AN ACT Relating to vocational-technical institutes; amending RCW 28B.10.016, 28B.15.005, 28C.10.020, 28B.80.280, and 28B.80.320; reenacting and amending RCW 28B.15.012; adding a new title to the Revised Code of Washington to be codified as Title 28D RCW; creating new sections; and providing an effective date.

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

NEW SECTION. Sec. 1. This chapter shall be known and cited as the vocational-technical institute act.

NEW SECTION. Sec. 2. The purpose of this chapter is to provide for the dramatically increasing number of students requiring high standards of education either as a part of occupational training or retraining by creating a new, independent system of vocational-technical institutes which will:

(1) Offer an open door to every citizen, regardless of his or her academic background or experience, at a cost normally within his or her economic means;

(2) Ensure that each vocational-technical district shall offer thoroughly comprehensive educational, training, and service programs to meet the needs of both the communities and students served by combining, with equal emphasis, high standards of excellence; realistic and practical courses in occupational education, both graded and ungraded; community services of an educational, cultural, and recreational nature; and adult education;

(3) Provide administration by state and local boards which will avoid unnecessary duplication of facilities or programs and which will encourage efficiency in operation and creativity and imagination in education, training, and service to meet the needs of the community and students;

(4) Allow for the growth, improvement, flexibility, and modification of the vocational-technical institutes and their education, training, and service programs as future needs occur; and

(5) Establish firmly that vocational-technical institutes are an independent, unique, and vital section of our state's higher education system, separate from both the common school system and other institutions of higher learning, and never to be considered for conversion into four-year liberal arts colleges or community colleges.

NEW SECTION. Sec. 3. As used in this chapter, unless the context requires otherwise, the term:

(1) "System" means the state system of vocational-technical institutes, which shall be a system of higher education.

(2) "Institute board" means the vocational-technical institute board created by this chapter.

(3) "Director" means the administrative director for the state system of vocational-technical institutes.

(4) "Board of trustees" means the local vocational-technical institute board of trustees established for each vocational-technical institute district within the state.

(5) "Council" means the coordinating council for occupational education.

(6) "Occupational education" means that education or training that will prepare a student for employment that does not require a baccalaureate degree.

(7) "K-12 system" means the public school program including kindergarten through the twelfth grade.

(8) "Common school board" means a public school district board of directors.

(9) "Community college" includes where applicable, vocational-technical and adult education programs conducted by community colleges and vocational-technical institutes whose major emphasis is in posthigh school education.

NEW SECTION. Sec. 4. There is hereby created the "vocational-technical institute board," to consist of eight members, one from each congressional district, as now or hereafter existing, who shall be appointed by the governor, with the consent of the senate. The successors of the members initially appointed shall be appointed for terms of four years except that any persons appointed to fill a vacancy occurring prior to the expiration of a term shall be appointed only for the remainder of such term. Each member shall serve until the appointment and qualification of his or her successor. All members shall be citizens and bona fide residents of the state. The majority of institute board members shall represent business and labor with the remaining members representing education and the community.

The institute board shall not be deemed unlawfully constituted and a member of the institute board shall not be deemed ineligible to serve the remainder of the member's unexpired term on the institute board solely by reason of the establishment of new or revised boundaries for congressional districts.

Members of the institute board shall be compensated in accordance with RCW 43.03.240 and shall receive reimbursement for travel expenses in accordance with RCW 43.03.050 and 43.03.060 for each day actually spent in attending to the duties as a member of the institute board.

The members of the institute board may be removed by the governor for inefficiency, neglect of duty, or malfeasance in office, in the manner provided by RCW 28B.10.500.

NEW SECTION. Sec. 5. The terms of office of members of the institute board who are appointed from the various congressional districts shall not be affected by the creation of either new boundaries for congressional districts or additional districts. In such an event, each institute board member may continue to serve in office for the balance of the term for which he or she was appointed if the institute board member continues to reside within the boundaries of the congressional district as they existed at the time of his or her appointment. Vacancies which occur in an institute board member position during the balance of any such term shall be filled pursuant to section 4 of this act by a successor who resides within the boundaries of the congressional district from which the member whose office was vacated was appointed as they existed at the time of his or her appointment. At the completion of such term, and thereafter, a successor shall be appointed from the congressional district which corresponds in number with the congressional district from which the incumbent was appointed.

