BILL ANALYSIS                                                                                                                                                                                                    






                          SENATE COMMITTEE ON EDUCATION
                               Gloria Romero, Chair
                            2009-2010 Regular Session
                                         

          BILL NO:       SB 155
          AUTHOR:        Wright
          INTRODUCED:    February 12, 2009
          FISCAL COMM:   Yes            HEARING DATE:  March 18, 2009
          URGENCY:       No             CONSULTANT:Beth Graybill

           SUBJECT  :  Assumption Program of Loans for Education:  School  
          Nurses
          
           SUMMARY:   

          This bill expands eligibility for the Assumption Program of  
          Loans for Education (APLE) program to individuals completing  
          training to be a school nurse and who agree to work as a  
          school nurse in a qualifying school or school district.

           BACKGROUND  

          Current law requires a school nurse to have a valid  
          Registered Nurse (RN) license and complete additional  
          requirements for and possesses a School Nurse Services  
          Credential issued by the Commission on Teacher Credentialing  
          (CTC).  

          The Assumption Program of Loans for Education (APLE),  
          administered by the California Student Aid Commission (CSAC),  
          was established in 1983 to provide loan assumption benefits  
          to credentialed teachers.  The program is designed to  
          increase the number of teachers in disadvantaged schools or  
          high-priority subject areas.  The program "forgives" up to  
          $11,000 of college loan debt for a person who teaches for  
          four consecutive years in a qualifying school or subject area  
          (paying $2,000 for the first year of teaching service and  
          $3,000 for each of the next three years of teaching).   
          Qualifying schools include those in the lowest two deciles of  
          the Academic Performance Index, schools with high proportions  
          of students from low-income families, a high percentage of  
          emergency permit type teachers, and those located in rural  
          areas.  The subject area shortages are determined annually by  
          the Superintendent of Public Instruction and may vary from  
          year to year; math, science and special education have been  
          listed consistently for many years.



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          Current law (SB 63, Budget and Fiscal Review Committee,  
          Chapter 73, Statutes of 2005) establishes the State Nurse  
          Assumption Program for Education Loans (SNAPLE), administered  
          by the CSAC, that provides up to $25,000 in loan assumption  
          warrants to encourage RNs to complete graduate education and  
          serve as nursing faculty in a nursing program at a California  
          college or university.  An additional program, the State  
          Facilities Assumption Program for Education Loans (SF-APLE)  
          expands the SNAPLE program to RNs who agree to work full-time  
          in a 24-hour state facility (e.g. prison, state veteran's  
          home, state hospital) that has an RN vacancy rate of greater  
          than ten percent.  


           ANALYSIS  

           This bill  :  

             1)   Expands the APLE program to provide for the  
               assumption of student loans for students completing  
               training or coursework necessary to be employed as a  
               school nurse and seek employment as a school nurse in  
               schools serving a large population of pupils from  
               low-income families, schools with a large percentage of  
               teachers holding emergency-type permits, or schools  
               ranked in the lowest two deciles on the Academic  
               Performance Index.  

             2)   Requires program applicants to meet the following  
               eligibility criteria and continue to meet the criteria,  
               as appropriate, during the payment periods.   
               Specifically, the bill requires applicants to:

                  a.        Enroll in a program to complete training or  
                    coursework in order to be employed as a school  
                    nurse and agree to work as a school nurse in an  
                    eligible school.  

                  b.        Be currently enrolled in or have been  
                    admitted to a program in which he or she will be  
                    enrolled on at least a half-time basis, and agree  
                    to maintain satisfactory academic progress as  
                    defined by the institution.  

                  c.        Be judged by his or her postsecondary  
                    institution to have outstanding ability based on  



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                    specified criteria.  

             d.   Have received or be approved to receive a loan  
               through the Federal
                    Family Education Loan Program or any loan program  
                    approved by CSAC.  

             3)   Requires applicants to agree to be employed full-time  
               for at least four consecutive academic years after  
               obtaining the appropriate nursing credential in 1) a  
               public elementary or secondary school or school district  
               that at the time the school nurse is hired, is an  
               eligible school, or 2) a public elementary or secondary  
               school district that has at least one school in the  
               nurse's service territory that, at the time the nurse is  
               hired, is an eligible school.  

