2023 Illinois Compiled Statutes › Chapter 110 - HIGHER EDUCATION › 110 ILCS 975/ - Nursing Education Scholarship Law.

(110 ILCS 975/1) (from Ch. 144, par. 2751)
Sec. 1. 
		Short title.
This Article shall be known and may be cited as the Nursing Education Scholarship Law.
(Source: P.A. 86-1467.)
(110 ILCS 975/2) (from Ch. 144, par. 2752)
Sec. 2. Legislative finding and declaration of policy.
(a) The General Assembly finds and hereby declares that the provision of a
higher education leading to an associate degree in nursing, an
associate
degree in applied sciences in nursing, a hospital-based diploma
in nursing, a
baccalaureate degree in nursing, a graduate degree in nursing, or a certificate in practical nursing for
persons of this State
who desire such an education is important to the health, welfare and
security of this State and Nation, and consequently is an important public
purpose.  Many qualified and potential nurses
are deterred by financial considerations from pursuing their nursing
education, with consequent irreparable loss to the State and Nation of
talents vital to health, welfare and security.  A system of scholarships,
repayment of which may be excused if the individual is employed as a
registered professional
nurse or a licensed practical nurse after
obtaining an associate degree in
nursing, associate degree in applied sciences in nursing, hospital-based
diploma in nursing, baccalaureate degree in nursing, graduate degree in nursing, or certificate
in practical nursing, will enable such individuals
to attend approved institutions of their choice in the State,
public or
private.
(b)  The General Assembly finds that there is a critical shortage of nursing instructors in this State, and such a shortage will only worsen the shortage of available nurses in this State and jeopardize the quality of healthcare citizens of this State have every right to enjoy.  In order to provide for the health, safety, and welfare of the citizens of this State, the General Assembly declares that there is a need for an increase in skilled nurse educators in this State.
(Source: P.A. 96-805, eff. 10-30-09.)
(110 ILCS 975/3) (from Ch. 144, par. 2753)
Sec. 3. Definitions. The following terms, whenever used or referred to, have the following
meanings except where the context clearly indicates otherwise:
(1) "Board" means the Board of Higher Education created by the Board
of Higher Education Act.
(2) "Department" means the Illinois Department of Public Health.
(3) "Approved institution" means a public community college, private
junior college, hospital-based diploma in nursing
program, or public or private
college or university with a pre-licensure nursing education program located in this State that has approval by the Department of Financial and Professional
Regulation for an associate degree in nursing
program,
associate degree in applied
sciences in nursing program, hospital-based diploma in nursing
program,
baccalaureate degree in nursing program, graduate degree in nursing program, or
certificate in a practical
nursing program or a post-licensure nursing education program approved by the Board of Higher Education or any successor agency with similar authority.
(4) "Baccalaureate degree in nursing program" means a program offered by
an
approved institution and leading to a bachelor of science degree in nursing.
(5) "Enrollment" means the establishment and maintenance of an
individual's status as a student in an approved institution, regardless of
the terms used at the institution to describe such status.
(6) "Academic year" means the period of time from September 1 of one
year through August 31 of the next year or as otherwise defined by the
academic institution.
(7) "Associate degree in nursing program or hospital-based diploma in
nursing program" means a program
offered by an approved institution and leading to an associate
degree in
nursing, associate degree in applied sciences in nursing, or
hospital-based diploma in nursing.
(8) "Graduate degree in nursing program" means a program offered by an approved institution and leading to a master of science degree in nursing or a doctorate of philosophy or doctorate of nursing degree in nursing.
(9) "Director" means the Director of the Illinois Department of Public
Health.
(10) "Accepted for admission" means a student has completed the
requirements for entry into an associate degree in nursing program,
associate degree in applied sciences in nursing program, hospital-based
diploma in nursing program,
baccalaureate degree in nursing program, graduate degree in nursing program, or
certificate in practical nursing program at an approved institution, as
documented by the
institution.
(11) "Fees" means those mandatory charges, in addition to tuition, that
all enrolled students must pay, including required course or lab fees.
(12) "Full-time student" means a student enrolled for at least 12 hours
per
term or as otherwise determined by the academic institution.
(13) "Law" means the Nursing Education Scholarship Law.
(14) "Nursing employment obligation" means employment in this State as a
registered
professional
nurse, licensed practical nurse, or advanced practice registered nurse in direct patient care
 for at least one year for each year of scholarship assistance received through
the Nursing
Education Scholarship Program.
(15) "Part-time student" means a person who is enrolled for at least
one-third of the number of hours required per term by a school for its
full-time students.
