06/02/2026
What the OBBBA Means for Advanced Nursing Education and Workforce Development
Dear AAOHN Members,
As many of you are aware, the federal government has recently enacted the “One Big Beautiful Bill Act” (OBBBA), which will take effect on July 1, 2026.
This legislation introduced a significant change in the classification of advanced nursing degrees and presents serious implications for the future of the nursing profession.
Changes to Degree Classification
Under this new law, graduate nursing programs are removed from the official designation of “professional degrees” and reclassified alongside general graduate programs. This shift substantially diminishes the recognition of the advanced, specialized education required of advanced practice nurses.
Financial Impact on Graduate Nursing Education
As a result of this reclassification, financial support for nurses pursuing graduate degrees will be severely reduced:
Significant Loan Limitations: Federal unsubsidized loans for graduate nursing students are now capped at $20,000 per year and a $100,000 lifetime maximum.
Disparity Across Health Professions: Physicians, dentists, and veterinarians retain their professional degree status and continue to have access to $50,000 per year and more than $200,000 in lifetime federal loan funding.
Elimination of Graduate PLUS Loans: Graduate PLUS loans will no longer be available to nursing students.
Consequences for the Workforce
These changes will force aspiring masters prepared OHNs, Nurse Practitioners (NPs), Certified Registered Nurse Anesthetists (CRNAs), and other doctoral nursing students to rely on high-interest private loans or personal resources to complete their education. Treating advanced nursing education differently from other clinical professions undermines the value of nursing expertise, restricts career advancement for nurses, and exacerbates existing shortages in primary care and anesthesia services nationwide. It will also greatly impact the next generation of nurses by making it harder to become a professor of nursing, which will exacerbate the already problematic shortage of nursing instructors.
Recently, bipartisan legislation was introduced in the House:
H.R. 8691 Nursing is a Professional Degree Act which would amend the current list of professional degrees to include MSN, MSN, DNP, DNAP, or Ph.D. in nursing.
The bipartisan bill in the Senate is: S. 4568 - A bill to amend the definition of professional student in the Higher Education Act of 1965.
If you support nurses having access to professional degree graduate school federal loans, we ask that you contact your legislators to either thank them or ask them to support this new bipartisan legislation in the House and Senate.