Rebuild America’s Health Care Schools Act of 2025
Key claim: The bill expands Medicare reimbursement for hospital costs of training nursing and allied health students to include training conducted at related entities under common ownership or control, not just on hospital premises.
Abstract
(HR1708 · 119th Congress) Rebuild America’s Health Care Schools Act of 2025 This bill allows hospitals to receive reimbursement under Medicare for certain costs associated with training nursing and allied health students in settings other than the hospital itself. Currently, hospitals may receive reimbursement under Medicare for the reasonable costs associated with training nursing and allied health students if certain conditions are met; the criteria vary depending on whether the students are enrolled in an educational program that is operated by the hospital or another entity. If the students are part of a program that is operated by another entity, the training must occur at the hospital itself or in areas immediately surrounding the hospital in order to qualify for reimbursement (among other requirements). The bill allows hospitals to receive reimbursement for these costs if the training is conducted at an entity that is related to the hospital (i.e., common ownership or control). The bill requires the Centers for Medicare & Medicaid Services (CMS) to update regulations to reflect these changes. Additionally, the CMS may not recoup or reduce payments to hospitals with respect to costs that are allowed under the bill and must refund any such recoupments or reductions that occurred during the six-year period prior to the bill’s enactment. Latest action (2025-02-27): Referred to the House Committee on Ways and Means.
Why this matters
Medicare reimburses hospitals for a portion of nursing and allied health education costs, which shapes where and how clinical training programs operate. Expanding eligible training sites to related entities under common ownership could let hospital systems use affiliated outpatient, long-term care, or academic settings for reimbursable training, potentially increasing training capacity without changing overall payment mechanics.