AN ACT Relating to reorganization of educational systems and services; amending RCW 28C.04.420, 28C.04.430, 28C.04.440, 28C.04.460, 28C.04.470, 28C.04.530, 28C.04.535, 28C.04.540, 28C.04.550, 28C.10.020, 18.106.070, 19.28.510, 19.28.530, 28A.58.824, 28A.58.826, 28A.58.828, 28A.58.830, 28B.04.020, 28B.04.030, 28B.04.040, 28B.04.050, 28B.04.060, 28B.04.070, 28B.04.080, 28B.04.110, 28B.10.215, 28B.10.220, 28B.10.792, 28B.10.802, 28B.10.806, 28B.12.030, 28B.12.040, 28B.12.050, 28B.12.060, 28B.12.070, 28B.15.760, 28B.15.762, 28B.15.764, 28B.80.320, 28B.80.330, 28B.80.350, 28B.80.360, 28B.80.430, 28B.85.010, 28B.85.020, 28B.85.030, 28B.85.040, 28B.85.050, 28B.85.060, 28B.85.070, 28B.85.080, 28B.85.090, 28B.85.100, 28B.85.130, 28B.85.170, 43.03.028, 50.38.030, 51.08.012, 70.100.040, and 43.131.288; adding new sections to chapter 28C.04 RCW; creating new sections; repealing RCW 28B.80.240 and 28C.04.410; providing an effective date; and declaring an emergency.

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

NEW SECTION. Sec. 1. The office of educational services is established.

NEW SECTION. Sec. 2. (1) The director of the office of educational services shall be appointed by the governor with the consent of the senate and shall serve at the pleasure of the governor.

(2) The director shall be paid a salary fixed by the governor under RCW 43.03.040.

(3) The director shall obtain the services of such professional, technical, and clerical personnel as may be deemed necessary to enable the office to carry out its functions under this chapter.

NEW SECTION. Sec. 3. The office of educational services shall have the following powers and duties:

(1) To administer student financial assistance programs including programs under RCW 28B.10.790 through 28B.10.824, the work-study program under chapter 28B.12 RCW, and the math and science teacher loan program under RCW 28B.15.760 through 28B.15.766. The office shall administer student financial aid in a manner consistent with the statutory policy-making authority exercised by the higher education coordinating board;

(2) To administer functions related to displaced homemakers under RCW 28B.04.010 through 28B.04.120;

(3) To administer assistance for blind students under RCW 28B.10.215 through 28B.10.220;

(4) To administer the Washington scholars program under RCW 28A.58.820 through 28A.58.830;

(5) To administer functions related to the approval of programs of academic and vocational educational institutions for the receipt of educational benefits by veterans;

(6) To administer the program for approval of degree-granting institutions under chapter 28B.85 RCW;

(7) To administer the program for the regulation of private vocational schools under chapter 28C.10 RCW;

(8) To administer functions related to vocational education as provided in this chapter;

(9) To administer the Washington award for vocational excellence program;

(10) To administer the job skills program under RCW 28C.04.400 through 28C.04.480;

(11) To receive and expend public and private funds;

(12) To adopt necessary rules;

(13) To administer other programs and functions designated by law or the appropriate authority; and

(14) To appoint necessary advisory committees.

NEW SECTION. Sec. 4. A financial aid advisory committee is hereby created to advise the office of educational services. The director shall appoint a financial aid advisory committee to advise the office on rules proposed for financial aid programs, program implementation, research projects, and student needs. The committee shall include financial aid administrators from public and private institutions of postsecondary education and a representative of the higher education coordinating board. Other financial aid constituencies may be represented on the committee at the option of the director. Committee members shall be reimbursed for travel expenses as provided in RCW 43.03.050 and 43.03.060.

NEW SECTION. Sec. 5. In addition to its other statutory vocational education responsibilities, the office shall have the following powers and duties related to vocational education:

(1) To act as the state liaison with the federal government to ensure that federal requirements are met;

(2) To administer the activities mandated by the Carl D. Perkins vocational education act of 1984, as amended;

(3) To act as the sole state agency for the receipt and allocation of federal vocational education funds;

(4) To work cooperatively with the employment security department to enhance and update the state's occupational information system and the state's career information system; and

(5) To initiate the standard state vocational planning process as outlined in section 6 of this act.

NEW SECTION. Sec. 6. Within one hundred eighty days of the effective date of this section, the office of educational services, the superintendent of public instruction, and the state board for community college education shall jointly develop a planning process to guide the preparation of the state plan. If a planning process is not developed within the one hundred eighty-day period allowed, the governor shall prescribe a planning process.

NEW SECTION. Sec. 7. The superintendent of public instruction and the state board for community college education shall jointly:

(1) Develop an integrated state plan for all state and federally funded vocational education services. The office, the advisory board, business groups, labor groups, and other interested parties shall be consulted by the superintendent of public instruction and the state board for community college education for recommendations during the plan development process. The plan shall:

(a) Address state and local goals and objectives;

(b) Contain biennial objectives and budget priorities;

(d) Address state-wide economic and employment needs;

(e) Contain an assessment of how these needs are being and should be met;

(f) Outline priorities among the needs and the specific resources necessary to meet them;

(g) Include recommendations for improving vocational education;

(h) Include mechanisms for reviewing and approving new programs proposed by public institutions;

(i) Include mechanisms for dispute resolution;

(j) Contain provisions for evaluating programs including job placement information;

(k) Include mechanisms for evaluating the effectiveness of input from local advisory committees;

(l) Include procedures for assuring the coordination and sharing of resources between and among public and private secondary and postsecondary schools; and

(m) Provide for periodic updating of the plan.

(2) Develop a consistent and reliable data base on public vocational education, including enrollments, costs, program activities, and job placement. Such data shall be made available to the office of the governor and the legislature.

NEW SECTION. Sec. 8. (1) The vocational education advisory board is hereby created to advise the office of educational services.

(2) The board shall consist of eight members as follows:

(a) The executive director of the state board for community college education, or the executive director's designee;

(b) The superintendent of public instruction or the superintendent's designee;

(d) The following four persons appointed by the governor who shall serve five-year terms, but the initial terms shall be staggered as determined by the governor:

(i) Two individuals knowledgeable about vocational education;

(ii) A representative of labor who shall be appointed from a list of at least three names submitted by one or more state-wide labor organizations; and

(iii) A representative of business who shall be appointed from a list of at least three names submitted by one or more state-wide business organizations; and

(e) The director, who shall be the chair.

NEW SECTION. Sec. 9. (1) The board shall meet at the call of the chair, but not less than four times each year.

(2) Members of the board shall be reimbursed for travel expenses as provided in RCW 43.03.050 and 43.03.060.

NEW SECTION. Sec. 10. The board shall:

(1) Advise the director of educational services, the superintendent of public instruction, and the state board for community college education on the development of the state plan.

(2) Approve and adopt the state plan developed under this chapter.

(3) Advise the director on the distribution and grant awards of job skills funds.

(4) Provide advice and assistance in the development of the state planning process for vocational education as outlined in section 6 of this act.

(5) Advise the office of educational services, the governor, and the legislature on matters pertaining to vocational and technical education and those programs which relate to other educational programs, efforts, and services which are relevant to quality vocational and technical programs, as well as which may support the economic and industrial development of the state.

(6) Perform such other functions as shall be required by federal and state statute.

NEW SECTION. Sec. 11. Funds necessary for the execution of the office's duties shall be provided from funds paid pursuant to Public Law 98-524 and supplementary funds as appropriated by the legislature. The office may receive such gifts, grants, and endowments from public or private sources as may be made from time to time, in trust or otherwise, for the use and benefit of the purposes of the office and expend the same or any income therefrom according to the terms of the gifts, grants, or endowments.

NEW SECTION. Sec. 12. The state of Washington hereby accepts all the provisions and benefits of an act passed by the senate and house of representatives of the United States of America in congress assembled, entitled "An act to provide for the promotion of vocational education, to provide for cooperation with the states in the promotion of such education in agriculture and the trades and industries; to provide for cooperation with the states in the preparation of teachers of vocational subjects; and to appropriate money and regulate its expenditure", approved February 23, 1917; and of an act of congress entitled "An act to provide for the further development of vocational education in the several states and territories," approved June 8, 1936, and the Vocational Education Act of 1946 and supplemental vocational education acts including but not limited to Public Law 88-210 and Public Law 98-524, the Carl D. Perkins vocational education act of 1984, as amended.

NEW SECTION. Sec. 13. The state treasurer is hereby designated and appointed custodian of all moneys received by the state from the appropriations made by the said acts of congress as provided for in section 12 of this act and is authorized to receive and to provide for the proper custody of the same and to make disbursements therefrom in the manner provided in said acts and for the purposes therein specified. The treasurer shall also, upon the order of the appropriate agency in accordance with the provisions of those state acts relating to the promotion of vocational education, pay out any moneys appropriated by the state of Washington for the purpose of carrying out the provisions thereof relating to vocational education.

NEW SECTION. Sec. 14. The supervision and delivery of vocational education services in the public schools and community colleges shall remain the responsibility of the superintendent of public instruction and the state board for community college education. They shall have the following powers and duties respecting vocational education programs in their respective jurisdictions:

(1) Supervise and administer the daily implementation of all elements of the state plan and other operational functions which involve the administration and operation of vocational education programs in school districts or community college districts, as applicable;

(2) Be responsible for development of the state plan and for drafting state plan revisions; and

(3) Adopt rules necessary to the implementation of their respective powers and duties under this chapter, including rules of the superintendent authorizing the financial maintenance and program operations of the existing and future common school vocational-technical institutes.

NEW SECTION. Sec. 15. For the purposes of this chapter, vocational schools or classes may be established (1) as all day schools or classes giving instruction in vocational subjects; (2) as part time schools or classes giving instruction in vocational subjects; and (3) as evening school classes giving instruction supplemental to the daily employment.

NEW SECTION. Sec. 16. The state board of education may authorize the school districts to offer vocational education programs in the elementary and secondary schools and the state board shall adopt rules to implement such programs and shall also adopt such rules for programs authorized by RCW 28A.58.245.

NEW SECTION. Sec. 17. (1) Each local education agency or community college district offering vocational educational preparatory programs shall establish local advisory committees to provide that agency or district with advice on current job needs and on the courses necessary to meet these needs.

(2) The local program committees shall:

(a) Participate in the determination of program goals;

(b) Review and evaluate program curricula, equipment, and effectiveness;

(d) Actively consult with other representatives of business, industry, labor, and agriculture.

NEW SECTION. Sec. 18. Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) "Applicant" means an educational institution which has made application for a job skills grant under RCW 28C.04.420 through 28C.04.480.

(2) "Board" or "advisory board" means the vocational education advisory board under section 8 of this act.

(3) "Business and industry" means a private corporation, institution, firm, person, group, or association concerned with commerce, trades, manufacturing, or the provision of services within the state, or a public or nonprofit hospital licensed by the department of social and health services.

(4) "Director" means the director of educational services.

(5) "Educational institution" means a public secondary or postsecondary institution or an independent institution within the state authorized by law to provide a program of skills training or education beyond the secondary school level. Any educational institution receiving a job skills grant under RCW 28C.04.420 through 28C.04.480 shall be free of sectarian control or influence as set forth in Article IX, section 4 of the state Constitution.

(6) "Equipment" means tangible personal property which will further the objectives of the supported program and for which a definite value and evidence in support of the value have been provided by the donor.