(16) "Practical nursing program" means a program offered by an approved
institution leading to a certificate in practical nursing.
(17) "Registered professional nurse" means a
person who is currently licensed as a registered professional nurse
by the Department of Professional
Regulation under the Nurse Practice Act.
(18) "Licensed practical nurse" means a
person who is currently licensed as a licensed practical nurse
by the Department of Professional
Regulation under the Nurse Practice Act.
(19) "School term" means an academic term, such as a semester, quarter,
trimester, or number of clock hours, as defined by an approved institution.
(20) "Student in good standing" means a student maintaining a cumulative
grade point average equivalent to at least the academic grade of a "C".
(21) "Total and permanent disability" means a physical or mental impairment,
disease, or loss of a permanent nature that prevents nursing employment with or
without reasonable accommodation.  Proof of disability shall be a declaration
from the social security administration, Illinois Workers' Compensation Commission,
Department of Defense, or an insurer authorized to transact business in
Illinois who is providing disability insurance coverage to a contractor.
(22) "Tuition" means the established charges of an institution of higher
learning for instruction at that institution.
(23) "Nurse educator" means a person who is currently licensed as a registered nurse by the Department of Professional Regulation under the Nurse Practice Act, who has a graduate degree in nursing, and who is employed by an approved academic institution to educate registered nursing students, licensed practical nursing students, and registered nurses pursuing graduate degrees.
(24) "Nurse educator employment obligation" means employment in this State as a nurse educator for at least 2 years for each year of scholarship assistance received under Section 6.5 of this Law.
(25) "Commission" means the Illinois Student Assistance Commission.
Rulemaking authority to implement the provisions of this Act is conditioned on the rules being adopted in accordance with all provisions of the Illinois Administrative Procedure Act and all rules and procedures of the Joint Committee on Administrative Rules; any purported rule not so adopted, for whatever reason, is unauthorized.
(Source: P.A. 102-699, eff. 4-19-22.)
(110 ILCS 975/3.1)
Sec. 3.1. Approved institutions. An approved institution must maintain compliance with all applicable State and federal laws. An approved institution is not eligible for other programs administered by the Commission and is not required to meet the definition of "institution of higher learning", "qualified institution", or "institution" as defined in Section 10 of the Higher Education Student Assistance Act. The Commission may establish by rule additional requirements for approved institutions.
(Source: P.A. 102-699, eff. 4-19-22.)
(110 ILCS 975/4) (from Ch. 144, par. 2754)
Sec. 4. Functions of Department. The Department shall prepare and supervise the issuance of public
information about the provisions of this Article; prescribe the form and
regulate the submission of applications for scholarships; determine the
eligibility of applicants; award the appropriate scholarships; prescribe the
contracts or other acknowledgments of scholarship which an applicant is
required to execute; and determine whether all or any part of a recipient's scholarship needs to be monetarily repaid, or has been excused
from repayment, and the extent of any repayment or excused repayment.  The
Department may require a recipient to reimburse
the State for expenses, including but not limited to attorney's fees, incurred
by the Department or other agent of the State for a successful legal action
against the recipient for a breach of any provision of the scholarship
contract.   The Department is
authorized to make all necessary and
proper
rules, not inconsistent with this Article, for the efficient exercise of the
foregoing functions.
(Source: P.A. 100-872, eff. 8-14-18.)
(110 ILCS 975/5) (from Ch. 144, par. 2755)
Sec. 5. Nursing education scholarships. Beginning with the fall term of the 2004-2005

academic year, the
Department, in accordance with rules and regulations promulgated by it for this
program, shall provide scholarships to individuals selected
from among those applicants who qualify for consideration by showing:
(1) that he or she has been a resident of this State     for at least one year prior to application and is a citizen or a lawful permanent resident of the United States;
(2) that he or she is enrolled in or accepted for     admission to an associate degree in nursing program, hospital-based diploma in nursing program, baccalaureate degree in nursing program, graduate degree in nursing program, or practical nursing program at an approved institution; and
(3) that he or she agrees to meet the nursing     employment obligation.
If in any year the number of qualified applicants exceeds the number of
scholarships to be awarded, the Department shall, in consultation with the Illinois Nursing Workforce Center Advisory Board, consider the following factors in granting priority in awarding
scholarships:
(A) Financial need, as shown on a standardized     financial needs assessment form used by an approved institution, of students who will pursue their education on a full-time or close to full-time basis and who already have a certificate in practical nursing, a diploma in nursing, or an associate degree in nursing and are pursuing a higher degree.
