Final Federal Loan Rule Maintains Narrow Professional Degree Definition

The U.S. Department of Education recently released a final rule implementing changes to federal student loan programs under the Reimagining and Improving Student Education (RISE) initiative. The final rule includes changes to graduate and professional student loan limits, repayment structures and loan rehabilitation policies.

The MHA submitted comments in opposition to portions of the proposed rule related to the definitions of “professional student” and “professional degree.”

The MHA raised concerns that the proposed framework could negatively impact healthcare workforce pipelines by limiting borrowing flexibility for certain graduate-level professions, including behavioral health providers, advanced practice nurses and allied health clinicians.

In the comment letter, the MHA emphasized that Michigan hospitals, particularly rural and critical access hospitals, rely heavily on master’s-level clinicians and advanced practice providers to sustain access to care in underserved communities. The MHA also highlighted ongoing workforce shortages affecting hospitals and behavioral systems in the state and nationwide.

While the Department acknowledged comments from healthcare and counseling stakeholders regarding workforce and affordability concerns, the final rule did not expand the definition of “professional student” or adopt the broader classification approach requested by the MHA. The Department stated that it remains confident in its classification of professional versus graduate degree programs.

Members with questions may contact Lenise Freeman at the MHA.

MHA Joins Coalition Letter Opposing Federal Redefinition of Professional Degrees

The MHA joined a statewide coalition in signing a letter to Michigan’s congressional delegation expressing concern about a proposed federal change that would remove several health professions, including nursing and behavioral health fields, from the definition of a professional degree.

The proposal, developed through the U.S. Department of Education Reimagining and Improving Student Education negotiated rulemaking process, could limit access to federal graduate student aid for individuals pursuing careers in nursing, social work, counseling and other essential healthcare roles. Coalition members noted that these professions require accredited graduate education, supervised clinical training and state licensure.

As Michigan continues to experience significant healthcare and behavioral health workforce shortages, limiting access to graduate education would further strain hospitals, clinics and community providers across the state. The letter raises concerns that the proposal could create additional barriers for students seeking to enter or advance within these professions.

The MHA and coalition partners urged Michigan’s congressional delegation to request that the Department of Education revise the proposal to align with existing accreditation and licensure standards and to preserve access to federal financial aid that supports the state’s health care workforce pipeline.

Members with questions may contact Lauren LaPine-Ray at the MHA.