(7) "Financial support" means any thing of value which is contributed by business and industry to an educational institution which is reasonably calculated to support directly the development and expansion of a particular program under RCW 28C.04.420 through 28C.04.480 and represents an addition to any financial support previously or customarily provided to such educational institutions by the donor. "Financial support" includes, but is not limited to, funds, equipment, facilities, faculty, and scholarships for matriculating students and trainees.

(8) "Industrial arts" and "practical arts" mean general education centered around the industrial and technical aspects of current living, offering orientation in and appreciation for production, consumption, and recreation through actual experiences with materials and goods and also providing exploratory experiences which are helpful in the choice of a vocation.

(9) "Job market area" means the geographic area for recruitment and placement of job entrants, usually determined by each industry or by a collective bargaining agreement. (10) "Job skills grant" means funding that is provided to an educational institution by the office for the development or significant expansion of a program under RCW 28C.04.420 through 28C.04.480.

(11) "Job skills program" means a program of skills training or education separate from and in addition to existing vocational education programs and which:

(a) Provides short-term training which has been designated for specific industries;

(b) Provides training for prospective employees before a new plant opens or when existing industry expands;

(c) Includes training and retraining for workers already employed by an existing industry or business where necessary to avoid dislocation or where upgrading of existing employees would create new vacancies for unemployed persons;

(d) Serves areas with high concentrations of economically disadvantaged persons and high unemployment;

(e) Serves areas with new and growing industries;

(f) Serves areas where there is a shortage of skilled labor to meet job demands; or

(g) Promotes the location of new industry in areas affected by economic dislocation.

(12) "Occupational exploration" includes prevocational education and means a series of educational experiences designed to: (a) Assist individuals in developing their understanding of, appreciation for, aptitudes for, and abilities in recognized occupations; (b) develop an attitude of respect toward work and pride in workmanship; and (c) provide knowledge and experience to assist in the choice of an occupational program.

(13) "Office" means the office of educational services.

(14) "Postsecondary education system" means those educational courses and programs, not within the jurisdiction of the superintendent of public instruction, being offered beyond secondary education by institutions of higher education in the state of Washington which includes academic, vocational, technical or professional training traditionally leading to an associate, baccalaureate, or higher degree or a certificate of achievement.

(15) "Secondary education system" means those educational courses and programs, within the jurisdiction of the superintendent of public instruction, being offered in the common schools of the state of Washington in the grades 7 through 12, or any part thereof, which are traditionally provided for the purpose of granting a recognized certificate of completion or a high school diploma: PROVIDED, That notwithstanding the provisions of this chapter and RCW 28B.50.140(1), existing vocational-technical institutes operating within the secondary school system shall continue to function within the common school system.

(16) "State plan" or "plan" means the Washington state plan for vocational education, adopted as outlined under this chapter. This plan shall be a single comprehensive plan and shall meet the requirements of this chapter and the requirements of Public Law 98-524 as amended, and other state, federal, congressional, and administrative directives pertaining to vocational education. However, standards of, rules for, and supervision of indentured apprenticeship in the apprenticeable crafts shall continue to be governed by the director of labor and industries and the state apprenticeship council under chapter 49.04 RCW.

(17) "Technical assistance" means professional and any other assistance provided by business and industry to an educational institution, which is reasonably calculated to support directly the development and expansion of a particular program and which represents an addition to any technical assistance previously or customarily provided to the educational institutions by the donor.

(18) "Vocational education" means a planned series of learning experiences, the specific objective of which is to prepare persons to enter, continue in, or upgrade themselves in gainful employment in recognized occupations, including consumer education and homemaking, home and family life programs, and volunteer fire fighting training, which are not designated as professional or requiring a baccalaureate or higher degree.

(19) "Vocational-technical institute" means a specialized area nongraded vocational education facility established and operated for the purpose of offering comprehensive courses primarily oriented to the job market area in vocational education for persons sixteen years of age and older without regard to residence, under laws, and rules pertaining to the maintenance, operation, and capital funding of vocational-technical institutes. Service areas for common school vocational-technical institutes shall be defined specifically by the office, recognizing areas traditionally served.

NEW SECTION. Sec. 19. Children of any person who was a Washington domiciliary and who has been determined by the federal government to be a prisoner of war or missing in action in Southeast Asia, including Korea shall be admitted to any public vocational-technical school within the state without the necessity of paying any registration fees or tuition fees if such child meets such other educational qualifications as such vocational-technical school shall deem reasonable and necessary under the circumstances. Affected institutions shall in their preparation of future budgets include costs resultant from such registration fee or tuition loss for reimbursement from appropriations of state funds. Applicants for free tuition shall provide institutional administrative personnel with documentation of their rights under this section.

NEW SECTION. Sec. 20. (1) There is hereby created a state council on vocational education, hereinafter referred to as the "council," for so long as a state council is required by federal law or regulation as a condition for receipt of federal funds, consisting of not less than thirteen members appointed by the governor, without regard to the civil service laws, for terms of three years. The initial members of the council shall be the members of the state advisory council on vocational education as it existed immediately prior to the effective date of this section, who shall serve the remainder of their unexpired terms.

(2) The composition and duties of the council shall be in accordance with federal law. As terms expire, the governor shall make an appointment necessary to fill any vacancy.

(3) The council shall meet at least four times a year at the call of the chair, who shall be selected by vote of the members.

(4) Members of the council shall receive their travel expenses while engaged in the business of the council in accordance with RCW 43.03.050 and 43.03.060.

(5) Funds necessary for the execution of the council's duties shall be provided from funds paid pursuant to Public Law 98-524 and supplementary funds as appropriated by the legislature. The council may receive such gifts, grants, and endowments from public or private sources as may be made from time to time, in trust or otherwise, for the use and benefit of the purposes of the council and expend the same or any income therefrom according to the terms of the gifts, grants, or endowments.

NEW SECTION. Sec. 21. The duties of the council shall be in accordance with federal law. The council shall obtain the services of an executive director and confidential secretary to such director, both of whom shall be exempt from the provisions of chapter 41.06 RCW, and such professional, technical, and clerical personnel as may be deemed necessary to enable it to carry out its functions under this section and to contract for such services as may be necessary to enable them to carry out their evaluation functions.

NEW SECTION. Sec. 22. All reports, documents, surveys, books, records, files, papers, or written material in the possession of the commission for vocational education shall be delivered to the custody of the office of educational services. All cabinets, furniture, office equipment, motor vehicles, and other tangible property employed by the commission for vocational education shall be made available to the office of educational services. All funds, credits, or other assets held by the commission for vocational education shall be assigned to the office of educational services.

Any appropriations made to the commission for vocational education shall, on the effective date of this act, be transferred and credited to the office of educational services.

Whenever any question arises as to the transfer of any personnel, funds, books, documents, records, papers, files, equipment, or other tangible property used or held in the exercise of the powers and the performance of the duties and functions transferred, the director of financial management shall make a determination as to the proper allocation and certify the same to the state agencies concerned.

NEW SECTION. Sec. 23. Employees of the commission for vocational education, except the director and deputy director, engaged in performing the powers, functions, and duties transferred to the office of educational services are transferred to the jurisdiction of the office of educational services. All employees classified under chapter 41.06 RCW, the state civil service law, are assigned to the office of educational services to perform their usual duties upon the same terms as formerly, without any loss of rights, subject to any action that may be appropriate thereafter in accordance with the laws and rules governing state civil service.

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NEW SECTION. Sec. 24. All rules and all pending business before the commission for vocational education shall be continued and acted upon by the office of educational services. All existing contracts and obligations shall remain in full force and shall be performed by the office of educational services.

NEW SECTION. Sec. 25. The transfer of the powers, duties, functions, and personnel of the commission for vocational education shall not affect the validity of any act performed by such employee prior to the effective date of this section.

NEW SECTION. Sec. 26. If apportionments of budgeted funds are required because of the transfers directed by sections 22 through 25 of this act, the director of financial management shall certify the apportionments to the agencies affected, the state auditor, and the state treasurer. Each of these shall make the appropriate transfer and adjustments in funds and appropriation accounts and equipment records in accordance with the certification.

NEW SECTION. Sec. 27. Nothing contained in sections 22 through 26 of this act may be construed to alter any existing collective bargaining unit or the provisions of any existing collective bargaining agreement until the agreement has expired or until the bargaining unit has been modified by action of the personnel board as provided by law.

NEW SECTION. Sec. 28. The director of financial management, in consultation with the department of personnel and the higher education personnel board, shall conduct an analysis of staffing needs and necessary personnel classifications for the office. Until the study is completed, the office shall not fill any vacancies without approval of the director of financial management. Upon completion of the analysis, the governor shall determine to which of the state personnel systems the office shall be assigned.

Sec. 29. Section 4, chapter 21, Laws of 1983 1st ex. sess. and RCW 28C.04.420 are each amended to read as follows:

The ((~~commission~~)) office may, subject to appropriation from the legislature or from funds made available from any other public or private source and pursuant to rules adopted by the ((~~commission~~)) office, provide job skills grants to educational institutions. The job skills grants shall be used exclusively for programs which are consistent with the job skills program. A job skills grant may be awarded only after:

(1) Receipt of an application from an educational institution which contains a proposal for a program of skills training and education, including a description of the program, the type of skills training or education to be provided, a statement of the total cost of the program and a breakdown of the costs associated with equipment, personnel, facilities, and materials, a statement of the employment needs for the program and evidence in support thereof, demonstrates that the program does not unnecessarily duplicate existing programs in the area and is provided at a reasonable cost, a statement of the technical assistance and financial support for the program received or to be received from business and industry, and such other information as the ((~~commission~~)) office requests; and

(2) The ((~~commission~~)) office, based on the application submitted by the educational institution and such additional investigation as the staff of the ((~~commission~~)) office shall make, finds that:

(a) The program is within the scope of the job skills program under this chapter and may reasonably be expected to succeed and thereby increase employment within the state;

(b) Provision has been made to use any available alternative funding from local, state, and federal sources;

(d) The program will not unnecessarily duplicate existing programs and could not be provided by another educational institution more effectively or efficiently;

(e) The program involves an area of skills training and education for which there is a demonstrable need;

(f) The applicant has made provisions for the use of existing federal and state resources for student financial assistance;

(g) The job skills grant is essential to the success of the program as the resources of the applicant are inadequate to attract the technical assistance and financial support necessary for the program from business and industry;

(h) The commitment of financial support from business and industry shall be equal to or greater than the amount of the requested job skills grant;

(i) Binding commitments have been made to the ((~~commission~~)) office by the applicant for adequate reporting of information and data regarding the program to the ((~~commission~~)) office, particularly information concerning the recruitment and employment of trainees and students, and including a requirement for an annual or other periodic audit of the books of the applicant directly related to the program, and for such control on the part of the ((~~commission~~)) office as it considers prudent over the management of the program, so as to protect the use of public funds, including, in the discretion of the ((~~commission~~)) office and without limitation, right of access to financial and other records of the applicant directly related to the programs;

(j) Provision has been made by the applicant to work, in cooperation with the employment security department, to identify and screen potential trainees and that provision has been made by the applicant of persons who are victims of economic dislocation and persons from minority and economically disadvantaged groups to participate in the program; and

(k) Binding commitments have been made to the ((~~commission~~)) office by the applicant for compliance with the monitoring and evaluation rules of the ((~~commission~~)) office.

Sec. 30. Section 5, chapter 21, Laws of 1983 1st ex. sess. and RCW 28C.04.430 are each amended to read as follows:

Upon approval by the office of a job skills grant application ((~~by the commission, the commission~~)), the office shall immediately provide notification of its decision to the employment security department and to the governor. The notification shall include the following information regarding the supported program: The trade, occupation, or profession with which the program is concerned; a description of the curriculum, the requirements for participation, and the procedures for making application; the duration of the program; a description of support services available to participants in the program; and any other information relevant to encouraging and facilitating the participation in the program of those in economic need. Grant awards shall be announced by the office of the governor.

