To amend the Higher Education Act of 1965 to create a capitation grant program to increase the number of nurses and graduate educated nurse faculty to meet the future need for qualified nurses, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Increasing Education Opportunities 
for Nurses and Nurse Faculty Act of 2007''.

SEC. 2. FINDINGS.

    The Congress finds the following:
            (1) In recent years, the Institute of Medicine (IOM) has 
        described the American health care system in crisis. It is 
        estimated between 44,000 to 98,000 American die as a result of 
        medical errors each year. A paramount reason for compromised 
        patient safety is the critical shortage of Registered Nurses 
        (RN) in the United States.
            (2) In 2002, the Joint Commission found that for roughly a 
        quarter (24 percent) of hospital patient deaths and injuries, 
        low nurse staffing levels was a contributing factor.
            (3) The current nursing shortage places the lives of 
        patients at risk and the shortage is only projected to worsen. 
        In April 2006, the Health Resources and Services Administration 
        (HRSA) predicted that the nation's nursing shortage would grow 
        to more than one million nurses by 2020. If the current nursing 
        shortage trend continues, only sixty-four percent of the 
        projected demand will be met.
            (4) More registered nurses must be educated to meet the 
        demanding needs of the future. They are a critical component of 
        the health care delivery system, are the first responders 
        during natural disasters and are essential to provide health 
        care to the U.S. military. In the future, RNs will play an even 
        larger role in the health care delivery system as 78 million 
        baby boomers age and require additional health care services.
            (5) Over the last nine years, the nursing shortage has 
        become more apparent as constraints in nursing education 
        programs have intensified. According to the American 
        Association of Colleges of Nursing report on 2006-2007 
        Enrollment and Graduations in Baccalaureate and Graduate 
        Programs in Nursing, U.S. nursing schools turned away 42,866 
        qualified applicants from baccalaureate and graduate nursing 
        programs in 2006 due to insufficient number of faculty, 
        clinical sites, classroom space, clinical preceptors, and 
        budget constraints.
            (6) While graduations increased by 18 percent from 2005 to 
        2006 in entry-level baccalaureate nursing programs, this 
        increase does not meet the demand. The April 2006 HRSA 
        projection noted that nursing schools must increase the number 
        of graduates by 90 percent in order to adequately address the 
        nursing shortage.
            (7) From 1971 to 1978, Congress provided schools of nursing 
        Capitation Grants, which are formula grants based on the number 
        of students enrolled. Most notably, the Nurse Training Act of 
        1971 (P.L. 92-158) and the Nurse Training Act of 1975 (P.L. 94-
        63) facilitated increased enrollments in schools of nursing and 
        helped relieve past nursing shortages.
            (8) According to a 2006 National League for Nursing report, 
        nurse faculty vacancies continued to grow with 1,390 as the 
        estimated number of budgeted, unfilled, full-time positions 
        countrywide in 2006.

SEC. 3. NURSING EDUCATION.

    Title VII of the Higher Education Act of 1965 (20 U.S.C. 1133 et 
seq.) is amended by adding at the end the following new part:

   ``PART E--ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL 
                            NURSING STUDENTS

``SEC. 771. ADDITIONAL CAPACITY FOR R.N. STUDENTS OR GRADUATE-LEVEL 
              NURSING STUDENTS.

    ``(a) Authorization.--The Secretary shall award grants to 
institutions of higher education that offer--
            ``(1) a R.N. nursing program at the baccalaureate or 
        associate degree level to enable such program to expand the 
        faculty and facilities of such program to accommodate 
        additional R.N. nursing program students; or
            ``(2) a graduate-level nursing program to accommodate 
        advanced practice degrees for R.N.s or to accommodate students 
        enrolled in a graduate-level nursing program to provide 
        teachers of nursing students.
    ``(b) Determination of Number of Students and Application.--Each 
institution of higher education that offers a program described in 
subsection (a) that desires to receive a grant under this section 
shall--
            ``(1) determine for the 4 academic years preceding the 
        academic year for which the determination is made the average 
        number of matriculated nursing program students at such 
        institution for such academic years; and
            ``(2) submit an application to the Secretary at such time, 
        in such manner, and accompanied by such information as the 
        Secretary may require, including the average number determined 
        under paragraph (1).
    ``(c) Grant Amount; Award Basis.--
            ``(1) Grant amount.--For each academic year after academic 
        year 2006-2007, the Secretary shall provide to each institution 
        of higher education awarded a grant under this section an 
        amount that is equal to $3,000 multiplied by the number of 
        matriculated nursing program students at such institution for 
        such academic year that is more than the average number 
        determined with respect to such institution under subsection 
        (b)(1). Such amount shall be used for the purposes described in 
        subsection (a).
            ``(2) Distribution of grants among different degree 
        programs.--
                    ``(A) In general.--Subject to subparagraph (B), 
                from the funds available to award grants under this 
                section for each fiscal year, the Secretary shall--
                            ``(i) use 20 percent of such funds to award 
                        grants under this section to institutions of 
                        higher education for the purpose of 
                        accommodating advanced practice degrees or 
                        students in graduate-level nursing programs;
                            ``(ii) use 40 percent of such funds to 
                        award grants under this section to institutions 
                        of higher education for the purpose of 
                        expanding R.N. nursing programs at the 
                        baccalaureate degree level; and
                            ``(iii) use 40 percent of such funds to 
                        award grants under this section to institutions 
                        of higher education for the purpose of 
                        expanding R.N. nursing programs at the 
                        associate degree level.
                    ``(B) Distribution of excess funds.--If, for a 
                fiscal year, funds described in clause (i), (ii), or 
                (iii) of subparagraph (A) remain after the Secretary 
                awards grants under this section to all applicants for 
                the particular category of nursing programs described 
                in such clause, the Secretary shall use equal amounts 
                of the remaining funds to award grants under this 
                section to applicants for the remaining categories of 
                nursing programs.
                    ``(C) Equitable distribution.--In awarding grants 
                under this section, the Secretary shall, to the extent 
                practicable, ensure--
                            ``(i) an equitable geographic distribution 
                        of the grants among the States; and
                            ``(ii) an equitable distribution of the 
                        grants among different types of institutions of 
                        higher education.
    ``(d) Prohibition.--
            ``(1) In general.--Funds provided under this section may 
        not be used for the construction of new facilities.
            ``(2) Rule of construction.--Nothing in paragraph (1) shall 
        be construed to prohibit funds provided under this section from 
        being used for the repair or renovation of facilities.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as may be 
necessary.''.

Summary: Increasing Education Opportunities for Nurses and Nurse Faculty Act of 2007 - Amends the Higher Education Act of 1965 to direct the Secretary of Education to award grants to nursing schools to enhance their capacity to accommodate additional students in: (1) Registered Nurse (RN) associate or baccalaureate degree programs. Or (2) graduate programs for prospective teachers of nursing or RNs who seek advanced practice degrees. Bases the amount of a school's grant on the extent to which the school increases its enrollment of nursing students for an academic year over its average nursing student enrollment for the four preceding academic years. Prohibits the use of grants to construct new facilities.