PRECEPT Nurses Act

II 118TH CONGRESS 1ST SESSION S. 1627 To amend the Internal Revenue Code of 1986 to create a tax credit for nurse preceptors. IN THE SENATE OF THE UNITED STATES MAY 16, 2023 Mr. KELLY (for himself and Mrs. BLACKBURN) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to create a tax credit for nurse preceptors. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Providing Real-World 4 Education and Clinical Experience by Precepting Tomor- 5 row’s Nurses Act’’ or the ‘‘PRECEPT Nurses Act’’. 6 SEC. 2. CREDIT FOR NURSE PRECEPTORS. 7 (a) IN GENERAL.—Subpart A of part IV of sub- 8 chapter A of chapter 1 of the Internal Revenue Code of 9 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 2 •S 1627 IS 1986 is amended by inserting after section 25E the fol- 1 lowing new section: 2 ‘‘SEC. 25F. CREDIT FOR NURSE PRECEPTORS. 3 ‘‘(a) IN GENERAL.—In the case of any eligible nurse 4 preceptor, there shall be allowed as a credit against the 5 tax imposed by this chapter for any taxable year an 6 amount equal to $2,000. 7 ‘‘(b) DEFINITIONS.—For purposes of this section, 8 with respect to any taxable year— 9 ‘‘(1) ELIGIBLE NURSE PRECEPTOR.—The term 10 ‘eligible nurse preceptor’ means an individual who 11 serves not less than 200 hours during the taxable 12 year as a nurse preceptor in a community which is 13 designated as a health professional shortage area 14 under section 332 of the Public Health Service Act. 15 The Secretary shall publish on an annual basis on 16 the website of the Internal Revenue Service a list of 17 the areas which are so designated. 18 ‘‘(2) NURSE PRECEPTOR.—The term ‘nurse 19 preceptor’ means a licensed registered nurse or 20 health care provider (as defined in section 3000(3) 21 of the Public Health Service Act (42 U.S.C. 22 300jj(3))) who provides supervision and personalized 23 experiential learning, training, instruction, and men- 24 toring opportunities in the clinical practice of nurs- 25 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 3 •S 1627 IS ing (as defined by the applicable State Board of 1 Nursing, applicable state agency, or written agree- 2 ment between the relevant academic institution and 3 clinical site) to a student of nursing, student of ad- 4 vanced practice registered nursing, or newly hired li- 5 censed nurse. 6 ‘‘(3) RELEVANT ACADEMIC INSTITUTION.—The 7 term ‘relevant academic institution’ means a school 8 of nursing (as defined in section 801(2) of the Pub- 9 lic Health Service Act (42 U.S.C. 296(2))) in which 10 a student of nursing or student of advanced practice 11 registered nursing is enrolled. 12 ‘‘(4) NEWLY HIRED.—The term ‘newly hired’ 13 means within the first 6 months of employment. 14 ‘‘(5) MINIMUM REQUIRED HOURS OF PRECEP- 15 TORSHIP.—The term ‘minimum required hours of 16 preceptorship’ means 200 hours of serving as a 17 nurse preceptor. 18 ‘‘(c) REPORTING REQUIREMENT.— 19 ‘‘(1) IN GENERAL.—No credit shall be allowed 20 under subsection (a) unless the eligible nurse pre- 21 ceptor has received a certification indicating that the 22 eligible nurse preceptor has completed the minimum 23 required hours of preceptorship for the taxable year. 24 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 4 •S 1627 IS ‘‘(2) CONTENTS OF CERTIFICATION.—A certifi- 1 cation under paragraph (1) shall include— 2 ‘‘(A) a certification from the relevant 3 partnering academic institution stating the 4 number of hours the preceptor served as a 5 nurse preceptor to a student of nursing or stu- 6 dent of advanced practice registered nursing 7 during the taxable year, or 8 ‘‘(B) a certification from the clinical site at 9 which the preceptor is employed stating the 10 number of hours the preceptor served as a 11 nurse preceptor to a newly hired nurse during 12 the taxable year. 13 ‘‘(3) MULTIPLE CERTIFICATIONS.—A nurse 14 preceptor may receive multiple certifications from 15 multiple entities under paragraph (2) to establish 16 the completion of the minimum required hours of 17 preceptorship. 18 ‘‘(d) TERMINATION.—This section shall not apply to 19 any taxable year beginning after December 31, 2030.’’. 20 (b) CLERICAL AMENDMENT.—The table of sections 21 for subpart A of part IV of subchapter A of chapter 1 22 of the Internal Revenue Code of 1986 is amended by in- 23 serting after the item relating to section 25E the following 24 new item: 25 ‘‘Sec. 25F. Credit for nurse preceptors.’’. VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6211 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 5 •S 1627 IS (c) EFFECTIVE DATE.—The amendments made by 1 this section shall apply to taxable years beginning after 2 December 31, 2023. 