Sec. 31. Section 6, chapter 21, Laws of 1983 1st ex. sess. as amended by section 40, chapter 466, Laws of 1985 and RCW 28C.04.440 are each amended to read as follows:

The department of trade and economic development or its successor and the employment security department shall each enter into an interagency agreement with the ((~~commission on vocational education~~)) office to establish cooperative working arrangements for the purposes of RCW 28C.04.410 through 28C.04.480.

Sec. 32. Section 8, chapter 21, Laws of 1983 1st ex. sess. as amended by section 41, chapter 466, Laws of 1985 and RCW 28C.04.460 are each amended to read as follows:

The department of trade and economic development or its successor shall for the purposes of RCW 28C.04.410 through 28C.04.480:

(1) Work cooperatively with the ((~~commission on vocational education~~) office to market the job skills program to business and economic development agencies and other firms;

(2) Recruit industries from outside the state to participate in the job skills training program; and

(3) Refer business and industry interested in developing a job skills training program to the ((~~commission on vocational education~~)) office.

Sec. 33. Section 9, chapter 21, Laws of 1983 1st ex. sess. and RCW 28C.04.470 are each amended to read as follows:

The ((~~commission~~)) office shall annually submit a complete and detailed report of the ((~~commission's~~)) office's activities affecting the job skills program under RCW 28C.04.410 through 28C.04.480 within ninety days after the end of the fiscal year to the chief clerk of the house of representatives, to the secretary of the senate, and to the governor. The annual report shall include, but not be limited to, descriptions of all programs funded, and evaluation of the performance of each program, a summary of the public moneys expended, and the demographic and economic characteristics of the individuals trained, educated, and employed, including, in particular, the number of minority and economically disadvantaged individuals.

Sec. 34. Section 3, chapter 267, Laws of 1984 and RCW 28C.04.530 are each amended to read as follows:

(1) The ((~~commission for vocational education~~)) office of educational services shall have the responsibility for the development and administration of the Washington award for vocational excellence program. The ((~~commission~~)) office of educational services shall develop the program in consultation with other state agencies and private organizations having interest and responsibility in vocational education, including but not limited to: The state board for community college education, the office of the superintendent of public instruction, a voluntary professional association of vocational educators, and representatives from business, labor, and industry.

(2) The ((~~commission~~)) office of educational services shall establish a planning committee to develop the criteria for screening and selecting the students who will receive the award. This criteria shall include but not be limited to the following characteristics: Proficiency in their chosen fields, attendance, attitude, character, leadership, and civic contributions.

Sec. 35. Section 4, chapter 267, Laws of 1984 and RCW 28C.04.535 are each amended to read as follows:

The Washington award for vocational excellence shall be granted annually. The ((~~commission~~)) office of educational services shall notify the students receiving the award, their vocational instructors, local chambers of commerce, the legislators of their respective districts, and the governor, after final selections have been made. The ((~~commission~~)) office of educational services, in conjunction with the governor's office, shall prepare appropriate certificates to be presented to the selected students. Awards shall be presented in public ceremonies at times and places determined by the ((~~commission~~)) office of educational services in cooperation with the office of the governor.

Sec. 36. Section 5, chapter 267, Laws of 1984 and RCW 28C.04.540 are each amended to read as follows:

The ((~~commission~~)) office of educational services may accept any and all donations, grants, bequests, and devices, conditional or otherwise, or money, property, service, or other things of value which may be received from any federal, state, or local agency, any institution, person, firm, or corporation, public and private, to be held, used, or applied for the purposes of the Washington award for vocational excellence program. The ((~~commission~~)) office of educational services shall encourage maximum participation from business, labor, and community groups. The ((~~commission~~)) office of educational services shall also coordinate, where feasible, the contribution activities of the various participants.

((~~The commission shall not make expenditures from funds collected under this section until February 15, 1985.~~))

Sec. 37. Section 8, chapter 267, Laws of 1984 and RCW 28C.04.550 are each amended to read as follows:

((The Washington award for vocational excellence shall be effective commencing with the 1984-85 academic year. The commission for vocational education shall report on the program to the legislature and to the governor by January 15, 1985. The report shall include a description of the program, a copy of any rules implementing the program, a list of the participants, and the commission's recommendations for any additional statutory changes needed to improve the program.

~~Thereafter, the commission~~)) The office of educational services shall report on the results and effectiveness of ((~~this award~~)) the Washington award for vocational excellence program to the legislature and the governor on or before January 15 of each odd-numbered year. The ((~~1987~~)) 1989 report shall include an evaluation of the effects of expanding the tuition and fee waiver period from one to two years.

Sec. 38. Section 2, chapter 299, Laws of 1986 and RCW 28C.10.020 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 the ((~~commission for vocational education~~)) office of educational services or its successor.

(2) "Agent" means a person owning an interest in, employed by, or representing for remuneration a private vocational school within or without this state, who enrolls or personally attempts to secure the enrollment in a private vocational school of a resident of this state, offers to award educational credentials for remuneration on behalf of a private vocational school, or holds himself or herself out to residents of this state as representing a private vocational school for any of these purposes.

(3) "Degree" means any designation, appellation, letters, or words including but not limited to "associate," "bachelor," "master," "doctor," or "fellow" which signify or purport to signify satisfactory completion of an academic program of study beyond the secondary school level.

(4) "Education" includes but is not limited to, any class, course, or program of training, instruction, or study.

(5) "Educational credentials" means degrees, diplomas, certificates, transcripts, reports, documents, or letters of designation, marks, appellations, series of letters, numbers, or words which signify or appear to signify enrollment, attendance, progress, or satisfactory completion of the requirements or prerequisites for any educational program.

(6) "Entity" includes, but is not limited to, a person, company, firm, society, association, partnership, corporation, or trust.

(7) "Private vocational school" means any entity offering postsecondary education in any form or manner for the purpose of instructing, training, or preparing persons for any vocation or profession.

(8) "To grant" includes to award, issue, sell, confer, bestow, or give.

(9) "To offer" includes, in addition to its usual meanings, to advertise or publicize. "To offer" also means to solicit or encourage any person, directly or indirectly, to perform the act described.

(10) "To operate" means to establish, keep, or maintain any facility or location where, from, or through which education is offered or educational credentials are offered or granted to residents of this state, and includes contracting for the performance of any such act.

Sec. 39. Section 7, chapter 175, Laws of 1973 1st ex. sess. as last amended by section 1, chapter 465, Laws of 1985 and RCW 18.106.070 are each amended to read as follows:

(1) The department shall issue a certificate of competency to all applicants who have passed the examination and have paid the fee for the certificate. The certificate shall bear the date of issuance, and shall expire on the birthdate of the holder immediately following the date of issuance. The certificate shall be renewable every other year, upon application, on or before the birthdate of the holder. A renewal fee shall be assessed for each certificate. If a person fails to renew the certificate by the renewal date, he or she must pay a doubled fee. If the person does not renew the certificate within ninety days of the renewal date, he or she must retake the examination and pay the examination fee.

The certificate of competency and the temporary permit provided for in this chapter grant the holder the right to engage in the work of plumbing as a journeyman plumber or specialty plumber in accordance with their provisions throughout the state and within any of its political subdivisions on any job or any employment without additional proof of competency or any other license or permit or fee to engage in the work. This section does not preclude employees from adhering to a union security clause in any employment where such a requirement exists.

(2) A person who is indentured in an apprenticeship program approved under chapter 49.04 RCW for the plumbing construction trade or who is learning the plumbing construction trade may work in the plumbing construction trade if supervised by a certified journeyman plumber or a certified specialty plumber in that plumber's specialty. All apprentices and individuals learning the plumbing construction trade shall obtain a plumbing training certificate from the department. The certificate shall authorize the holder to learn the plumbing construction trade while under the direct supervision of a journeyman plumber or a specialty plumber working in his or her specialty. The holder of the plumbing training certificate shall renew the certificate annually. At the time of renewal, the holder shall provide the department with an accurate list of the holder's employers in the plumbing construction industry for the previous year and the number of hours worked for each employer. An annual fee shall be charged for the issuance or renewal of the certificate. The department shall set the fee by rule. The fee shall cover but not exceed the cost of administering and enforcing the trainee certification and supervision requirements of this chapter. Apprentices and individuals learning the plumbing construction trade shall have their plumbing training certificates in their possession at all times that they are performing plumbing work. They shall show their certificates to an authorized representative of the department at the representative's request.

(3) Any person who has been issued a plumbing training certificate under this chapter may work if that person is under supervision. Supervision shall consist of a person being on the same job site and under the control of either a journeyman plumber or an appropriate specialty plumber who has an applicable certificate of competency issued under this chapter. Either a journeyman plumber or an appropriate specialty plumber shall be on the same job site as the noncertified individual for a minimum of seventy-five percent of each working day unless otherwise provided in this chapter. The ratio of noncertified individuals to certified journeymen or specialty plumbers working on a job site shall be: (a) From July 28, 1985, through June 30, 1988, not more than three noncertified plumbers working on any one job site for every certified journeyman or specialty plumber; (b) effective July 1, 1988, not more than two noncertified plumbers working on any one job site for every certified specialty plumber or journeyman plumber working as a specialty plumber; and (c) effective July 1, 1988, not more than one noncertified plumber working on any one job site for every certified journeyman plumber working as a journeyman plumber.

An individual who has a current training certificate and who has successfully completed or is currently enrolled in an approved apprenticeship program or in a technical school program in the plumbing construction trade in a school approved by the ((~~commission for vocational education~~)) office of educational services, may work without direct on-site supervision during the last six months of meeting the practical experience requirements of this chapter.

Sec. 40. Section 2, chapter 30, chapter 1980 as amended by section 13, chapter 206, Laws of 1983 and RCW 19.28.510 are each amended to read as follows:

(1) No person may engage in the electrical construction trade without having a current journeyman electrician certificate of competency or a current specialty electrician certificate of competency issued by the department in accordance with this chapter. Electrician certificate of competency specialties include, but are not limited to: Residential, domestic appliances, pump and irrigation, limited energy system, signs, and nonresidential maintenance.

(2) A person who is indentured in an apprenticeship program approved under chapter 49.04 RCW for the electrical construction trade or who is learning the electrical construction trade may work in the electrical construction trade if supervised by a certified journeyman electrician or a certified specialty electrician in that electrician's specialty. All apprentices and individuals learning the electrical construction trade shall obtain an electrical training certificate from the department. The certificate shall authorize the holder to learn the electrical construction trade while under the direct supervision of a journeyman electrician or a specialty electrician working in his or her specialty. The holder of the electrical training certificate shall renew the certificate annually. At the time of renewal, the holder shall provide the department with an accurate list of the holder's employers in the electrical construction industry for the previous year and the number of hours worked for each employer. An annual fee shall be charged for the issuance or renewal of the certificate. The department shall set the fee by rule. The fee shall cover but not exceed the cost of administering and enforcing the trainee certification and supervision requirements of this chapter. Apprentices and individuals learning the electrical construction trade shall have their electrical training certificates in their possession at all times that they are performing electrical work. They shall show their certificates to an authorized representative of the department at the representative's request.

