To provide for a study by the Institute of Medicine of the National Academy of Sciences to identify constraints encountered by schools of nursing in admitting and graduating the number of nurses sufficient to meet the health care needs of the United States, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Nursing School Capacity Act of 
2005''.

SEC. 2. FINDINGS.

    The Congress finds as follows:
            (1) Researchers in the field of public health have 
        identified the need for a national study to identify 
        constraints encountered by schools of nursing in graduating the 
        number of nurses sufficient to meet the health care needs of 
        the United States.
            (2) The shortage of qualified registered nurses has 
        adversely affected the health care system of the United States.
            (3) Individual States have had varying degrees of success 
        with programs designed to increase the recruitment and 
        retention of nurses.
            (4) Schools of nursing have been unable to provide a 
        sufficient number of qualified graduates to meet the workforce 
        needs.
            (5) Many nurses are approaching the age of retirement, and 
        the problem worsens each year.
            (6) In 2004, an estimated 125,000 applications from 
        qualified applicants were rejected by schools of nursing, due 
        to a shortage of faculty and a lack of capacity for additional 
        students.

SEC. 3. STUDY WITH RESPECT TO CONSTRAINTS WITH RESPECT TO SCHOOLS OF 
              NURSING.

    (a) In General.--The Secretary of Health and Human Services shall 
request the Institute of Medicine of the National Academy of Sciences 
to enter into an agreement under which the Institute conducts a study 
for the purpose of--
            (1) identifying constraints encountered by schools of 
        nursing in admitting and graduating the number of registered 
        nurses necessary to ensure patient safety and meet the need for 
        quality assurance in the provision of health care; and
            (2) developing recommendations to alleviate the constraints 
        on a short-term and long-term basis.
    (b) Certain Components.--The Secretary shall ensure that the 
agreement under subsection (a) provides that the study under such 
subsection will include information on the following:
            (1) The trends in applications for attendance at schools of 
        nursing that are relevant to the purpose described in such 
        subsection, including trends regarding applicants who are 
        accepted for enrollment and applicants who are not accepted, 
        particularly qualified applicants who are not accepted.
            (2) The number and demographic characteristics of entry-
        level and graduate students currently enrolled in schools of 
        nursing, the retention rates at the schools, and the number of 
        recent graduates from the schools, as compared to previous 
        years and to the projected need for registered nurses based on 
        two-year, five-year, and ten-year projections.
            (3) The number and demographic characteristics of nurses 
        who pursue graduate education in nursing and non-nursing 
        programs but do not pursue faculty positions in schools of 
        nursing, the reasons therefor, including any regulatory 
        barriers to choosing to pursue such positions, and the effect 
        of such decisions on the ability of the schools to obtain 
        adequate numbers of faculty members.
            (4) The extent to which entry-level graduates of the 
        schools are satisfied with their educational preparation, 
        including their participation in nurse externships, 
        internships, and residency programs, and to which they are able 
        to effectively transition into the nursing workforce.
            (5) The satisfaction of nurse managers and administrators 
        with respect to the preparation and performance levels of 
        entry-level graduates from the schools after one-year, three-
        year, and five-years of practice, respectively.
            (6) The extent to which the current salary, benefit 
        structures, and characteristics of the workplace, including the 
        number of nurses who are presently serving in faculty 
        positions, influence the career path of nurses who have pursued 
        graduate education.
            (7) The extent to which the use of innovative technologies 
        for didactic and clinical nursing education might provide for 
        an increase in the ability of schools of nursing to train 
        qualified nurses.
    (c) Recommendations.--Recommendations under subsection (a)(2) may 
include recommendations for legislative or administrative changes at 
the Federal or State level, and measures that can be taken in the 
private sector--
            (1) to facilitate the recruitment of students into the 
        nursing profession;
            (2) to facilitate the retention of nurses in the workplace; 
        and
            (3) to improve the resources and ability of the education 
        and health care systems to prepare a sufficient number of 
        qualified registered nurses.
    (d) Methodology of Study.--
            (1) Scope.--The Secretary shall ensure that the agreement 
        under subsection (a) provides that the study under such 
        subsection will consider the perspectives of nurses and 
        physicians in each of the various types of inpatient, 
        outpatient, and residential facilities in the health care 
        delivery system; faculty and administrators of schools of 
        nursing; providers of health plans or health insurance; and 
        consumers.
            (2) Consultation with relevant organization.--The Secretary 
        shall ensure that the agreement under subsection (a) provides 
        that relevant agencies and organizations with expertise on the 
        nursing shortage will be consulted with respect to the study 
        under such subsection, including but not limited to the 
        following:
                    (A) The Agency for Healthcare Research and Quality.
                    (B) The American Academy of Nursing.
                    (C) The American Association of Colleges of 
                Nursing.
                    (D) The American Nurses Association.
                    (E) The American Organization of Nurse Executives.
                    (F) The National Institute of Nursing Research.
                    (G) The National League for Nursing.
                    (H) The National Organization for Associate Degree 
                Nursing.
                    (I) The National Student Nurses Association.
    (e) Report.--The Secretary shall ensure that the agreement under 
subsection (a) provides that not later than 18 months after the date of 
the enactment of this Act, a report providing the findings and 
recommendations made in the study under such subsection will be 
submitted to the Secretary, the Committee on Energy and Commerce of the 
House of Representatives, and the Committee on Health, Labor, 
Education, and Pensions of the Senate.
    (f) Other Organization.--If the Institute declines to conduct the 
study under subsection (a), the Secretary may enter into an agreement 
with another appropriate private entity to conduct the study.
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as may be necessary to carry out this section.

SEC. 4. DEFINITIONS.

    For purposes of this Act:
            (1) The term ``Institute'' means the Institute of Medicine 
        of the National Academy of Sciences.
            (2)(A) The term ``school of nursing'' means a collegiate, 
        associate degree, or diploma school of nursing in a State.
            (B) The terms ``collegiate school of nursing'', ``associate 
        degree school of nursing'', and ``diploma school of nursing'' 
        have the meanings given to such terms in section 801 of the 
        Public Health Service Act.
            (3) The term ``Secretary'' means the Secretary of Health 
        and Human Services.

Summary: Nursing School Capacity Act of 2005 - Requires the Secretary of Health and Human Services to request that the Institute of Medicine of the National Academy of Sciences (NAS) conduct a study to: (1) identify constraints encountered by schools of nursing in admitting and graduating the number of registered nurses necessary to ensure patient safety and meet the need for quality assurance in the provision of health care. And (2) develop recommendations to alleviate the constraints on a short-term and long-term basis. Directs the Secretary to provide that the study consider the perspectives of: (1) nurses and physicians in inpatient, outpatient, and residential facilities, (2) faculty and administrators of nursing schools, (3) providers of health plans or health insurance, and (4) consumers.