WSR 16-11-016
PERMANENT RULES
STATE BOARD FOR COMMUNITY
AND TECHNICAL COLLEGES
[Filed May 6, 2016, 8:51 a.m., effective June 6, 2016]
Effective Date of Rule: Thirty-one days after filing.
Purpose: The purpose of this proposal is to make rule amendments necessary to align with and meet recent statutory changes.
Citation of Existing Rules Affected by this Order: Amending WAC 131-36-050, 131-36-055, 131-36-100, and 131-36-250.
Adopted under notice filed as WSR 16-07-150 on March 23, 2016.
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 0, Amended 0, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 0, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0.
Date Adopted: May 5, 2016.
Beth Gordon
Executive Assistant
and Rules Coordinator
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-050 Definitions.
For the purposes of chapter 131-36 WAC, the following definitions shall apply:
(1) "Fund" shall mean the institutional financial aid fund established by RCW
28B.15.820.
(2) "Current federal methodology" shall mean the method of determining financial need as prescribed by the United States Department of Education.
(3) (("NELA")) "Loan guarantor" shall mean ((Northwestern Education Loan Association, a private student loan guaranteeing association)) the Washington student loan guaranty association or its successor agency authorized to guarantee educational loans in Washington granted pursuant to 20 U.S. Code Section 1071.
(4) "Operational" shall mean that the institution has been approved as a lender and is eligible to provide loans guaranteed by ((NELA)) the Washington student loan guaranty association successor agency.
(5) "Needy student" is defined in RCW
28B.92.030(3).
(6) "Other institutional financial aid" shall be defined as locally administered, need-based institutional employment, tuition and fee scholarships, or grants.
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-055 Use of fund.
Moneys in this fund shall be used for student financial aid:
(1) Long-term loans;
(2) Short-term loans; or
(3) Locally administered need-based grants, tuition scholarships and institutional employment programs for needy, resident students, or a financial aid program for high school students enrolled in a dual credit program to cover expenses including, but not limited to, tuition, fees, course materials, and transportation. The moneys in this fund shall not be used for college operating expenses.
AMENDATORY SECTION (Amending WSR 09-06-046, filed 2/25/09, effective 3/28/09)
WAC 131-36-100 Eligibility.
(1) Long-term loans and other institutional financial aid to needy students shall be made only to students who qualify as residents
for tuition purposes under RCW
28B.15.012 ((and 28B.15.013)) (2)(a) through (e) or to align with federal guidelines and are enrolled for at least three credit hours of instruction or the equivalent.
(2) Priorities for use of other institutional financial aid shall be given to:
(a) Needy students who have accumulated excessive educational loan burdens;
(b) Needy single parents for educational expenses, including child care and transportation; ((and))
(c) Other eligible needy students; and
(d) Needy dual credit enrolled students for tuition, fees, course materials, and transportation.
(3) Short-term loans may be made to any student enrolled in the institution.
(4) For long-term and short-term loans, institutions must have ample evidence that students have the capability of repaying the loan within the time frame specified by the institution.
(5) No individual shall be eligible for long-term loans, short-term loans or other institutional financial aid for needy students if currently in default or delinquent in the payment on any educational loan or who owes a repayment on any federal or state grant.
AMENDATORY SECTION (Amending WSR 98-15-012, filed 7/2/98, effective 8/2/98)
WAC 131-36-250 Initiating, servicing, and collecting loans.
(1) Community colleges shall utilize the loan collecting and servicing agency designated by the state director for community and technical colleges and the ((NELA)) loan guarantor.
(2) The state director of community and technical colleges shall determine and designate on behalf of the state board an appropriate entity to conduct servicing and collection activities with regard to loans made from the fund.
(3) The state director of community and technical colleges shall, when (s)he determines that it is in the best interest of the college system, determine and designate on behalf of the state board an appropriate entity to perform loan initiation activities and transaction reporting regarding loans made from the fund.
(4) Subsequent to granting loans from the fund each college shall cooperate with the ((NELA)) loan guarantor and the servicing and collection agency through informing students of their rights and responsibilities regarding such loans; timely provision of student status verification information and information pertaining to determinations of default, forbearance, and deferment of loans; consolidation of loans; and records maintenance.