(3) Any person who has been issued an electrical training certificate under this chapter may work if that person is under supervision. Supervision shall consist of a person being on the same job site and under the control of either a journeyman electrician or an appropriate specialty electrician who has an applicable certificate of competency issued under this chapter. Either a journeyman electrician or an appropriate specialty electrician shall be on the same job site as the noncertified individual for a minimum of seventy-five percent of each working day unless otherwise provided in this chapter. The ratio of noncertified individuals to certified journeymen or specialty electricians working on a job site shall be:

(a) From September 1, 1979, through December 31, 1982, not more than three noncertified electricians working on any one job site for every certified journeyman or specialty electrician;

(b) Effective January 1, 1983, not more than two noncertified individuals working on any one job site for every specialty electrician or journeyman electrician working as a specialty electrician;

(c) Effective January 1, 1983, not more than than one noncertified individual working on any one job site for every certified journeyman electrician.

The ratio requirements do not apply to a trade school program in the electrical construction trade established during 1946.

An individual who has a current training certificate and who has successfully completed or is currently enrolled in an approved apprenticeship program or in a technical school program in the electrical construction trade in a school approved by the ((~~commission for vocational education~~)) office of educational services, may work without direct on-site supervision during the last six months of meeting the practical experience requirements of this chapter.

Sec. 41. Section 4, chapter 30, Laws of 1980 as amended by section 14, chapter 206, Laws of 1983 and RCW 19.28.530 are each amended to read as follows:

(1) Upon receipt of the application, the department shall review the application and determine whether the applicant is eligible to take an examination for the journeyman or specialty certificate of competency. To be eligible to take the examination for a journeyman certificate the applicant must have worked in the electrical construction trade for a minimum of four years employed full time, of which two years shall be in industrial or commercial electrical installation under the supervision of a journeyman electrician certified under this chapter and not more than a total of two years in all specialties under the supervision of a journeyman electrician certified under this chapter or an appropriate specialty electrician certified under this chapter or have successfully completed an apprenticeship program approved under chapter 49.04 RCW for the electrical construction trade. To be eligible to take the examination to become a specialty electrician the applicant shall have worked in that specialty of the electrical construction trade, under the supervision of a journeyman electrician certified under this chapter or an appropriate specialty electrician certified under this chapter, for a minimum of two years employed full time, or have successfully completed an approved apprenticeship program under chapter 49.04 RCW for the applicant's specialty in the electrical construction trade. Before January 1, 1984, applicants for nonresidential maintenance specialty licenses are eligible to become nonresidential maintenance specialists upon certification to the department that they have the equivalent of two years full-time experience in that specialty field. Persons applying before January 1, 1984, for a journeyman certificate are eligible to take the examination to become journeymen until July 1, 1984, upon certification to the department that they have the equivalent of five years full-time experience in nonresidential maintenance, of which two years shall be in industrial electrical installation. Any applicant who has successfully completed a two-year technical school program in the electrical construction trade in a school that is approved by the ((~~commission for vocational education~~)) office of educational services may substitute up to two years of the technical school program for two years of work experience under a journeyman electrician. The applicant shall obtain the additional two years of work experience required in industrial or commercial electrical installation prior to the beginning, or after the completion, of the technical school program. Any applicant who has received training in the electrical construction trade in the armed service of the United States may be eligible to take the examination for the certificate of competency. Any applicant who is a graduate of a trade school program in the electrical construction trade that was established during 1946 is eligible to take the examination for the certificate of competency. No other requirement for eligibility may be imposed.

(2) The department shall establish reasonable rules for the examinations to be given applicants for certificates of competency. In establishing the rules, the department shall consult with the board of electrical examiners. Upon determination that the applicant is eligible to take the examination, the department shall so notify the applicant, indicating the time and place for taking the examination.

Sec. 42. Section 3, chapter 54, Laws of 1981 as amended by section 32, chapter 370, Laws of 1985 and RCW 28A.58.824 are each amended to read as follows:

The ((~~higher education coordinating board~~)) office of educational services shall have the responsibility for administration of the Washington scholars program. The program will be developed cooperatively with the Washington association of secondary school principals, a voluntary professional association of secondary school principals. The cooperation of other state agencies and private organizations having interest and responsibility in public and private education shall be sought for planning assistance.

Sec. 43. Section 4, chapter 54, Laws of 1981 as amended by section 33, chapter 370, Laws of 1985 and RCW 28A.58.826 are each amended to read as follows:

The ((~~higher education coordinating board~~)) office of educational services shall establish a planning committee to develop criteria for screening and selection of the Washington scholars each year in accordance with RCW 28A.58.822(1). It is the intent that these criteria shall emphasize scholastic achievement but not exclude such criteria as leadership ability and community contribution in final selection procedures. The Washington scholars planning committee shall have members from selected state agencies and private organizations having an interest and responsibility in education, including but not limited to, the state board of education, the office of superintendent of public instruction, the council of presidents, the higher education coordinating board, the state board for community college education, and the Washington friends of higher education.

Sec. 44. Section 5, chapter 54, Laws of 1981 as amended by section 34, chapter 370, Laws of 1985 and RCW 28A.58.828 are each amended to read as follows:

Each year on or before March 1st, the Washington association of secondary school principals shall submit to the ((~~higher education coordinating board~~)) office of educational services the names of graduating senior high school students who have been identified and recommended to be outstanding in academic achievement by their school principals based on criteria to be established under RCW 28A.58.826.

Sec. 45. Section 6, chapter 54, Laws of 1981 as amended by section 35, chapter 370, Laws of 1985 and RCW 28A.58.830 are each amended to read as follows:

Washington scholars annually shall be selected from among the students so identified. The ((~~higher education coordinating board~~)) office of educational services shall notify the students so designated, their high school principals, the legislators of their respective districts, and the governor when final selections have been made.

The ((~~board~~)) office of educational services, in conjunction with the governor's office, shall prepare appropriate certificates to be presented to the Washington scholars recipients. An awards ceremony at an appropriate time and place shall be planned by the ((~~board~~)) office of educational services in cooperation with the Washington association of secondary school principals, and with the approval of the governor.

Sec. 46. Section 2, chapter 73, Laws of 1979 as last amended by section 36, chapter 370, Laws of 1985 and RCW 28B.04.020 are each amended to read as follows:

The legislature finds that homemakers are an unrecognized part of the work force who make an invaluable contribution to the strength, durability, and purpose of our state.

The legislature further finds that there is an increasing number of persons in this state who, having fulfilled a role as homemaker, find themselves "displaced" in their middle years through divorce, death of spouse, disability of spouse, or other loss of family income of a spouse. As a consequence, displaced homemakers are very often left with little or no income; they are ineligible for categorical welfare assistance; they are subject to the highest rate of unemployment of any sector of the work force; they face continuing discrimination in employment because of their age and lack of recent paid work experience; they are ineligible for unemployment insurance because they have been engaged in unpaid labor in the home; they are ineligible for social security benefits because they are too young, and many never qualify because they have been divorced from the family wage earner; they may have lost beneficiaries' rights under employer's pension and health plans through divorce or death of spouse; and they are often unacceptable to private health insurance plans because of their age.

It is the purpose of this chapter to establish guidelines under which the ((~~higher education coordinating board~~)) office of educational services shall contract to establish multipurpose service centers and programs to provide necessary training opportunities, counseling, and services for displaced homemakers so that they may enjoy the independence and economic security vital to a productive life.

Sec. 47. Section 3, chapter 73, Laws of 1979 as amended by section 37, chapter 370, Laws of 1985 and RCW 28B.04.030 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter.

(1) ((~~"Board" means the higher education coordinating board~~)) "Office" means the office of educational services.

(2) "Center" means a multipurpose service center for displaced homemakers as described in RCW 28B.04.040.

(3) "Program" means those programs described in RCW 28B.04.050 which provide direct, outreach, and information and training services which serve the needs of displaced homemakers.

(4) "Displaced homemaker" means an individual who:

(a) Has worked in the home for ten or more years providing unsalaried household services for family members on a full-time basis; and

(b) Is not gainfully employed;

(d) Has been dependent on the income of another family member but is no longer supported by that income, or has been dependent on federal assistance but is no longer eligible for that assistance, or is supported as the parent of minor children by public assistance or spousal support but whose children are within two years of reaching their majority.

Sec. 48. Section 4, chapter 73, Laws of 1979 as last amended by section 38, chapter 370, Laws of 1985 and RCW 28B.04.040 are each amended to read as follows:

(1) The ((~~board~~)) office, in consultation with state and local governmental agencies, community groups, and local and national organizations concerned with displaced homemakers, shall receive applications and may contract with public or private nonprofit organizations to establish multipurpose service centers for displaced homemakers. In determining sites and administering agencies or organizations for the centers, the ((~~board~~)) office shall consider the experience and capabilities of the public or private nonprofit organizations making application to provide services to a center.

(2) The ((~~board~~)) office shall issue rules prescribing the standards to be met by each center in accordance with the policies set forth in this chapter. Continuing funds for the maintenance of each center shall be contingent upon the determination by the ((~~board~~)) office that the center is in compliance with the contractual conditions and with the rules prescribed by the ((~~board~~)) office.

Sec. 49. Section 5, chapter 73, Laws of 1979 as last amended by section 39, chapter 370, Laws of 1985 and RCW 28B.04.050 are each amended to read as follows:

(1) Each center contracted for under this chapter shall include or provide information and referral to the following services:

(a) Job counseling services which shall:

(i) Be specifically designed for displaced homemakers;

(ii) Counsel displaced homemakers with respect to appropriate job opportunities; and

(iii) Take into account and build upon the skills and experience of a homemaker and emphasize job readiness as well as skill development;

(b) Job training and job placement services which shall:

(i) Emphasize short-term training programs and programs which expand upon homemaking skills and volunteer experience and which lead to gainful employment;

(ii) Develop, through cooperation with state and local government agencies and private employers, model training and placement programs for jobs in the public and private sectors;

(iii) Assist displaced homemakers in gaining admission to existing public and private job training programs and opportunities, including vocational education and apprenticeship training programs; and

(iv) Assist in identifying community needs and creating new jobs in the public and private sectors;

(i) General principles of preventative health care;

(ii) Health care consumer education, particularly in the selection of physicians and health care services, including, but not limited to, health maintenance organizations and health insurance;

(iii) Family health care and nutrition;

(iv) Alcohol and drug abuse; and

(v) Other related health care matters;

(d) Financial management services which provide information and assistance with respect to insurance, taxes, estate and probate problems, mortgages, loans, and other related financial matters;

(e) Educational services, including:

(i) Outreach and information about courses offering credit through secondary or postsecondary education programs, and other re-entry programs, including bilingual programming where appropriate; and

(ii) Information about such other programs as are determined to be of interest and benefit to displaced homemakers by the ((~~board~~)) office;

(f) Legal counseling and referral services; and

(g) Outreach and information services with respect to federal and state employment, education, health, public assistance, and unemployment assistance programs which the ((~~board~~)) office determines would be of interest and benefit to displaced homemakers.

(2) The staff positions of each multipurpose center contracted for in accordance with RCW 28B.04.040, including supervisory, technical, and administrative positions, shall, to the maximum extent possible, be filled by displaced homemakers.

Sec. 50. Section 6, chapter 73, Laws of 1979 as last amended by section 40, chapter 370, Laws of 1985 and RCW 28B.04.060 are each amended to read as follows:

The ((~~board~~)) office may contract, where appropriate, with public or private nonprofit groups or organizations serving the needs of displaced homemakers for programs designed to:

(1) Provide direct services to displaced homemakers, including job counseling, job training and placement, health counseling, financial management, educational counseling, legal counseling, and referral services as described in RCW 28B.04.050;

(2) Provide state-wide outreach and information services for displaced homemakers; and

(3) Provide training opportunities for persons serving the needs of displaced homemakers, including those persons in areas not directly served by programs and centers established under this chapter.

