of the institution, in recognition of their learning or devotion to education, literature, art, or science. No degree may be conferred in consideration of the payment of money or the donation of any kind of property.

NEW SECTION.  Sec. 110   Every diploma issued by North Snohomish State College shall be signed by the chairperson of the board of trustees and by the president of the college, and sealed with the appropriate seal. In addition, teaching certificates shall be countersigned by the state superintendent of public instruction. Every certificate shall specifically state what course of study the holder has completed and for what length of time such certificate is valid in the schools of the state.

NEW SECTION.  Sec. 111   A model school or schools or training departments may be provided for North Snohomish State College, in which students, before graduation, may have actual practice in teaching or courses relative thereto under the supervision and observation of critic teachers. All schools or departments involved shall organize and direct their work being cognizant of public school needs.

NEW SECTION.  Sec. 112   The board of trustees of North Snohomish State College, if having a model school or training department as authorized by section 111 of this act, shall, on or before the first Monday of September of each year, file with the board of the school district or districts in which such North Snohomish State College is situated, a certified statement showing an estimate of the number of public school pupils who will be required to make up such model school and specifying the number required for each grade for which training for students is required.

NEW SECTION.  Sec. 113   It is the duty of the board of the school district or districts with which a statement under section 112 of this act has been filed, to apportion for attendance to the model school or training department, a sufficient number of pupils from the public schools under the supervision of the board as will furnish to North Snohomish State College the number of pupils required in order to maintain such facility. The president of North Snohomish State College may refuse to accept any such pupil as in his or her judgment would tend to reduce the efficiency of the model school or training department.

NEW SECTION.  Sec. 114   Annually, on or before the date for reporting the school attendance of the school district in which the model school or training department is situated, for the purpose of taxation for the support of the common schools, the board of trustees of North Snohomish State College, since having supervision over the school, shall file with the board of the school district or districts in which the model school or training department is situated, a report showing the number of common school pupils at each such model school or training department during the school year last passed, and the period of their attendance, in the same form that reports of public schools are made. Any superintendent of the school district so affected shall, in reporting the attendance in the school district, segregate the attendance at the model school or training department from the attendance in the other schools of said district. Attendance shall be credited, if credit is given therefor, to the school district in which the pupil resides.

NEW SECTION.  Sec. 115   Any student may be suspended or expelled from North Snohomish State College who is found to be guilty of an infraction of the rules of the institution.

NEW SECTION.  Sec. 116   The president of North Snohomish State College has general supervision of the college and must see that all laws and rules of the board of trustees are observed.

NEW SECTION.  Sec. 117   North Snohomish State College is entitled to receive and share in all the benefits and donations made and given to similar institutions by the enabling act or other federal law to the same extent as other state colleges are entitled to receive and share in such benefits and donations.

Sec. 201   RCW 28A.600.300 and 2002 c 80 s 1 are each amended to read as follows:
     For the purposes of RCW 28A.600.310 through 28A.600.400, "participating institution of higher education" or "institution of higher education" means:
     (1) A community or technical college as defined in RCW 28B.50.030; and
     (2) Central Washington University, Eastern Washington University, Washington State University, ((and)) The Evergreen State College, and North Snohomish State College, if the institution's governing board decides to participate in the program in RCW 28A.600.310 through 28A.600.400.

Sec. 202   RCW 28B.10.016 and 1992 c 231 s 1 are each amended to read as follows:
     For the purposes of this title:
     (1) "State universities" means the University of Washington and Washington State University.
     (2) "Regional universities" means Western Washington University at Bellingham, Central Washington University at Ellensburg, and Eastern Washington University at Cheney.
     (3) "State colleges" means The Evergreen State College in Thurston county and North Snohomish State College in north Snohomish county.
     (4) "Institutions of higher education" or "postsecondary institutions" means the state universities, the regional universities, The Evergreen State College, North Snohomish State College, the community colleges, and the technical colleges.
     (5) "Governing board" means the board of regents or the board of trustees of the institutions of higher education.

Sec. 203   RCW 28B.10.020 and 2004 c 275 s 47 are each amended to read as follows:
     The boards of regents of the University of Washington and Washington State University, respectively, and the boards of trustees of Central Washington University, Eastern Washington University, Western Washington University, ((and)) The Evergreen State College, and North Snohomish State College, respectively, shall have the power and authority to acquire by exchange, gift, purchase, lease, or condemnation in the manner provided by chapter 8.04 RCW for condemnation of property for public use, such lands, real estate and other property, and interests therein as they may deem necessary for the use of said institutions respectively. However, the purchase or lease of major off-campus facilities is subject to the approval of the higher education coordinating board under RCW 28B.76.230.

Sec. 204   RCW 28B.10.022 and 2003 c 6 s 1 are each amended to read as follows:
     (1) The boards of regents of the state universities and the boards of trustees of the regional universities, The Evergreen State College, and North Snohomish State College, and the state board for community and technical colleges, are severally authorized to enter into financing contracts as provided in chapter 39.94 RCW. Except as provided in subsection (2) of this section, financing contracts shall be subject to the approval of the state finance committee.
     (2) The board of regents of a state university may enter into financing contracts which are payable solely from and secured by all or any component of the fees and revenues of the university derived from its ownership and operation of its facilities not subject to appropriation by the legislature and not constituting "general state revenues," as defined in Article VIII, section 1 of the state Constitution, without the prior approval of the state finance committee.
     (3) Except for financing contracts for facilities or equipment described under chapter 28B.140 RCW, the board of regents shall notify the state finance committee at least sixty days prior to entering into such contract and provide information relating to such contract as requested by the state finance committee.

Sec. 205   RCW 28B.10.025 and 1990 c 33 s 557 are each amended to read as follows:
     The Washington state arts commission shall, in consultation with the boards of regents of the University of Washington and Washington State University and with the boards of trustees of the regional universities, The Evergreen State College, North Snohomish State College, and the community college districts, determine the amount to be made available for the purchases of art under RCW 28B.10.027, and payment therefor shall be made in accordance with law. The designation of projects and sites, the selection, contracting, purchase, commissioning, reviewing of design, execution and placement, acceptance, maintenance, and sale, exchange, or disposition of works of art shall be the responsibility of the Washington state arts commission in consultation with the board of regents or trustees. However, the costs to carry out the Washington state arts commission's responsibility for maintenance shall not be funded from the moneys referred to under this section, RCW 43.17.200, 43.19.455, or 28A.335.210, but shall be contingent upon adequate appropriations being made for that purpose.

Sec. 206   RCW 28B.10.050 and 2004 c 275 s 48 are each amended to read as follows:
     Except as the legislature shall otherwise specifically direct, the boards of regents and the boards of trustees for the state universities, the regional universities, ((and)) The Evergreen State College, and North Snohomish State College may establish entrance requirements for their respective institutions of higher education which meet or exceed the minimum entrance requirements established under RCW 28B.76.290(2).

Sec. 207   RCW 28B.10.140 and 2004 c 60 s 1 are each amended to read as follows:
     The University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, ((and)) The Evergreen State College, and North Snohomish State College are each authorized to train teachers and other personnel for whom teaching certificates or special credentials prescribed by the state board of education are required, for any grade, level, department, or position of the public schools of the state.

Sec. 208   RCW 28B.10.265 and 1993 sp.s. c 18 s 1 are each amended to read as follows:
     Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges may waive all or a portion of the tuition, operating, and services and activities fees for children of any person who was a Washington domiciliary and who within the past eleven years has been determined by the federal government to be a prisoner of war or missing in action in Southeast Asia, including Korea, or who shall become so hereafter, if the children meet such other educational qualifications as such institution of higher education shall deem reasonable and necessary under the circumstances. Applicants for free or reduced tuition shall provide institutional administrative personnel with documentation of their rights under this section.

Sec. 209   RCW 28B.10.280 and 1977 ex.s. c 169 s 11 are each amended to read as follows:
     The boards of regents of the state universities and the boards of trustees of regional universities, The Evergreen State College, North Snohomish State College, and community college districts may each create student loan funds, and qualify and participate in the National Defense Education Act of 1958 and such other similar federal student aid programs as are or may be enacted from time to time, and to that end may comply with all of the laws of the United States, and all of the rules, regulations and requirements promulgated pursuant thereto.

Sec. 210   RCW 28B.10.300 and 1977 ex.s. c 169 s 13 are each amended to read as follows:
     The boards of regents of the state universities and the boards of trustees of the regional universities ((and)), The Evergreen State College, and North Snohomish State College are severally authorized to:
     (1) Enter into contracts with persons, firms, or corporations for the construction, installation, equipping, repairing, renovating, and betterment of buildings and facilities for the following:
     (a) Dormitories;
     (b) Hospitals;
     (c) Infirmaries;
     (d) Dining halls;
     (e) Student activities;
     (f) Services of every kind for students, including, but not limited to, housing, employment, registration, financial aid, counseling, testing, and offices of the dean of students;
     (g) Vehicular parking; and
     (h) Student, faculty, and employee housing and boarding;
     (2) Purchase or lease lands and other appurtenances necessary for the construction and installation of such buildings and facilities and to purchase or lease lands with buildings and facilities constructed or installed thereon suitable for the purposes aforesaid;
     (3) Lease to any persons, firms, or corporations such portions of the campus of their respective institutions as may be necessary for the construction and installation of buildings and facilities for the purposes aforesaid and the reasonable use thereof;
     (4) Borrow money to pay the cost of the acquisition of such lands and of the construction, installation, equipping, repairing, renovating, and betterment of such buildings and facilities, including interest during construction and other incidental costs, and to issue revenue bonds or other evidence of indebtedness therefor, and to refinance the same before or at maturity and to provide for the amortization of such indebtedness from services and activities fees or from the rentals, fees, charges, and other income derived through the ownership, operation, and use of such lands, buildings, and facilities and any other dormitory, hospital, infirmary, dining, student activities, student services, vehicular parking, housing or boarding building, or facility at the institution;
     (5) Contract to pay as rental or otherwise the cost of the acquisition of such lands and of the construction and installation of such buildings and facilities on the amortization plan; the contract not to run over forty years;
     (6) Expend on the amortization plan services and activities fees and/or any part of all of the fees, charges, rentals, and other income derived from any or all revenue-producing lands, buildings, and facilities of their respective institutions, heretofore or hereafter acquired, constructed, or installed, including but not limited to income from rooms, dormitories, dining rooms, hospitals, infirmaries, housing or student activity buildings, vehicular parking facilities, land or the appurtenances thereon, and to pledge such services and activities fees and/or the net income derived through the ownership, operation, and use of any lands, buildings, or facilities of the nature described in subsection (1) ((hereof)) of this section for the payment of part or all of the rental, acquisition, construction, and installation, and the betterment, repair, and renovation or other contract charges, bonds, or other evidence of indebtedness agreed to be paid on account of the acquisition, construction, installation, or rental of, or the betterment, repair, or renovation of, lands, buildings, facilities, and equipment of the nature authorized by this section.

Sec. 211   RCW 28B.10.350 and 2001 c 38 s 1 are each amended to read as follows:
     (1) When the cost to The Evergreen State College, North Snohomish State College, any regional university, or state university, of any building, construction, renovation, remodeling, or demolition other than maintenance or repairs will equal or exceed the sum of thirty-five thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications: PROVIDED, That when the estimated cost of such building, construction, renovation, remodeling, or demolition equals or exceeds the sum of twenty-five thousand dollars, such project shall be deemed a public works and "the prevailing rate of wage," under chapter 39.12 RCW shall be applicable thereto: PROVIDED FURTHER, That when such building, construction, renovation, remodeling, or demolition involves one trade or craft area and the estimated cost exceeds fifteen thousand dollars, complete plans and specifications for such work shall be prepared and such work shall be put out for public bids, and the contract shall be awarded to the lowest responsible bidder if in accordance with the bid specifications. This subsection shall not apply when a contract is awarded by the small works roster procedure authorized in RCW 39.04.155 or under any other procedure authorized for an institution of higher education.
     (2) The Evergreen State College, North Snohomish State College, any regional university, or state university may require a project to be put to public bid even when it is not required to do so under subsection (1) of this section.
     (3) Where the estimated cost to The Evergreen State College, North Snohomish State College, any regional university, or state university of any building, construction, renovation, remodeling, or demolition is less than twenty-five thousand dollars or the contract is awarded by the small works roster procedure authorized in RCW 39.04.155, the publication requirements of RCW 39.04.020 shall be inapplicable.
     (4) In the event of any emergency when the public interest or property of The Evergreen State College, North Snohomish State College, regional university, or state university would suffer material injury or damage by delay, the president of such college or university may declare the existence of such an emergency and reciting the facts constituting the same may waive the requirements of this section with reference to any contract in order to correct the condition causing the emergency: PROVIDED, That an "emergency," for the purposes of this section, means a condition likely to result in immediate physical injury to persons or to property of such college or university in the absence of prompt remedial action or a condition which immediately impairs the institution's ability to perform its educational obligations.

