Washington, DC – Congresswoman Rosa L. DeLauro (D-CT) today heralded the announcement by the Department of Health and Human Services that $13.4 million in Recovery Act funding has been made available for loan repayments to nurses who agree to practice in facilities with critical shortages and for schools of nursing to provide loans to students who will become nurse faculty. The awards come from two programs administered by HHS’ Health Resources and Services Administration (HRSA): the Nurse Education Loan Repayment Program and the Nurse Faculty Loan Program. “Nurses form arguably the central backbone of our health care system. And, as with the $200 million in loan repayment funding for clinicians announced in June, this Recovery Act funding will help alleviate the crushing debt burdens faced by many health care professionals, while ensuring that the American people can still get the quality nursing care they need from coast to coast,” said Congresswoman DeLauro.

According to a recent HRSA report, America is on the cusp of a critical nursing shortage. For example, Connecticut will be short more than 11,000 registered nurses by 2010 if no action is taken. And by 2020, that number is projected to double, leaving the state with fewer than half the nurses it needs.

To stem this potential crisis, the $8.1 million allotted to the Nurse Education Loan Repayment Program (NELRP), awarded competitively, will help one hundred registered nurses across the country pay down their nursing education debts -- 60 percent of their loan balance -- in exchange for two years of service at facilities facing a nursing shortage, including Connecticut Children’s Medical Center, Hartford Hospital, and Yale New Haven Hospital.

In addition, the $5.3 million announced today for the Nurse Faculty Loan Program (NFLP) will support the training of 500 masters and doctoral nursing students who plan to become nurse faculty after completing their education. Following graduation, loan recipients may cancel up to 85 percent of the loan principal and interest in exchange for four years of service as a full-time nursing faculty at a school of nursing. Among the NFLP grants announced today is $130,000 for the University of Connecticut School of Nursing.

For additional information about the Loan Repayment Program and other Recovery Act programs for health care professionals, see http://bhpr.hrsa.gov/recovery/.