NEW SECTION. Sec. 6. A director of the system shall be appointed by the institute board and shall serve at the pleasure of the institute board. The director shall be appointed with due regard to his or her fitness and background in education, by his or her knowledge of and recent practical experience in the field of vocational and technical educational administration particularly in institutions beyond the high school level. The institute board may also take into consideration an applicant's proven management background even though not particularly in the field of education.

The director shall devote his or her time to the duties of office and shall not have any direct pecuniary interest in or any stock or bonds of any business connected with or selling supplies to the field of vocational-technical education within this state, in keeping with chapter 42.18 RCW, the executive conflict of interest act.

The director shall receive a salary to be fixed by the institute board and shall be reimbursed for travel expenses incurred in the discharge of official duties in accordance with RCW 43.03.050 and 43.03.060.

The director shall be the executive officer of the institute board and serve as its secretary and under its supervision shall administer the provisions of this chapter and the rules and orders established thereunder and all other laws of the state. The director shall attend, but not vote at, all meetings of the institute board. The director shall be in charge of offices of the institute board and responsible to the institute board for the preparation of reports and the collection and dissemination of data and other public information relating to the system. At the direction of the institute board, the director shall, together with the chairperson of the institute board, execute all contracts entered into by the institute board.

The director shall, with the approval of the institute board: (1) Employ necessary assistant directors of major staff divisions who shall serve at the director's pleasure on such terms and conditions as the director determines, and (2) subject to the provisions of chapter 28B.16 RCW, the higher education personnel law, the director shall, with the approval of the institute board, appoint and employ such field and office assistants, clerks, and other employees as may be required and authorized for the proper discharge of the functions of the institute board and for whose services funds have been appropriated.

The institute board may, by written order filed in its office, delegate to the director any of the powers and duties vested in or imposed upon it by this chapter. Such delegated powers and duties may be exercised by the director in the name of the institute board.

NEW SECTION. Sec. 7. The governor shall make the appointments to the institute board.

The institute board shall organize, adopt a seal, and adopt bylaws for its administration, not inconsistent herewith, as it may deem expedient and may from time to time amend such bylaws. Annually the board shall elect a chairperson and vice-chairperson; all to serve until their successors are appointed and qualified. The institute board shall at its initial meeting fix a date and place for its regular meeting. Five members shall constitute a quorum, and no meeting shall be held with less than a quorum present, and no action shall be taken by less than a majority of the institute board.

Special meetings may be called as provided by its rules. Regular meetings shall be held at the institute board's established offices in Olympia, but whenever the convenience of the public or of the parties may be promoted, or delay or expenses may be prevented, it may hold its meetings, hearings, or proceedings at any other place designated by it. Subject to RCW 40.07.040, the institute board shall transmit a report in writing to the governor biennially, which report shall contain such information as may be requested by the governor. The fiscal year of the institute board shall conform to the fiscal year of the state.

NEW SECTION. Sec. 8. Suitable offices and office equipment shall be provided by the state for the institute board in the city of Olympia, and the institute board may incur the necessary expense for office furniture, stationery, printing, incidental expenses, and other expenses necessary for the administration of this chapter.

NEW SECTION. Sec. 9. The institute board shall appoint a treasurer who shall be the financial officer of the institute board, who shall make such vendor payments and salary payments for the entire system as authorized by the institute board, and who shall hold office during the pleasure of the institute board. All moneys received by the institute board and not required to be deposited elsewhere, shall be deposited in a depository selected by the institute board, which moneys shall be subject to the budgetary and audit provisions of law applicable to state agencies. The depository selected by the institute board shall conform to the collateral requirements required for the deposit of other state funds. Disbursement shall be made by check signed by the treasurer. The treasurer shall render a true and faithful account of all moneys received and paid out by him or her and shall give bond for the faithful performance of the duties of his or her office in such amount as the institute board requires. The institute board shall pay the fee for any such bonds.