Sec. 51. Section 7, chapter 73, Laws of 1979 as last amended by section 41, chapter 370, Laws of 1985 and RCW 28B.04.070 are each amended to read as follows:

The ((~~board~~)) office shall submit to the legislature a biennial evaluation in January of each even-numbered year. The evaluations may include recommendation for future programs as determined by the ((~~board~~)) office.

Sec. 52. Section 8, chapter 73, Laws of 1979 as last amended by section 42, chapter 370, Laws of 1985 and RCW 28B.04.080 are each amended to read as follows:

(1) The ((~~board~~)) office shall consult and cooperate with the department of social and health services; the state board for community college education; the superintendent of public instruction; ((~~the commission for vocational education;~~)) the employment security department; the department of labor and industries; sponsoring agencies under the federal comprehensive employment and training act (87 Stat. 839; 29 U.S.C. Sec. 801 et seq.), and any other persons or agencies as the ((~~board~~)) office deems appropriate to facilitate the coordination of centers established under this chapter with existing programs of a similar nature.

(2) Annually on July 1st, each agency listed in subsection (1) of this section shall submit a description of each service or program under its jurisdiction which would support the programs and centers established by this chapter and the funds available for such support.

(3) The ((~~board~~)) office shall serve as a clearinghouse for displaced homemaker information and resources and shall compile and disseminate state-wide information to the centers, related agencies, and interested persons upon request.

Sec. 53. Section 11, chapter 73, Laws of 1979 as amended by section 43, chapter 370, Laws of 1985 and RCW 28B.04.110 are each amended to read as follows:

The ((~~board~~)) office may, in carrying out this chapter, accept, use, and dispose of contributions of money, services, and property: PROVIDED, That funds generated within individual centers may be retained and utilized by those centers. All moneys received by the ((~~board~~)) office or any employee thereof pursuant to this section shall be deposited in a depository approved by the state treasurer. Disbursements of such funds shall be on authorization of the ((~~board~~)) office or a duly authorized representative thereof. In order to maintain an effective expenditure and revenue control such funds shall be subject in all respects to chapter 43.88 RCW, but no appropriation shall be required to permit expenditure of such funds.

Sec. 54. Section 28B.10.215, chapter 223, Laws of 1969 ex. sess. as last amended by section 51, chapter 370, Laws of 1985 and RCW 28B.10.215 are each amended to read as follows:

There is allocated to each and every blind student attending any institution of higher education within the state a sum not to exceed two hundred dollars per quarter, or so much thereof as may be necessary in the opinion of the ((~~higher education coordinating board~~)) office of educational services in the state of Washington, to provide said blind student with readers, books, recordings, recorders, or other means of reproducing and imparting ideas, while attending said institution of higher education: PROVIDED, That said allocation shall be made out of any moneys in the general fund not otherwise appropriated.

Sec. 55. Section 28B.10.220, chapter 223, Laws of 1969 ex. sess. as last amended by section 52, chapter 370, Laws of 1985 and RCW 28B.10.220 are each amended to read as follows:

All blind student assistance shall be distributed under the supervision of the ((~~higher education coordinating board~~)) office of educational services in the state of Washington. The moneys or any part thereof allocated in the manner referred to in RCW 28B.10.215 shall, for furnishing said books or equipment or supplying said services, be paid by said ((~~board~~)) office directly to the state institution of higher education, directly to such blind student, heretofore mentioned, or to the student's parents, guardian, or some adult person, if the blind student is a minor, designated by said blind student to act as trustee of said funds, as shall be determined by the ((~~board~~)) office.

The ((~~board~~)) office shall have power to prescribe and enforce all rules ((~~and regulations~~)) necessary to carry out the provisions of this section and RCW 28B.10.215.

Sec. 56. Section 2, chapter 13, Laws of 1980 as amended by section 55, chapter 370, Laws of 1985 and RCW 28B.10.792 are each amended to read as follows:

The office of educational services in consultation with the higher education coordinating board shall develop guidelines for determining the conditions under which an institution can be determined to be directly affected by a reciprocity agreement for the purposes of RCW 28B.10.790: PROVIDED, That no institution shall be determined to be directly affected unless students from the county in which the institution is located are provided, pursuant to a reciprocity agreement, access to Washington institutions at resident tuition and fee rates to the extent authorized by Washington law.

Sec. 57. Section 8, chapter 222, Laws of 1969 ex. sess. as last amended by section 56, chapter 370, Laws of 1985 and RCW 28B.10.802 are each amended to read as follows:

As used in RCW 28B.10.800 through 28B.10.824:

(1) "Institutions of higher education" shall mean (1) any public university, college, community college, or vocational-technical institute operated by the state of Washington or any political subdivision thereof or (2) any other university, college, school, or institute in the state of Washington offering instruction beyond the high school level which is a member institution of an accrediting association recognized by rule of the board for the purposes of this section: PROVIDED, That any institution, branch, extension or facility operating within the state of Washington which is affiliated with an institution operating in another state must be a separately accredited member institution of any such accrediting association: PROVIDED FURTHER, That no institution of higher education shall be eligible to participate in a student financial aid program unless it agrees to and complies with program rules and regulations adopted pursuant to RCW 28B.10.822.

(2) The term "financial aid" shall mean loans and/or grants to needy students enrolled or accepted for enrollment as a full time student at institutions of higher education.

(3) The term "needy student" shall mean a post high school student of an institution of higher learning as defined in subsection (1) of this section who demonstrates to the board the financial inability, either through the student's parents, family and/or personally, to meet the total cost of board, room, books, and tuition and incidental fees for any semester or quarter.

(4) The term "disadvantaged student" shall mean a post high school student who by reason of adverse cultural, educational, environmental, experiential, familial or other circumstances is unable to qualify for enrollment as a full time student in an institution of higher learning, who would otherwise qualify as a needy student, and who is attending an institution of higher learning under an established program designed to qualify the student for enrollment as a full time student.

(5) "Commission" or "board" or "office" shall mean the ((~~higher education coordinating board~~)) office of educational services.

Sec. 58. Section 11, chapter 222, Laws of 1969 ex. sess. and RCW 28B.10.806 are each amended to read as follows:

The commission shall have the following powers and duties:

(1) ((~~Conduct a full analysis of student financial aid as a means of:~~

~~(a) Fulfilling educational aspirations of students of the state of Washington, and~~

~~(b) Improving the general, social, cultural, and economic character of the state.~~

Such an analysis will be a continuous one and will yield current information relevant to needed improvements in the state program of student financial aid. The commission will disseminate the information yielded by their analyses to all appropriate individuals and agents.

~~(c) This study should include information on the following:~~

~~(i) all programs and sources of available student financial aid,~~

~~(ii) distribution of Washington citizens by socio-economic class,~~

~~(iii) data from federal and state studies useful in identifying:~~

~~(A) demands of students for specific educational goals in colleges, and~~

~~(B) the discrepancy between high school students' preferences and the colleges they actually selected.~~

~~(2)~~)) Design a state program of student financial aid based on the data of the study referred to in this section. The state program will supplement available federal and local aid programs. The state program of student financial aid will not exceed the difference between the budgetary costs of attending an institution of higher learning and the student's total resources, including family support, personal savings, employment, and federal and local aid programs.

((~~(3)~~)) (2) Determine and establish criteria for financial need of the individual applicant based upon the consideration of that particular applicant. In making this determination the commission shall consider the following:

(a) Assets and income of the student.

(b) Assets and income of the parents, or the individuals legally responsible for the care and maintenance of the student.

(d) Any other criteria deemed relevant to the commission.

((~~(4)~~)) (3) Set the amount of financial aid to be awarded to any individual needy or disadvantaged student in any school year.

((~~(5)~~)) (4) Award financial aid to full time needy or disadvantaged students for a school year based upon only that amount necessary to fill the financial gap between the budgetary cost of attending an institution of higher education and the family and student contribution.

((~~(6)~~)) (5) Review the need and eligibility of all applications on an annual basis and adjust financial aid to reflect changes in the financial need of the recipients and the cost of attending the institution of higher education.

Sec. 59. Section 3, chapter 177, Laws of 1974 ex. sess. and RCW 28B.12.030 are each amended to read as follows:

As used in this chapter, the following words and terms shall have the following meanings, unless the context shall clearly indicate another or different meaning or intent:

(1) The term "needy student" shall mean a student enrolled or accepted for enrollment at a post-secondary institution who, according to a system of need analysis approved by the ((~~commission on higher education~~)) office of educational services, demonstrates a financial inability, either parental, familial, or personal, to bear the total cost of education for any semester or quarter.

(2) The term "eligible institution" shall mean any post-secondary institution in this state accredited by the Northwest Association of Secondary and Higher Schools or any public vocational-technical school in the state.

Sec. 60. Section 4, chapter 177, Laws of 1974 ex. sess. as amended by section 58, chapter 370, Laws of 1985 and RCW 28B.12.040 are each amended to read as follows:

The ((~~higher education coordinating board~~)) office of educational services shall develop and administer the college work-study program and shall be authorized to enter into agreements with employers and eligible institutions for the operation of the program. These agreements shall include such provisions as the higher education coordinating board may deem necessary or appropriate to carry out the purposes of this chapter.

The share from funds disbursed under the college work-study program of the compensation of students employed under such program in accordance with such agreements shall not exceed eighty percent of the total such compensation paid such students.

Sec. 61. Section 5, chapter 177, Laws of 1974 ex. sess. as amended by section 59, chapter 370, Laws of 1985 and RCW 28B.12.050 are each amended to read as follows:

The ((~~higher education coordinating board~~)) office of educational services shall disburse college work-study funds after consideration of recommendations of a panel convened by the ((~~higher education coordinating board~~)) office of educational services, and composed of representatives of eligible institutions and post-secondary education advisory and governing bodies. Said ((~~commission~~)) office shall establish criteria for the panel designed to achieve such distribution of assistance under this chapter among students attending eligible institutions as will most effectively carry out the purposes of this chapter.

Sec. 62. Section 6, chapter 177, Laws of 1974 ex. sess. as amended by section 60, chapter 370, Laws of 1985 and RCW 28B.12.060 are each amended to read as follows:

The ((~~higher education coordinating board~~)) office of educational services shall adopt rules and regulations as may be necessary or appropriate for effecting the provisions of this chapter, and not in conflict with this chapter, in accordance with the provisions of chapter 28B.19 RCW, the state higher education administrative procedure act. Such rules and regulations shall be promulgated upon consideration of advice from a panel composed of representatives of institutional financial aid officers, a representative of employee organizations having membership in the classified service of the state's institutions of higher education, and will include provisions designed to make employment under such work-study program reasonably available, to the extent of available funds, to all eligible students in eligible post-secondary institutions in need thereof. Such rules and regulations shall include:

(1) Providing work under the college work-study program which will not result in the displacement of employed workers or impair existing contracts for services.

(2) Furnishing work only to a student who:

(a) Is capable, in the opinion of the eligible institution, of maintaining good standing in such course of study while employed under the program covered by the agreement; and

(b) Has been accepted for enrollment as at least a half-time student at the eligible institution or, in the case of a student already enrolled in and attending the eligible institution, is in good standing and in at least half-time attendance there either as an undergraduate, graduate or professional student; and

(3) Placing priority on the securing of work opportunities for students who are residents of the state of Washington as defined in RCW 28B.15.011 through 28B.15.014.

(4) Provisions to assure that in the state institutions of higher education utilization of this student work-study program:

(a) Shall only supplement and not supplant classified positions under jurisdiction of chapter 28B.16 RCW;

(b) That all positions established which are comparable shall be identified to a job classification under the higher education personnel board's classification plan and shall receive equal compensation;

(d) That work study positions shall only be established at entry level positions of the classified service.