Sec. 212   RCW 28B.10.400 and 1979 ex.s. c 259 s 1 are each amended to read as follows:
     The boards of regents of the state universities, the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College, and the state board for community and technical colleges ((education)) are authorized and empowered:
     (1) To assist the faculties and such other employees as any such board may designate in the purchase of old age annuities or retirement income plans under such rules ((and regulations)) as any such board may prescribe. County agricultural agents, home demonstration agents, 4-H club agents, and assistant county agricultural agents paid jointly by the Washington State University and the several counties shall be deemed to be full-time employees of the Washington State University for ((the)) these purposes ((hereof));
     (2) To provide, under such rules ((and regulations)) as any such board may prescribe for the faculty members or other employees under its supervision, for the retirement of any such faculty member or other employee on account of age or condition of health, retirement on account of age to be not earlier than the sixty-fifth birthday: PROVIDED, That such faculty member or such other employee may elect to retire at the earliest age specified for retirement by federal social security law: PROVIDED FURTHER, That any supplemental payment authorized by subsection (3) of this section and paid as a result of retirement earlier than age sixty-five shall be at an actuarially reduced rate;
     (3) To pay to any such retired person or to ((his)) the retiree's designated beneficiary(s), each year after ((his)) retirement, a supplemental amount which, when added to the amount of such annuity or retirement income plan, or retirement income benefit pursuant to RCW 28B.10.415, received by ((him or his)) the retiree or the retiree's designated beneficiary(s) in such year, will not exceed fifty percent of the average annual salary paid to such retired person for his or her highest two consecutive years of full-time service under an annuity or retirement income plan established pursuant to subsection (1) of this section at an institution of higher education: PROVIDED, HOWEVER, That if such retired person prior to ((his)) retirement elected a supplemental payment survivors option, any such supplemental payments to such retired person or his or her designated beneficiary(s) shall be at actuarially reduced rates: PROVIDED FURTHER, That if a faculty member or other employee of an institution of higher education who is a participant in a retirement plan authorized by this section dies, or has died before retirement but after becoming eligible for retirement on account of age, the designated beneficiary(s) shall be entitled to receive the supplemental payment authorized by this subsection (((3) of this section)) to which such designated beneficiary(s) would have been entitled had said deceased faculty member or other employee retired on the date of death after electing a supplemental payment survivors option: PROVIDED FURTHER, That for the purpose of this subsection, the designated beneficiary(s) shall be (a) the surviving spouse of the retiree; or, (b) with the written consent of such spouse, if any, such other person or persons as shall have an insurable interest in the retiree's life and shall have been nominated by written designation duly executed and filed with the retiree's institution of higher education.

Sec. 213   RCW 28B.10.401 and 1979 ex.s. c 259 s 3 are each amended to read as follows:
     The boards of regents of the state universities, the boards of trustees of the state colleges, and the state board for community and technical colleges ((education)), when establishing the amount of supplemental payment under RCW 28B.10.400(3) ((as now or hereafter amended)), shall apply the following assumptions:
     (1) That the faculty member or such other employee at the time of retirement elected a joint and two-thirds survivor option on their annuity or retirement income plan using actual ages, but not exceeding a five-year age difference if married, or an actuarial equivalent option if single, which represents accumulations including all dividends from all matching contributions and any benefit that such faculty member is eligible to receive from any Washington state public retirement plan while employed at an institution of higher education;
     (2) That on and after July 1, 1974, matching contributions were allocated equally between a fixed dollar and a variable dollar annuity;
     (3) That for each year after age fifty, the maximum amount of contributions pursuant to RCW 28B.10.410 ((as now or hereafter amended)) be contributed toward the purchase of such annuity or retirement income plan, otherwise three-fourths of the formula described in RCW 28B.10.415((, as now or hereafter amended,)) shall be applied.

Sec. 214   RCW 28B.10.405 and 1977 ex.s. c 169 s 16 are each amended to read as follows:
     Members of the faculties and such other employees as are designated by the boards of regents of the state universities, the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College, or the state board for community and technical colleges ((education)) shall be required to contribute not less than five percent of their salaries during each year of full-time service after the first two years of such service toward the purchase of such annuity or retirement income plan; such contributions may be in addition to federal social security tax contributions, if any.

Sec. 215   RCW 28B.10.407 and 1987 c 448 s 1 are each amended to read as follows:
     (1) A faculty member or other employee designated by the boards of regents of the state universities, the boards of trustees of the regional universities ((and)), The Evergreen State College, and North Snohomish State College, or the state board for community and technical colleges ((education)) who is granted an authorized leave of absence without pay may apply the period of time while on the leave in the computation of benefits in any annuity and retirement plan authorized under RCW 28B.10.400 through 28B.10.430 only to the extent provided in subsection (2) of this section.
     (2) An employee who is eligible under subsection (1) of this section may receive a maximum of two years' credit during the employee's entire working career for periods of authorized leave without pay. Such credit may be obtained only if the employee pays both the employer and employee contributions required under RCW 28B.10.405 and 28B.10.410 while on the authorized leave of absence and if the employee returns to employment with the university or college immediately following the leave of absence for a period of not less than two years. The employee and employer contributions shall be based on the average of the employee's compensation at the time the leave of absence was authorized and the time the employee resumes employment. Any benefit under RCW 28B.10.400(3) shall be based only on the employee's compensation earned from employment with the university or college.
     An employee who is inducted into the armed forces of the United States shall be deemed to be on an unpaid, authorized leave of absence.

Sec. 216   RCW 28B.10.410 and 1977 ex.s. c 169 s 17 are each amended to read as follows:
     The boards of regents of the state universities, the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College, or the state board for community and technical colleges ((education)) shall pay not more than one-half of the annual premium of any annuity or retirement income plan established under the provisions of RCW 28B.10.400 ((as now or hereafter amended)). Such contribution shall not exceed ten percent of the salary of the faculty member or other employee on whose behalf the contribution is made. This contribution may be in addition to federal social security tax contributions made by the boards, if any.

Sec. 217   RCW 28B.10.415 and 1979 ex.s. c 259 s 2 are each amended to read as follows:
     The boards of regents of the state universities, the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College, or the state board for community and technical colleges ((education)) shall not pay any amount to be added to the annuity or retirement income plan of any retired person who has served for less than ten years in one or more of the state institutions of higher education. In the case of persons who have served more than ten years but less than twenty-five years no amount shall be paid in excess of four percent of the amount authorized in ((subdivision (3) of)) RCW 28B.10.400(3) ((as now or hereafter amended)), multiplied by the number of years of full-time service rendered by such person: PROVIDED, That credit for years of service at an institution of higher education shall be limited to those years in which contributions were made by a faculty member or other employee designated pursuant to RCW 28B.10.400(1) and the institution or the state as a result of which a benefit is being received by a retired person from any Washington state public retirement plan: PROVIDED FURTHER, That all such benefits that a retired person is eligible to receive shall reduce any supplementation payments provided for in RCW 28B.10.400 ((as now or hereafter amended)).

Sec. 218   RCW 28B.10.417 and 1977 ex.s. c 169 s 19 are each amended to read as follows:
     (1) A faculty member or other employee designated by the board of trustees of the applicable regional university ((or of)), The Evergreen State College, or North Snohomish State College as being subject to an annuity or retirement income plan and who, at the time of such designation, is a member of the Washington state teachers' retirement system, shall retain credit for such service in the Washington state teachers' retirement system and except as provided in subsection (2) of this section, shall leave his or her accumulated contributions in the teachers' retirement fund. Upon his or her attaining eligibility for retirement under the Washington state teachers' retirement system, such faculty member or other employee shall receive from the Washington state teachers' retirement system a retirement allowance consisting of an annuity which shall be the actuarial equivalent of his or her accumulated contributions at his or her age when becoming eligible for such retirement and a pension for each year of creditable service established and retained at the time of said designation as provided in RCW 41.32.497 ((as now or hereafter amended)). Anyone who on July 1, 1967, was receiving pension payments from the teachers' retirement system based on thirty-five years of creditable service shall thereafter receive a pension based on the total years of creditable service established with the retirement system: PROVIDED, HOWEVER, That any such faculty member or other employee who, upon attainment of eligibility for retirement under the Washington state teachers' retirement system, is still engaged in public educational employment, shall not be eligible to receive benefits under the Washington state teachers' retirement system until he or she ceases such public educational employment. Any retired faculty member or other employee who enters service in any public educational institution shall cease to receive pension payments while engaged in such service: PROVIDED FURTHER, That such service may be rendered up to seventy-five days in a school year without reduction of pension.
     (2) A faculty member or other employee designated by the board of trustees of the applicable regional university ((or of)), The Evergreen State College, or North Snohomish State College as being subject to the annuity and retirement income plan and who, at the time of such designation, is a member of the Washington state teachers' retirement system may, at his or her election and at any time, on and after midnight June 10, 1959, terminate his or her membership in the Washington state teachers' retirement system and withdraw his or her accumulated contributions and interest in the teachers' retirement fund upon written application to the board of trustees of the Washington state teachers' retirement system. Faculty members or other employees who withdraw their accumulated contributions, on and after the date of withdrawal of contributions, shall no longer be members of the Washington state teachers' retirement system and shall forfeit all rights of membership, including pension benefits, theretofore acquired under the Washington state teachers' retirement system.

Sec. 219   RCW 28B.10.420 and 1979 c 14 s 1 are each amended to read as follows:
     (1) Except as provided otherwise in subsection (2) of this section, faculty members or other employees designated by the boards of regents of the state universities, the boards of trustees of the regional universities ((or of)), The Evergreen State College, or North Snohomish State College, or the state board for community and technical colleges ((education)) pursuant to RCW 28B.10.400 through 28B.10.420 ((as now or hereafter amended)) shall be retired from their employment with their institutions of higher education not later than the end of the academic year next following their seventieth birthday.
     (2) As provided in this subsection, the board of regents of a state university, the board of trustees of a regional university ((or)), The Evergreen State College, or North Snohomish State College, or the state board for community and technical colleges ((education)) may reemploy any person who is "retired" pursuant to subsection (1) of this section, who applies for reemployment and who has reached seventy years of age on or after July 1, 1970. The following provisions shall govern such reemployment:
     (a) Prior to the reemployment, the board of regents, board of trustees, or state board shall have found that the person possesses outstanding qualifications which in the judgment of the board would permit the person to continue valuable service to the institution.
     (b) The period of reemployment shall not be counted as service under, or result in any eligibility for benefits or increased benefits under, any state authorized or supported annuity or retirement income plan. Reemployment shall not result in the reemployed person or employer making any contributions to any such plan.
     (c) No person may be reemployed on a full-time basis if such person is receiving benefits under any state-authorized or supported annuity or retirement income plan. The reemployment of any person on a full- time basis shall be immediately terminated upon the person's obtaining of any such benefits.
     (d) A person may be reemployed on a part-time basis and receive or continue to receive any benefits for which such person is eligible under any state-authorized or supported annuity or retirement income plan. Such part-time work, however, shall not exceed forty percent of full-time employment during any year.
     (e) A person reemployed pursuant to this section shall comply with all conditions of reemployment and all rules providing for the administration of this subsection which are prescribed or adopted by the board of regents, or board of trustees, or by the state board for community and technical colleges ((education)).