NEW SECTION. Sec. 10. The institute board shall have general supervision and control over the system. In addition to the other powers and duties imposed upon the institute board by this chapter, the institute board shall be charged with the following powers, duties, and responsibilities:

(1) Review the budgets prepared by the boards of trustees, prepare a single budget for the support of the system, and submit this budget to the governor as provided in RCW 43.88.090;

(2) Establish guidelines for the disbursement of funds; and receive and disburse such funds for maintenance, operation, and capital support of the individual vocational-technical institutes in conformance with the state and individual institute budgets, and in conformance with chapter 43.88 RCW;

(3) Ensure, through the full use of its authority:

(a) That each vocational-technical institute offers thoroughly comprehensive educational, training, and service programs to meet the needs of students served by providing realistic and practical courses in occupational education, both graded and ungraded;

(b) That each vocational-technical institute maintains an open-door policy, to the end that no student will be denied admission because of the location of his or her residence or because of his or her educational background or ability; that, insofar as is practical in the judgment of the institute board, curriculum offerings will be provided to meet the educational and training needs of the community generally and the students thereof; and that all students, regardless of their differing courses of study, will be considered, known and recognized equally as members of the student body. The administrative officers of a vocational-technical institute may deny admission to a prospective student or attendance to an enrolled student if, in their judgment, the student would not be competent to profit from the curriculum offerings of the vocational-technical institute, or would, by his or her presence or conduct, create a disruptive atmosphere within the vocational-technical institute not consistent with the purposes of the institution;

(4) Prepare a comprehensive master plan for the development of vocational and technical training and retraining in the state; and assist the office of financial management in the preparation of enrollment projections to support plans for providing adequate vocational-technical institute facilities in all areas of the state;

(5) Define and administer criteria and guidelines for the establishment of new vocational-technical institutes;

(6) Establish minimum standards to govern the operation of the vocational-technical institutes with respect to:

(a) Qualifications and credentials of instructional and key administrative personnel;

(b) Internal budgeting, accounting, auditing, and financial procedures as necessary to supplement the general requirements prescribed pursuant to chapter 43.88 RCW;

(c) The content of the curriculums and other educational and training programs, and the requirement for degrees and certificates awarded by the vocational-technical institutes;

(d) Standard admission policies; and

(e) Eligibility of courses to receive state fund support;

(7) Establish and administer criteria and procedures for all capital construction including the establishment, installation, and expansion of facilities within the various vocational-technical institutes;

(8) Encourage innovation in the development of new educational and training programs and instructional methods; coordinate research efforts to this end; and disseminate the findings thereof;

(9) Exercise any other powers, duties, and responsibilities necessary to carry out the purposes of this chapter;

(10) Notwithstanding any other law or statute regarding the sale of state property, sell or exchange and convey any or all interest in any vocational-technical institute real and personal property, when it determines that such property is surplus or that such a sale or exchange is in the best interests of the vocational-technical institute system;

(11) In order that the treasurer for the institute board appointed in accordance with section 9 of this act may make vendor payments, the state treasurer shall honor warrants drawn by the institute board providing for an initial advance on July 1, 1990, of the current biennium and on July 1 of each succeeding biennium from the state general fund in an amount equal to twenty-four percent of the average monthly allotment for such budgeted biennium expenditures for the vocational-technical institutes as certified by the office of financial management; and at the conclusion of such initial month and for each succeeding month of any biennium, the state treasurer shall reimburse expenditures incurred and reported monthly by the institute board treasurer in accordance with chapter 43.88 RCW. The reimbursement to the institute board for actual expenditures incurred in the final month of each biennium shall be less the initial advance made in such biennium;

(12) May receive such gifts, grants, conveyances, devises, and bequests of real or personal property from private sources as may be made from time to time, in trust or otherwise, whenever the terms and conditions thereof will aid in carrying out the vocational-technical institute programs and may sell, lease or exchange, invest or expend the same or the proceeds, rents, profits, and income thereof according to the terms and conditions thereof; and adopt rules to govern the receipt and expenditure of the proceeds, rents, profits, and income thereof.

The institute board shall have the power of eminent domain.

NEW SECTION. Sec. 11. In addition to other powers and duties, the institute board may issue rules permitting a student to register at more than one vocational-technical institute, provided that such student shall pay tuition and fees as if he or she were registered at a single institute, but not to exceed tuition and fees charged a full-time student as established by RCW 28B.15.502.

