Minnesota Health Care Loan Forgiveness Program
Minnesota Nurse Faculty Loan Forgiveness Guidelines

The purpose of Minnesota’s Loan Forgiveness program is to recruit and retain health care professionals and educators to needed areas and facilities within Minnesota. Loan forgiveness is an important benefit for health care professionals and educators as well as health care facilities and communities experiencing a shortage of access to primary health care services.

The Office of Rural Health and Primary Care (ORHPC), Minnesota Department of Health administers this program. It is funded by the State of Minnesota. Program eligibility requirements and benefits are established by state statute, 144.1501 authorizing the health professional education loan forgiveness program.

This program is offered to students studying to become nursing instructors, who plan to teach in the nursing field in a post-secondary program in Minnesota. A prospective participant must submit an application to ORHPC during the open application cycle while completing a Masters or Doctoral program.

The Nurse Faculty Loan Forgiveness Program provides funds for repayment of Qualified Educational Loans. Qualified Educational Loans include government, commercial, and foundation loans for actual costs paid for tuition, reasonable education and living expenses related to the past graduate or undergraduate education of the Nurse Educator. Credit card debt or loans from family members do not qualify. Parent PLUS loans do not qualify.

Loans in current or active default are NOT eligible for forgiveness in this program, even if considered in good standing with the collections agency. Previously defaulted loans that have since been completely rehabilitated and are not currently in active default status are eligible.

This is a competitive selection process. Selections are made based on suitability for practice as indicated by experience or training as noted on an application, as well as preference given to those closest to completing their training. Preference will be given to applicants who document diverse cultural competencies. The number of applicants ORHPC may select for participation per year varies and is contingent upon state funding.

Participants are required to teach at least twelve credit hours, or 720 hours per year (including prep time) in the nursing field in a postsecondary program in Minnesota for a minimum of two years.

Participants must begin their service obligation under this program no later than March 31, following selection. Participants must live and work in Minnesota.

Participants are eligible to participate for up to four years of loan forgiveness during which they teach at least twelve credit hours, or 720 hours per year (including prep time) in the nursing field in a postsecondary program. The ORHPC will make an annual payment to the participant in the amount of $9,000, not to exceed $36,000 total for the maximum four-year period or the balance of the designated loan(s), whichever is less subject to the availability of funds appropriated by the Minnesota State Legislature for the loan forgiveness program.