Health CARE Training Act
The Health CARE Training Act aims to strengthen training requirements for Health Profession Opportunity Grant (HPOG) demonstration projects and to provide tax relief for stipends and emergency assistance paid under these projects. Specifically, it mandates that training funded through eligible HPOG projects must reach a minimum number of hours tied to the credential being pursued—either the state-required hours for that skill level or, if no state standard exists, an amount deemed necessary by the Secretary to achieve the skill. It also broadens the definition of recognized post-secondary credentials to include industry-recognized credentials and certificates awarded by local workforce development boards. In addition, the bill excludes cash stipends and emergency assistance paid under these projects from federal income tax and removes the requirement for information reporting on those payments. The effective date for both the training requirements and the tax exclusion is October 1, 2025.
Key Points
- 1Training requirement added: Eligible HPOG demonstration projects must provide a minimum number of training hours for participants seeking a recognized post-secondary credential, equal to either state certification hours for that skill or, if no state standard exists, a Secretary-determined requisite number of hours.
- 2Credentials expanded: The bill covers a broader set of credentials, including industry-recognized credentials and certificates awarded by local workforce development boards under WIOA section 107.
- 3Program scope: Applies to demonstration projects receiving grants under the Health Profession Opportunity Grants program.
- 4Tax treatment improved: Cash stipends or emergency assistance paid to eligible individuals under these projects would no longer count as taxable income, and issuers of payments would not need to file information returns with the IRS for these payments.
- 5Effective dates: Both the training-hour requirement and the tax exclusion take effect on October 1, 2025.