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Session of 2025
HOUSE BILL No. 2361
By Committee on Health and Human Services
Requested by Representative W. Carpenter on behalf of the Kansas Hospital
Association
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AN ACT concerning education; relating to scholarship programs; creating
the Kansas healthcare service scholarship program; adding part-time
students to the list of eligible participants; adding allied health
programs and health science programs to the list of eligible programs;
transferring funds from the state general fund to the Kansas healthcare
service scholarship program; abolishing the nursing scholarship
program; amending K.S.A. 74-3291 and K.S.A. 2024 Supp. 74-3292,
74-3293, 74-3294, 74-3295, 74-3296, 74-3297 and 74-3298 and
repealing the existing sections.
Be it enacted by the Legislature of the State of Kansas:
New Section 1. (a) The nursing service scholarship program created
by K.S.A. 74-3291 et. seq., and amendments thereto, is hereby abolished.
(b) The nursing service scholarship program, as created by K.S.A.
74-3291 et. seq., and amendments thereto, is hereby renamed the Kansas
healthcare service scholarship program.
(c) Whenever the nursing service scholarship, or words of like effect,
are referred to or designated by a statute, contract or other document, and
such reference or designation is in regard to the Kansas healthcare service
scholarship program, such reference or designation shall be deemed to
apply to the Kansas healthcare service scholarship program.
Sec. 2. K.S.A. 74-3291 is hereby amended to read as follows: 74-
3291. This act shall be known and may be cited as the nursing Kansas
healthcare service scholarship program.
Sec. 3. K.S.A. 2024 Supp. 74-3292 is hereby amended to read as
follows: 74-3292. As used in this act:
(a) "Executive officer" means the chief executive officer of the state
board of regents appointed under K.S.A. 74-3203a, and amendments
thereto.
(b) "Eligible postsecondary educational institution" means:
(1) Any community college or technical college established under the
laws of this state and with a recognized service area;
(2) the Washburn institute of technology;
(3) a state educational institution under the control and supervision
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HB 2361 2
of the board of regents;
(4) a municipal university;
(5) any not-for-profit institution of postsecondary education that has
its main campus or principal place of operation in Kansas, offers an adult
learner grant-eligible program, is operated independently and not
controlled or administered by any state agency or subdivision of the state,
maintains open enrollment and is accredited by a nationally recognized
accrediting agency for higher education in the United States; or
(6) a not-for-profit independent institution of higher education that is
accredited by an institutional accrediting agency recognized by the United
States department of education, is operated independently and not
controlled or administered by the state or any agency or subdivision
thereof, maintains open enrollment, offers online education and offers
exclusively competency-based education programs.
(c) "Healthcare service scholarship eligible program" means:
(1) Any two-year associate degree program or career and technical
education certificate or stand-alone program offered by an eligible
postsecondary educational institution that is:
(A) Related to healthcare in a clinical or non-clinical occupation; or
(B) identified as a "healthcare service scholarship eligible program"
by the state board of regents pursuant to the programs previously
mentioned;
(2) any baccalaureate degree program offered by an eligible
postsecondary educational institution that is:
(A) Related to healthcare in a clinical or non-clinical occupation; or
(B) identified as a "healthcare service scholarship eligible program"
by the state board of regents pursuant to the programs previously
mentioned; or
(3) any graduate degree program offered by an eligible
postsecondary educational institution that is:
(A) Related to healthcare in a clinical or non-clinical occupation; or
(B) identified as a "healthcare service scholarship eligible program"
by the state board of regents pursuant to the programs previously
mentioned.
(b)(d) "Mental health or treatment facility" means:
(1) Any private treatment facility as defined in K.S.A. 59-29b46, and
amendments thereto;
(2) any public treatment facility as defined in K.S.A. 59-29b46, and
amendments thereto;
(3) any community mental health center organized pursuant to K.S.A.