Sec. 220   RCW 28B.10.485 and 1979 c 130 s 1 are each amended to read as follows:
     The boards of the state universities, regional universities, and the state colleges are authorized to issue charitable gift annuities paying a fixed dollar amount to individual annuitants for their lifetimes in exchange for the gift of assets to the respective institution in a single transaction. The boards shall invest one hundred percent of the charitable gift annuity assets in a reserve for the lifetimes of the respective annuitants to meet liabilities that result from the gift program.

Sec. 221   RCW 28B.10.487 and 1979 c 130 s 5 are each amended to read as follows:
     The obligation to make annuity payments to individuals under charitable gift annuity agreements issued by the board of a state university, regional university, or ((of the)) a state college pursuant to RCW 28B.10.485 shall be secured by and limited to the assets given in exchange for the annuity and reserves established by the board. Such agreements shall not constitute:
     (1) An obligation, either general or special, of the state; or
     (2) A general obligation of a state university, regional university, or ((of the)) a state college or ((of)) the board.

Sec. 222   RCW 28B.10.500 and 1977 ex.s. c 169 s 21 are each amended to read as follows:
     No regent of the state universities, or trustee of the regional universities ((or of)), The Evergreen State College, or North Snohomish State College shall be removed during the term of office for which appointed, excepting only for misconduct or malfeasance in office, and then only in the manner ((hereinafter)) provided in this section. Before any regent or trustee may be removed for such misconduct or malfeasance, a petition for removal, stating the nature of the misconduct or malfeasance of such regent or trustee with reasonable particularity, shall be signed and verified by the governor and served upon such regent or trustee. Said petition, together with proof of service of same upon such regent or trustee, shall forthwith be filed with the clerk of the supreme court. The chief justice of the supreme court shall thereupon designate a tribunal composed of three judges of the superior court to hear and adjudicate the charges. Such tribunal shall fix the time of hearing, which shall be public, and the procedure for the hearing, and the decision of such tribunal shall be final and not subject to review by the supreme court. Removal of any member of the board by the tribunal shall disqualify such member for reappointment.

Sec. 223   RCW 28B.10.550 and 1977 ex.s. c 169 s 24 are each amended to read as follows:
     The boards of regents of the state universities, and the boards of trustees of the regional universities ((or of)), The Evergreen State College, or North Snohomish State College, acting independently and each on behalf of its own institution:
     (1) May each establish a police force for its own institution, which force shall function under such conditions and ((regulations)) rules as the board prescribes; and
     (2) May supply appropriate badges and uniforms indicating the positions and authority of the members of such police force.

Sec. 224   RCW 28B.10.560 and 1983 c 221 s 1 are each amended to read as follows:
     (1) The boards of regents of the state universities, and the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College, acting independently and each on behalf of its own institution, may each:
     (a) Establish and ((promulgate)) adopt rules ((and regulations)) governing pedestrian traffic and vehicular traffic and parking upon lands and facilities of the university or college;
     (b) Adjudicate matters involving parking infractions internally; and
     (c) Collect and retain any penalties so imposed.
     (2) If the rules ((or regulations promulgated)) adopted under subsection (1) of this section provide for internal adjudication of parking infractions, a person charged with a parking infraction who deems himself or herself aggrieved by the final decision in an internal adjudication may, within ten days after written notice of the final decision, appeal by filing a written notice thereof with the college or university police force. Documents relating to the appeal shall immediately be forwarded to the district court in the county in which the offense was committed, which court shall have jurisdiction over such offense and such appeal shall be heard de novo.

Sec. 225   RCW 28B.10.567 and 1987 c 185 s 2 are each amended to read as follows:
     The boards of regents of the state universities and boards of trustees of the regional universities ((and the board of trustees of)), The Evergreen State College, and North Snohomish State College are authorized and empowered, under such rules ((and regulations)) as any such board may prescribe for the duly sworn police officers employed by any such board as members of a police force established pursuant to RCW 28B.10.550, to provide for the payment of death or disability benefits or medical expense reimbursement for death, disability, or injury of any such duly sworn police officer who, in the line of duty, loses his or her life or becomes disabled or is injured, and for the payment of such benefits to be made to any such duly sworn police officer or his or her surviving spouse or the legal guardian of his or her child or children, as defined in RCW 41.26.030(7), or his or her estate: PROVIDED, That the duty-related benefits authorized by this section shall in no event be greater than the benefits authorized on June 25, 1976, for duty-related death, disability, or injury of a law enforcement officer under chapter 41.26 RCW: PROVIDED FURTHER, That the duty-related benefits authorized by this section shall be reduced to the extent of any amounts received or eligible to be received on account of the duty-related death, disability, or injury to any such duly sworn police officer, his or her surviving spouse, the legal guardian of his or her child or children, or his or her estate, under workers' compensation, social security including the changes incorporated under Public Law 89-97 as now or hereafter amended, or disability income insurance and health care plans under chapter 41.05 RCW.

Sec. 226   RCW 28B.15.628 and 1999 c 82 s 2 are each amended to read as follows:
     (1) The legislature finds that military and naval veterans who have served their country in wars on foreign soil have risked their own lives to defend both the lives of all Americans and the freedoms that define and distinguish our nation. It is the intent of the legislature to honor Persian Gulf combat zone veterans for the public service they have provided to their country. It is the further intent of the legislature that, for eligible Persian Gulf combat zone veterans, institutions of higher education waive tuition and fee increases that have occurred after the 1990-91 academic year.
     (2) Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges may exempt veterans of the Persian Gulf combat zone from all or a portion of increases in tuition and fees that occur after the 1990-91 academic year, if the veteran could have qualified as a Washington resident student under RCW 28B.15.012(2), had he or she been enrolled as a student on August 1, 1990.
     (3) For the purposes of this section, "a veteran of the Persian Gulf combat zone" means a person who served on active duty in the armed forces of the United States during any portion of the 1991 calendar year in the Persian Gulf combat zone as designated by executive order of the president of the United States.

Sec. 227   RCW 28B.15.725 and 1997 c 433 s 4 are each amended to read as follows:
     (1) The governing boards of the state universities, the regional universities, ((and)) The Evergreen State College, and North Snohomish State College may establish home tuition programs by negotiating home tuition agreements with an out-of-state institution or consortium of institutions of higher education if no loss of tuition and fee revenue occurs as a result of the agreements.
     (2) Home tuition agreements allow students at Washington state institutions of higher education to attend an out-of-state institution of higher education as part of a student exchange. Students participating in a home tuition program shall pay an amount equal to their regular, full-time tuition and required fees to either the Washington institution of higher education or the out-of-state institution of higher education depending upon the provisions of the particular agreement. Payment of course fees in excess of generally applicable tuition and required fees must be addressed in each home tuition agreement to ensure that the instructional programs of the Washington institution of higher education do not incur additional uncompensated costs as a result of the exchange.
     (3) Student participation in a home tuition agreement authorized by this section is limited to one academic year.
     (4) Students enrolled under a home tuition agreement shall reside in Washington state for the duration of the program, may not use the year of enrollment under this program to establish Washington state residency, and are not eligible for state financial aid.

Sec. 228   RCW 28B.15.730 and 1993 sp.s. c 18 s 27 are each amended to read as follows:
     Subject to the limitations of RCW 28B.15.910, the state board for community and technical colleges and the governing boards of the state universities, the regional universities, the community colleges, ((and)) The Evergreen State College, and North Snohomish State College may waive all or a portion of the nonresident tuition fees differential for residents of Oregon, upon completion of and to the extent permitted by an agreement between the higher education coordinating board and appropriate officials and agencies in Oregon granting similar waivers for residents of the state of Washington.

Sec. 229   RCW 28B.15.740 and 1997 c 207 s 1 are each amended to read as follows:
     (1) Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges may waive all or a portion of tuition and fees for needy students who are eligible for resident tuition and fee rates pursuant to RCW 28B.15.012 and 28B.15.013. Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges may waive all or a portion of tuition and fees for other students at the discretion of the governing boards, except on the basis of participation in intercollegiate athletic programs, not to exceed three-fourths of one percent of gross authorized operating fees revenue under RCW 28B.15.910 for the community colleges considered as a whole and not to exceed two percent of gross authorized operating fees revenue for the other institutions of higher education.
     (2) In addition to the tuition and fee waivers provided in subsection (1) of this section and subject to the provisions of RCW 28B.15.455, 28B.15.460, and 28B.15.910, a total dollar amount of tuition and fee waivers awarded by any state university, regional university, or state college under this chapter, not to exceed one percent, as calculated in subsection (1) of this section, may be used for the purpose of achieving or maintaining gender equity in intercollegiate athletic programs. At any institution that has an underrepresented gender class in intercollegiate athletics, any such waivers shall be awarded:
     (a) First, to members of the underrepresented gender class who participate in intercollegiate athletics, where such waivers result in saved or displaced money that can be used for athletic programs for the underrepresented gender class. Such saved or displaced money shall be used for programs for the underrepresented gender class; and
     (b) Second, (i) to nonmembers of the underrepresented gender class who participate in intercollegiate athletics, where such waivers result in saved or displaced money that can be used for athletic programs for members of the underrepresented gender class. Such saved or displaced money shall be used for programs for the underrepresented gender class; or (ii) to members of the underrepresented gender class who participate in intercollegiate athletics, where such waivers do not result in any saved or displaced money that can be used for athletic programs for members of the underrepresented gender class.

Sec. 230   RCW 28B.15.750 and 1993 sp.s. c 18 s 29 are each amended to read as follows:
     Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, ((and)) The Evergreen State College, and North Snohomish State College and the state board for community and technical colleges may waive all or a portion of the nonresident tuition fees differential for residents of Idaho, upon completion of and to the extent permitted by an agreement between the higher education coordinating board and appropriate officials and agencies in Idaho granting similar waivers for residents of the state of Washington.

Sec. 231   RCW 28B.15.756 and 1993 sp.s. c 18 s 30 are each amended to read as follows:
     Subject to the limitations of RCW 28B.15.910, the governing boards of the state universities, the regional universities, ((and)) The Evergreen State College, and North Snohomish State College and the state board for community and technical colleges may waive all or a portion of the nonresident tuition fees differential for residents of the Canadian province of British Columbia, upon completion of and to the extent permitted by an agreement between the higher education coordinating board and appropriate officials and agencies in the Canadian province of British Columbia providing for enrollment opportunities for residents of the state of Washington without payment of tuition or fees in excess of those charged to residents of British Columbia.