(B) A student's status as a registered nurse who is     pursuing a graduate degree in nursing to pursue employment in an approved institution that educates licensed practical nurses and that educates registered nurses in undergraduate and graduate nursing programs.
(C) A student's merit, as shown through his or her     grade point average, class rank, and other academic and extracurricular activities.  The Department may add to and further define these merit criteria by rule.
Unless otherwise indicated, scholarships shall be awarded to
recipients at approved institutions for a period
of up to 2 years if the recipient is enrolled in an
associate degree in
nursing
program, up to 3 years if the recipient is enrolled in a hospital-based
diploma in nursing program, up to 4 years if the recipient is enrolled in a
baccalaureate degree in nursing program, up to 5 years if the recipient is enrolled in a graduate degree in nursing program, and up to one year if the
recipient is enrolled in a certificate in practical nursing program.  At least
40% of the scholarships awarded shall be for recipients who are
pursuing baccalaureate degrees in nursing, 30% of the scholarships
awarded shall be for recipients who are pursuing associate degrees in
nursing
or a diploma in nursing, 10% of the scholarships awarded
shall be for recipients who are pursuing a certificate in practical nursing, and 20% of the scholarships awarded shall be for recipients who are pursuing a graduate degree in nursing.
During the 2021-2022 academic year, subject to appropriation from the Hospital Licensure Fund, in addition to any other funds available to the Department for such scholarships, the Department may award a total of $500,000 in scholarships under this Section.
(Source: P.A. 102-641, eff. 8-27-21; 102-699, eff. 4-19-22; 102-1030, eff. 5-27-22; 103-154, eff. 6-30-23.)
(110 ILCS 975/6) (from Ch. 144, par. 2756)
Sec. 6. Nursing requirements for scholarship recipients. Within 12 months after graduation from an associate degree in
nursing program, hospital-based diploma in nursing
program,
baccalaureate degree in nursing program, graduate degree in nursing program, or
certificate in practical nursing program, any
recipient who accepted a
scholarship under Section 5 shall begin meeting the required nursing
employment obligation.  In order to defer his
or her continuous employment obligation, a recipient must
request the deferment in writing from the Department.
A recipient shall notify program staff within 30 days if he or she
spends up to 4 years in military service before or after graduation.  A
recipient shall notify program staff within 30 days if he or she is enrolled in
an academic
program leading to a graduate degree in nursing.  If a recipient receives
funding through the Nursing Education Scholarship Program for a higher degree,
the nursing employment obligation shall be deferred until he or she is no
longer
enrolled or has graduated.  The recipient must begin meeting the required
nursing employment obligations no later than 6 months after the end of the
deferments.
Any person who fails to fulfill the nursing employment obligation shall
pay to the Department an amount equal to the amount of scholarship funds
received per year for each unfulfilled year of the nursing employment
obligation, together with interest at 7% per year on the
unpaid balance.
Payment must begin within 6 months following the date of the occurrence
initiating the
repayment.  All repayments must be completed within 6 years from the date of
the
occurrence initiating the repayment.  However, this obligation may be
deferred and re-evaluated every 6 months when the failure to fulfill the
nursing employment
obligation results
from involuntarily leaving the profession due to a decrease in the number
of nurses employed in the State or when the failure to fulfill the nursing
employment obligation results from total and permanent disability.  The
repayment obligation shall be excused if the failure to fulfill the nursing
employment obligation results from the death or adjudication as
incompetent of the person holding the scholarship.  No claim for repayment
may be filed against the estate of such a decedent or incompetent.
Each person applying for such a scholarship shall be provided with a copy
of this Section at the time of application for the
benefits of such
scholarship.
(Source: P.A. 92-43, eff. 1-1-02; 93-879, eff. 1-1-05.)
(110 ILCS 975/6.5)
Sec. 6.5. Nurse educator scholarships.
(a)  Beginning with the fall term of the 2009-2010 academic year, the Department shall provide scholarships to individuals selected from among those applicants who qualify for consideration by showing the following:
(1) that he or she has been a resident of this State     for at least one year prior to application and is a citizen or a lawful permanent resident of the United States;
(2) that he or she is enrolled in or accepted for     admission to a graduate degree in nursing program at an approved institution; and
(3) that he or she agrees to meet the nurse educator     employment obligation.
(b) If in any year the number of qualified applicants exceeds the number of scholarships to be awarded under this Section, the Department shall, in consultation with the Illinois Nursing Workforce Center Advisory Board, consider the following factors in granting priority in awarding scholarships:
(1) Financial need, as shown on a standardized     financial needs assessment form used by an approved institution, of students who will pursue their education on a full-time or close to full-time basis and who already have a diploma in nursing and are pursuing a higher degree.