19-4001 through 19-4015, and amendments thereto, and licensed pursuant
to K.S.A. 39-2001 et seq., and amendments thereto;
(4) any mental health clinic organized pursuant to K.S.A. 65-211
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HB 2361 3
through 65-215, and amendments thereto, and licensed pursuant to K.S.A.
39-2001 et seq., and amendments thereto;
(5) any psychiatric hospital, psychiatric residential treatment facility
or residential care facility as such terms are defined in K.S.A. 39-2002,
and amendments thereto;
(6) any hospital as defined in K.S.A. 65-425, and amendments
thereto, if:
(A) The hospital has a psychiatric unit; and
(B) the scholarship recipient is required to fulfill the nursing service
Kansas healthcare service scholarship's employment obligations as an
employee in the psychiatric unit of the hospital; or
(7) Osawatomie state hospital, Rainbow mental health facility, Larned
state hospital, Parsons state hospital and training center or the Kansas
neurological institute.
(c) "School of nursing" means a school within the state of Kansas that
is approved by the state board of nursing to grant an associate degree or a
baccalaureate degree in professional nursing or a certificate of completion
in practical nursing and is:
(1) Under the control and supervision of the state board of regents;
(2) a municipal university; or
(3) a not-for-profit independent institution of higher education that
has its main campus or principal place of operation in Kansas, maintains
open enrollment as defined in K.S.A. 74-32,120, and amendments thereto,
and is operated independently and not controlled or administered by the
state or any agency or subdivision thereof.
(d)(e) "Part-time student" means a student who is enrolled for six
credit hours or more in a semester, or the equivalent, and is not enrolled
as a full-time student.
(f) "Sponsor" means any of the following that is located in a rural
opportunity zone as defined in K.S.A. 74-50,222, and amendments thereto:
(1) An adult care home licensed under the adult care home licensure
act, K.S.A. 39-923 et seq., and amendments thereto;
(2) a medical care facility licensed under K.S.A. 65-425 et seq., and
amendments thereto;
(3) a home health agency licensed under K.S.A. 65-5101 et seq., and
amendments thereto;
(4) a local health department as defined in K.S.A. 65-241, and
amendments thereto;
(5) a mental health or treatment facility; and
(6) a state agency that employs licensed practical nurses or licensed
professional nurses healthcare professionals.
Sec. 4. K.S.A. 2024 Supp. 74-3293 is hereby amended to read as
follows: 74-3293. (a) There is hereby established the nursing Kansas
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HB 2361 4
healthcare service scholarship program. A scholarship may be awarded
under the nursing service Kansas healthcare service scholarship program
to any qualified nursing healthcare student enrolled in or admitted to a
school of nursing in a course of instruction leading to licensure as a
licensed professional nurse or licensed practical nurse certificate, two-
year, four-year or graduate healthcare program. Programs and healthcare
professions shall include:
(1) Licensed practical nursing;
(2) registered nursing:
(A) Associate degree; or
(B) bachelor degree;
(3) physician assistant;
(4) nurse practitioner;
(5) pharmacist;
(6) counselor:
(A) Master's degree;
(7) social worker:
(A) Associate degree; or
(B) bachelor degree;
(8) behavioral science;
(9) dietetics and nutrition;
(10) speech and language pathology;
(11) audiology;
(12) athletic trainer;
(13) health information technology management:
(A) Associate degree; or
(B) bachelor degree;
(14) medical coding;
(15) medical technology or clinical laboratory science:
(A) Associate degree; or
(B) bachelor degree;
(16) occupational therapist;
(17) occupational therapy assistant;
(18) physical therapist;
(19) physical therapy assistant;
(20) respiratory therapist or respiratory care:
(A) Associate degree; or
(B) bachelor degree;
(21) radiologic technology:
(A) Associate degree; or
(B) bachelor degree;
(22) diagnostic medical sonography;
(23) emergency medical responder;
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(24) emergency medical technician;
(25) advanced emergency medical technician;
(26) paramedic;
(27) medical assistant;
(28) phlebotomy;
(29) surgical technology; or
(30) sterile processing technology.