Sec. 232   RCW 28B.15.820 and 2004 c 275 s 66 are each amended to read as follows:
     (1) Each institution of higher education, including technical colleges, shall deposit a minimum of three and one-half percent of revenues collected from tuition and services and activities fees in an institutional financial aid fund that is hereby created and which shall be held locally. Moneys in the fund shall be used only for the following purposes: (a) To make guaranteed long-term loans to eligible students as provided in subsections (3) through (8) of this section; (b) to make short-term loans as provided in subsection (9) of this section; or (c) to provide financial aid to needy students as provided in subsection (10) of this section.
     (2) An "eligible student" for the purposes of subsections (3) through (8) and (10) of this section is a student registered for at least six credit hours or the equivalent, who is eligible for resident tuition and fee rates as defined in RCW 28B.15.012 and 28B.15.013, and who is a "needy student" as defined in RCW 28B.92.030.
     (3) The amount of the guaranteed long-term loans made under this section shall not exceed the demonstrated financial need of the student. Each institution shall establish loan terms and conditions which shall be consistent with the terms of the guaranteed loan program established by 20 U.S. Code Section 1071 et seq., as now or hereafter amended. All loans made shall be guaranteed by the Washington student loan guaranty association or its successor agency. Institutions are hereby granted full authority to operate as an eligible lender under the guaranteed loan program.
     (4) Before approving a guaranteed long-term loan, each institution shall analyze the ability of the student to repay the loan based on factors which include, but are not limited to, the student's accumulated total education loan burdens and the employment opportunities and average starting salary characteristics of the student's chosen fields of study. The institution shall counsel the student on the advisability of acquiring additional debt, and on the availability of other forms of financial aid.
     (5) Each institution is responsible for collection of guaranteed long-term loans made under this section and shall exercise due diligence in such collection, maintaining all necessary records to insure that maximum repayments are made. Institutions shall cooperate with other lenders and the Washington student loan guaranty association, or its successor agency, in the coordinated collection of guaranteed loans, and shall assure that the guarantability of the loans is not violated. Collection and servicing of guaranteed long-term loans under this section shall be performed by entities approved for such servicing by the Washington student loan guaranty association or its successor agency: PROVIDED, That institutions be permitted to perform such servicing if specifically recognized to do so by the Washington student loan guaranty association or its successor agency. Collection and servicing of guaranteed long-term loans made by community colleges under subsection (1) of this section shall be coordinated by the state board for community and technical colleges and shall be conducted under procedures adopted by the state board.
     (6) Receipts from payment of interest or principal or any other subsidies to which institutions as lenders are entitled, that are paid by or on behalf of borrowers of funds under subsections (3) through (8) of this section, shall be deposited in each institution's financial aid fund and shall be used to cover the costs of making the guaranteed long-term loans under this section and maintaining necessary records and making collections under subsection (5) of this section: PROVIDED, That such costs shall not exceed five percent of aggregate outstanding loan principal. Institutions shall maintain accurate records of such costs, and all receipts beyond those necessary to pay such costs, shall be deposited in the institution's financial aid fund.
     (7) The governing boards of the state universities, the regional universities, ((and)) The Evergreen State College, and North Snohomish State College, and the state board for community and technical colleges, on behalf of the community colleges and technical colleges, shall each adopt necessary rules ((and regulations)) to implement this section.
     (8) First priority for any guaranteed long-term loans made under this section shall be directed toward students who would not normally have access to educational loans from private financial institutions in Washington state, and maximum use shall be made of secondary markets in the support of loan consolidation.
     (9) Short-term loans, not to exceed one year, may be made from the institutional financial aid fund to students enrolled in the institution. No such loan shall be made to any student who is known by the institution to be in default or delinquent in the payment of any outstanding student loan. A short-term loan may be made only if the institution has ample evidence that the student has the capability of repaying the loan within the time frame specified by the institution for repayment.
     (10) Any moneys deposited in the institutional financial aid fund that are not used in making long-term or short-term loans may be used by the institution for locally-administered financial aid programs for needy students, such as need-based institutional employment programs or need-based tuition and fee scholarship or grant programs. These funds shall be used in addition to and not to replace institutional funds that would otherwise support these locally-administered financial aid programs. First priority in the use of these funds shall be given to needy students who have accumulated excessive educational loan burdens. An excessive educational loan burden is a burden that will be difficult to repay given employment opportunities and average starting salaries in the student's chosen fields of study. Second priority in the use of these funds shall be given to needy single parents, to assist these students with their educational expenses, including expenses associated with child care and transportation.

Sec. 233   RCW 28B.15.910 and 2004 c 275 s 51 are each amended to read as follows:
     (1) For the purpose of providing state general fund support to public institutions of higher education, except for revenue waived under programs listed in subsections (3) and (4) of this section, and unless otherwise expressly provided in the omnibus state appropriations act, the total amount of operating fees revenue waived, exempted, or reduced by a state university, a regional university, The Evergreen State College, North Snohomish State College, or the community colleges as a whole, shall not exceed the percentage of total gross authorized operating fees revenue in this subsection. As used in this section, "gross authorized operating fees revenue" means the estimated gross operating fees revenue as estimated under RCW 82.33.020 or as revised by the office of financial management, before granting any waivers. This limitation applies to all tuition waiver programs established before or after July 1, 1992.
     (a) University of Washington       21 percent
     (b) Washington State University       20 percent
     (c) Eastern Washington University       11 percent
     (d) Central Washington University       8 percent
     (e) Western Washington University       10 percent
     (f) The Evergreen State College       6 percent
     (g) North Snohomish State College       6 percent
     (h) Community colleges as a whole       35 percent
     (2) The limitations in subsection (1) of this section apply to waivers, exemptions, or reductions in operating fees contained in the following:
     (a) RCW 28B.10.265;
     (b) RCW 28B.15.014;
     (c) RCW 28B.15.100;
     (d) RCW 28B.15.225;
     (e) RCW 28B.15.380;
     (f) RCW 28B.15.520;
     (g) RCW 28B.15.526;
     (h) RCW 28B.15.527;
     (i) RCW 28B.15.543;
     (j) RCW 28B.15.545;
     (k) RCW 28B.15.555;
     (l) RCW 28B.15.556;
     (m) RCW 28B.15.615;
     (n) RCW 28B.15.620;
     (o) RCW 28B.15.628;
     (p) RCW 28B.15.730;
     (q) RCW 28B.15.740;
     (r) RCW 28B.15.750;
     (s) RCW 28B.15.756;
     (t) RCW 28B.50.259;
     (u) RCW 28B.70.050; and
     (v) During the 1997-99 fiscal biennium, the western interstate commission for higher education undergraduate exchange program for students attending Eastern Washington University.
     (3) The limitations in subsection (1) of this section do not apply to waivers, exemptions, or reductions in services and activities fees contained in the following:
     (a) RCW 28B.15.522;
     (b) RCW 28B.15.540; and
     (c) RCW 28B.15.558.
     (4) The total amount of operating fees revenue waived, exempted, or reduced by institutions of higher education participating in the western interstate commission for higher education western undergraduate exchange program under RCW 28B.15.544 shall not exceed the percentage of total gross authorized operating fees revenue in this subsection.
     (a) Washington State University       1 percent
     (b) Eastern Washington University       3 percent
     (c) Central Washington University       3 percent

Sec. 234   RCW 28B.15.915 and 2000 c 152 s 1 are each amended to read as follows:
     In addition to waivers granted under the authority of RCW 28B.15.910, the governing boards of the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges, subject to state board policy, may waive all or a portion of the operating fees for any student. There shall be no state general fund support for waivers granted under this section.
     By January 31st of each odd-numbered year, the institutions of higher education shall prepare a report of the costs and benefits of waivers granted under chapter 152, Laws of 2000 and shall transmit copies of their report to the appropriate policy and fiscal committees of the legislature.

Sec. 235   RCW 28B.35.370 and 1991 sp.s. c 13 s 49 are each amended to read as follows:
     Within thirty-five days from the date of collection thereof all building fees of each regional university ((and)), The Evergreen State College, and North Snohomish State College shall be paid into the state treasury and these together with such normal school fund revenues as provided in RCW 28B.35.751 as are received by the state treasury shall be credited as follows:
     (1) On or before June 30th of each year the board of trustees of each regional university ((and)), The Evergreen State College, and North Snohomish State College, if issuing bonds payable out of its building fees and above described normal school fund revenues, shall certify to the state treasurer the amounts required in the ensuing twelve months to pay and secure the payment of the principal of and interest on such bonds. The amounts so certified by each regional university ((and)), The Evergreen State College, and North Snohomish State College shall be a prior lien and charge against all building fees and above described normal school fund revenues of such institution. The state treasurer shall thereupon deposit the amounts so certified in the Eastern Washington University capital projects account, the Central Washington University capital projects account, the Western Washington University capital projects account, ((or)) The Evergreen State College capital projects account, or the North Snohomish State College capital projects account respectively, which accounts are hereby created in the state treasury. The amounts deposited in the respective capital projects accounts shall be used exclusively to pay and secure the payment of the principal of and interest on the building bonds issued by such regional universities ((and)), The Evergreen State College, and North Snohomish State College as authorized by law. If in any twelve month period it shall appear that the amount certified by any such board of trustees is insufficient to pay and secure the payment of the principal of and interest on the outstanding building and above described normal school fund revenue bonds of its institution, the state treasurer shall notify the board of trustees and such board shall adjust its certificate so that all requirements of moneys to pay and secure the payment of the principal of and interest on all such bonds then outstanding shall be fully met at all times.
     (2) All normal school fund revenue pursuant to RCW 28B.35.751 shall be deposited in the Eastern Washington University capital projects account, the Central Washington University capital projects account, the Western Washington University capital projects account, ((or)) The Evergreen State College capital projects account, or the North Snohomish State College capital projects account respectively, which accounts are hereby created in the state treasury. The sums deposited in the respective capital projects accounts shall be appropriated and expended exclusively to pay and secure the payment of the principal of and interest on bonds payable out of the building fees and normal school revenue and for the construction, reconstruction, erection, equipping, maintenance, demolition, and major alteration of buildings and other capital assets, and the acquisition of sites, rights-of-way, easements, improvements, or appurtenances in relation thereto except for any sums transferred therefrom as authorized by law.

Sec. 236   RCW 28B.35.700 and 1985 c 390 s 48 are each amended to read as follows:
     The boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College are empowered in accordance with the provisions of RCW 28B.35.700 through 28B.35.790, to provide for the construction, completion, reconstruction, remodeling, rehabilitation, and improvement of buildings and facilities authorized by the legislature for the use of the ((aforementioned)) regional universities ((and)), The Evergreen State College, and North Snohomish State College and to finance the payment thereof by bonds payable out of special funds from revenues hereafter derived from the payment of building fees, gifts, bequests, or grants and such additional funds as the legislature may provide.

Sec. 237   RCW 28B.35.710 and 1985 c 390 s 49 are each amended to read as follows:
     The following terms, whenever used or referred to in RCW 28B.35.700 through 28B.35.790, shall have the following meaning, excepting in those instances where the context clearly indicates otherwise:
     (1) ((The word)) "Boards" means the boards of trustees of the regional universities ((and)), The Evergreen State College, and North Snohomish State College.
     (2) ((The words)) "Building fees" means the building fees charged students registering at each college, but shall not mean the special tuition or other fees charged such students or fees, charges, rentals, and other income derived from any or all revenue-producing lands, buildings, and facilities of the respective colleges, heretofore or hereafter acquired, constructed, or installed, including but not limited to income from rooms, dormitories, dining rooms, hospitals, infirmaries, housing or student activity buildings, vehicular parking facilities, land, or the appurtenances thereon.
     (3) ((The words)) "Bond retirement funds" ((shall)) means the special funds created by law and known as the Eastern Washington University bond retirement fund, Central Washington University bond retirement fund, Western Washington University bond retirement fund, ((and)) The Evergreen State College bond retirement fund, the North Snohomish State College bond retirement fund, all as referred to in RCW 28B.35.370.
     (4) ((The word)) "Bonds" means the bonds payable out of the bond retirement funds.
     (5) ((The word)) "Projects" means the construction, completion, reconstruction, remodeling, rehabilitation, or improvement of any building or other facility of any of the aforementioned colleges authorized by the legislature at any time and to be financed by the issuance and sale of bonds.

Sec. 238   RCW 28B.35.790 and 1977 ex.s. c 169 s 91 are each amended to read as follows:
     RCW 28B.35.700 through 28B.35.790 ((as now or hereafter amended)) is concurrent with other legislation with reference to providing funds for the construction of buildings at the regional universities ((or)), The Evergreen State College, or North Snohomish State College and is not to be construed as repealing or limiting any existing provision of law with reference thereto.

Sec. 239   RCW 28B.40.010 and 1977 ex.s. c 169 s 64 are each amended to read as follows:
     ((The only state college in Washington shall be)) The Evergreen State College in Thurston county((, The Evergreen State College)) shall be one of the state colleges in Washington.