(2) A student's status as a registered nurse who is     pursuing a graduate degree in nursing to pursue employment in an approved institution that educates licensed practical nurses and that educates registered nurses in undergraduate and graduate nursing programs.
(3) A student's merit, as shown through his or her     grade point average, class rank, experience as a nurse, including supervisory experience, experience as a nurse in the United States military, and other academic and extracurricular activities.
(c)  Unless otherwise indicated, scholarships under this Section shall be awarded to recipients at approved institutions for a period of up to 3 years.
(d)  Within 12 months after graduation from a graduate degree in nursing program for nurse educators, any recipient who accepted a scholarship under this Section shall begin meeting the required nurse educator employment obligation. In order to defer his or her continuous employment obligation, a recipient must request the deferment in writing from the Department. A recipient shall receive a deferment if he or she notifies the Department, within 30 days after enlisting, that he or she is spending up to 4 years in military service. A recipient shall receive a deferment if he or she notifies the Department, within 30 days after enrolling, that he or she is enrolled in an academic program leading to a graduate degree in nursing.  The recipient must begin meeting the required nurse educator employment obligation no later than 6 months after the end of the deferment or deferments.
Any person who fails to fulfill the nurse educator employment obligation shall pay to the Department an amount equal to the amount of scholarship funds received per year for each unfulfilled year of the nurse educator employment obligation, together with interest at 7% per year on the unpaid balance. Payment must begin within 6 months following the date of the occurrence initiating the repayment. All repayments must be completed within 6 years from the date of the occurrence initiating the repayment. However, this repayment obligation may be deferred and re-evaluated every 6 months when the failure to fulfill the nurse educator employment obligation results from involuntarily leaving the profession due to a decrease in the number of nurses employed in this State or when the failure to fulfill the nurse educator employment obligation results from total and permanent disability. The repayment obligation shall be excused if the failure to fulfill the nurse educator employment obligation results from the death or adjudication as incompetent of the person holding the scholarship. No claim for repayment may be filed against the estate of such a decedent or incompetent.
The Department may allow a nurse educator employment obligation fulfillment alternative if the nurse educator scholarship recipient is unsuccessful in finding work as a nurse educator.  The Department shall maintain a database of all available nurse educator positions in this State.
(e)  Each person applying for a scholarship under this Section must be provided with a copy of this Section at the time of application for the benefits of this scholarship.
(f) Rulemaking authority to implement this Act is conditioned on the rules being adopted in accordance with all provisions of the Illinois Administrative Procedure Act and all rules and procedures of the Joint Committee on Administrative Rules; any purported rule not so adopted, for whatever reason, is unauthorized.
(Source: P.A. 102-699, eff. 4-19-22; 102-1030, eff. 5-27-22; 103-154, eff. 6-30-23.)
(110 ILCS 975/7) (from Ch. 144, par. 2757)
Sec. 7. Amount of scholarships. To determine a scholarship
amount, the Department shall consider tuition and fee charges at
community colleges and universities statewide and projected living
expenses. 75% of the weighted tuition and fees charged by
community colleges in Illinois shall be added to the uniform living
allowance reported in the weighted Monetary Award Program (MAP)
budget to determine the full-time scholarship amount for students
pursuing an associate degree or diploma in nursing at an Illinois
community college.  Scholarship amounts for students pursuing
associate, baccalaureate, or graduate degrees in nursing at a college or university shall
include 75% of the
weighted tuition and fees charged by public universities in Illinois plus
the uniform living allowance reported in the weighted MAP budget.
Scholarship amounts for students in practical nursing programs shall
include 75% of the average of tuition charges at all practical nursing
programs plus the uniform living allowance reported in the weighted MAP
budget.  The
Department may provide that scholarships shall be on a quarterly or
semi-annual basis and shall be contingent upon the student's diligently
pursuing nursing studies and being a student in good
standing.  Scholarship awards may be provided to part-time students; the
amount shall be determined by applying the proportion represented by the
part-time enrollment to full-time enrollment ratio to the average per-term
scholarship amount for a student in the same nursing degree category.
(Source: P.A. 102-699, eff. 4-19-22.)
(110 ILCS 975/8) (from Ch. 144, par. 2758)
Sec. 8. Advisory Council. The Nurse Scholarship and Baccalaureate Nursing Assistance Advisory
Council created by the Baccalaureate Assistance Law for Registered Nurses
(now repealed) shall assist and advise the Department in the administration of this Article.
(Source: P.A. 96-328, eff. 8-11-09.)
