Many long-term care facilities have struggled with chronic staffing shortages and high turnover rates for some time. COVID-19 only worsened those issues and sharply disrupted staffing ratios, prompting heavy reliance on agency workers. Although recent trends show a move back toward permanent staffing, workforce instability continues for many facilities.
To address these ongoing issues and after enormous industry pressure, the Centers for Medicare & Medicaid Services (CMS) announced a $275 million “Nurses for Nursing Homes” initiative on October 23, 2026. As a nationwide effort, it is designed to increase staffing by recruiting nurses to work in certain qualifying long-term care facilities. Because adequate staffing is the metric most linked to good outcomes in nursing home care, CMS is hoping to incentivize nurses to fill vacant positions where they are needed most and expects the money to support more than 4,000 nurses across all 50 states and the District of Columbia.
CMS has published a list of qualifying nursing homes and will update it throughout the period of performance, as needed. The list of qualifying long-term care facilities can be found here. Many are primarily located in rural communities and areas with greater workforce shortages. The methodology that CMS is using to identify qualifying long-term care facilities can be located here.
Eligible nurses may receive an incentive for student loan repayment, a stipend, or both in exchange for working an average of 30 hours a week and completing a three-year service commitment at a qualifying facility. Specifically, eligible participants may qualify for:
- Up to $40,000 in student loan repayment;
- and/or a retention stipend based on a $10,000 national-average amount, adjusted up or down for the facility’s area using the CMS wage index. Benefits are paid quarterly while participants continue to meet the participation requirements.
To receive payments, nurses accepted into “Nurses for Nursing Homes” must:
- Hold an active RN or LPN/LVN license at the time that the candidate begins their employment.
- Work at least 30 hours per week at a qualifying nursing home.
- Have eligible student loan debt; or, for those without student loan debt, have graduated within the past two years to qualify for a stipend.
- Not have worked in a nursing home for at least 60 days before opening an application account and starting an application. During the first 90 days of the initiative (Oct. 26, 2026, to Jan. 24, 2027), an exception applies to RNs and LPNs/LVNs who began working in an eligible nursing home between July 28, 2026, through Oct. 25, 2026.
- Commit to three years of service at an eligible Medicare-, Medicaid-, or dually certified long-term care facility.
Although it is unclear whether the “Nurses for Nursing Homes” Program will be successful, the student loan payment option will likely be most enticing, especially to RNs with BSN degrees. Although the average nursing student loan debt ranges widely by type, program, school, and degree level, the average nursing graduate debt for a Bachelor of Science in Nursing (BSN) Degree is reported to be $29,400 for public/in state schools and $54,600 for private colleges. Furthermore, a nurse attending an accelerated BSN Degree (second degree) is reported to have average student debt of $54,600.[i] These are significant sums, especially considering nurses in the long-term care industry are reported to make 9.5% less than their counterparts in non-long-term care settings.[ii]
To learn more about the program and to apply, eligible nurses should go here. [Additional details can also be found in the CMS News and the Frequently Asked Questions]
[i] Nursing Student Loan Guide - Average Debt, Salary & Payoff [2026] - StudLoans; Nurse Student Loan Debt 2026 | Forgiveness Programs & Repayment Data | NurseCompensation.com.
[ii] Predictors of registered nurse employment and earnings in long-term care - Nursing Outlook
