Nursing Workforce Bill Boosts Funding by $121 Million, Pays Preceptors, and Funds AR/VR Training

The Title VIII Nursing Workforce Reauthorization Act of 2025 is essentially a massive upgrade and funding boost for the federal programs that train our nation’s nurses. It takes the existing grant structure that supports advanced nursing education and updates it for the modern healthcare world, focusing on addressing the chronic shortage of qualified nurses and faculty.

More Money, Modern Training

Starting in Fiscal Year 2026, this Act significantly increases the authorized budget caps for these programs. For one set of grants, the authorized amount jumps from roughly $137.8 million to $184.3 million annually through 2030. For another set, it increases from $117.1 million to $121.1 million annually (SEC. 4). This isn't just bureaucratic accounting; it’s the green light for a major expansion of nursing education capacity.

Crucially, the bill modernizes what nursing schools can spend federal grant money on. Previously, funds might have been tied to older teaching methods. Now, schools can explicitly use these funds for cutting-edge tools like simulation labs, augmented reality (AR/VR) resources, and telehealth technologies (SEC. 3). For a nursing student, this means training that is closer to the real-world conditions they will face, potentially reducing the learning curve when they hit the hospital floor.

Paying the People Who Teach the Next Generation

One of the biggest real-world headaches in nursing education is finding quality clinical placements and preceptors—the experienced nurses who supervise trainees. These preceptors often volunteer their time or receive minimal compensation, which limits how many students schools can accept. This bill tackles that directly.

The updated rules for advanced nursing education grants (SEC. 2) now explicitly state that the grant money must cover the costs associated with clinical education and, significantly, paying for preceptors. This change could be a game-changer. For an experienced Nurse Practitioner working at a busy clinic, getting paid for the time spent mentoring a student makes taking on a trainee far more feasible. This provision directly removes a major bottleneck in expanding enrollment for advanced nursing roles like Nurse Practitioners and Clinical Nurse Specialists.

Expanding Advanced Roles and Access

The legislation also cleans up and expands which specific advanced nursing roles are eligible for federal training grants, including Nurse Practitioners, Nurse-Midwives, Nurse Anesthetists, and Clinical Nurse Specialists (SEC. 2). By focusing funding here, the goal is to increase the number of highly specialized nurses who often serve as primary care providers, especially in rural or underserved areas.

Furthermore, the bill broadens where students can get their clinical experience. Nursing programs can now partner with places like community health centers and nurse-managed clinics to create more clinical opportunities (SEC. 3). For someone living in a community with limited healthcare options, this could mean an increase in local, accessible care as these facilities expand their capacity to train new nurses. The law also makes sure that program goals include increasing the number of faculty and students, directly targeting the supply side of the nursing shortage problem (SEC. 3).