(110 ILCS 975/9) (from Ch. 144, par. 2759)
Sec. 9. 
		Student enrollment and obligations of institutions.
(a) An approved institution is free to accept a student
in
compliance
with its own admissions requirements, standards, and policies.  The
Department may disburse any scholarship for tuition and fees to the
approved institution direct for the payment of tuition and other necessary
fees or for credit against the student's obligation for such tuition and
fees, and upon acceptance thereof the approved institution shall be
contractually obligated (1) to provide facilities and instruction to the
student on the same terms as to other students generally, and (2) to
provide the notices and information described in this Section.
(b) If, in the course of any academic period, any student enrolled in
any approved institution pursuant to a scholarship granted under this Article
shall for any reason cease to be a student in good standing, the
institution shall promptly give written notice to the Department concerning
such change of status and the reason therefor.
(c) A student to whom a renewal scholarship has been awarded may either
re-enroll in the institution which he or she attended during the preceding
year, or enroll in any other approved institution; and in either event, the
institution accepting the student for such enrollment or re-enrollment
shall notify the Department of such acceptance.
(Source: P.A. 92-43, eff. 1-1-02.)
(110 ILCS 975/9.1)
Sec. 9.1. Transfer of functions from the Department to the Commission.
(a)   On July 1, 2022, or as soon thereafter as practical, all functions performed by the Department under this Act, together with all of the powers, duties, rights, and responsibilities of the Department relating to those functions, are transferred from the Department to the Commission.
(1) The Department and the Commission shall cooperate         to ensure that the transfer of functions is completed as soon as practical.
(2) To the extent necessary or prudent to select         scholarship recipients and award scholarships pursuant to this Act, following the application cycle which begins on March 1, 2022, the Department and the Commission may enter into interagency agreements pursuant to Section 3 of the Intergovernmental Cooperation Act to ensure scholarships are awarded for the 2022-2023 academic year.
(b)   Neither the functions transferred under this Section, nor any powers, duties, rights, and responsibilities relating to those functions, are altered or changed by this amendatory Act of the 102nd General Assembly, except that all such functions, powers, duties, rights, and responsibilities shall be performed or exercised by the Commission as of July 1, 2022.
(c)   All books, records, papers, documents, contracts, and pending business pertaining to the functions transferred under this Section, including but not limited to material in electronic or magnetic format and necessary computer hardware and software, shall be transferred to the Commission. The transfer of that information shall not, however, violate any applicable confidentiality constraints.
(d)   Whenever reports or notices are required to be made or given or papers or documents furnished or served by any person to or upon the Department in connection with any of the functions transferred under this Section, the same shall be made, given, furnished, or served in the same manner to or upon the Commission.
The Department shall transfer to the Commission any such reports, notices, papers, or documents received by the Department after July 1, 2022. The Department and the Commission shall cooperate to ensure that the transfer of any such reports, notices, papers, or documents is completed as soon as is practical.
(e)  This Section shall not affect any act done, ratified, or canceled, or any right occurring or established, or any action or proceeding had or commenced in an administrative, civil, or criminal case, regarding the functions of the Department before July 1, 2022; such actions may be prosecuted, defended, or continued by the Department.
(f)   Any rules of the Department that (1) relate to the functions transferred under this Section, (2) that are in full force on July 1, 2022, and (3) that have been duly adopted by the Department, shall become the rules of the Commission. This Section shall not affect the legality of any such rules in the Illinois Administrative Code. Any proposed rules filed with the Secretary of State by the Department that are pending in the rulemaking process on July 1, 2022, and that pertain to the functions transferred, shall be deemed to have been filed by the Commission. As soon as practicable after July 1, 2022, the Commission may revise and clarify the rules transferred to it under this Section and propose and adopt new rules that relate to the functions transferred in this Section.
(g)   The powers, duties, rights, and responsibilities relating to the functions transferred under this Section are vested in and shall be exercised by the Commission. Each act done in exercise of those powers, duties, rights, and responsibilities shall have the same legal effect as if done by the Department or its divisions, officers, or employees.
(h)   Whenever a provision of law, including, but not limited to, the provisions of this Act, refers to the Department in connection with its performance of a function that is transferred to the Commission under this Section, that provision shall be deemed to refer to the Commission on and after July 1, 2022.
(Source: P.A. 102-699, eff. 4-19-22.)
(110 ILCS 975/10) (from Ch. 144, par. 2760)
Sec. 10. 
		(Repealed).
(Source: P.A. 87-577. Repealed by P.A. 92-43, eff. 1-1-02.)