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Personally, i think that possessing the knowledge to ID a woody plant is more important than being able to recognize local species.
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Identifying a local woody plant shows you possess identifying skills and that you can study and learn the local species.
I say, include the vocabulary words to identify woody plants AND have an species identification.
When I took the test, the pictures were EXCELLENT, showed the tree from a distance, showed twigs up close and fruit and flower and bark. Very clear. Very easy.
Look at the crappy pictures we put on Trees From a Distance thread and how many of us get those correct.
I told a fellow arborist today that the tree ID was removed from the test, he said, "I read that and I'm speechless".