BILL ANALYSIS
AB 702
Page 1
Date of Hearing: April 19, 2005
ASSEMBLY COMMITTEE ON HIGHER EDUCATION
Carol Liu, Chair
AB 702 (Koretz) - As Amended: April 4, 2005
SUBJECT : Nurse educator loan program
SUMMARY : Requires the Office of Statewide Heath Planning and
Development (OSHPD) to establish a statewide Registered Nurse
Educator Loan Program. Specifically, this bill :
1)Requires OSHPD to establish a statewide Registered Nurse
Educator Loan Program to facilitate education of registered
nurses by increasing the availability of registered nurse
educators.
2)Requires OSHPD to contract with California public colleges and
universities that award degrees in nursing with the purpose of
assisting the institution in establishing, or expanding the
capacity of their registered nurse educator curriculum.
3)Requires OSHPD to award loans to cover the educational costs
of students who are registered nurses seeking a master's or
doctorate degree in nursing and who intend to become nurse
educators.
4)Specifies that when selecting loan recipients, they shall
consider an applicant's economic need, cultural and linguistic
skills, and demonstrated interest in becoming a registered
nurse educator.
5)Specifies that the student agree to the following:
a) Make all reasonable efforts to complete the
institution's registered nurse educator curriculum;
b) Seek employment as a registered nurse educator upon
completion of the curriculum; and
c) Serve as a registered nurse educator for at least three
full-time academic years or five part-time years.
6)Requires OSHPD to adopt regulations for a repayment schedule,
which shall forgive repayment of the loan for students who
comply with the terms of the loan agreement.
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7)States that OSHPD shall only implement the program to the
extent that funds are available for this purpose, and only if
there are reasonable assurance that funds will be made
available to cover the student's education cost for a total of
five academic years.
8)Declares legislative intent that this act be funded through
the Budget Act or other measure, including funding from
discretionary funds available under the Workforce Investment
Act (WIA).
9)Makes various other legislative findings and declarations
regarding the shortage of nurses and nurse educators in
California and the need to expand nurse educator opportunities
in California public colleges and universities.
EXISTING LAW
1) Requires OSHPD to establish the Health Professions
Education Foundation to provide scholarships or loans for
educational cost of underrepresented students in the health
professions.
2) Requires OSHPD to contract with institutions that award
degrees in the nursing profession to increase participation
of underrepresented groups.
3) Establishes the Song-Brown Family Physician Training Act
administered by OSHPD. The program seeks to increase the
number of general practice health care providers by
providing clinical training opportunities to physician
residents, physician assistants, and family nurse
practitioners.
FISCAL EFFECT : Unknown
COMMENTS :
1)There is well documented need for additional nurses in
California and nationally. California ranks 49th out of fifty
states in the number of nurses per 100,000 residents. The
Employment Development Department estimates that California
needs 30,000 additional nurses in the next four years, and by
2010, there will be a demand for 109,600 nurses. This nursing
shortage threatens the public health and the health care
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delivery system.
2)In addition the nursing shortage, California faces a shortage
in nurse educators. There are not enough nurse educators
holding master's and doctoral degrees to train future nurses.
The author cites a recent survey by the Board of Registered
Nursing, which found that the average age of a nurse educator
in California is 57. As many nurse educators reach retirement
age in the next 10 years, there will be an even greater need
for educators. The author argues that "with many of the nurse
educators retiring in the near future and the need for
additional nurse educators California will soon face a crisis
if something is not done to increase the number of educators,
thereby increasing the number of registered nurses."
3)The purpose of this bill to help ensure that California has an
adequate number of registered nurse educators to train the
future nurse workforce. This bill will offer financial
support and incentives, to the extent that funding is
available, for students who are registered nurses seeking
advance degrees and who agree to teach once they obtain their
master's or doctorate. Currently, there is no incentive for
nurses to obtain degrees and go into teaching. The author
believes that many nurses would be interested in teaching, but
the cost of obtaining the necessary degree is a barrier.
Moreover, nurse educators make less money than nurse
practitioners. The author hopes that by providing financial
incentives more nurses will be interested in pursing their
master's or doctorate degree and become nurse educators.
4)Concerns with Legislative Intent Language. Concerns were
raised by the California Nurses Association (CNA) regarding
the legislative intent language in the bill related to the
data on the nursing shortage and the need for additional
nurses. According to CNA, the information in the intent
language does not reflect the need for nurses in hospitals and
undermines the ratios.
5)Nursing Legislation. Much of the past and current legislation
related to nursing has focused on increasing the number
individuals in nursing professions. This bill focuses nurse
educators, which is a critical component to meeting the
increase demand for nurses.
6)Related Legislation . AB 167 (Cohn) of 2005, establishes the
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Nursing Workforce Education Investment Act designed to educate
and train licensed vocational nurses and registered nurses.