Sec. 240   RCW 28B.65.030 and 1983 1st ex.s. c 72 s 4 are each amended to read as follows:
     A Washington state high-technology education and training program is hereby established. The program shall be designed to:
     (1) Develop the competence needed to make Washington state a leader in high-technology fields, to increase the productivity of state industries, and to improve the state's competitiveness in regional, national, and international trade;
     (2) Develop degree programs to enable students to be productive in new and emerging high-technology fields by using the resources of the state's two-year community colleges, regional universities, the University of Washington, Washington State University, ((and)) The Evergreen State College, and North Snohomish State College; and
     (3) Provide industries in the state with a highly-skilled work force capable of producing, operating, and servicing the advancing technology needed to modernize the state's industries and to revitalize the state's economy.

Sec. 241   RCW 28B.76.020 and 1985 c 370 s 2 are each amended to read as follows:
     For the purposes of this chapter:
     (1) "Board" means the higher education coordinating board; and
     (2) "Four-year institutions" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, ((and)) The Evergreen State College, and North Snohomish State College.

Sec. 242   RCW 28B.76.100 and 2004 c 275 s 2 are each amended to read as follows:
     (1) The board shall establish an advisory council consisting of: The superintendent of public instruction; a representative of the state board of education appointed by the state board of education; a representative of the two-year system of the state board for community and technical colleges appointed by the state board for community and technical colleges; a representative of the work force training and education coordinating board appointed by the work force training and education coordinating board; one representative of the research universities appointed by the president of the University of Washington and the president of Washington State University; a representative of the regional universities ((and)), The Evergreen State College, and North Snohomish State College appointed through a process developed by the council of presidents; a representative of the faculty for the four-year institutions appointed by the council of faculty representatives; a representative of the proprietary schools appointed by the federation of private career schools and colleges; a representative of the independent colleges appointed by the independent colleges of Washington; and a faculty member in the community and technical college system appointed by the state board for community and technical colleges in consultation with the faculty unions.
     (2) The members of the advisory council shall each serve a two-year term except for the superintendent of public instruction, whose term is concurrent with his or her term of office.
     (3) The board shall meet with the advisory council at least quarterly and shall seek advice from the council regarding the board's discharge of its statutory responsibilities.

Sec. 243   RCW 28B.110.020 and 1989 c 341 s 2 are each amended to read as follows:
     For purposes of this chapter, "institutions of higher education" or "institutions" include the state universities, regional universities, The Evergreen State College, North Snohomish State College, and the community colleges.

Sec. 244   RCW 34.05.010 and 1997 c 126 s 2 are each amended to read as follows:
     The definitions set forth in this section shall apply throughout this chapter, unless the context clearly requires otherwise.
     (1) "Adjudicative proceeding" means a proceeding before an agency in which an opportunity for hearing before that agency is required by statute or constitutional right before or after the entry of an order by the agency. Adjudicative proceedings also include all cases of licensing and rate making in which an application for a license or rate change is denied except as limited by RCW 66.08.150, or a license is revoked, suspended, or modified, or in which the granting of an application is contested by a person having standing to contest under the law.
     (2) "Agency" means any state board, commission, department, institution of higher education, or officer, authorized by law to make rules or to conduct adjudicative proceedings, except those in the legislative or judicial branches, the governor, or the attorney general except to the extent otherwise required by law and any local governmental entity that may request the appointment of an administrative law judge under chapter 42.41 RCW.
     (3) "Agency action" means licensing, the implementation or enforcement of a statute, the adoption or application of an agency rule or order, the imposition of sanctions, or the granting or withholding of benefits.
     Agency action does not include an agency decision regarding (a) contracting or procurement of goods, services, public works, and the purchase, lease, or acquisition by any other means, including eminent domain, of real estate, as well as all activities necessarily related to those functions, or (b) determinations as to the sufficiency of a showing of interest filed in support of a representation petition, or mediation or conciliation of labor disputes or arbitration of labor disputes under a collective bargaining law or similar statute, or (c) any sale, lease, contract, or other proprietary decision in the management of public lands or real property interests, or (d) the granting of a license, franchise, or permission for the use of trademarks, symbols, and similar property owned or controlled by the agency.
     (4) "Agency head" means the individual or body of individuals in whom the ultimate legal authority of the agency is vested by any provision of law. If the agency head is a body of individuals, a majority of those individuals constitutes the agency head.
     (5) "Entry" of an order means the signing of the order by all persons who are to sign the order, as an official act indicating that the order is to be effective.
     (6) "Filing" of a document that is required to be filed with an agency means delivery of the document to a place designated by the agency by rule for receipt of official documents, or in the absence of such designation, at the office of the agency head.
     (7) "Institutions of higher education" are the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, North Snohomish State College, the various community colleges, and the governing boards of each of the ((above)) institutions, and the various colleges, divisions, departments, or offices authorized by the governing board of the institution involved to act for the institution, all of which are sometimes referred to in this chapter as "institutions."
     (8) "Interpretive statement" means a written expression of the opinion of an agency, entitled an interpretive statement by the agency head or its designee, as to the meaning of a statute or other provision of law, of a court decision, or of an agency order.
     (9)(a) "License" means a franchise, permit, certification, approval, registration, charter, or similar form of authorization required by law, but does not include (i) a license required solely for revenue purposes, or (ii) a certification of an exclusive bargaining representative, or similar status, under a collective bargaining law or similar statute, or (iii) a license, franchise, or permission for use of trademarks, symbols, and similar property owned or controlled by the agency.
     (b) "Licensing" includes the agency process respecting the issuance, denial, revocation, suspension, or modification of a license.
     (10) "Mail" or "send," for purposes of any notice relating to rule making or policy or interpretive statements, means regular mail or electronic distribution, as provided in RCW 34.05.260. "Electronic distribution" or "electronically" means distribution by electronic mail or facsimile mail.
     (11)(a) "Order," without further qualification, means a written statement of particular applicability that finally determines the legal rights, duties, privileges, immunities, or other legal interests of a specific person or persons.
     (b) "Order of adoption" means the official written statement by which an agency adopts, amends, or repeals a rule.
     (12) "Party to agency proceedings," or "party" in a context so indicating, means:
     (a) A person to whom the agency action is specifically directed; or
     (b) A person named as a party to the agency proceeding or allowed to intervene or participate as a party in the agency proceeding.
     (13) "Party to judicial review or civil enforcement proceedings," or "party" in a context so indicating, means:
     (a) A person who files a petition for a judicial review or civil enforcement proceeding; or
     (b) A person named as a party in a judicial review or civil enforcement proceeding, or allowed to participate as a party in a judicial review or civil enforcement proceeding.
     (14) "Person" means any individual, partnership, corporation, association, governmental subdivision or unit thereof, or public or private organization or entity of any character, and includes another agency.
     (15) "Policy statement" means a written description of the current approach of an agency, entitled a policy statement by the agency head or its designee, to implementation of a statute or other provision of law, of a court decision, or of an agency order, including where appropriate the agency's current practice, procedure, or method of action based upon that approach.
     (16) "Rule" means any agency order, directive, or regulation of general applicability (a) the violation of which subjects a person to a penalty or administrative sanction; (b) which establishes, alters, or revokes any procedure, practice, or requirement relating to agency hearings; (c) which establishes, alters, or revokes any qualification or requirement relating to the enjoyment of benefits or privileges conferred by law; (d) which establishes, alters, or revokes any qualifications or standards for the issuance, suspension, or revocation of licenses to pursue any commercial activity, trade, or profession; or (e) which establishes, alters, or revokes any mandatory standards for any product or material which must be met before distribution or sale. The term includes the amendment or repeal of a prior rule, but does not include (i) statements concerning only the internal management of an agency and not affecting private rights or procedures available to the public, (ii) declaratory rulings issued pursuant to RCW 34.05.240, (iii) traffic restrictions for motor vehicles, bicyclists, and pedestrians established by the secretary of transportation or his or her designee where notice of such restrictions is given by official traffic control devices, or (iv) rules of institutions of higher education involving standards of admission, academic advancement, academic credit, graduation and the granting of degrees, employment relationships, or fiscal processes.
     (17) "Rules review committee" or "committee" means the joint administrative rules review committee created pursuant to RCW 34.05.610 for the purpose of selectively reviewing existing and proposed rules of state agencies.
     (18) "Rule making" means the process for formulation and adoption of a rule.
     (19) "Service," except as otherwise provided in this chapter, means posting in the United States mail, properly addressed, postage prepaid, or personal service. Service by mail is complete upon deposit in the United States mail. Agencies may, by rule, authorize service by electronic telefacsimile transmission, where copies are mailed simultaneously, or by commercial parcel delivery company.

Sec. 245   RCW 39.19.020 and 1996 c 69 s 4 are each amended to read as follows:
     Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
     (1) "Advisory committee" means the advisory committee on minority and women's business enterprises.
     (2) "Broker" means a person that provides a bona fide service, such as professional, technical, consultant, brokerage, or managerial services and assistance in the procurement of essential personnel, facilities, equipment, materials, or supplies required for performance of a contract.
     (3) "Director" means the director of the office of minority and women's business enterprises.
     (4) "Educational institutions" means the state universities, the regional universities, The Evergreen State College, North Snohomish State College, and the community colleges.
     (5) "Goals" means annual overall agency goals, expressed as a percentage of dollar volume, for participation by minority and women-owned and controlled businesses and shall not be construed as a minimum goal for any particular contract or for any particular geographical area. It is the intent of this chapter that such overall agency goals shall be achievable and shall be met on a contract-by-contract or class-of-contract basis.
     (6) "Goods and/or services" includes professional services and all other goods and services.
     (7) "Office" means the office of minority and women's business enterprises.
     (8) "Person" includes one or more individuals, partnerships, associations, organizations, corporations, cooperatives, legal representatives, trustees and receivers, or any group of persons.
     (9) "Procurement" means the purchase, lease, or rental of any goods or services.
     (10) "Public works" means all work, construction, highway and ferry construction, alteration, repair, or improvement other than ordinary maintenance, which a state agency or educational institution is authorized or required by law to undertake.
     (11) "State agency" includes the state of Washington and all agencies, departments, offices, divisions, boards, commissions, and correctional and other types of institutions.

Sec. 246   RCW 39.90.060 and 1977 ex.s. c 169 s 93 are each amended to read as follows:
     All debts, contracts and obligations heretofore made or incurred by or in favor of the state, state agencies, The Evergreen State College, North Snohomish State College, community colleges, and regional and state universities, and the political subdivisions, municipal corporations, and quasi municipal corporations of this state, are hereby declared to be legal and valid and of full force and effect from the date thereof, regardless of the interest rate borne by any such debts, contracts, and obligations.

Sec. 247   RCW 40.04.040 and 1995 c 24 s 3 are each amended to read as follows:
     Permanent session laws shall be distributed, sold, and exchanged by the statute law committee as follows:
     (1) Copies shall be given as follows: One to each requesting United States senator and representative in congress from this state; two to the Library of Congress; one to the United States supreme court library; three to the library of the circuit court of appeals of the ninth circuit; two to each United States district court room within this state; two to each office and branch office of the United States district attorneys in this state; one to each requesting state official whose office is created by the Constitution; one each to the secretary of the senate and the chief clerk of the house of representatives and such additional copies as they may request; fourteen copies to the code reviser; two copies to the state library; two copies each to the law libraries of any accredited law schools established in this state; one copy to each state adult correctional institution; and one copy to each state mental institution.
     (2) Copies, for official use only, shall be distributed as follows: Two copies to the governor; one each to the state historical society and the state bar association; and one copy to each prosecuting attorney.
     Sufficient copies shall be furnished for the use of the supreme court, the court of appeals, the superior courts, and the state law library as from time to time are requested. One copy to the University of Washington library; one copy to the library of each of the regional universities ((and to)), The Evergreen State College, and North Snohomish State College; and one copy to the Washington State University library. Six copies shall be sent to the King county law library, and one copy to each of the county law libraries organized pursuant to law; one copy to each public library in cities of the first class, and one copy to the municipal reference branch of the Seattle public library.
     (3) Surplus copies of the session laws shall be sold and delivered by the statute law committee, in which case the price of the bound volumes shall be sufficient to cover costs. All moneys received from the sale of such bound volumes of session laws shall be paid into the state treasury for the general fund.
     (4) The statute law committee may exchange bound copies of the session laws for similar laws or legal materials of other states, territories, and governments, and make such other and further distribution of the bound volumes as in its judgment seems proper.