Sec. 63. Section 7, chapter 177, Laws of 1974 ex. sess. as amended by section 61, chapter 370, Laws of 1985 and RCW 28B.12.070 are each amended to read as follows:

Each eligible institution shall submit to the ((~~higher education coordinating board~~)) office of educational services an annual report in accordance with such requirements as are promulgated by the ((~~commission~~)) office.

Sec. 64. Section 1, chapter 74, Laws of 1983 1st ex. sess. as amended by section 79, chapter 370, Laws of 1985 and RCW 28B.15.760 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout RCW 28B.15.762 and 28B.15.764.

(1) "Institution of higher education" or "institution" means a college or university in the state of Washington which is a member institution of an accrediting association recognized as such by rule of the higher education coordinating board.

(2) ((~~"Board" means the higher education coordinating board~~)) "Office" means the office of educational services.

(3) "Eligible student" means a student registered for at least ten credit hours or the equivalent and demonstrates achievement of a 3.00 grade point average for each academic year, who is a resident student as defined by RCW 28B.15.012 through 28B.15.015, who is a "needy student" as defined in RCW 28B.10.802, and who has a declared major in a program leading to a degree in teacher education in a field of science or mathematics, or a certificated teacher who meets the same credit hour and "needy student" requirements and is seeking an additional degree in science or mathematics.

(4) "Public school" means a middle school, junior high school, or high school within the public school system referred to in Article IX of the state Constitution.

(5) "Forgiven" or "to forgive" means to collect service as a teacher in a field of science or mathematics at a public school in the state of Washington in lieu of monetary payment.

(6) "Satisfied" means paid-in-full.

(7) "Borrower" means an eligible student who has received a loan under RCW 28B.15.762.

Sec. 65. Section 2, chapter 74, Laws of 1983 1st ex. sess. as amended by section 80, chapter 370, Laws of 1985 and RCW 28B.15.762 are each amended to read as follows:

(1) The ((~~board~~)) office may make long-term loans to eligible students at institutions of higher education from the funds appropriated to the ((~~board~~)) office for this purpose. The amount of any such loan shall not exceed the demonstrated financial need of the student or two thousand five hundred dollars for each academic year whichever is less, and the total amount of such loans to an eligible student shall not exceed ten thousand dollars. The interest rates and terms of deferral of such loans shall be consistent with the terms of the guaranteed loan program established by 20 U.S.C. Sec. 1701 et seq. The period for repaying the loan principal and interest shall be ten years with payments accruing quarterly commencing nine months from the date the borrower graduated. The entire principal and interest of each loan payment shall be forgiven for each payment period in which the borrower teaches science or mathematics in a public school in this state until the entire loan is satisfied or the borrower ceases to teach science or mathematics at a public school in this state. Should the borrower cease to teach science or mathematics at a public school in this state before the time in which the principal and interest on the loan are satisfied, payments on the unsatisfied portion of the principal and interest on the loan shall begin the next payment period and continue until the remainder of the loan is paid.

(2) The ((~~board~~)) office is responsible for collection of loans made under subsection (1) of this section and shall exercise due diligence in such collection, maintaining all necessary records to insure that maximum repayments are made. Collection and servicing of loans under subsection (1) of this section shall be pursued using the full extent of the law, including wage garnishment if necessary, and shall be performed by entities approved for such servicing by the Washington student loan guaranty association or its successor agency. The ((~~board~~)) office is responsible to forgive all or parts of such loans under the criteria established in subsection (1) of this section and shall maintain all necessary records of forgiven payments.

(3) Receipts from the payment of principal or interest or any other subsidies to which the ((~~board~~)) office as lender is entitled, which are paid by or on behalf of borrowers under subsection (1) of this section, shall be deposited with the ((~~higher education coordinating board~~)) office of educational services and shall be used to cover the costs of making the loans under subsection (1) of this section, maintaining necessary records, and making collections under subsection (2) of this section. The ((~~board~~)) office shall maintain accurate records of these costs, and all receipts beyond those necessary to pay such costs shall be used to make loans to eligible students.

(4) The ((~~board~~)) office shall adopt necessary rules to implement this section.

Sec. 66. Section 3, chapter 74, Laws of 1983 1st ex. sess. as amended by section 81, chapter 370, Laws of 1985 and RCW 28B.15.764 are each amended to read as follows:

The ((~~board~~)) office and institutions of higher education shall work cooperatively to implement RCW 28B.15.762 and to publicize this program to eligible students.

Sec. 67. Section 3, chapter 370, Laws of 1985 and RCW 28B.80.320 are each amended to read as follows:

The purpose of the board is to provide planning, coordination, monitoring, and policy analysis for higher education in the state of Washington in cooperation and consultation with the institutions' autonomous governing boards and with all other segments of postsecondary education, including but not limited to the state board for community college education and the ((~~commission for vocational education~~)) office of educational services. The legislature intends that the board represent the broad public interest above the interests of the individual colleges and universities.

Sec. 68. Section 4, chapter 370, Laws of 1985 and RCW 28B.80.330 are each amended to read as follows:

The board shall perform the following planning duties in consultation with the four-year institutions, the community college system, and when appropriate the ((~~commission for vocational education~~)) office of educational services, the superintendent of public instruction for the vocational-technical institutes, and the independent higher educational institutions:

(1) Develop and establish role and mission statements for each of the four-year institutions and for the community college system;

(2) Identify the state's higher education goals, objectives, and priorities;

(3) Prepare a comprehensive master plan which includes but is not limited to:

(a) Assessments of the state's higher education needs. These assessments may include, but are not limited to: The basic and continuing needs of various age groups; business and industrial needs for a skilled workforce; analyses of demographic, social, and economic trends; consideration of the changing ethnic composition of the population and the special needs arising from such trends; college attendance, retention, and dropout rates, and the needs of recent high school graduates and placebound adults. The board should consider the needs of residents of all geographic regions, but its initial priorities should be applied to heavily populated areas underserved by public institutions;

(b) Recommendations on enrollment and other policies and actions to meet those needs;

The initial plan shall be submitted to the governor and the legislature by December 1, 1987. Comments on the plan from the board's advisory committees and the institutions shall be submitted with the plan.

The plan shall be updated biennially, and presented to the governor and the appropriate legislative policy committees. Following public hearings, the legislature shall, by concurrent resolution, approve or recommend changes to the initial plan, and the biennial updates. The plan shall then become state higher education policy unless legislation is enacted to alter the policies set forth in the plan;

(4) Review, evaluate, and make recommendations on operating and capital budget requests from four-year institutions and the community college system, based on the elements outlined in subsections (1), (2), and (3) of this section, and on guidelines which outline the board's fiscal priorities. These guidelines shall be distributed to the institutions and the community college board by December of each odd-numbered year. The institutions and the community college board shall submit an outline of their proposed budgets, identifying major components, to the board no later than August 1 of each even-numbered year. The board shall submit recommendations on the proposed budgets and on the board's budget priorities to the office of financial management before October 15 of each even-numbered year, and to the legislature by January 1 of each odd-numbered year;

(5) Recommend legislation affecting higher education;

(6) Recommend tuition and fees policies and levels based on comparisons with peer institutions;

(7) Establish priorities and develop recommendations on financial aid based on comparisons with peer institutions;

(8) Analyze student financial aid issues by:

(a) Performing assessments of all programs and sources of financial aid;

(b) Studying whether existing financial aid programs will meet the needs of future students; and

(9) Prepare recommendations on merging or closing institutions; and

((~~(9)~~)) (10) Develop criteria for identifying the need for new baccalaureate institutions.

Sec. 69. Section 6, chapter 370, Laws of 1985 and RCW 28B.80.350 are each amended to read as follows:

The board shall coordinate educational activities among all segments of higher education taking into account the educational programs, facilities, and other resources of both public and independent two and four-year colleges and universities. The four-year institutions, the state board for community college education, and the ((~~commission for vocational education~~)) office of educational services shall coordinate information and activities with the board. The board shall have the following additional responsibilities:

(1) Promote interinstitutional cooperation;

(2) Establish minimum admission standards for four-year institutions;

(3) Establish transfer policies;

(4) Adopt rules implementing statutory residency requirements;

(5) Develop and administer reciprocity agreements with bordering states and the province of British Columbia;

(6) Review and recommend compensation practices and levels for administrative employees, exempt under chapter 28B.16 RCW, and faculty using comparative data from peer institutions;

(7) Monitor higher education activities for compliance with all relevant state policies for higher education;

(8) Arbitrate disputes between and among four-year institutions or between and among four-year institutions and community colleges at the request of one or more of the institutions involved, or at the request of the governor, or from a resolution adopted by the legislature. The decision of the board shall be binding on the participants in the dispute;

(9) Establish and implement a state system for collecting, analyzing, and distributing information;

(10) Recommend to the governor and the legislature ways to remove any economic incentives to use off-campus program funds for on-campus activities; and

(11) Make recommendations to increase minority participation, and monitor and report on the progress of minority participation in higher education.

Sec. 70. Section 7, chapter 370, Laws of 1985 as amended by section 20, chapter 136, Laws of 1986 and RCW 28B.80.360 are each amended to read as follows:

The board shall perform the following administrative responsibilities:

(1) Administer the programs set forth in the following statutes: ((Chapter 28A.58 RCW (Washington scholars); chapter 28B.04 RCW (displaced homemakers); chapter 28B.85 RCW (degree-granting institutions); RCW 28B.10.210 through 28B.10.220 (blind students subsidy); RCW 28B.10.800 through 28B.10.824 (student financial aid program); chapter 28B.12 RCW (work study);)) RCW 28B.15.067 through 28B.15.076 (educational costs for establishing tuition and fees); ((~~RCW 28B.15.543 (tuition waivers for Washington scholars); RCW 28B.15.760 through 28B.15.766 (math and science loans);~~)) RCW 28B.80.150 through 28B.80.170 (student exchange compact); ((~~RCW 28B.80.240 (student aid programs);~~)) and RCW 28B.80.210 (federal programs).

(2) Study the delegation of the administration of the following: RCW 28B.65.040 through 28B.65.060 (high-technology board); ((~~chapter 28B.85 RCW (degree-granting institutions);~~)) RCW 28B.80.150 through 28B.80.170 (student exchange compact programs); RCW 28B.80.200 (state commission for federal law purposes); RCW 28B.80.210 (enumerated federal programs); RCW 28B.80.230 (receipt of federal funds); ((RCW 28B.80.240 (student financial aid programs); RCW 28A.58.824 through 28A.58.830 (Washington scholars); RCW 28B.15.543 (Washington scholars); RCW 28B.04.020 through 28B.04.110 (displaced homemakers); RCW 28B.10.215 and 28B.10.220 (blind students); RCW 28B.10.790, 28B.10.792, and 28B.10.802 through 28B.10.844 (student financial aid); RCW 28B.12.040 through 28B.12.070 (student work study);)) RCW 28B.15.100 (reciprocity agreement); RCW 28B.15.730 through 28B.15.736 (Oregon reciprocity); RCW 28B.15.750 through 28B.15.754 (Idaho reciprocity); and RCW 28B.15.756 and 28B.15.758 (British Columbia reciprocity)((~~; and RCW 28B.15.760 through 28B.15.764 (math/science loans)~~)). The board shall report the results of its study and recommendations to the legislature.