AB 167 requires the program to be funded under the federal WIA
discretionary funding commencing in the 2007-08 fiscal year.
SB 102 (Ducheny) of 2005, authorizes the Employment Training
Panel (ETP) to allocate funds available in the annual Budget
Act for up to 5 licensed nurse training pilot programs to
train individuals who are currently working as nurse
assistants or caregivers in a health facility.
AB 232 (Arambula) of 2005 establishes common prerequisites for
admission to registered nursing (RN) training programs at the
California State University (CSU) and the California Community
Colleges and appropriates $45 million from the General Fund to
the California Workforce Investment Board for allocation of
grants to local workforce investment boards to promote
enrollment in RN training programs
7)Prior Legislation . SB 1245 (Kuehl) Chapter 718, Statutes of
2004, established the Entry-Level Master's Nursing Programs
Act and required the Chancellor of the CSU, in consultation
with the Board of Registered Nursing, to select 4 CSU campuses
eligible for supplemental funds for establishing entry-level
master's programs in nursing.
8)California Nurse Education Initiative : On April 13, 2005,
Governor Schwarzenegger announced the California Nurse
Education Initiative. This proposed plan would provide $90
million to expand and increase nurse education opportunities,
partner with public and private colleges and universities to
build more nurse education programs, recruit more qualified
instructors, establish high school and college nursing
academies and apprenticeships, and seek additional funds for
nurse education from federal and other funding sources.
9)Proposed clarifying amendment . In its current form, it is not
clear whether it is the intent to fund the program through the
Budget Act or from discretionary funds under WIA. Staff
recommends amending the bill to clarify the language in
accordance with the author's stated intent to fund the program
through the Budget Act or other measure including WIA funds.
Specifically , on in line 36 after "measure," add "including
funding available under the federal Workforce Investment Act
of 1998," and in line 36-37 delete "from discretionary fund
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available under the federal Workforce Investment Act of 1998."
REGISTERED SUPPORT / OPPOSITION :
Support
Adventist Health, Feather River Hospital
Alameda Hospital
Alliance of Catholic Health Care
Alta Bates Summit Medical Center
American Nurses Association California
Anaheim Memorial Medical Center
Arroyo Grande Community Hospital
Bakersfield Heart Hospital
Bakersfield Memorial Hospital
Ballard Rehabilitation Hospital
California Association for Health Services at Home
California Hospital Association (SPONSOR)
California School Nurses Organization
Childrens Hospital of Los Angeles
Colusa Regional Medical Center
Community Hospital of San Bernardino
Corcoran District Hospital
Desert Valley Hospital
Doctors Hospital of Manteca
Doctors Medical Center
Dominican Hospital
Eastern Plumas Health Care
Eastern Plumas Health Care
Encino Hospital
Enloe Medical Center
Glendale Memorial Hospital and Health Center
Glenn Medical Center
Good Samaritan Hospital
Hazel Hawkins Memorial Hospital and Convalescent Centers
Henry Mayo Newhall Memorial Hospital
Indian Valley Health Care District
John Muir/Mt. Diablo Health System
Kaiser Foundation Hospital, San Rafael
Kaweah Delta Health Care District
Los Robles Hospital and Medical Center
Marian Medical Center
Mark Twain St. Joseph's Hospital
Marshall Medical Center
Mayers Memorial Hospital
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Mendocino Coast District Hospital
Mercy Hospital of Folsom
Mercy Hospitals Bakersfield
Mercy Medical Center Mt. Shasta
Methodist Hospital of Sacramento
Methodist Hospital of Southern California
Modoc Medical Center
Motion Picture & Television Fund
Mt. Diablo Medical Center
Northridge Hospital Medical Center
Pacific Hospital of Long Beach
Plumas District Hospital
Pomona Valley Hospital
Redwood Memorial Hospital
Rehabilitation Institute at Santa Barbara
Saddleback Memorial Medical Center-San Clemente Campus
Saint Agnes Medical Center
Saint John's Health Center
San Gabriel Valley Medical Center
San Joaquin Valley Rehabilitation Hospital
San Mateo Medical Center
Scripps Health
Sharp Chula Vista Medical Center
Sierra Vista Regional Medical Center
St. Francis Medical Center
St. Joseph's Medical Center
St. Mary Medical Center
Sutter Medical Center of Santa Rosa
Tehachapi Valley Healthcare District
Tulare District HealthCare System
Twin Cities Community Hospital
United Nurses Associations of California/Union of Health Care
Professionals
University California, Davis
University Community Medical Center
University of California, San Diego Medical Center
Valley Care Health System
Opposition
None on File.
Analysis Prepared by : Luis Esparza / HIGHER ED. / (916)
319-3960
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