Sec. 248   RCW 40.04.090 and 1995 c 24 s 4 are each amended to read as follows:
     The house and senate journals shall be distributed and sold by the chief clerk of the house of representatives and the secretary of the senate as follows:
     (1) Subject to subsection (5) of this section, sets shall be distributed as follows: One to each requesting official whose office is created by the Constitution, and one to each requesting state department director; two copies to the state library; ten copies to the state law library; two copies to the University of Washington library; one to the King county law library; one to the Washington State University library; one to the library of each of the regional universities ((and to)), The Evergreen State College, and North Snohomish State College; one each to the law library of any accredited law school in this state; and one to each free public library in the state that requests it.
     (2) House and senate journals of the preceding regular session during an odd- or even-numbered year, and of any intervening special session, shall be provided for use of legislators and legislative staff in such numbers as directed by the chief clerk of the house of representatives and secretary of the senate.
     (3) Surplus sets of the house and senate journals shall be sold and delivered by the chief clerk of the house of representatives and the secretary of the senate at a price set by them after consulting with the state printer to determine reasonable costs associated with the production of the journals, and the proceeds therefrom shall be paid to the state treasurer for the general fund.
     (4) The chief clerk of the house of representatives and the secretary of the senate may exchange copies of the house and senate journals for similar journals of other states, territories, and governments, or for other legal materials, and make such other and further distribution of them as in their judgment seems proper.
     (5) Periodically the chief clerk of the house of representatives and the secretary of the senate may canvas those entitled to receive copies under this section, and may reduce or eliminate the number of copies distributed to anyone who so concurs.

Sec. 249   RCW 40.06.040 and 2002 c 342 s 6 are each amended to read as follows:
     To provide economical public access to state publications, the center may enter into depository contracts with any free public library, The Evergreen State College, North Snohomish State College, regional university, or state university library, or, if needed, the library of any privately incorporated college or university in this state. The requirements for eligibility to contract as a depository library shall be established by the secretary of state upon recommendations of the state librarian. The standards shall include and take into consideration the type of library, available housing and space for the publications, the number and qualifications of personnel, and availability for public use. The center may also contract with public, out-of-state libraries for the exchange of state and other publications on a reciprocal basis. Any state publication to be distributed to the public and the legislature shall be mailed at the lowest available postal rate.

Sec. 250   RCW 41.04.340 and 2002 c 354 s 227 are each amended to read as follows:
     (1) An attendance incentive program is established for all eligible employees. As used in this section ((the term)), "eligible employee" means any employee of the state, other than eligible employees of the community and technical colleges and the state board for community and technical colleges identified in RCW 28B.50.553, and teaching and research faculty at the state and regional universities ((and)), The Evergreen State College, and North Snohomish State College, entitled to accumulate sick leave and for whom accurate sick leave records have been maintained. No employee may receive compensation under this section for any portion of sick leave accumulated at a rate in excess of one day per month. The state and regional universities ((and)), The Evergreen State College, and North Snohomish State College shall maintain complete and accurate sick leave records for all teaching and research faculty.
     (2) In January of the year following any year in which a minimum of sixty days of sick leave is accrued, and each January thereafter, any eligible employee may receive remuneration for unused sick leave accumulated in the previous year at a rate equal to one day's monetary compensation of the employee for each four full days of accrued sick leave in excess of sixty days. Sick leave for which compensation has been received shall be deducted from accrued sick leave at the rate of four days for every one day's monetary compensation.
     (3) At the time of separation from state service due to retirement or death, an eligible employee or the employee's estate may elect to receive remuneration at a rate equal to one day's current monetary compensation of the employee for each four full days of accrued sick leave.
     (4) Remuneration or benefits received under this section shall not be included for the purpose of computing a retirement allowance under any public retirement system in this state.
     (5) Except as provided in subsections (7) through (9) of this section for employees not covered by chapter 41.06 RCW, this section shall be administered, and rules shall be adopted to carry out its purposes, by the director of personnel for persons subject to chapter 41.06 RCW: PROVIDED, That determination of classes of eligible employees shall be subject to approval by the office of financial management.
     (6) Should the legislature revoke any remuneration or benefits granted under this section, no affected employee shall be entitled thereafter to receive such benefits as a matter of contractual right.
     (7) In lieu of remuneration for unused sick leave at retirement as provided in subsection (3) of this section, an agency head or designee may with equivalent funds, provide eligible employees with a benefit plan that provides for reimbursement for medical expenses. This plan shall be implemented only after consultation with affected groups of employees. For eligible employees covered by chapter 41.06 RCW, procedures for the implementation of these plans shall be adopted by the director of personnel. For eligible employees exempt from chapter 41.06 RCW, and classified employees who have opted out of coverage of chapter 41.06 RCW as provided in RCW 41.56.201, implementation procedures shall be adopted by an agency head having jurisdiction over the employees.
     (8) Implementing procedures adopted by the director of personnel or agency heads shall require that each medical expense plan authorized by subsection (7) of this section apply to all eligible employees in any one of the following groups: (a) Employees in an agency; (b) employees in a major organizational subdivision of an agency; (c) employees at a major operating location of an agency; (d) exempt employees under the jurisdiction of an elected or appointed Washington state executive; (e) employees of the Washington state senate; (f) employees of the Washington state house of representatives; (g) classified employees in a bargaining unit established by the director of personnel; or (h) other group of employees defined by an agency head that is not designed to provide an individual-employee choice regarding participation in a medical expense plan. However, medical expense plans for eligible employees in any of the groups under (a) through (h) of this subsection who are covered by a collective bargaining agreement shall be implemented only by written agreement with the bargaining unit's exclusive representative and a separate medical expense plan may be provided for unrepresented employees.
     (9) Medical expense plans authorized by subsection (7) of this section must require as a condition of participation in the plan that employees in the group affected by the plan sign an agreement with the employer. The agreement must include a provision to hold the employer harmless should the United States government find that the employer or the employee is in debt to the United States as a result of the employee not paying income taxes due on the equivalent funds placed into the plan, or as a result of the employer not withholding or deducting a tax, assessment, or other payment on the funds as required by federal law. The agreement must also include a provision that requires an eligible employee to forfeit remuneration under subsection (3) of this section if the employee belongs to a group that has been designated to participate in the medical expense plan permitted under this section and the employee refuses to execute the required agreement.

Sec. 251   RCW 41.06.020 and 1993 c 281 s 19 are each amended to read as follows:
     Unless the context clearly indicates otherwise, the words used in this chapter have the meaning given in this section.
     (1) "Agency" means an office, department, board, commission, or other separate unit or division, however designated, of the state government and all personnel thereof; it includes any unit of state government established by law, the executive officer or members of which are either elected or appointed, upon which the statutes confer powers and impose duties in connection with operations of either a governmental or proprietary nature.
     (2) "Board" means the Washington personnel resources board established under the provisions of RCW 41.06.110, except that this definition does not apply to the words "board" or "boards" when used in RCW 41.06.070.
     (3) "Classified service" means all positions in the state service subject to the provisions of this chapter.
     (4) "Competitive service" means all positions in the classified service for which a competitive examination is required as a condition precedent to appointment.
     (5) "Comparable worth" means the provision of similar salaries for positions that require or impose similar responsibilities, judgments, knowledge, skills, and working conditions.
     (6) "Noncompetitive service" means all positions in the classified service for which a competitive examination is not required.
     (7) "Department" means an agency of government that has as its governing officer a person, or combination of persons such as a commission, board, or council, by law empowered to operate the agency responsible either to (a) no other public officer or (b) the governor.
     (8) "Career development" means the progressive development of employee capabilities to facilitate productivity, job satisfaction, and upward mobility through work assignments as well as education and training that are both state-sponsored and are achieved by individual employee efforts, all of which shall be consistent with the needs and obligations of the state and its agencies.
     (9) "Training" means activities designed to develop job-related knowledge and skills of employees.
     (10) "Director" means the director of personnel appointed under the provisions of RCW 41.06.130.
     (11) "Affirmative action" means a procedure by which racial minorities, women, persons in the protected age category, persons with disabilities, Vietnam-era veterans, and disabled veterans are provided with increased employment opportunities. It shall not mean any sort of quota system.
     (12) "Institutions of higher education" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, North Snohomish State College, and the various state community colleges.
     (13) "Related boards" means the state board for community and technical colleges; and such other boards, councils, and commissions related to higher education as may be established.

Sec. 252   RCW 41.40.108 and 1991 c 35 s 107 are each amended to read as follows:
     (1) All classified employees employed by Washington State University on and after April 24, 1973, and otherwise eligible shall become members of the Washington public employees' retirement system to the exclusion of any other retirement benefit system at the institution unless otherwise provided by law.
     (2) All classified employees employed by the University of Washington ((or)), each of the regional universities ((or)), The Evergreen State College, or North Snohomish State College, on and after May 6, 1974, and otherwise eligible shall become members of the Washington public employees' retirement system at the institution unless otherwise provided by law: PROVIDED, That persons who, immediately prior to the date of their hiring as classified employees, have for at least two consecutive years held membership in a retirement plan underwritten by the private insurer of the retirement plan of their respective educational institution may irrevocably elect to continue their membership in the retirement plan notwithstanding the provisions of this chapter, if the election is made within thirty days from the date of their hiring as classified employees. If these persons elect to become members of the public employees' retirement system, contributions by them and their employers shall be required from their first day of employment.

Sec. 253   RCW 41.56.030 and 2004 c 3 s 6 are each amended to read as follows:
     As used in this chapter:
     (1) "Public employer" means any officer, board, commission, council, or other person or body acting on behalf of any public body governed by this chapter, or any subdivision of such public body. For the purposes of this section, the public employer of district court or superior court employees for wage-related matters is the respective county legislative authority, or person or body acting on behalf of the legislative authority, and the public employer for nonwage-related matters is the judge or judge's designee of the respective district court or superior court.
     (2) "Public employee" means any employee of a public employer except any person (a) elected by popular vote, or (b) appointed to office pursuant to statute, ordinance, or resolution for a specified term of office as a member of a multimember board, commission, or committee, whether appointed by the executive head or body of the public employer, or (c) whose duties as deputy, administrative assistant, or secretary necessarily imply a confidential relationship to (i) the executive head or body of the applicable bargaining unit, or (ii) any person elected by popular vote, or (iii) any person appointed to office pursuant to statute, ordinance, or resolution for a specified term of office as a member of a multimember board, commission, or committee, whether appointed by the executive head or body of the public employer, or (d) who is a court commissioner or a court magistrate of superior court, district court, or a department of a district court organized under chapter 3.46 RCW, or (e) who is a personal assistant to a district court judge, superior court judge, or court commissioner, or (f) excluded from a bargaining unit under RCW 41.56.201(2)(a). For the purpose of (e) of this subsection, no more than one assistant for each judge or commissioner may be excluded from a bargaining unit.
     (3) "Bargaining representative" means any lawful organization which has as one of its primary purposes the representation of employees in their employment relations with employers.
     (4) "Collective bargaining" means the performance of the mutual obligations of the public employer and the exclusive bargaining representative to meet at reasonable times, to confer and negotiate in good faith, and to execute a written agreement with respect to grievance procedures and collective negotiations on personnel matters, including wages, hours, and working conditions, which may be peculiar to an appropriate bargaining unit of such public employer, except that by such obligation neither party shall be compelled to agree to a proposal or be required to make a concession unless otherwise provided in this chapter.
     (5) "Commission" means the public employment relations commission.
     (6) "Executive director" means the executive director of the commission.
     (7) "Uniformed personnel" means: (a) Law enforcement officers as defined in RCW 41.26.030 employed by the governing body of any city or town with a population of two thousand five hundred or more and law enforcement officers employed by the governing body of any county with a population of ten thousand or more; (b) correctional employees who are uniformed and nonuniformed, commissioned and noncommissioned security personnel employed in a jail as defined in RCW 70.48.020(5), by a county with a population of seventy thousand or more, and who are trained for and charged with the responsibility of controlling and maintaining custody of inmates in the jail and safeguarding inmates from other inmates; (c) general authority Washington peace officers as defined in RCW 10.93.020 employed by a port district in a county with a population of one million or more; (d) security forces established under RCW 43.52.520; (e) fire fighters as that term is defined in RCW 41.26.030; (f) employees of a port district in a county with a population of one million or more whose duties include crash fire rescue or other fire fighting duties; (g) employees of fire departments of public employers who dispatch exclusively either fire or emergency medical services, or both; or (h) employees in the several classes of advanced life support technicians, as defined in RCW 18.71.200, who are employed by a public employer.
     (8) "Institution of higher education" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, North Snohomish State College, and the various state community colleges.
     (9) "Home care quality authority" means the authority under chapter 74.39A RCW.
     (10) "Individual provider" means an individual provider as defined in RCW 74.39A.240(4) who, solely for the purposes of collective bargaining, is a public employee as provided in RCW 74.39A.270.