NEW SECTION. Sec. 12. There is hereby created a local vocational-technical institute board of trustees for each vocational-technical institute. Each local vocational-technical institute board of trustees shall be composed of five trustees, who shall be appointed by the governor for terms commencing October 1st of the year in which appointed. In making such appointments the governor shall give consideration to geographical exigencies, and the interests of labor, industry, education, the professions, and ethnic groups. The initial trustees shall be selected from the vocational-technical institute's advisory board.

The successors of the trustees initially appointed shall be appointed by the governor to serve for a term of five years except that any person appointed to fill a vacancy occurring prior to the expiration of any term shall be appointed only for the remainder of the term. Each member shall serve until a successor is appointed and qualified.

Every trustee shall be a resident and qualified elector of the vocational-technical institute district. No trustee may be an employee of the vocational-technical institute system, a member of the board of directors of any school district, or a member of the governing board of any public or private educational institution.

Each board of trustees shall organize itself by electing a chairperson from its members. The local board of trustees shall adopt a seal and may adopt such bylaws and rules, as it deems necessary for its own government. Three members of the local board of trustees shall constitute a quorum, but a lesser number may adjourn from time to time and may compel the attendance of absent members in such manner as prescribed in its bylaws and rules. The local institute president shall serve as, or may designate another person to serve as, the secretary of the local board of trustees, who shall not be deemed to be a member of the local board of trustees.

Members of the boards of trustees may be removed for misconduct or malfeasance in office in the manner provided by RCW 28B.10.500.

NEW SECTION. Sec. 13. Within thirty days of their appointment or July 1, 1990, whichever is sooner, the various district boards of trustees shall organize, adopt bylaws for its own government, and make such rules not inconsistent with this chapter as they deem necessary. At such organizational meeting it shall elect from among its members a chairperson and a vice-chairperson, each to serve for one year, and annually thereafter shall elect such officers to serve until their successors are appointed or qualified. The chief executive officer of the local vocational-technical institute, or his or her designee, shall serve as secretary of the local board of trustees. Three trustees shall constitute a quorum, and no action shall be taken by less than a majority of the trustees of the local board of trustees. The local boards of trustees shall transmit such reports to the institute board as may be requested by the institute board. The fiscal year of the local boards of trustees shall conform to the fiscal year of the state.

NEW SECTION. Sec. 14. Each local vocational-technical institute board of trustees:

(1) Shall operate the existing vocational-technical institute;

(2) Shall create comprehensive programs of education and training and maintain an open-door policy in accordance with the provisions of section 9 of this act;

(3) Shall employ for a period to be fixed by the board of trustees a local institute president for each vocational-technical institute, members of the faculty, and such other administrative officers and other employees as may be necessary or appropriate and fix their salaries and duties. Salary increases shall not exceed the amount or percentage established in the state appropriations act by the legislature as allocated to the board of trustees by the institute board;

(4) May establish, under the approval and direction of the institute board, new facilities as community needs and interests demand. The authority of local vocational-technical institute boards of trustees to purchase or lease major off-campus facilities shall be subject to the approval of the institute board;

(5) May establish or lease, operate, equip, and maintain food service facilities, bookstores, and other self-supporting facilities connected with the operation of the vocational-technical institute;

(6) May, with the approval of the institute board, borrow money and issue and sell revenue bonds or other evidences of indebtedness for the construction, reconstruction, erection, equipping with permanent fixtures, demolition, and major alteration of buildings or other capital assets, and the acquisition of sites, rights of way, easements, improvements or appurtenances, food service facilities, and other self-supporting facilities connected with the operation of the local vocational-technical institute in accordance with the provisions of RCW 28B.10.300 through 28B.10.330 where applicable;

(7) May receive such gifts, grants, conveyances, devises, and bequests of real or personal property from private sources, as may be made from time to time, in trust or otherwise, whenever the terms and conditions thereof will aid in carrying out the vocational-technical institute programs as specified by law and the rules of the institute board; sell, lease or exchange, invest or expend the same or the proceeds, rents, profits, and income thereof according to the terms and conditions thereof; and adopt rules to govern the receipt and expenditure of the proceeds, rents, profits, and income thereof;

(8) May establish and maintain night schools whenever in the discretion of the local board of trustees it is deemed advisable, and authorize classrooms and other facilities to be used for summer or night schools, or for public meetings and for any other uses consistent with the use of such classrooms or facilities for vocational-technical institute purposes;

(9) May make rules for pedestrian and vehicular traffic on property owned, operated, or maintained by the vocational-technical institute;