3 (d) REPORT AND EVALUATION.— 4 (1) IN GENERAL.—Beginning with taxable year 5 2024 and ending with taxable year 2030, the Sec- 6 retary of the Treasury (or such Secretary’s delegate) 7 shall report to the relevant committees of Congress 8 for each taxable year on the credit under section 9 25F of the Internal Revenue Code of 1986, as added 10 by this section. Such report shall include— 11 (A) the number of taxpayers claiming such 12 credit for the taxable year, 13 (B) the total hours served and other aggre- 14 gated and averaged data on the preceptorships 15 served by taxpayers as an eligible nurse pre- 16 ceptor (as defined in section 25F(b) of such 17 Code, as so added), 18 (C) the geographic distribution of tax- 19 payers claiming such credit for the taxable year, 20 and 21 (D) such other information as determined 22 relevant by the Secretary (or the Secretary’s 23 delegate). 24 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 6 •S 1627 IS (2) EVALUATION.—Not later than June 30, 1 2031, the Secretary of the Treasury (or the Sec- 2 retary’s delegate), in consultation with the Adminis- 3 trator of the Health Resources and Services Admin- 4 istration, shall provide to the relevant committees of 5 Congress an evaluation of the effectiveness of the 6 credit under section 25F of the Internal Revenue 7 Code of 1986, as added by this section, in increasing 8 the number of nurse preceptors in the United 9 States. 10 (3) RELEVANT COMMITTEES OF CONGRESS.— 11 For purposes of this subsection, the term ‘‘relevant 12 committees of Congress’’ means— 13 (A) the Committee on Finance of the Sen- 14 ate, 15 (B) the Committee on Ways and Means of 16 the House of Representatives, 17 (C) the Committee on Health, Education, 18 Labor, and Pensions of the Senate, 19 (D) the Committee on Education and the 20 Workforce of the House of Representatives, and 21 (E) the Committee on Energy and Com- 22 merce of the House of Representatives. 23 (e) FUNDING.— 24 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 7 •S 1627 IS (1) DETERMINATION OF AMOUNT OF CREDIT 1 ALLOWED.—Beginning with taxable year 2024 and 2 ending with taxable year 2030, the Secretary shall, 3 subsequent to the close of such taxable year, deter- 4 mine the total amount of the credit allowed under 5 section 25F of the Internal Revenue Code of 1986 6 (as added by this section) with respect to such tax- 7 able year. 8 (2) TRANSFER OF EXPIRED AND UNUSED 9 COVID–19 FUNDING.— 10 (A) IN GENERAL.—Following any deter- 11 mination by the Secretary under paragraph (1), 12 with respect to any amounts related to COVID– 13 19 relief which— 14 (i) were appropriated under any cov- 15 ered Act, and 16 (ii) on the date of the determination 17 described in such paragraph, were unobli- 18 gated and the authority to obligate or ex- 19 pend such amounts has terminated, 20 the Secretary shall (at such time and in such 21 manner as the Secretary may provide) transfer 22 a share of such appropriated amounts into the 23 general fund of the Treasury of the United 24 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 8 •S 1627 IS States in an amount equal to the amount deter- 1 mined under such paragraph. 2 (B) ORDERING.—For purposes of subpara- 3 graph (A), amounts appropriated under any 4 covered Act which are described in such sub- 5 paragraph shall be transferred— 6 (i) in the order in which the authority 7 to obligate or expend such amounts has 8 terminated, or 9 (ii) in the case of any amounts for 10 which such authority terminated on the 11 same date, in a pro rata manner. 12 (3) DEFINITIONS.—In this subsection— 13 (A) COVERED ACT.—The term ‘‘covered 14 Act’’ means any of the following: 15 (i) The Coronavirus Preparedness and 16 Response Supplemental Appropriations 17 Act, 2020 (Public Law 116–123; 134 Stat. 18 146). 19 (ii) The Families First Coronavirus 20 Response Act (Public Law 116–127; 134 21 Stat. 178). 22 (iii) The CARES Act (Public Law 23 116–136; 134 Stat. 281). 24 VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB 9 •S 1627 IS (iv) The Paycheck Protection Pro- 1 gram and Health Care Enhancement Act 2 (Public Law 116–139; 134 Stat. 620). 3 (v) Divisions M and N of the Consoli- 4 dated Appropriations Act, 2021 (Public 5 Law 116–260; 134 Stat. 1182). 6 (vi) The American Rescue Plan Act of 7 2021 (Public Law 117–2; 135 Stat. 4). 8 (B) SECRETARY.—The term ‘‘Secretary’’ 9 has the meaning given such term in section 10 7701(a)(11)(B) of the Internal Revenue Code 11 of 1986. 12 Æ VerDate Sep 11 2014 23:21 May 25, 2023 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6301 E:\BILLS\S1627.IS S1627 pbinns on DSKJLVW7X2PROD with $$_JOB