             4)   Requires CSAC to commence loan assumption payments  
               upon verification that an applicant has met requirements  
               of the agreement and all other pertinent conditions and  
               completed all of the following:  

                  a.        The applicant has received a California  
                    preliminary or professional clear credential or an  
                    equivalent credential from another state  
                    authorizing service for kindergarten or any grades  
                    1 to 12 inclusive. 























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                  b.        The applicant has provided full-time  
                    classroom instruction or employment as a school  
                    nurse, or the equivalent on a part-time basis, in a  
                    public elementary or secondary school for the  
                    equivalent of one school year.  

             5)   Provides for loan assumption payments up to $11,000  
               to be paid as follows:  

                  a.        $2,000 after the completion of one school  
                    year of employment as a school nurse.  

                  b.        $3,000 after the completion of two school  
                    years of employment as a school nurse.  

                  c.        $3,000 after the completion of three school  
                    years of employment as a school nurse.  

                  d.        $3,000 after the completion of four school  
                    years of employment as a school nurse.  

             6)   Specifies that participants who do not fulfill the  
               minimum service requirement assume liability for all  
               remaining student loan obligations and provides for the  
               deferral of loan liability for participants who due to  
               serious illness, pregnancy, or other natural causes are  
               unable to complete school nurse education.  

           STAFF COMMENTS  

              1)   School Nurse Services Credentials  .  In addition to  
               the direct medical services authorized by the Registered  
               Nurse license, holders of School Nurse Services  
               Credentials are authorized to provide specialized health  
               services including conducting immunization programs,  
               assessing and evaluating the health and developmental  
               status of pupils, designing and implementing individual  
               student health maintenance plans, developing and  
               implementing health education curriculum, and  
               interpreting medical and nursing findings appropriate to  
               a student's individualized education program.  CTC  
               issued 274 preliminary and 47 clear school nurse  
               services credentials in 2007-08.  

                   a.        The Preliminary School Nurse Services  
                    Credential  requires a valid California RN license,  



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                    a bachelor's degree or higher, and a clear criminal  
                    history background check.  Candidates do not need  
                    to complete training to be a school nurse prior to  
                    earning this credential.  This credential is valid  
                    for five years and is non-renewable.  

                   b.        The Clear School Nurse Services Credential   
                    requires a valid Preliminary School Nurse Services  
                    Credential, a valid California RN license, the  
                    completion of two years of successful work  
                    experience as a school nurse, and completion of a  
                    CTC-approved school nurse credential program.  The  
                    Clear School Nurse Services Credential is valid for  
                    five years and is renewable.  

               School nurse credential programs are typically one year  
               long.  Candidates admitted to these programs have an RN  
               license and a bachelor's degree, typically a Bachelor of  
               Science in Nursing (BSN), and hold a preliminary school  
               nurse services credential.  

              2)   Need for the bill  .  According to the California  
               Department of Education, there were 2,829 credentialed  
               school nurses working in public schools in 2007-08.  The  
               statewide school nurse - student ratio that year was  
               1:2,218, slightly under the average statewide ratio of  
               1:2,255 that has existed over the past decade.  The  
               sponsor of the bill contends that this ratio indicates a  
               shortage of school nurses and notes that the ratio  
               exceeds the American School Nurses Association  
               recommendations of one nurse for every 750 students.  

             Although school districts also employ Licensed Vocational  
               Nurses (LVNs) to provide some medical services to  
               students, these nurses are not authorized to provide the  
               specialized services a credentialed school nurse  
               provides.  Moreover, the sponsor argues that schools  
               need more credentialed school nurses because of the  
               number of students who have special needs and/or chronic  
               and acute health problems, and the growing number of  
               students who take prescription medication during the  
               school day.  By enabling registered nurses to qualify  
               for a loan assumption award through the APLE program,  
               the author hopes SB 155 will encourage more nurses to  
               complete requirements for the Clear School Nurse  
               Services Credential and commit to serving in a  
               qualifying public school for at least four years. 