(10) Shall prescribe, with the assistance of the faculty, the course of study in the various departments of the vocational-technical institute and publish such catalogues and bulletins as may become necessary;

(11) May grant to every student, upon graduation or completion of a course of study, a suitable diploma, nonbaccalaureate degree, or certificate;

(12) Shall enforce the rules prescribed by the institute board for the government of vocational-technical institutes, students and teachers, and adopt such rules and perform all other acts not inconsistent with law or rules of the institute board as the local board of trustees may in its discretion deem necessary or appropriate to the administration of vocational-technical institutes. Such rules shall include, but not be limited to, rules relating to scholarships, conduct at the various institute facilities, and discipline. The local board of trustees may suspend or expel from the vocational-technical institute students who refuse to obey any of the adopted rules;

(13) May, by written order filed in its office, delegate to the president any of the powers and duties vested in or imposed upon it by this chapter. Such delegated powers and duties may be exercised in the name of the local board of trustees;

(14) May perform such other activities consistent with this chapter and not in conflict with the directives of the institute board;

(15) Notwithstanding any other provision of law, may offer educational services on a contractual basis other than the tuition and fee basis set forth in chapter 28B.15 RCW for a special fee to private or governmental entities, consistent with rules adopted by the institute board. The whole of such special fee shall go to the local institute and be not less than the full instructional costs of such services including any salary increases authorized by the legislature for vocational-technical institute employees during the term of the agreement;

(16) Notwithstanding any other provision of law, may offer educational services on a contractual basis, charging tuition and fees as set forth in chapter 28B.15 RCW, counting such enrollments for state funding purposes, and may additionally charge a special supplemental fee when necessary to cover the full instructional costs of such services. Such contracts shall be subject to review by the institute board and to such rules as the institute board may adopt for that purpose to assure that the sum of the supplemental fee and the normal state funding does not exceed the projected total cost of offering the educational service. Enrollments generated by courses offered on the basis of contracts requiring payment of a share of the normal costs of the course shall be discounted to the percentage provided by the vocational-technical institute;

(17) Shall be authorized to pay dues to any association of trustees that may be formed by the various boards of trustees; such association may expend any or all of such funds to submit biennially, or more often if necessary, to the governor and to the legislature, the recommendations of the association regarding changes that would affect the efficiency of the association;

(18) Subject to the approval of the higher education coordinating board pursuant to RCW 28B.80.340(4), may participate in higher education centers and consortia that involve any four-year public or independent college or university; and

(19) Shall perform any other duties and responsibilities imposed by law or rule of the institute board.

NEW SECTION. Sec. 15. Each local board of vocational-technical institute trustees shall appoint a treasurer who shall be the financial officer of the local board of trustees and who shall hold office during the pleasure of the board of trustees. Each treasurer shall render a true and faithful account of all moneys received and paid out by him or her, comply with the provisions of section 16 of this act, and shall give bond for the faithful performance of the duties of his or her office in such amount as the trustees require. The respective local vocational-technical institutes shall pay the fees for any such bonds.

NEW SECTION. Sec. 16. In order that each local institute treasurer appointed in accordance with section 15 of this act may make vendor payments, the state treasurer shall honor warrants drawn by each local vocational-technical institute providing for one initial advance on September 1, 1990, of the current biennium and on July 1 of each succeeding biennium from the state general fund in an amount equal to seventeen percent of each institute's average monthly allotment for such budgeted biennium expenditures as certified by the office of financial management, and at the conclusion of each such initial month, and for each succeeding month of any biennium, the state treasurer shall reimburse each institute for each expenditure incurred and reported monthly by each local institute treasurer in accordance with chapter 43.83 RCW. The reimbursement to each institute for actual expenditures incurred in the final month of each biennium shall be less the initial advance.

NEW SECTION. Sec. 17. The local boards of trustees of the various vocational-technical institutes are hereby directed to create no later than January 1, 1991, at each vocational-technical institute a faculty senate or similar organization to be selected by periodic vote of the faculties.

NEW SECTION. Sec. 18. Any resident of the state may enroll in any program or course maintained or conducted by a vocational-technical institute upon the same terms and conditions regardless of the district of his or her residence.