(b) A nursing healthcare student shall not be required to be a resident
of Kansas to qualify for a scholarship under the nursing Kansas healthcare
service scholarship program. The determination of the individuals
qualified for such scholarships shall be made by the executive officer.
Scholarships shall be awarded on a priority basis to qualified applicants
who have the greatest financial need.
(b)(c) Scholarships awarded under the nursing Kansas healthcare
service scholarship program shall be awarded for the length of the course
of instruction leading to licensure as a licensed professional nurse or
licensure as a licensed practical nurse healthcare professional in which the
student is enrolled or admitted unless otherwise terminated before the
expiration of such period of time.
(c)(d) (1) Except as provided in paragraph (2), the amount of each
scholarship shall be established annually by the executive officer.
(2) If the nursing healthcare student has a sponsor, then the amount
of the scholarship for such nursing healthcare student shall not exceed the
amount established under paragraph (1) multiplied by 125%.
Sec. 5. K.S.A. 2024 Supp. 74-3294 is hereby amended to read as
follows: 74-3294. (a) An applicant for a scholarship under the nursing
Kansas healthcare service scholarship program shall provide to the
executive officer, on forms supplied by the executive officer, the following
information:
(1) The name and address of the applicant;
(2) the name and address of the school of nursing or program in
which the applicant is enrolled or to which the applicant has been
admitted;
(3) the name and address of the sponsor of the applicant and a
verified copy of the agreement entered into by the applicant and the
sponsor; and
(4) any additional information that may be required by the executive
officer.
(b) As a condition to awarding a scholarship under the nursing
Kansas healthcare service scholarship program, the executive officer and
the applicant for a scholarship shall enter into an agreement that shall
require that the scholarship recipient:
(1) Complete the required course of instruction and, within six
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HB 2361 6
months after completion, attain licensure with the Kansas state board of
nursing as a licensed professional nurse or a licensed practical nurse
healthcare professional's appropriate regulatory board;
(2) complete the free application for federal student aid for each
academic year for which scholarship funds are awarded under the
agreement;
(3) within six months after attaining licensure, engage in the full-time
practice of nursing a healthcare profession, as listed in section K.S.A 47-
3239(a), and amendments thereto , or the equivalent to full-time practice,
in Kansas and continue such full-time practice, or the equivalent to full-
time practice, for the total amount of time required under the agreement,
which shall be for a period of not less than the length of the course of
instruction for which scholarship assistance was provided, or engage in the
part-time practice of nursing a healthcare profession, as listed in section
K.S.A 47-3239(a), and amendments thereto, in Kansas and continue such
part-time practice for the total amount of time required under the
agreement, which shall be for a period of time that is equivalent to full
time, as determined by the state board of regents, multiplied by the length
of the course of instruction for which scholarship assistance was provided.
If the scholarship recipient has a sponsorship agreement, then the
scholarship recipient shall engage in the practice of nursing a healthcare
profession, as listed in section K.S.A 47-3239, and amendments thereto, in
the employment of such sponsor in accordance with such sponsorship
agreement for the period of time required under this paragraph, except as
provided in K.S.A. 74-3296, and amendments thereto;
(4) comply with such other terms and conditions as may be specified
by such agreement;
(5) maintain records and make reports to the executive officer as may
be required by the executive officer to document the satisfaction of the
obligations under the nursing Kansas healthcare service scholarship
program and under agreements entered into pursuant thereto and with the
sponsor, if any; and
(6) upon failure to satisfy the requirements of the agreement with the
state board of regents, repay to the state the amounts as provided in K.S.A.
74-3295, and amendments thereto.