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              3)   School nurse shortage  .  There may be several reasons  
               why there are relatively few credentialed nurses in  
               public schools, including the overall nursing shortage,  
               compensation disparities, district staffing priorities  
               and employment uncertainty.  Salaries for school nurses  
               tend to be lower than salaries for nurses who work in  
               clinical settings.  For example, San Rafael City Schools  
               recently posted an opening for an experienced school  
               nurse with an annual salary range from $43,823 to  
               $66,846, while nursing jobs at nearby Marin General  
               Hospital have a salary range of $95,000 to $120,000.   
               While this wage disparity makes it difficult for some  
               districts to hire and retain credentialed nurses, other  
               districts, especially those with budget constraints, may  
               choose to hire LVNs to provide basic medical services.   
               In addition, many veteran nurses are discouraged from  
               making a mid-career change to become a school nurse due  
               to current federal law which reduces Social Security  
               benefits of workers who also have pension benefits from  
               employment not covered by Social Security (i.e. the  
               State's retirement system for schools, the State  
               Teachers Retirement System).  Finally, recent evidence  
               suggests that school nurses are generally more  
               vulnerable to layoffs than classroom teachers when  
               districts face budget reductions.  More than 100 school  
               nurses received layoff notices in March 2008.  Given  
               these factors, it is unclear whether this bill will  
               address the need for more school nurses.  

           

           
              4)   Is APLE the right strategy  ?  Assuming some of the  
               unmet need could be addressed through recruitment  
               strategies, there may be non-general fund alternatives  
               to the APLE.  The Health Professions Education  
               Foundation, funded through a $10 surcharge on each RN  
               license renewal, provides direct scholarships or loan  
               repayment to nurses who work in medically underserved or  
               rural areas.  Could this program be expanded to address  
               the need for more school nurses?  

             The APLE is a competitive teacher incentive program  
               designed to address certain teacher shortages by  
               encouraging students, district interns, and out-of-state  
               teachers to teach in subject areas where a critical  



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               teacher shortage has been identified or in designated  
               schools meeting specific criteria.  By expanding the  
               eligibility pool for APLE, could this bill have the  
               effect of reducing the number of APLE awards available  
               for teacher candidates?  

             The SNAPLE program addresses the critical shortage of  
               nurses who serve as faculty in nursing programs or serve  
               in an eligible position as a registered nurse in a  
               state-operated facility.  Since SNAPLE is designed to  
               address the nursing shortage, would it be more  
               appropriate to expand eligibility for SNAPLE to include  
               school nurses?  As an added benefit, loan assumption  
               awards could be shifted from the undersubscribed SNAPLE  
               state facilities program to the school nurse program  
               without reducing the number of APLE awards available for  
               teacher candidates.  If the Committee chooses to so  
               amend the bill, staff recommends the following  
               amendments:  

                  a.        Move the content of the bill to Chapter 3  
                    of Part 42 of the Education Code.  

                  b.        Specify the repayment schedule utilized in  
                    APLE in order to maintain consistency with loan  
                    assumptions for teachers.  

                  c.        Add an evaluation requirement and sunset  
                    date to enable the Legislature to determine the  
                    efficacy of the program as a tool for increasing  
                    the number of school nurses.  

              5)   Prior legislation  .  SB 155 is similar to SB 1521  
               (Cedillo, 2008), which was heard by this committee and  
               would have created a specific APLE program for school  
               nurses.  SB 1521 failed passage in committee on a 3-4  
               vote with reconsideration granted.  

              6)   Technical amendments  .  The author's office indicates  
               the bill is intended to assist registered nurses who are  
               enrolling in or have enrolled in a Clear School Nurse  
               Credential program.  Staff recommends amending the bill  
               to so clarify.  In addition, staff recommends amendments  
               that would change "assume" to "retain" on page 6, line  
               32 and change the word "teaching" to "service" on page 7  
               line 4.




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           SUPPORT
           
          American Federation of State, County and Municipal Employees,  
          AFL-CIO
          California School Nurses Organization (Sponsor)
          Union of Health Care Professionals
          United Nurses Associations of California

           OPPOSITION
           
          None received.