NEW SECTION. Sec. 19. The institute board shall make information available to all newly matriculated students on methods of transmission of the human immunodeficiency virus and prevention of acquired immunodeficiency syndrome. The curricula and materials shall be reviewed for medical accuracy by the office on AIDS in coordination with the appropriate regional AIDS service network.

NEW SECTION. Sec. 20. Title to or all interest in real estate, choses in action and all other assets, including but not limited to assignable contracts, cash, deposits in county funds (including any interest or premiums thereon), equipment, buildings, facilities, and appurtenances thereto held as of the effective date of this act by or for a school district and obtained identifiably with federal, state, or local funds appropriated for vocational-technical institutes purposes or posthigh school vocational educational purposes, or used or obtained with funds budgeted for posthigh school vocational educational purposes, or used or obtained primarily for vocational-technical institute educational purposes, shall, on the date on which the first board of trustees of each district takes office, vest in or be assigned to the institute board. Cash, funds, accounts, or other deposits obtained or raised by a school district to pay for indebtedness, bonded or otherwise, contracted on or before February 2, 1990, for vocational-technical institute purposes shall remain with and continue to be, after February 2, 1990, an asset of the school district. Any option acquired by the school district to purchase real property which in the judgment of the school district will be used in the common school program may remain with the school district notwithstanding that such option was obtained in consideration of the purchase by such school district of other property for vocational-technical institute purposes. Unexpended funds of a common school district derived from the sale, prior to July 1, 1990, of bonds authorized for any purpose which includes vocational-technical institute purposes and not committed for any existing construction contract, shall remain with and continue to be an asset of such common school district, unless within thirty days after said date such common school district determines to transfer such funds to the board of trustees.

NEW SECTION. Sec. 21. Whenever a common school board has contracted to redeem general obligation bonds used for the construction or acquisition of facilities which are now to be under the administration, control, and occupancy of the institute board, the common school board shall continue to redeem the bonds in accordance with the provisions of the bonds.

NEW SECTION. Sec. 22. All operating fees, services and activities fees, and all other income which the local board of trustees is authorized to impose shall be deposited as the local board of trustees may direct unless otherwise provided by law. Such sums of money shall be subject to the budgetary and audit provisions of law applicable to state agencies. The depository selected by the local board of trustees shall conform to the collateral requirements required for deposit of other state funds.

Disbursement shall be made by check signed by the president of the vocational-technical institute or his or her designee appointed in writing, and such other person as may be designated by the local board of trustees. Each person authorized to sign as provided above, shall execute a surety bond as provided in RCW 43.17.100. Said bond or bonds shall be filed in the office of the secretary of state.

NEW SECTION. Sec. 23. The institute board shall have the authority and responsibility to enforce the private vocational school regulations found in chapter 28C.10 RCW.

NEW SECTION. Sec. 24. All powers, duties, and functions of the superintendent of public instruction pertaining to vocational-technical institutes are transferred to the vocational-technical institute board. All references to the superintendent of public instruction in the Revised Code of Washington shall be construed to mean the vocational-technical institute board when referring to the functions transferred in this section.

NEW SECTION. Sec. 25. All reports, documents, surveys, books, records, files, papers, or written material in the possession of the superintendent of public instruction pertaining to the powers, functions, and duties transferred shall be delivered to the custody of the vocational-technical institute board. All cabinets, furniture, office equipment, motor vehicles, and other tangible property employed by the superintendent of public instruction in carrying out the powers, functions, and duties transferred shall be made available to the vocational-technical institute board. All funds, credits, or other assets held in connection with the powers, functions, and duties transferred shall be assigned to the vocational-technical institute board.

Any appropriations made to the superintendent of public instruction for carrying out the powers, functions, and duties transferred shall, on the effective date of this section, be transferred and credited to the vocational-technical institute board.

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. 26. All employees of the superintendent of public instruction engaged in performing the powers, functions, and duties transferred are transferred to the jurisdiction of the vocational-technical institute board. All employees classified under chapter 41.06 RCW, the state civil service law, are assigned to the vocational-technical institute board 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. 27. All rules and all pending business before the superintendent of public instruction pertaining to the powers, functions, and duties transferred shall be continued and acted upon by the vocational-technical institute board. All existing contracts and obligations shall remain in full force and shall be performed by the vocational-technical institute board.