Sec. 254   RCW 41.76.005 and 2002 c 356 s 3 are each amended to read as follows:
     The definitions in this section apply throughout this chapter unless the context clearly requires otherwise.
     (1) "Faculty governance system" means the internal organization that serves as the faculty advisory body and is charged with the responsibility for recommending policies, regulations, and rules for the college or university.
     (2) "Grievance arbitration" means a method to resolve disputes arising out of interpretations or application of the terms of an agreement under which the parties to a controversy must accept the decision of an impartial person or persons.
     (3) "Collective bargaining" and "bargaining" mean the performance of the mutual obligation of the representatives of the employer and the exclusive bargaining representative to meet at reasonable times to bargain in good faith in an effort to reach agreement with respect to wages, hours, and other terms and conditions of employment. A written contract incorporating any agreements reached must be executed if requested by either party. The obligation to bargain does not compel either party to agree to a proposal or to make a concession.
     In the event of a dispute between an employer and an exclusive bargaining representative over the matters that are terms and conditions of employment, the commission shall decide which items are mandatory subjects for bargaining, subject to RCW 41.76.010.
     (4) "Commission" means the public employment relations commission established pursuant to RCW 41.58.010.
     (5) "Faculty" means employees who, at a public four-year institution of higher education, are designated with faculty status or who perform faculty duties as defined through policies established by the faculty governance system, excluding casual or temporary employees, administrators, confidential employees, graduate student employees, postdoctoral and clinical employees, and employees subject to chapter 41.06 or 41.56 RCW.
     (6) "Employee organization" means any organization that includes as its members faculty of the employer and that has as one of its purposes representation of faculty under this chapter. A faculty governance system is not an employee organization as defined in this subsection.
     (7) "Employer" means the board of regents or the board of trustees of a public four-year institution of higher education.
     (8) "Exclusive bargaining representative" means any employee organization that has been determined by the commission to represent all of the faculty members of the bargaining unit as required in RCW 41.76.015.
     (9) "Administrator" means deans, associate and assistant deans, vice-provosts, vice-presidents, the provost, chancellors, vice-chancellors, the president, and faculty members who exercise managerial or supervisory authority over other faculty members.
     (10) "Confidential employee" means (a) a person who participates directly on behalf of an employer in the formulation of labor relations policy, the preparation for or conduct of collective bargaining, or the administration of a collective bargaining agreement, if the role of the person is not merely routine or clerical in nature but calls for the consistent exercise of independent judgment; and (b) a person who assists and acts in a confidential capacity to a person in (a) of this subsection.
     (11) "Bargaining unit" includes all faculty members of all campuses of each of the colleges and universities. Only one bargaining unit is allowable for faculty of each employer, and that unit must contain all faculty members from all schools, colleges, and campuses of the employer.
     (12) "Public four-year institutions of higher education" means the University of Washington, Washington State University, Eastern Washington University, Western Washington University, Central Washington University, ((and)) The Evergreen State College, and North Snohomish State College.

Sec. 255   RCW 41.80.005 and 2002 c 354 s 321 are each amended to read as follows:
     Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.
     (1) "Agency" means any agency as defined in RCW 41.06.020 and covered by chapter 41.06 RCW.
     (2) "Collective bargaining" means the performance of the mutual obligation of the representatives of the employer and the exclusive bargaining representative to meet at reasonable times and to bargain in good faith in an effort to reach agreement with respect to the subjects of bargaining specified under RCW 41.80.020. The obligation to bargain does not compel either party to agree to a proposal or to make a concession, except as otherwise provided in this chapter.
     (3) "Commission" means the public employment relations commission.
     (4) "Confidential employee" means an employee who, in the regular course of his or her duties, assists in a confidential capacity persons who formulate, determine, and effectuate management policies with regard to labor relations or who, in the regular course of his or her duties, has authorized access to information relating to the effectuation or review of the employer's collective bargaining policies, or who assists or aids a manager. "Confidential employee" also includes employees who assist assistant attorneys general who advise and represent managers or confidential employees in personnel or labor relations matters, or who advise or represent the state in tort actions.
     (5) "Director" means the director of the public employment relations commission.
     (6) "Employee" means any employee, including employees whose work has ceased in connection with the pursuit of lawful activities protected by this chapter, covered by chapter 41.06 RCW, except:
     (a) Employees covered for collective bargaining by chapter 41.56 RCW;
     (b) Confidential employees;
     (c) Members of the Washington management service;
     (d) Internal auditors in any agency; or
     (e) Any employee of the commission, the office of financial management, or the department of personnel.
     (7) "Employee organization" means any organization, union, or association in which employees participate and that exists for the purpose, in whole or in part, of collective bargaining with employers.
     (8) "Employer" means the state of Washington.
     (9) "Exclusive bargaining representative" means any employee organization that has been certified under this chapter as the representative of the employees in an appropriate bargaining unit.
     (10) "Institutions of higher education" means the University of Washington, Washington State University, Central Washington University, Eastern Washington University, Western Washington University, The Evergreen State College, North Snohomish State College, and the various state community colleges.
     (11) "Labor dispute" means any controversy concerning terms, tenure, or conditions of employment, or concerning the association or representation of persons in negotiating, fixing, maintaining, changing, or seeking to arrange terms or conditions of employment with respect to the subjects of bargaining provided in this chapter, regardless of whether the disputants stand in the proximate relation of employer and employee.
     (12) "Manager" means "manager" as defined in RCW 41.06.022.
     (13) "Supervisor" means an employee who has authority, in the interest of the employer, to hire, transfer, suspend, lay off, recall, promote, discharge, direct, reward, or discipline employees, or to adjust employee grievances, or effectively to recommend such action, if the exercise of the authority is not of a merely routine nature but requires the consistent exercise of individual judgment. However, no employee who is a member of the Washington management service may be included in a collective bargaining unit established under this section.
     (14) "Unfair labor practice" means any unfair labor practice listed in RCW 41.80.110.

Sec. 256   RCW 42.17.2401 and 2001 c 36 s 1 and 2001 c 9 s 1 are each reenacted and amended to read as follows:
     For the purposes of RCW 42.17.240, the term "executive state officer" includes:
     (1) The chief administrative law judge, the director of agriculture, the administrator of the Washington basic health plan, the director of the department of services for the blind, the director of the state system of community and technical colleges, the director of community, trade, and economic development, the secretary of corrections, the director of ecology, the commissioner of employment security, the chairman of the energy facility site evaluation council, the secretary of the state finance committee, the director of financial management, the director of fish and wildlife, the executive secretary of the forest practices appeals board, the director of the gambling commission, the director of general administration, the secretary of health, the administrator of the Washington state health care authority, the executive secretary of the health care facilities authority, the executive secretary of the higher education facilities authority, the executive secretary of the horse racing commission, the executive secretary of the human rights commission, the executive secretary of the indeterminate sentence review board, the director of the department of information services, the director of the interagency committee for outdoor recreation, the executive director of the state investment board, the director of labor and industries, the director of licensing, the director of the lottery commission, the director of the office of minority and women's business enterprises, the director of parks and recreation, the director of personnel, the executive director of the public disclosure commission, the director of retirement systems, the director of revenue, the secretary of social and health services, the chief of the Washington state patrol, the executive secretary of the board of tax appeals, the secretary of transportation, the secretary of the utilities and transportation commission, the director of veterans affairs, the president of each of the regional and state universities and the president of The Evergreen State College, each district and each campus president of each state community college;
     (2) Each professional staff member of the office of the governor;
     (3) Each professional staff member of the legislature; and
     (4) Central Washington University board of trustees, board of trustees of each community college, each member of the state board for community and technical colleges, state convention and trade center board of directors, committee for deferred compensation, Eastern Washington University board of trustees, Washington economic development finance authority, The Evergreen State College board of trustees, executive ethics board, forest practices appeals board, forest practices board, gambling commission, Washington health care facilities authority, each member of the Washington health services commission, higher education coordinating board, higher education facilities authority, horse racing commission, state housing finance commission, human rights commission, indeterminate sentence review board, board of industrial insurance appeals, information services board, interagency committee for outdoor recreation, state investment board, commission on judicial conduct, legislative ethics board, liquor control board, lottery commission, marine oversight board, North Snohomish State College board of trustees, Pacific Northwest electric power and conservation planning council, parks and recreation commission, personnel appeals board, board of pilotage commissioners, pollution control hearings board, public disclosure commission, public pension commission, shorelines hearing board, public employees' benefits board, salmon recovery funding board, board of tax appeals, transportation commission, University of Washington board of regents, utilities and transportation commission, Washington state maritime commission, Washington personnel resources board, Washington public power supply system executive board, Washington State University board of regents, Western Washington University board of trustees, and fish and wildlife commission.

Sec. 257   RCW 43.19.450 and 1994 c 264 s 15 are each amended to read as follows:
     The director of general administration shall appoint and deputize an assistant director to be known as the supervisor of engineering and architecture who shall have charge and supervision of the division of engineering and architecture. With the approval of the director, the supervisor may appoint and employ such assistants and personnel as may be necessary to carry out the work of the division.
     No person shall be eligible for appointment as supervisor of engineering and architecture unless he or she is licensed to practice the profession of engineering or the profession of architecture in the state of Washington and for the last five years prior to his or her appointment has been licensed to practice the profession of engineering or the profession of architecture.
     As used in this section, "state facilities" includes all state buildings, related structures, and appurtenances constructed for any elected state officials, institutions, departments, boards, commissions, colleges, community colleges, except the state universities, The Evergreen State College, North Snohomish State College, and regional universities. "State facilities" does not include facilities owned by or used for operational purposes and constructed for the department of transportation, department of fish and wildlife, department of natural resources, or state parks and recreation commission.
     The director of general administration, through the division of engineering and architecture shall:
     (1) Prepare cost estimates and technical information to accompany the capital budget and prepare or contract for plans and specifications for new construction and major repairs and alterations to state facilities((.));
     (2) Contract for professional architectural, engineering, and related services for the design of new state facilities and major repair or alterations to existing state facilities((.));
     (3) Provide contract administration for new construction and the repair and alteration of existing state facilities((.));
     (4) In accordance with the public works laws, contract on behalf of the state for the new construction and major repair or alteration of state facilities.
     The director may delegate any and all of the functions under subsections (1) through (4) of this section to any agency upon such terms and conditions as considered advisable.
     The director may delegate the authority granted to the department under RCW 39.04.150 to any agency upon such terms as considered advisable.

Sec. 258   RCW 43.41.040 and 1993 c 500 s 4 are each amended to read as follows:
     As used in this chapter, unless the context indicates otherwise:
     (1) "Office" means the office of financial management.
     (2) "Director" means the director of financial management.
     (3) "Agency" means and includes every state agency, office, officer, board, commission, department, state institution, or state institution of higher education, which includes all state universities, regional universities, The Evergreen State College, North Snohomish State College, and community and technical colleges.