Sec. 71. Section 14, chapter 370, Laws of 1985 and RCW 28B.80.430 are each amended to read as follows:

The board shall employ a director and may delegate agency management to the director. The director shall serve at the pleasure of the board, shall be the executive officer of the board, and shall, under the board's supervision, administer the provisions of this chapter. The executive director shall, with the approval of the board: (1) Employ necessary deputy and assistant directors and other exempt staff under chapter 28B.16 RCW who shall serve at his or her pleasure on such terms and conditions as he or she determines and (2) subject to the provisions of chapter 28B.16 RCW, appoint and employ such other employees as may be required for the proper discharge of the functions of the board. In fulfilling the duties under this chapter, the board shall make extensive use of those state agencies with responsibility for implementing and supporting postsecondary education plans and policies including but not limited to appropriate legislative groups, the postsecondary education institutions, the office of financial management, the ((~~commission for vocational education~~)) office of educational services, and the state board for community college education. Outside consulting and service agencies may also be employed. The board may compensate these groups and consultants in appropriate ways.

Sec. 72. Section 1, chapter 136, Laws of 1986 and RCW 28B.85.010 are each amended to read as follows:

Unless the context clearly requires otherwise, the definitions in this section apply throughout this chapter:

(1) ((~~"Board" means the higher education coordinating board.~~

~~(2)~~)) "Degree" means any designation, appellation, letters, or words including but not limited to "associate," "bachelor," "master," "doctor," or "fellow" which signify or purport to signify satisfactory completion of the requirements of an academic program of study beyond the secondary school level.

((~~(3)~~)) (2) "Degree-granting institution" means an entity that offers educational credentials, instruction, or services prerequisite to or indicative of an academic or professional degree beyond the secondary level.

(3) "Office" means the office of educational services.

Sec. 73. Section 2, chapter 136, Laws of 1986 and RCW 28B.85.020 are each amended to read as follows:

The ((~~board~~)) office:

(1) Shall adopt by rule minimum standards for degree-granting institutions concerning granting of degrees, quality of education, unfair business practices, financial stability, and other necessary measures to protect citizens of this state against substandard, fraudulent, or deceptive practices. The ((~~board~~)) office shall adopt the rules in accordance with chapter 34.04 RCW;

(2) May investigate any entity the ((~~board~~)) office reasonably believes to be subject to the jurisdiction of this chapter. In connection with the investigation, the ((~~board~~)) office may administer oaths and affirmations, issue subpoenas and compel attendance, take evidence, and require the production of any books, papers, correspondence, memorandums, or other records which the board deems relevant or material to the investigation. The ((~~board~~)) office, including its staff and any other authorized persons, may conduct site inspections and examine records of all institutions subject to this chapter;

(((3) Shall develop an interagency agreement with the commission for vocational education or its successor agency to regulate degree-granting private vocational schools with respect to nondegree programs.))

Sec. 74. Section 3, chapter 136, Laws of 1986 and RCW 28B.85.030 are each amended to read as follows:

A degree-granting institution shall not operate and shall not grant or offer to grant any degree unless the institution has obtained current authorization from the ((~~board~~)) office.

Sec. 75. Section 4, chapter 136, Laws of 1986 and RCW 28B.85.040 are each amended to read as follows:

(1) An institution or person shall not advertise, offer, sell, or award a degree or any other type of educational credential unless the student has enrolled in and successfully completed a prescribed program of study, as outlined in the institution's publications. This prohibition shall not apply to honorary credentials clearly designated as such on the front side of the diploma or certificate and awarded by institutions offering other educational credentials in compliance with state law.

(2) Except as provided in subsection (1) of this section, this chapter shall not apply to:

(a) Any public college, university, or other entity operating as part of the public educational system of this state.

(b) Institutions that have been accredited by an accrediting association recognized by the ((~~agency~~)) office for the purposes of this chapter, provided that an institution, branch, extension, or facility operating within the state of Washington which is affiliated with an institution operating in another state must be a separately accredited member institution of any such accrediting association to qualify for this exemption.

(c) Institutions of a religious character, but only as to those education programs devoted exclusively to religious or theological objectives if the programs are represented in an accurate manner in institutional catalogs and other official publications.

(d) Institutions not otherwise exempt which offer only workshops or seminars lasting no longer than three calendar days and for which academic credit is not awarded.

Sec. 76. Section 5, chapter 136, Laws of 1986 and RCW 28B.85.050 are each amended to read as follows:

All degree-granting institutions subject to this chapter shall file information with the ((~~board~~)) office as the ((~~board~~)) office may require.

Sec. 77. Section 6, chapter 136, Laws of 1986 and RCW 28B.85.060 are each amended to read as follows:

The ((~~board~~)) office shall impose fees on any degree-granting institution authorized to operate under this chapter. Fees shall be set and revised by the ((~~board~~)) office by rule at the level necessary to approximately recover the staffing costs incurred in administering this chapter. Fees shall be deposited in the general fund.

Sec. 78. Section 7, chapter 136, Laws of 1986 and RCW 28B.85.070 are each amended to read as follows:

(1) The ((~~board~~)) office may require any degree-granting institution to have on file with the ((~~board~~)) office an approved surety bond or other security in lieu of a bond in an amount determined by the ((~~board~~)) office.

(2) In lieu of a surety bond, an institution may deposit with the ((~~board~~)) office a cash deposit or other negotiable security acceptable to the ((~~board~~)) office. The security deposited with the ((~~board~~)) office in lieu of the surety bond shall be returned to the institution one year after the institution's authorization has expired or been revoked if legal action has not been instituted against the institution or the security deposit at the expiration of the year. The obligations and remedies relating to surety bonds authorized by this section, including but not limited to the settlement of claims procedure in subsection (5) of this section, shall apply to deposits filed with the ((~~board~~)) office, as applicable.

(3) Each bond shall:

(a) Be executed by the institution as principal and by a corporate surety licensed to do business in the state;

(b) Be payable to the state for the benefit and protection of any student or enrollee of an institution, or, in the case of a minor, his or her parents or guardian;

(d) Require the surety to give written notice to the board at least thirty-five days before cancellation of the bond; and

(e) Remain in effect for one year following the effective date of its cancellation or termination as to any obligation occurring on or before the effective date of cancellation or termination.

(4) Upon receiving notice of a bond cancellation, the ((~~board~~)) office shall notify the institution that the authorization will be suspended on the effective date of the bond cancellation unless the institution files with the ((~~board~~)) office another approved surety bond or other security. The ((~~board~~)) office may suspend or revoke the authorization at an earlier date if it has reason to believe that such action will prevent students from losing their tuition or fees.

(5) If a complaint is filed under RCW 28B.85.090(1) against an institution, the ((~~board~~)) office may file a claim against the surety and settle claims against the surety by following the procedure in this subsection.

(a) The ((~~board~~)) office shall attempt to notify all potential claimants. If the absence of records or other circumstances makes it impossible or unreasonable for the ((~~board~~)) office to ascertain the names and addresses of all the claimants, the ((~~board~~)) office after exerting due diligence and making reasonable inquiry to secure that information from all reasonable and available sources, may make a demand on a bond on the basis of information in the ((~~board's~~)) office's possession. The ((~~board~~)) office is not liable or responsible for claims or the handling of claims that may subsequently appear or be discovered.

(b) Thirty days after notification, if a claimant fails, refuses, or neglects to file with the ((~~board~~)) office a verified claim, the ((~~board~~)) office shall be relieved of further duty or action under this chapter on behalf of the claimant.

(c) After reviewing the claims, the ((~~board~~)) office may make demands upon the bond on behalf of those claimants whose claims have been filed. The ((~~board~~)) office may settle or compromise the claims with the surety and may execute and deliver a release and discharge of the bond.

(d) If the surety refuses to pay the demand, the ((~~board~~)) office may bring an action on the bond in behalf of the claimants. If an action is commenced on the bond, the ((~~board~~)) office may require a new bond to be filed.

(e) Within ten days after a recovery on a bond or other posted security has occurred, the institution shall file a new bond or otherwise restore its security on file to the required amount.

(6) The liability of the surety shall not exceed the amount of the bond.

Sec. 79. Section 8, chapter 136, Laws of 1986 and RCW 28B.85.080 are each amended to read as follows:

The ((~~board~~)) office may suspend or modify any of the requirements under this chapter in a particular case if the ((~~board~~)) office finds that:

(1) The suspension or modification is consistent with the purposes of this chapter; and

(2) The education to be offered addresses a substantial, demonstrated need among residents of the state or that literal application of this chapter would cause a manifestly unreasonable hardship.

Sec. 80. Section 9, chapter 136, Laws of 1986 and RCW 28B.85.090 are each amended to read as follows:

(1) A person claiming loss of tuition or fees as a result of an unfair business practice may file a complaint with the ((~~board~~)) office. The complaint shall set forth the alleged violation and shall contain information required by the ((~~board~~)) office. A complaint may also be filed with the ((~~board~~)) office by an authorized staff member of the ((~~board~~)) office or by the attorney general.

(2) The ((~~board~~)) office shall investigate any complaint under this section and may attempt to bring about a settlement. The ((~~board~~)) office may hold a contested case hearing pursuant to the administrative procedure act, chapter 34.04 RCW, in order to determine whether a violation has occurred. If the ((~~board~~)) office prevails, the degree-granting institution shall pay the costs of the administrative hearing.

(3) If, after the hearing, the ((~~board~~)) office finds that the institution or its agent engaged in or is engaging in any unfair business practice, the ((~~board~~)) office shall issue and cause to be served upon the violator an order requiring the violator to cease and desist from the act or practice and may impose the penalties under RCW 28B.85.100. If the ((~~board~~)) office finds that the complainant has suffered loss as a result of the act or practice, the ((~~board~~)) office may order full or partial restitution for the loss. The complainant is not bound by the ((~~board's~~)) office's determination of restitution and may pursue any other legal remedy.

Sec. 81. Section 10, chapter 136, Laws of 1986 and RCW 28B.85.100 are each amended to read as follows:

Any person, group, or entity or any owner, officer, agent, or employee of such entity who wilfully violates any provision of this chapter or the rules adopted under this chapter shall be subject to a civil penalty of not more than one hundred dollars for each violation. Each day on which a violation occurs constitutes a separate violation. The fine may be imposed by the ((~~higher education coordinating board~~)) office or by any court of competent jurisdiction.

Sec. 82. Section 13, chapter 136, Laws of 1986 and RCW 28B.85.130 are each amended to read as follows:

If any degree-granting institution discontinues its operation, the chief administrative officer of the institution shall file with the ((~~board~~)) office the original or legible true copies of all educational records required by the ((~~board~~)) office. If the ((~~board~~)) office determines that any educational records are in danger of being made unavailable to the ((~~board~~)) office, the ((~~board~~)) office may seek a court order to protect and if necessary take possession of the records. The ((~~board~~)) office shall cause to be maintained a permanent file of educational records coming into its possession.

Sec. 83. Section 17, chapter 136, Laws of 1986 and RCW 28B.85.170 are each amended to read as follows:

The ((~~board~~)) office may seek injunctive relief, after giving notice to the affected party, in a court of competent jurisdiction for a violation of this chapter or the rules adopted under this chapter. The ((~~board~~)) office need not allege or prove that the ((~~board~~)) office has no adequate remedy at law. The right of injunction provided in this section is in addition to any other legal remedy which the ((~~board~~)) office has and is in addition to any right of criminal prosecution provided by law. The existence of ((~~board~~)) office action with respect to alleged violations of this chapter and rules adopted under this chapter does not operate as a bar to an action for injunctive relief under this section.

