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Catalog of Federal Domestic Assistance

Program Descriptions

CATALOG OF FEDERAL DOMESTIC ASSISTANCE

93.908:  Nursing Education Loan Repayment Program for Registered Nurses Entering Employment at Eligible Health Facilities

Popular Name:  Nursing Education Loan Repayment Program

Objectives:  To address the serious shortage of nurses at health facilities in certain areas of the United States. As an incentive for registered nurses to enter into full-time employment at these health facilities, the program will assist in the repayment of their nursing education loans. The intent of this program is to increase the number of registered nurses serving designated nurse shortage areas.

PROGRAM AND AWARD FINANCIAL AND INFORMATION CONTACTS
ELIGIBILITY REQUIREMENTS FINANCIAL AND ADMINISTRATIVE INFO.
APPLICATION AND AWARD PROCESS INFORMATION CONTACTS
RELATED PROGRAMS ASSISTANCE CONSIDERATIONS
PROGRAM ACCOMPLISHMENTS POST ASSISTANCE REQUIREMENTS


93.908 ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:  Individuals who satisfy all of the following criteria are eligible to apply: (1) Expect to receive (or have already received) a diploma or academic degree in nursing prior to October 1 of the current fiscal year; (2) plan to begin employment for a 2-year period which can be extended to include a third year at an eligible health facility in the United States; and (3) on the date they enter into a contractual agreement with the Secretary for DHHS, employment begins, and have unpaid educational loans they obtained for their nursing education. Applicants must be currently licensed, or are eligible to be licensed and plan to take their board examinations.

Beneficiary Eligibility:  Beneficiaries include registered nurses who have received initial nursing preparation from a diploma, an associate degree, a baccalaureate degree or a graduate degree in a collegiate school of nursing as defined in Section 846 of the Public Health Service Act.

Credentials/Documentation:  Applicants must submit: (1) Copies of all loan documentation; and (2) a copy of licensure, specialty certifications or other pertinent documentation.

93.908 APPLICATION AND AWARD PROCESS:

Preapplication Coordination:  None. This program is excluded from coverage under E.O. 12372.

Application Procedure:  Applications may be obtained by writing to: Nursing Education Loan Repayment Program, Division of Scholarships and Loan Repayments, Bureau of Primary Health Care, Health Resources and Services Administration, Department of Health and Human Services, 10th Floor, 4350 East-West Highway, Bethesda, MD 20814. Applicants are required to document all of the following: (1) Greatest financial need; (2) employment by an eligible health facility in an area that has been determined by the Bureau of Primary Health Care to have a "critical shortage of nurses"; (3) employment at the eligible health facility that will cause a net increase in the number of nurses at that facility; and (4) ability to start their full-time licensed employment at the eligible health facility no later than September 30 of the current fiscal year.

Award Procedure:  Once a determination has been made as to who will receive an award, that individual will be accepted into the program. The individual will be notified in writing of his/her acceptance.

Deadlines:  Applications for fiscal year 2000 must be postmarked by June 30, 2000.

Range of Approval/Disapproval Time:  From 30 to 60 days.

Appeals:  None.

Renewals:  Renewals for the third year of service will be considered according to the availability of funds.

Criteria for Selecting Proposals:  Priority will be given to applicants if their applications document all of the following: (1) Evidence of the greatest financial need; (2) employment by eligible health facility in an area that has been determined by the Bureau of Primary Health Care to have a "critical shortage of nurses;" (3) evidence that employment at the eligible health facility will cause a net increase in the number of nurses at that facility; and (4) start of full-time licensed employment at the eligible health facility no later than September 30th of that fiscal year. Preference will be given to those who agree to serve for 2 years and to those not already employed in eligible health facilities. The intent of this program is to increase the number of nurses serving in facilities which have a critical shortage of nurses.

Examples of Funded Projects:  Loan Repayments for education costs made to registered clinical nurses in designated health facilities.

