Tax-Free Student Loan Forgiveness Program Aims To Bring More Nurses To Rural NC
- North Carolina launched a new loan repayment program to attract nurses to rural areas.
- Eligible nurses can receive tax-free educational loan repayments.
- Applications are open now through the North Carolina Department of Health and Human Services (NCDHHS).
North Carolina is taking major steps to strengthen its rural healthcare workforce. The North Carolina Department of Health and Human Services (NCDHHS) recently announced a new loan repayment initiative to encourage registered nurses to work in underserved communities.
The North Carolina Nurse Initiative offers tax-free educational loan repayment for registered nurses (RNs) and clinical nurse specialists (CNSs) who commit to providing care in qualifying areas.
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"Nurses are the bedrock of the healthcare system and play a crucial role in improving health for all North Carolinians," said NCDHHS Secretary Dev Sangvai in a press release from the department. "This initiative will help ease the financial burden for those pursuing a career in nursing, particularly in rural communities."
Why This Program Matters
Nearly half of North Carolina’s 10.8 million residents live outside metro areas—and access to care remains an ongoing challenge. According to NCDHHS, 91 out of 100 counties in the state have shortages in primary care, dental, or behavioral health services. Rural residents are nearly twice as likely to face barriers to healthcare as those in cities.
The Nurse Initiative is part of a larger $50 million healthcare workforce package allocated by the North Carolina General Assembly to bolster medical services in hard‑to‑serve areas. Prior to this, many private practices in rural regions were not eligible for such loan repayment programs.
Who Can Apply
The program accepts applications from:
- Registered nurses and clinical nurse specialists working in outpatient or other qualifying primary care settings.
- Providers in independent private practices located within Tier 1 and Tier 2 counties, based on North Carolina’s County Distress Rankings.
Funding is limited and awarded on a first‑come, first‑served basis. Applicants should ensure their materials are complete when submitted to improve their chances of securing funding.
For eligibility details and applications, visit the NCDHHS Office of Rural Health website. Other incentives for medical, dental, and behavioral health professionals are also available through the Office of Rural Health.
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