Sec. 84. Section 20, chapter 87, Laws of 1980 as last amended by section 9, chapter 155, Laws of 1986 andRCW 43.03.028 are each amended to read as follows:

(1) There is hereby created a state committee on agency officials' salaries to consist of seven members, or their designees, as follows: The president of the University of Puget Sound; the chairperson of the council of presidents of the state's four-year institutions of higher education; the chairperson of the State Personnel Board; the president of the Association of Washington Business; the president of the Pacific Northwest Personnel Managers' Association; the president of the Washington State Bar Association; and the president of the Washington State Labor Council. If any of the titles or positions mentioned in this subsection are changed or abolished, any person occupying an equivalent or like position shall be qualified for appointment by the governor to membership upon the committee.

(2) The committee shall study the duties and salaries of the directors of the several departments and the members of the several boards and commissions of state government, who are subject to appointment by the governor or whose salaries are fixed by the governor, and of the chief executive officers of the following agencies of state government:

The arts commission; the human rights commission; the board of accountancy; the board of pharmacy; the capitol historical association and museum; the eastern Washington historical society; the Washington state historical society; the interagency committee for outdoor recreation; the criminal justice training commission; the department of personnel; the state finance committee; the state library; the traffic safety commission; the horse racing commission; the ((~~commission for vocational education; the advisory council on vocational education~~)) office of educational services; the public disclosure commission; the hospital commission; the state conservation commission; the commission on Mexican-American affairs; the commission on Asian-American affairs; the state board for volunteer firemen; the urban arterial board; the data processing authority; the public employees relations commission; the forest practices appeals board; and the energy facilities site evaluation council.

The committee shall report to the governor or the chairperson of the appropriate salary fixing authority at least once in each fiscal biennium on such date as the governor may designate, but not later than seventy-five days prior to the convening of each regular session of the legislature during an odd-numbered year, its recommendations for the salaries to be fixed for each position.

(3) Committee members shall be reimbursed by the department of personnel for travel expenses under RCW 43.03.050 and 43.03.060.

Sec. 85. Section 3, chapter 43, Laws of 1982 as last amended by section 66, chapter 466, Laws of 1985 and RCW 50.38.030 are each amended to read as follows:

The employment security department shall consult with the following agencies prior to the issuance of the state occupational forecast:

(1) Office of financial management;

(2) Department of trade and economic development;

(3) Department of labor and industries;

(4) State board for community college education;

(5) Superintendent of public instruction;

(6) Department of social and health services;

(7) Department of community development;

(8) ((~~Commission for vocational education~~)) Office of educational services; and

(9) Other state and local agencies as deemed appropriate by the commissioner of the employment security department.

These agencies shall cooperate with the employment security department, submitting information relevant to the generation of occupational forecasts.

Sec. 86. Section 3, chapter 77, Laws of 1969 ex. sess. as amended by section 2, chapter 224, Laws of 1975 1st ex. sess. and RCW 51.08.012 are each amended to read as follows:

For the purposes of this title, "accredited school" means a school or course of instruction which is:

(1) Approved by the state superintendent of public instruction, the state board of education, the state board for community college education, or the ((~~state division of vocational education of the coordinating council for occupational education~~)) office of educational services; or

(2) Regulated or licensed as to course content by any agency of the state or under any occupational licensing act of the state, or recognized by the apprenticeship council under an agreement registered with the apprenticeship council pursuant to chapter 49.04 RCW.

Sec. 87. Section 4, chapter 179, Laws of 1969 ex. sess. and RCW 70.100.040 are each amended to read as follows:

The superintendent of public instruction, after consulting with the department of labor and industries, and the ((~~division of vocational education~~)) office of educational services shall prepare and circulate to each public and private educational institution in this state ((~~within six months of the date of passage of this chapter~~)), and update when necessary, a manual containing instructions and recommendations for the guidance of such institutions in implementing the eye safety provisions of this chapter.

NEW SECTION. Sec. 88. All reports, documents, surveys, books, records, files, papers, or written material in the possession of the higher education coordinating board pertaining to the powers, functions, and duties transferred to the office of educational services from the higher education coordinating board by this act shall be delivered to the custody of the office of educational services. All cabinets, furniture, office equipment, motor vehicles, and other tangible property employed by the higher education coordinating board in carrying out the powers, functions, and duties transferred shall be made available to the office of educational services. All funds, credits, or other assets held in connection with the powers, functions, and duties transferred shall be assigned to the office of educational services.

Any appropriations made to the higher education coordinating board for carrying out the powers, functions, and duties transferred shall, on the effective date of this section, be transferred and credited to the office of educational services.

NEW SECTION. Sec. 89. All employees of the higher education coordinating board engaged in performing the powers, functions, and duties transferred are transferred to the jurisdiction of the office of educational services. All such employees classified under chapter 41.06 RCW, the state civil service law, are assigned to the office of educational services to perform their usual duties upon the same terms as formerly, without any loss of rights, subject to any action that may be appropriate thereafter in accordance with the laws and rules governing state civil service.

NEW SECTION. Sec. 90. All rules and all pending business before the higher education coordinating board pertaining to the powers, functions, and duties transferred shall be continued and acted upon by the office of educational services. All existing contracts and obligations shall remain in full force and shall be performed by the office of educational assistance.

NEW SECTION. Sec. 91. The transfer to the office of educational services of certain powers, duties, functions, and personnel of the higher education coordinating board shall not affect the validity of any act performed prior to the effective date of this section.

NEW SECTION. Sec. 92. If apportionments of budgeted funds are required because of the transfers from the higher education coordinating board to the office of educational services, the director of financial management shall certify the apportionments to the agencies affected, the state auditor, and the state treasurer. Each of these shall make the appropriate transfer and adjustments in funds and appropriation accounts and equipment records in accordance with the certification.

NEW SECTION. Sec. 93. Nothing contained in sections 88 through 92 of this act may be construed to alter any existing collective bargaining unit or the provisions of any existing collective bargaining agreement until the agreement has expired or until the bargaining unit has been modified by action of the personnel board as provided by law.

NEW SECTION. Sec. 94. Section 15, chapter 132, Laws of 1975 1st ex. sess., section 23, chapter 370, Laws of 1985 and RCW 28B.80.240 are each repealed.

NEW SECTION. Sec. 95. Section 2, chapter 21, Laws of 1983 1st ex. sess. and RCW 28C.04.410 are each repealed.

Sec. 96. Section 43, chapter 197, Laws of 1983 and RCW 43.131.288 are each amended to read as follows:

The following acts or parts of acts, as now existing or hereafter amended, are each repealed, effective June 30, 1987:

(1) Section 1, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.010;

(2) Section 2, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.020;

(3) Section 3, chapter 285, Laws of 1971 ex. sess. and RCW 28C.04.025;

(4) Section 4, chapter 285, Laws of 1971 ex. sess., section 13, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.026;

(5) Section 3, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.030;

(6) Section 4, chapter 174, Laws of 1975 1st ex. sess., section 3, chapter 21, Laws of 1983 1st ex. sess., section 89, chapter 370, Laws of 1985, section 78, chapter 266, Laws of 1986 and RCW 28C.04.040;

(7) Section 5, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.050;

(8) Section 6, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.060;

(9) Section 8, chapter 174, Laws of 1975 1st ex. sess., section 79, chapter 34, Laws of 1975-'76 2nd ex. sess., section 66, chapter 287, Laws of 1984 and RCW 28C.04.070;

(10) Section 10, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.080;

(11) Section 28B.50.230, chapter 223, Laws of 1969 ex. sess., section 14, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.090;

(12) ((~~Section 1, chapter 98, Laws of 1969 ex. sess. and RCW 28C.04.140;~~

~~(13)~~)) Section 7, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.150;

((~~(14)~~)) (13) Section 11, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.160;

((~~(15)~~)) (14) Section 28A.09.070, chapter 223, Laws of 1969 ex. sess. and RCW 28C.04.200;

((~~(16)~~)) (15) Section 28A.09.080, chapter 223, Laws of 1969 ex. sess. and RCW 28C.04.210;

((~~(17)~~)) (16) Section 28A.09.090, chapter 223, Laws of 1969 ex. sess. and RCW 28C.04.220;

((~~(18)~~)) (17) Section 28B.50.240, chapter 223, Laws of 1969 ex. sess., section 24, chapter 261, Laws of 1969 ex. sess., section 1, chapter 285, Laws of 1971 ex. sess., section 41, chapter 3, Laws of 1983 and RCW 28C.04.230;

((~~(19)~~)) (18) Section 1, chapter 17, Laws of 1972 ex. sess., section 1, chapter 63, Laws of 1973 and RCW 28C.04.240;

((~~(20)~~)) (19) Section 52, chapter 283, Laws of 1969 ex. sess., section 76, chapter 34, Laws of 1975-'76 2nd ex. sess., section 67, chapter 287, Laws of 1984 and RCW 28C.04.300;

((~~(21)~~)) (20) Section 53, chapter 283, Laws of 1969 ex. sess., section 16, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.310;

((~~(22)~~)) (21) Section 9, chapter 174, Laws of 1975 1st ex. sess. and RCW 28C.04.500;

((~~(23)~~)) (22) Section 12, chapter 174, Laws of 1975 1st ex. sess., section 1, chapter 86, Laws of 1975-'76 2nd ex. sess., section 23, chapter 151, Laws of 1979, section 90, chapter 370, Laws of 1985 and RCW 28C.04.510;

((~~(24)~~)) (23) Section 1, chapter 349, Laws of 1977 ex. sess., section 12, chapter 470, Laws of 1985, section 62, chapter 266, Laws of 1986 and RCW 28C.50.010;

((~~(25)~~)) (24) Section 2, chapter 349, Laws of 1977 ex. sess. and RCW 28C.50.020;

((~~(26)~~)) (25) Section 3, chapter 349, Laws of 1977 ex. sess. and RCW 28C.50.030;

((~~(27)~~)) (26) Section 4, chapter 349, Laws of 1977 ex. sess., section 19, chapter 57, Laws of 1985 and RCW 28C.50.040;

((~~(28)~~)) (27) Section 5, chapter 349, Laws of 1977 ex. sess., section 13, chapter 470, Laws of 1985, section 63, chapter 266, Laws of 1986 and RCW 28C.50.050;

((~~(29)~~)) (28) Section 6, chapter 349, Laws of 1977 ex. sess. and RCW 28C.50.060;

((~~(30)~~)) (29) Section 8, chapter 349, Laws of 1977 ex. sess. and RCW 28C.50.900;

((~~(31)~~)) (30) Section 1, chapter 225, Laws of 1979 ex. sess., section 1, chapter 48, Laws of 1982 1st ex. sess., section 14, chapter 470, Laws of 1985, section 64, chapter 266, Laws of 1986 and RCW 28C.51.010;

((~~(32)~~)) (31) Section 2, chapter 225, Laws of 1979 ex. sess. and RCW 28C.51.020;

((~~(33)~~)) (32) Section 3, chapter 225, Laws of 1979 ex. sess. and RCW 28C.51.030;

((~~(34)~~)) (33) Section 4, chapter 225, Laws of 1979 ex. sess. and RCW 28C.51.040;

((~~(35)~~)) (34) Section 5, chapter 225, Laws of 1979 ex. sess., section 15, chapter 470, Laws of 1985, section 65, chapter 266, Laws of 1986 and RCW 28C.51.050; and

((~~(36)~~)) (35) Section 6, chapter 225, Laws of 1979 ex. sess. and RCW 28C.51.060.

NEW SECTION. Sec. 97. If any provision of this act or its application to any person or circumstance is held invalid, the remainder of the act or the application of the provision to other persons or circumstances is not affected.

NEW SECTION. Sec. 98. Sections 1 through 21 of this act are each added to chapter 28C.04 RCW.

NEW SECTION. Sec. 99. This act is necessary for the immediate preservation of the public peace, health, and safety, the support of the state government and its existing public institutions, and shall take effect July 1, 1987.