Range and Average of Financial Assistance:  The range is from $736.80 to $18,000; $9,787.

93.908 RELATED PROGRAMS:

  • 93.162 National Health Service Corps Loan Repayment;
  • 93.164 Indian Health Service Educational Loan Repayment;
  • 93.342 Health Professions Student Loans;
  • 93.364 Nursing Student Loans.

93.908 PROGRAM ACCOMPLISHMENTS:

In fiscal year 1999, 198 contracts were awarded. In fiscal year 2000, it is estimated that 200 contracts will be awarded. The same is expected for fiscal year 2001.

93.908 FINANCIAL AND ADMINISTRATIVE INFO:

Federal Agency:  HEALTH RESOURCES AND SERVICES ADMINISTRATION, DEPARTMENT OF HEALTH AND HUMAN SERVICES

Type of Assistance:  Project Grants.

Obligations:  (Grants) FY 99 $2,239,000; FY 00 est $2,279,000; and FY 01 est $2,279,000.

Budget Account Number:  75-0350-0-1-550.

Authorization:  Public Health Service Act, Section 846, as amended, Public Law 102-408.

Regulations, Guidelines, and Literature:  "Applicant Information Bulletin for Registered Nurses" is available from the Chief, Loan Repayment Programs Branch, Division of Scholarships and Loan Repayments, Bureau of Primary Health Care, Health Resources and Services Administration, 10th Floor, 4350 East-West Highway, Bethesda, MD 20814. Phone: (301) 594-4400. Use the same number for FTS.

93.908 INFO CONTACTS:

Regional or Local Office:  Not applicable.

Headquarters Office:  Program Contact: Chief, Loan Repayment Programs Branch, Division of Scholarships and Loan Repayments, Bureau of Primary Health Care, Health Resources and Services Administration, 10th Floor, 4350 East-West Highway, Bethesda, MD 20814. Phone: (301) 594-4400. Use the same number for FTS.

(See Appendix IV for more contact info.)

93.908 ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:  This program has no statutory formula or matching requirements.

Length and Time Phasing of Assistance:  Loan repayments for 1 year of obligated service will be made no later than the end of the fiscal year in which the individual completes such year of service. The program will repay each of the participant's loans on a monthly basis directly to the participant, the percentage of their total verified loans as described above, divided into 12 equal monthly payments.

Uses and Use Restrictions:  Agreements are made for not less than 2 consecutive years of service and will provide: (1) Upon completion by the nurse of the first year of service at an eligible health facility, an amount to be paid which will bring the total payments for the first year to 30 percent of the principal and interest which was unpaid for each qualified loan at the beginning of the period of agreed service; (2) upon completion by the nurse of a second consecutive year of service, an amount to be paid which will bring the total payments for the second year to 30 percent of the principal and interest which was unpaid for each loan at the beginning of the period of agreed service; (3) if the term of service is extended to a third year of service, an amount to be paid at the end of the third year of service which will bring the total payments for the third year of service to 25 percent of the principal and interest which was unpaid for each loan at the beginning of the original period of service. At the end of a two-year service obligation, the total payments will amount to 60 percent of the principal and interest which was unpaid for each loan at the beginning of the period of agreed service (85 percent at the end of the three-year service obligation). Eligible health facilities are Indian Health Service health centers, Native Hawaiian health centers, public hospitals, migrant health centers, community health centers and rural health clinics, or public or nonprofit private health facilities determined by the Secretary of Health and Human Services to have a critical shortage of nurses.

93.908 POST ASSISTANCE REQUIREMENTS:

Reports:  Eligible health facilities must complete and send to the Program an annual certification that the participating nurse has engaged in a year of full-time continuous service as a registered nurse. This certification includes an endorsement by an appropriate official of this eligible health facility.

Audits:  None.

Records:  Financial records must be kept available for 3 years after the end of the service obligation.

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Last Updated, November, 2000             Comments or Questions?           ©Grant Community.com 2000, All Rights Reserved