Sec. 6. K.S.A. 2024 Supp. 74-3295 is hereby amended to read as
follows: 74-3295. (a) Except as provided in K.S.A. 74-3296, and
amendments thereto, upon the failure of any person to satisfy the
obligation under any agreement entered into pursuant to the nursing
Kansas healthcare service scholarship program, such person shall pay to
the executive officer an amount equal to the total amount of money
received by such person pursuant to such agreement that was financed by
the state of Kansas plus accrued interest at a rate of 5% per annum. Interest
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HB 2361 7
shall begin to accrue on the date of the action or circumstances that cause
such person to fail to satisfy the obligations of such agreement, as
determined by the executive officer based upon the circumstances of each
individual case. Installment payments of any such amounts may be made
in accordance with rules and regulations of the state board of regents. Such
installment payments shall commence six months after the date on which
interest begins to accrue. Amounts paid under this section to the executive
officer shall be deposited in the nursing Kansas healthcare service
scholarship repayment fund in accordance with K.S.A. 74-3298, and
amendments thereto.
(b) The state board of regents is authorized to turn any repayment
account arising under the nursing Kansas healthcare service scholarship
program over to a designated loan servicer or collection agency, the state
not being involved other than to receive payments from the loan servicer
or collection agency at the interest rate prescribed under this section.
Sec. 7. K.S.A. 2024 Supp. 74-3296 is hereby amended to read as
follows: 74-3296. (a) (1) Except as otherwise specified in the agreement
with the sponsor, an obligation under any agreement entered into under the
nursing student Kansas healthcare service scholarship program shall be
postponed:
(A) During any required period of active military service;
(B) during any period of service as a part of volunteers in service to
America (VISTA);
(C) during any period of service in the peace corps;
(D) during any period of service commitment to the United States
public health service;
(E) during any period of religious missionary work conducted by an
organization exempt from tax under section 501(c)(3) of the federal
internal revenue code as in effect on July 1, 2024;
(F) during any period of time the person obligated is unable because
of temporary medical disability to practice nursing a healthcare
profession, as listed in K.S.A 47-3239(a), and amendments thereto;
(G) during any period of time the person obligated is enrolled and
actively engaged on a full-time basis in a course of study leading to a
degree in the field of nursing a healthcare profession, as listed in K.S.A
47-3239(a), and amendments thereto, that is higher than that attained
formerly by the person obligated;
(H) during any period of time that the person obligated is on job-
protected leave under the federal family and medical leave act of 1993; or
(I) during any period of time the state board of regents determines
that the person obligated is unable because of special circumstances to
practice nursing a healthcare profession, as listed in section K.S.A 47-
3239, and amendments thereto.
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HB 2361 8
(2) Except for paragraphs (1)(F), (1)(H) and (1)(I), an obligation
under any agreement entered into as provided in the nursing Kansas
healthcare service scholarship program shall not be postponed more than
five years from the time the obligation was to have been commenced
under any such agreement.
(3) An obligation under any agreement entered into as provided in the
nursing Kansas healthcare service scholarship program shall be postponed
under paragraph (1)(F) during the period of time the medical disability
exists.
(4) An obligation under any agreement entered into as provided in the
nursing Kansas healthcare service scholarship program shall be postponed
under paragraph (1)(H) during the period of time the person obligated
remains on FMLA leave.
(5) An obligation under any agreement entered into as provided in the
nursing Kansas healthcare service scholarship program shall be postponed
under paragraph (1)(I) during the period of time the state board of regents
determines that the special circumstances exist.
(6) The state board of regents shall adopt rules and regulations
prescribing criteria or guidelines for determination of the existence of
special circumstances causing an inability to satisfy an obligation under
any agreement entered into as provided in the nursing Kansas healthcare
service scholarship program, and shall determine the documentation
required to prove the existence of such circumstances. Except for
paragraphs (1)(A), (1)(F), (1)(H) and (1)(I), an obligation under any
agreement entered into as provided in the nursing Kansas healthcare
service scholarship program shall not be postponed unless the
postponement is approved by the scholarship recipient's sponsor, if any, or
is otherwise provided for in an agreement with the sponsor.