NEW SECTION. Sec. 28. The transfer of the powers, duties, functions, and personnel of the superintendent of public instruction shall not affect the validity of any act performed prior to the effective date of this section.

NEW SECTION. Sec. 29. If apportionments of budgeted funds are required because of the transfers directed by sections 25 through 28 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. 30. Nothing contained in sections 24 through 29 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. 31. All powers, duties, and functions of the school district pertaining to a vocational-technical institute are transferred to the local vocational-technical institute board of trustees. All references to the school district in the Revised Code of Washington shall be construed to mean the local vocational-technical institute board of trustees when referring to the functions transferred in this section.

NEW SECTION. Sec. 32. All reports, documents, surveys, books, records, files, papers, or written material in the possession of the local school district pertaining to the powers, functions, and duties transferred shall be delivered to the custody of the local vocational-technical institute board of trustees. All cabinets, furniture, office equipment, motor vehicles, and other tangible property employed by the local school district in carrying out the powers, functions, and duties transferred shall be made available to the local vocational-technical institute board of trustees. All funds, credits, or other assets held in connection with the powers, functions, and duties transferred shall be assigned to the local vocational-technical institute board of trustees.

Any appropriations made to the local school district for carrying out the powers, functions, and duties transferred shall, on the effective date of this section, be transferred and credited to the local vocational-technical institute board of trustees.

NEW SECTION. Sec. 33. All employees of the local school district engaged in performing the powers, functions, and duties transferred are transferred to the jurisdiction of the local vocational-technical institute board of trustees. All employees under local collective bargaining agreements are assigned to the local vocational-technical institute board of trustees 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 their service.

NEW SECTION. Sec. 34. All rules and all pending business before the local school district pertaining to the powers, functions, and duties transferred shall be continued and acted upon by the local vocational-technical institute board of trustees. All existing contracts and obligations shall remain in full force and shall be performed by the local vocational-technical institute board of trustees.

NEW SECTION. Sec. 35. The transfer of the powers, duties, functions, and personnel of the local school district shall not affect the validity of any act performed prior to the effective date of this section.

NEW SECTION. Sec. 36. Nothing contained in sections 31 through 35 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. 37. Vocational-technical institutes shall not be considered common schools for the purpose of Article IX, sections 2 and 3 of the Washington state Constitution.

NEW SECTION. Sec. 38. All employees transferred from the superintendent of public instruction or from a school district shall:

(1) Retain all rights under their existing contract. After termination of the contract, employees shall have the right to determine who will represent them; and collective bargaining shall be controlled by chapter 28B.52 RCW and the tenure provisions of chapter 28B.50 RCW; and

(2) Retain the right to remain in their present retirement system.

Sec. 39. Section 1, chapter 169, Laws of 1977 ex. sess. and RCW 28B.10.016 are each amended to read as follows:

For the purposes of this title:

(1) "State universities" means the University of Washington and Washington State University.

(2) "Regional universities" means Western Washington University at Bellingham, Central Washington University at Ellensburg, and Eastern Washington University at Cheney.

(3) "State college" means The Evergreen State College in Thurston county.

(4) "Institutions of higher education" or "postsecondary institutions" means the state universities, the regional universities, The Evergreen State College, ((~~and~~)) the community colleges, and the vocational-technical institutes.

Sec. 40. Section 1, chapter 279, Laws of 1971 ex. sess. as amended by section 33, chapter 169, Laws of 1977 ex. sess. and RCW 28B.15.005 are each amended to read as follows:

(1) "Colleges and universities" for the purposes of this chapter shall mean Central Washington University at Ellensburg, Eastern Washington University at Cheney, Western Washington University at Bellingham, The Evergreen State College in Thurston county, community colleges as are provided for in chapter 28B.50 RCW, the University of Washington, ((~~and~~)) Washington State University, and the vocational-technical institutes.

(2) "State universities" for the purposes of this chapter shall mean the University of Washington and Washington State University.

(3) "Regional universities" for the purposes of this chapter shall mean Central Washington University, Eastern Washington University and Western Washington University.

Sec. 41. Section 2, chapter 273, Laws of 1971 ex. sess. as last amended by section 1, chapter 96, Laws of 1987 and by section 1, chapter 137, Laws of 1987 and RCW 28B.15.012 are each reenacted and amended to read as follows:

Whenever used in chapter 28B.15 RCW:

(1) The term "institution" shall mean a public university, college, ((or)) community college, or vocational-technical institute within the state of Washington.

