SRC-MKV S.B. 572 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 572
2001S0162/2By: Moncrief
Health & Human Services
2/16/2001
As Filed


DIGEST AND PURPOSE 

S.B. 572 addresses the nursing shortage in this state by establishing a
program through which the Texas Higher Education Coordinating Board (THECB)
will award funds appropriated by the legislature to give nursing programs
the resources needed to enroll additional students, assure the retention of
an adequate number of qualified faculty, including providing faculty
salaries, and encourage innovation in the recruitment and retention of
students.  This bill also amends the nursing financial aid program
currently administered by THECB to give the board more flexibility in using
the appropriated funds in the best way to produce the nurses the state
needs.  S.B. 572 also increases the pool of qualified nursing faculty by
providing incentives for postgraduate nursing students to go into teaching,
and it establishes a nurse workforce data center to provide the information
policy-makers need to make informed decisions on nursing workforce issues. 

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the Texas Higher Education
Coordinating Board in SECTIONS 3 (Section 61.924, Education Code) and
11(Section 304.010, Occupations Code) of this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Provides that this Act may be cited as the Nursing Shortage
Reduction Act of 2001. 

SECTION 2.  Sets forth legislative findings.

SECTION 3.  Amends Chapter 61, Education Code, by adding Subchapter U, as
follows: 

SUBCHAPTER U.  PROFESSIONAL NURSING SHORTAGE REDUCTION PROGRAM

 Sec. 61.921.  DEFINITION.  Defines "professional nursing program."

Sec. 61.922.  PROGRAM.  Establishes a professional nursing shortage
reduction program (program).  Requires the Texas Higher Education
Coordinating Board (THECB) to administer the program to make grants to
professional nursing programs and other entities involved with a
professional nursing program in the preparation of students for initial
licensure as registered nurses in order to increase the number and types of
registered nurses to meet the needs for registered nurses in the state. 

Sec. 61.923.  GRANTS.  (a) Requires a grant from the program to a
professional nursing program or other entity involved with a professional
nursing program in the preparation of students for initial licensure as
registered nurses to be expended exclusively on costs related to certain
criteria, contingent on the professional nursing program's having been
approved as a professional nursing program by THECB or the Board of Nurse
Examiners, as appropriate, by 2001, contingent on the professional nursing
program's not being on probation with the Board of Nurse Examiners or other
accrediting body, and if granted to increase allotments, contingent  on the
professional nursing program's ability to enroll additional students,
including having the necessary classroom space and clinical slots. 

(b) Requires funds not expended on the costs described by Subsection (a)(1)
to be returned to THECB. 

Sec. 61.924.  ADMINISTRATION.  Requires THECB to adopt rules and
regulations for the administration of the program.  Requires THECB to grant
funds under Sections 61.923(a)(1)(A) and (B) in an equitable manner among
the various types of professional nursing programs.  Requires THECB to
grant funds under Section 61.923(a)(1)(C) in a manner that best promotes
innovation in the recruitment and retention of nursing students. 

Sec. 61.925.  GRANTS, GIFTS, AND DONATIONS.  Authorizes THECB to solicit,
receive, and spend grants, gifts, and donations from public or private
sources for the purposes of this subchapter, in addition to funds
appropriated by the legislature. 

SECTION 4.  Amends Chapter 54B, Education Code, by adding Section 54.069,
as follows: 

Sec. 54.069.  REGISTERED NURSES IN POSTGRADUATE NURSING DEGREE PROGRAMS.
(a) Authorizes an institution of higher education to permit a registered
nurse authorized to practice professional nursing in Texas to register by
paying the tuition fees and other fees or charges required for Texas
residents under Section 54.051, without regard to the length of time the
registered nurse has resided in Texas, if the registered nurse meets
certain criteria. 

(b) Authorizes the institution to set additional qualifications and
conditions that a registered nurse must meet to qualify for tuition and
fees at the resident tuition rate under this section, including the minimum
length of time required to teach in Texas and repayment of any reduction in
tuition received under this section if the person fails to teach for the
length of time required. 

SECTION 5.  Amends Section 61.651 (1), Education Code, to redefine
"professional nursing student." 

SECTION 6.  Amends Section 61.653, Education Code, as follows:

Sec. 61.653.  New heading: MATCHING FUND PROGRAM.  Changes reference from
"employer" to "person" regarding who is authorized to sponsor a
professional nursing student or a vocational nursing student by
contributing to the costs of the student's education. 

SECTION 7.  Amends Section 61.655, Education Code, as follows:

Sec. 61.655.  New heading: PURPOSE; ELIGIBILITY.  (b) Authorizes THECB to
establish multiple categories of persons to receive scholarships, matching
funds, and loan repayments. Authorizes THECB to include faculty with
master's degrees or doctorates in nursing from professional nursing
programs among the categories of persons authorized to receive loan
repayments. 

(c) Requires THECB, each year funds are available, to establish the
categories of persons eligible to receive scholarships, matching funds, and
loan repayments and the criteria for selecting persons to be assisted under
each category.  Requires the criteria to include scholastic ability,
performance, and financial need.  Authorizes the criteria to include other
specified items.  Deletes language regarding the time of application to
participate in the scholarship program, matching fund program, or loan
repayment program. 
 