(b) An obligation under any agreement entered into as provided in the
nursing Kansas healthcare service scholarship program shall be satisfied
if:
(1) The obligation has been completed in accordance with the
agreement;
(2) the person obligated dies;
(3) because of permanent physical disability, the person obligated is
unable to satisfy the obligation;
(4) the person obligated fails to satisfy the requirements for
graduation from the school of nursing a healthcare program, as listed in
K.S.A 47-3239(a), and amendments thereto, after making the best effort
possible to do so; and
(5) the person obligated fails to satisfy all requirements for a
permanent license to practice nursing as a healthcare professional in
Kansas or has been denied a license after applying for a license and
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HB 2361 9
making the best effort possible to obtain such license.
(c) (1) An obligation under any sponsorship agreement shall be
satisifed if:
(A) Because of bankruptcy, loss of licensure or certification or other
failure in the operations of the sponsor, such sponsor cannot or will not
employ the person obligated; or
(B) the sponsor releases the person obligated from employment with
such sponsor.
(2) Notwithstanding the provisions of paragraph (1), the person
obligated shall still be required to complete the terms, conditions and
obligations of the agreement with the state board of regents by engaging in
the practice of nursing healthcare in Kansas.
Sec. 8. K.S.A. 2024 Supp. 74-3297 is hereby amended to read as
follows: 74-3297. (a) The state board of regents shall adopt rules and
regulations as necessary to administer the nursing Kansas healthcare
service scholarship program.
(b) The state board of regents shall provide an annual written report
on the nursing service Kansas healthcare service scholarship program to
the senate and house committees on education.
Sec. 9. K.S.A. 2024 Supp. 74-3298 is hereby amended to read as
follows: 74-3298. (a) There is hereby created in the state treasury the
nursing Kansas healthcare service scholarship program fund. The nursing
service scholarship fund is hereby redesignated as the Kansas healthcare
service scholarship fund. The executive officer shall remit all moneys
received from a school of nursing healthcare program, as listed in K.S.A
47-3239(a), and amendments thereto, that are paid because of
nonattendance or discontinued attendance by scholarship recipients, to the
state treasurer in accordance with the provisions of K.S.A. 75-4215, and
amendments thereto. Upon receipt of each such remittance, the state
treasurer shall deposit the entire amount in the state treasury to the credit
of the nursing Kansas healthcare service scholarship program fund. All
expenditures from the nursing Kansas healthcare service scholarship
program fund shall be for scholarships awarded under the nursing Kansas
healthcare service scholarship program and shall be made in accordance
with appropriation acts upon warrants of the director of accounts and
reports issued pursuant to vouchers approved by the executive officer or
by a person designated by the executive officer.
(b) The nursing student scholarship discontinued attendance fund is
hereby abolished. On the effective date of this act, the director of accounts
and reports shall transfer all moneys remaining in the nursing student
scholarship discontinued attendance fund to the nursing service
scholarship program fund.
(c) There is hereby created in the state treasury the nursing service
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scholarship repayment fund. The nursing scholarship program fund is
hereby redesignated as the Kansas healthcare service scholarship fund.
The executive officer shall remit all moneys received for amounts paid
under K.S.A. 74-3295, and amendments thereto, to the state treasurer in
accordance with the provisions of K.S.A. 75-4215, and amendments
thereto. Upon receipt of each such remittance the state treasurer shall
deposit the entire amount in the state treasury to the credit of the nursing
Kansas healthcare service scholarship repayment fund. All expenditures
from the nursing Kansas healthcare service scholarship repayment fund
shall be for scholarships awarded under the nursing Kansas healthcare
service scholarship program and shall be made in accordance with
appropriation acts upon warrants of the director of accounts and reports
issued pursuant to vouchers approved by the executive officer or by a
person designated by the executive officer.
Sec. 10. K.S.A. 74-3291 and K.S.A. 2024 Supp. 74-3292, 74-3293,
74-3294, 74-3295, 74-3296, 74-3297 and 74-3298 are hereby repealed.
Sec. 11. This act shall take effect and be in force from and after its
publication in the statute book.
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