(2) The term "resident student" shall mean: (a) A financially independent student who has had a domicile in the state of Washington for the period of one year immediately prior to the time of commencement of the first day of the semester or quarter for which the student has registered at any institution and has in fact established a bona fide domicile in this state primarily for purposes other than educational; (b) a dependent student, if one or both of the student's parents or legal guardians have maintained a bona fide domicile in the state of Washington for at least one year immediately prior to commencement of the semester or quarter for which the student has registered at any institution; (c) a student classified as a resident based upon domicile by an institution on or before May 31, 1982, who was enrolled at a state institution during any term of the 1982-1983 academic year, so long as such student's enrollment (excepting summer sessions) at an institution in this state is continuous; or (d) any student who has spent at least seventy-five percent of both his or her junior and senior years in high schools in this state, whose parents or legal guardians have been domiciled in the state for a period of at least one year within the five-year period before the student graduates from high school, and who enrolls in a public institution of higher education within six months of leaving high school, for as long as the student remains continuously enrolled for three quarters or two semesters in any calendar year: PROVIDED, That a nonresident student enrolled for more than six hours per semester or quarter shall be considered as attending for primarily educational purposes, and for tuition and fee paying purposes only such period of enrollment shall not be counted toward the establishment of a bona fide domicile of one year in this state unless such student proves that the student has in fact established a bona fide domicile in this state primarily for purposes other than educational.

(3) The term "nonresident student" shall mean any student who does not qualify as a "resident student" under the provisions of RCW 28B.15.011 through 28B.15.014 and 28B.15.015, each as now or hereafter amended. A nonresident student shall include:

(a) A student attending an institution with the aid of financial assistance provided by another state or governmental unit or agency thereof, such nonresidency continuing for one year after the completion of such semester or quarter.

(b) A person who is not a citizen of the United States of America who does not have permanent or temporary resident status or does not hold "Refugee-Parolee" or "Conditional Entrant" status with the United States immigration and naturalization service or is not otherwise permanently residing in the United States under color of law and who does not also meet and comply with all the applicable requirements in RCW 28B.15.011 through 28B.15.014 and 28B.15.015, each as now or hereafter amended.

(4) The term "domicile" shall denote a person's true, fixed and permanent home and place of habitation. It is the place where the student intends to remain, and to which the student expects to return when the student leaves without intending to establish a new domicile elsewhere. The burden of proof that a student, parent or guardian has established a domicile in the state of Washington primarily for purposes other than educational lies with the student.

(5) The term "dependent" shall mean a person who is not financially independent. Factors to be considered in determining whether a person is financially independent shall be set forth in rules and regulations adopted by the higher education coordinating board and shall include, but not be limited to, the state and federal income tax returns of the person and/or the student's parents or legal guardian filed for the calendar year prior to the year in which application is made and such other evidence as the board may require.

Sec. 42. 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 or its successor~~)) vocational-technical institute board.

(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. 43. Section 1, chapter 304, Laws of 1983 as amended by section 27, chapter 370, Laws of 1985 and RCW 28B.80.280 are each amended to read as follows:

The board shall, in cooperation with the state institutions of higher education ((~~and~~)), the state board for community college education, and the vocational-technical institute board establish and maintain a state-wide transfer of credit policy and agreement. The policy and agreement shall, where feasible, include course and program descriptions consistent with state-wide interinstitutional guidelines. The institutions of higher education shall provide support and staff resources as necessary to assist in developing and maintaining this policy and agreement. The state-wide transfer of credit policy and agreement shall be effective beginning with the 1985-86 academic year. The board shall report on developments toward that objective at the 1987 regular session of the legislature.

Sec. 44. 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~~)) vocational-technical institute board. The legislature intends that the board represent the broad public interest above the interests of the individual colleges and universities.

NEW SECTION. Sec. 45. There is hereby created in the Revised Code of Washington a new title to be designated Title 28D RCW.

NEW SECTION. Sec. 46. Sections 1 through 24, 31, 37, and 38 of this act shall constitute a new chapter in Title 28D RCW, created in section 45 of this act.

NEW SECTION. Sec. 47. This act shall take effect July 1, 1990.