The Higher Education Coordinating Board (HECB) is required to develop a comprehensive and ongoing needs assessment process to analyze demand for additional degrees and programs [RCW 28B.76.230 (1)]. This report fulfills a portion of that mandate by focusing on employer demand on the regional level, but also includes additional information on forecast student demand and statewide employer demand. The HECB also is required to determine whether certain major lines of study or types of degrees, including applied degrees or research-oriented degrees, shall be assigned uniquely to some institutions or institutional sectors in order to create centers of excellence that focus resources and expertise [RCW 28B.76.230 (4)]. This determination will rely on the needs assessment, the institutional program review process, and the fit between academic programs and institutional role and mission. This report divides the state into eight higher education regions and looks at the enrollment and degree production capacity in each. It also identifies high employer demand occupations based on forecast new and replacement job openings between 2010 and 2020. Some of the findings of this report are: (1) College participation rates vary widely across the state; (2) The distribution of 2-year and 4-year capacity in each region varies widely; (3) Higher education capacity is highly concentrated in King County, and to a lesser degree in Spokane and Pullman; (4) Registered nurses, teachers, and business, management, and accounting occupations all appear near the top of each region's list of high-wage, high-demand Registered nurses, teachers, and business, management, and accounting occupations requiring postsecondary education; and (5) Institutions should focus on occupations that offer both high wages and either high job growth rates or total job openings when identifying programs for expansion. A new feature of this report is that information is presented about the wage levels for each occupation. Median wages for each occupation are compared to the self-sufficiency wage levels for three different family types in each region to guide institutions toward focusing on occupations that promote economic self-sufficiency. The data presented show that Washington has much work to do to improve access to higher education across the state. The participation rate data tells us that some students are place-bound and lack easy (nearby) or sufficient (capacity) access to higher education. Uneven quality across the state of K-12 schools, and a college-going culture, may be other factors contributing to variation in participation rates. Appended are: (1) Higher Education Regions by County; and (2) State-Level High Employer Demand Occupations by Education and Training Requirements.(Contains 48 figures, 70 tables, and 12 footnotes.)