Sec. 259   RCW 43.79.150 and 1993 c 411 s 3 are each amended to read as follows:
     The one hundred thousand acres of land granted by the United States government to the state for state normal schools in section 17 of the enabling act are assigned to the support of the regional universities, which were formerly the state colleges of education ((and)), to The Evergreen State College, and to North Snohomish State College.

Sec. 260   RCW 43.84.092 and 2003 c 361 s 602, 2003 c 324 s 1, 2003 c 150 s 2, and 2003 c 48 s 2 are each reenacted and amended to read as follows:
     (1) All earnings of investments of surplus balances in the state treasury shall be deposited to the treasury income account, which account is hereby established in the state treasury.
     (2) The treasury income account shall be utilized to pay or receive funds associated with federal programs as required by the federal cash management improvement act of 1990. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for refunds or allocations of interest earnings required by the cash management improvement act. Refunds of interest to the federal treasury required under the cash management improvement act fall under RCW 43.88.180 and shall not require appropriation. The office of financial management shall determine the amounts due to or from the federal government pursuant to the cash management improvement act. The office of financial management may direct transfers of funds between accounts as deemed necessary to implement the provisions of the cash management improvement act, and this subsection. Refunds or allocations shall occur prior to the distributions of earnings set forth in subsection (4) of this section.
     (3) Except for the provisions of RCW 43.84.160, the treasury income account may be utilized for the payment of purchased banking services on behalf of treasury funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasury and affected state agencies. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions. Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.
     (4) Monthly, the state treasurer shall distribute the earnings credited to the treasury income account. The state treasurer shall credit the general fund with all the earnings credited to the treasury income account except:
     (a) The following accounts and funds shall receive their proportionate share of earnings based upon each account's and fund's average daily balance for the period: The capitol building construction account, the Cedar River channel construction and operation account, the Central Washington University capital projects account, the charitable, educational, penal and reformatory institutions account, the common school construction fund, the county criminal justice assistance account, the county sales and use tax equalization account, the data processing building construction account, the deferred compensation administrative account, the deferred compensation principal account, the department of retirement systems expense account, the drinking water assistance account, the drinking water assistance administrative account, the drinking water assistance repayment account, the Eastern Washington University capital projects account, the education construction fund, the election account, the emergency reserve fund, The Evergreen State College capital projects account, the federal forest revolving account, the health services account, the public health services account, the health system capacity account, the personal health services account, the state higher education construction account, the higher education construction account, the highway infrastructure account, the industrial insurance premium refund account, the judges' retirement account, the judicial retirement administrative account, the judicial retirement principal account, the local leasehold excise tax account, the local real estate excise tax account, the local sales and use tax account, the medical aid account, the mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, The North Snohomish State College capital projects account, the oyster reserve land account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the public facilities construction loan revolving account beginning July 1, 2004, the public health supplemental account, the public works assistance account, the Puyallup tribal settlement account, the regional transportation investment district account, the resource management cost account, the site closure account, the special wildlife account, the state employees' insurance account, the state employees' insurance reserve account, the state investment board expense account, the state investment board commingled trust fund accounts, the supplemental pension account, the Tacoma Narrows toll bridge account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington fruit express account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool account, the Washington state patrol retirement account, the Washington State University building account, the Washington State University bond retirement fund, the water pollution control revolving fund, and the Western Washington University capital projects account. Earnings derived from investing balances of the agricultural permanent fund, the normal school permanent fund, the permanent common school fund, the scientific permanent fund, and the state university permanent fund shall be allocated to their respective beneficiary accounts. All earnings to be distributed under this subsection (4)(a) shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.
     (b) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period: The aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation 2003 account (nickel account), the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.
     (5) In conformance with Article II, section 37 of the state Constitution, no treasury accounts or funds shall be allocated earnings without the specific affirmative directive of this section.

Sec. 261   RCW 43.84.092 and 2004 c 242 s 60 are each amended to read as follows:
     (1) All earnings of investments of surplus balances in the state treasury shall be deposited to the treasury income account, which account is hereby established in the state treasury.
     (2) The treasury income account shall be utilized to pay or receive funds associated with federal programs as required by the federal cash management improvement act of 1990. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for refunds or allocations of interest earnings required by the cash management improvement act. Refunds of interest to the federal treasury required under the cash management improvement act fall under RCW 43.88.180 and shall not require appropriation. The office of financial management shall determine the amounts due to or from the federal government pursuant to the cash management improvement act. The office of financial management may direct transfers of funds between accounts as deemed necessary to implement the provisions of the cash management improvement act, and this subsection. Refunds or allocations shall occur prior to the distributions of earnings set forth in subsection (4) of this section.
     (3) Except for the provisions of RCW 43.84.160, the treasury income account may be utilized for the payment of purchased banking services on behalf of treasury funds including, but not limited to, depository, safekeeping, and disbursement functions for the state treasury and affected state agencies. The treasury income account is subject in all respects to chapter 43.88 RCW, but no appropriation is required for payments to financial institutions. Payments shall occur prior to distribution of earnings set forth in subsection (4) of this section.
     (4) Monthly, the state treasurer shall distribute the earnings credited to the treasury income account. The state treasurer shall credit the general fund with all the earnings credited to the treasury income account except:
     (a) The following accounts and funds shall receive their proportionate share of earnings based upon each account's and fund's average daily balance for the period: The capitol building construction account, the Cedar River channel construction and operation account, the Central Washington University capital projects account, the charitable, educational, penal and reformatory institutions account, the common school construction fund, the county criminal justice assistance account, the county sales and use tax equalization account, the data processing building construction account, the deferred compensation administrative account, the deferred compensation principal account, the department of retirement systems expense account, the drinking water assistance account, the drinking water assistance administrative account, the drinking water assistance repayment account, the Eastern Washington University capital projects account, the education construction fund, the election account, the emergency reserve fund, The Evergreen State College capital projects account, the federal forest revolving account, the health services account, the public health services account, the health system capacity account, the personal health services account, the state higher education construction account, the higher education construction account, the highway infrastructure account, the industrial insurance premium refund account, the judges' retirement account, the judicial retirement administrative account, the judicial retirement principal account, the local leasehold excise tax account, the local real estate excise tax account, the local sales and use tax account, the medical aid account, the mobile home park relocation fund, the multimodal transportation account, the municipal criminal justice assistance account, the municipal sales and use tax equalization account, the natural resources deposit account, the North Snohomish State College capital projects account, the oyster reserve land account, the perpetual surveillance and maintenance account, the public employees' retirement system plan 1 account, the public employees' retirement system combined plan 2 and plan 3 account, the public facilities construction loan revolving account beginning July 1, 2004, the public health supplemental account, the public works assistance account, the Puyallup tribal settlement account, the regional transportation investment district account, the resource management cost account, the site closure account, the special wildlife account, the state employees' insurance account, the state employees' insurance reserve account, the state investment board expense account, the state investment board commingled trust fund accounts, the supplemental pension account, the Tacoma Narrows toll bridge account, the teachers' retirement system plan 1 account, the teachers' retirement system combined plan 2 and plan 3 account, the tobacco prevention and control account, the tobacco settlement account, the transportation infrastructure account, the tuition recovery trust fund, the University of Washington bond retirement fund, the University of Washington building account, the volunteer fire fighters' and reserve officers' relief and pension principal fund, the volunteer fire fighters' and reserve officers' administrative fund, the Washington fruit express account, the Washington judicial retirement system account, the Washington law enforcement officers' and fire fighters' system plan 1 retirement account, the Washington law enforcement officers' and fire fighters' system plan 2 retirement account, the Washington public safety employees' plan 2 retirement account, the Washington school employees' retirement system combined plan 2 and 3 account, the Washington state health insurance pool account, the Washington state patrol retirement account, the Washington State University building account, the Washington State University bond retirement fund, the water pollution control revolving fund, and the Western Washington University capital projects account. Earnings derived from investing balances of the agricultural permanent fund, the normal school permanent fund, the permanent common school fund, the scientific permanent fund, and the state university permanent fund shall be allocated to their respective beneficiary accounts. All earnings to be distributed under this subsection (4)(a) shall first be reduced by the allocation to the state treasurer's service fund pursuant to RCW 43.08.190.
     (b) The following accounts and funds shall receive eighty percent of their proportionate share of earnings based upon each account's or fund's average daily balance for the period: The aeronautics account, the aircraft search and rescue account, the county arterial preservation account, the department of licensing services account, the essential rail assistance account, the ferry bond retirement fund, the grade crossing protective fund, the high capacity transportation account, the highway bond retirement fund, the highway safety account, the motor vehicle fund, the motorcycle safety education account, the pilotage account, the public transportation systems account, the Puget Sound capital construction account, the Puget Sound ferry operations account, the recreational vehicle account, the rural arterial trust account, the safety and education account, the special category C account, the state patrol highway account, the transportation 2003 account (nickel account), the transportation equipment fund, the transportation fund, the transportation improvement account, the transportation improvement board bond retirement account, and the urban arterial trust account.
     (5) In conformance with Article II, section 37 of the state Constitution, no treasury accounts or funds shall be allocated earnings without the specific affirmative directive of this section.

Sec. 262   RCW 43.88.195 and 1996 c 186 s 509 are each amended to read as follows:
     After August 11, 1969, no state agency, state institution, state institution of higher education, which shall include all state universities, regional universities, The Evergreen State College, North Snohomish State College, and community colleges, shall establish any new accounts or funds which are to be located outside of the state treasury: PROVIDED, That the office of financial management shall be authorized to grant permission for the establishment of such an account or fund outside of the state treasury only when the requesting agency presents compelling reasons of economy and efficiency which could not be achieved by placing such funds in the state treasury. When the director of financial management authorizes the creation of such fund or account, the director shall forthwith give written notice of the fact to the standing committees on ways and means of the house and senate: PROVIDED FURTHER, That agencies authorized to create local accounts will utilize the services of the state treasurer's office to ensure that new or ongoing relationships with financial institutions are in concert with statewide policies and procedures pursuant to RCW 43.88.160(1).

Sec. 263   RCW 46.63.040 and 2002 c 237 s 20 are each amended to read as follows:
     (1) All violations of state law, local law, ordinance, regulation, or resolution designated as traffic infractions in RCW 46.63.020 may be heard and determined by a district court, except as otherwise provided in this section.
     (2) Any municipal court has the authority to hear and determine traffic infractions pursuant to this chapter.
     (3) Any city or town with a municipal court may contract with the county to have traffic infractions committed within the city or town adjudicated by a district court.
     (4) District court commissioners have the authority to hear and determine traffic infractions pursuant to this chapter.
     (5) Any district or municipal court may refer juveniles age sixteen or seventeen who are enrolled in school to a youth court, as defined in RCW 3.72.005 or 13.40.020, for traffic infractions.
     (6) The boards of regents of the state universities, and the boards of trustees of the regional universities ((and of)), The Evergreen State College, and North Snohomish State College have the authority to hear and determine traffic infractions under RCW 28B.10.560.

Sec. 264   RCW 82.12.0264 and 1980 c 37 s 63 are each amended to read as follows:
     The provisions of this chapter shall not apply in respect to the use of motor vehicles, equipped with dual controls, which are loaned to and used exclusively by a school in connection with its driver training program: PROVIDED, That this exemption and the term "school" shall apply only to (1) the University of Washington, Washington State University, the regional universities, The Evergreen State College, North Snohomish State College, and the state community colleges or (2) any public, private, or parochial school accredited by either the state board of education or by the University of Washington (the state accrediting station) or (3) any public vocational school meeting the standards, courses, and requirements established and prescribed or approved in accordance with the Community College Act of 1967 (chapter 8, Laws of 1967 ((first extraordinary session)) 1st ex. sess.).

NEW SECTION.  Sec. 301   Sections 1 and 101 through 117 of this act constitute a new chapter in Title 28B RCW.

NEW SECTION.  Sec. 302   Part headings used in this act are not any part of the law.

NEW SECTION.  Sec. 303   Section 261 of this act takes effect July 1, 2006.

NEW SECTION.  Sec. 304   Section 260 of this act expires July 1, 2006.