SECTION 8.  Amends Section 61.656 (c), (d), and (e), to change reference of
"sponsoring employers" to "sponsors" and "employer" to "sponsor."  Deletes
language regarding the form and manner in which the sponsoring employer
must make its contribution, conditions under which a student may be
required to repay funds received under the matching fund program,
conditions under which the coordinating board could cancel an agreement,
and a procedure for the disbursement of funds.  Deletes language regarding
a standard agreement entered into by a student and a sponsoring employer
and provisions the agreement must include. Deletes language regarding THECB
adopting rules to provide for the distribution of certain information to
change the language to require THECB to distribute the information. 

SECTION 9.  Amends Section 61.658, Education Code, by adding Subsection
(b), as follows: 

(b) Authorizes THECB to structure the scholarship program, the matching
fund program, and the loan repayment program established under this
subchapter to secure funds available under federal matching programs. 

SECTION 10.  Amends Chapter 61L, Education Code, by adding Section 61.659,
as follows: 

Sec. 61.659.  ADMINISTRATIVE COSTS.  Authorizes a reasonable amount, not to
exceed 10 percent, of the funds appropriated by the legislature to fund the
programs established under this subchapter to be used by THECB to pay
administrative costs of operating the programs. 

SECTION 11.  Amends Title 3E, Occupations Code, by adding Chapter 304, as
follows: 

CHAPTER 304.  NURSING WORKFORCE DATA CENTER.

Sec. 304.001.  DEFINITIONS.  Defines "board," "center," "nurse," "nursing,"
and "nursing personnel." 

Sec. 304.002.  ESTABLISHMENT.  (a) Requires the Board of Nurse Examiners
(board) to establish a nursing workforce data center (center) to address
the issues of supply and demand for nursing. 

(b) Authorizes the board to contract with public or private entities  to
establish and perform the responsibilities of the center. 

Sec. 304.003.  EXECUTIVE COMMITTEE.  (a) Requires the board to appoint an
executive committee to be the policymaking body for the center.  Sets forth
certain criteria for the membership and terms of the executive committee. 

(b) Requires the executive committee to elect a chair and other officers
from its membership, set priorities for the center, develop and oversee
long-term and short-term strategic plans for the center, provide for review
of reports prepared by the center prior to publication, and appoint
advisory committees as needed. 

(c) Entitles a member of the executive committee to receive a per diem as
set by the General Appropriations act for each day a member engages in the
business of the center.  Prohibits a member from being entitled to
reimbursement for travel expenses, including expenses for meals and
lodging, other than transportation expenses.  Entitles a member to
reimbursement for transportation expenses as provided by the General
Appropriations Act. 

Sec. 304.004.  EXECUTIVE DIRECTOR.  Requires the operations of the center
to be administered by an executive director, who is required to be a
registered nurse.  Requires the executive director to make periodic reports
to the executive committee concerning the  operation of the center. 

Sec. 304.005.  DATA COLLECTION AND ANALYSIS.  Requires the center to
collect data on nurses and other nursing personnel, including demographics,
areas of practice, supply, demand, and migration.  Requires the center, to
the extent possible, to collect data from existing sources that the center
determines are credible, but authorizes the center to take steps to collect
additional data, including conducting surveys on a county or other
appropriate basis, and to analyze the data and compare it to those trends
with corresponding national trends.  Requires the center to predict supply
and demand for nursing personnel in Texas, including the development of a
supply and demand model appropriate for Texas. 

Sec. 304.006.  COORDINATION OF ACTIVITIES.  Requires the center to
coordinate its activities with THECB, the statewide health coordinating
council, the Texas Workforce Commissions, and other public entities to
minimize duplications of collection of data to promote the sharing of data. 

Sec. 304.007.  REPORTS.  Requires the center to use the data collected and
analyzed under this chapter to publish reports regarding the educational
and employment trends for nursing personnel, the supply of and demand for
nursing personnel, and other issues, as necessary, concerning nursing in
the state. 

Sec. 304.008.  RECRUITMENT.  Authorizes the center to develop programs
relating to the recruitment of persons into nursing, including the
collection of data relating to career satisfaction for nurses. 

Sec. 304.009.  CLEARINGHOUSE.  Authorizes the center to establish a
clearinghouse for nursing education programs and health care providers to
identify sites available to nursing education programs for providing
clinical experiences for students. 

 Sec. 304.010.  RULES.  Authorizes the board to adopt rules to implement
this chapter. 

Sec. 304.011.  FEES.  Authorizes the center to establish and charge
reasonable fees for nursing workforce data, reports produced, and
statistical and other services. 

Sec. 304.012.  FUNDING.  Authorizes the center to solicit, receive, and
spend grants, gifts, and donations from public or private sources for the
purposes of this chapter, in addition to funds appropriated by the
legislature. 

Sec. 301.013.  ADMINISTRATIVE COSTS.  Authorizes a reasonable amount of the
funds appropriated by the legislature to fund the center established under
this chapter, not to exceed five percent of the amount of such funds, to be
used by the board to pay administrative costs of implementing this chapter. 

SECTION 12.  Requires the board, in appointing the initial members of the
executive committee of the nursing workforce data center, to appoint
one-half of the members to terms expiring February 1, 2003, and one-half of
the members to terms expiring February 1, 2005. 

SECTION 13.  (a) Effective date: September 1, 2001.
             
(b) Requires THECB to implement Chapter 61U, Education Code, as added by
this Act, only if the legislature appropriates money for the professional
nursing shortage reduction program established under that subchapter.