Medicare Funding Model Impacts Nursing Education

Financing nursing education for the 21st century

The University of Pennsylvania's Center for Health Outcomes and Policy Research conducted research on the federal funding of nursing education by Medicare for a report to Congress due in August 1999.

Key Findings

The center produced a 28-page report, Medicare Funding of Nursing Education, which included the following findings:

  • Medicare funding of nursing education has been decreasing as an indirect consequence of other policy decisions.
  • In 1996, hospitals with affiliated diploma nursing programs received 55 percent of Medicare nursing education funding.
  • Just 7 percent of Medicare nursing funding goes to major teaching hospitals affiliated with academic health centers.
  • The geographic distribution of Medicare funding for nursing education is highly uneven, with five states accounting for almost half of the funding.