Vital support

By Anissa Gabbara | Photos courtesy of the School of Nursing | Read time: 7 minutes

Editor’s note: Since this story was written, a federal judge has temporarily blocked the U.S. Department of Education’s updated definition of “professional degree,” which had affected eligibility for higher federal loan limits for students in fields including advanced nursing. The ruling does not eliminate the new federal student loan caps, but pauses the narrower classification while legal challenges continue. 

Key takeaways:

• Recent changes to graduate student loan programs by the U.S. Department of Education may be closing the door on opportunities. 
• Enrollment has already declined in the U‑M School of Nursing graduate program. 
• Donor support helps offset the graduate loan cuts for U‑M nursing programs.

For nurses aspiring to elevate their career, getting a graduate-level education can unlock a myriad of opportunities. 

But recent changes to graduate student loan programs by the U.S. Department of Education may be closing the door on those opportunities, for financial reasons.

The Grad PLUS loan program, which allowed students to borrow up to the full cost of attendance, has been eliminated entirely for new borrowers. And new caps on federal graduate loans limit nursing school borrowers to $20,500 per year and $100,000 in total because their degrees are not considered “professional.” Previously, graduate students were able to borrow as much as their program cost to attend.

“With the loss of federal loans, these students will be in incredible jeopardy," said Patricia Hurn, previous dean and professor, School of Nursing. “Many of them are choosing not to enroll or asking to slow their progress either by taking a leave of absence or fewer courses or more part-time work, which is a direct response to the fact that the loans were critical to them and they still are.” 

‘We’ll help’

When longtime School of Nursing supporters Michael (MBA ’79) and Nancy (BS ’75, MBA ’79) McLelland learned of these new circumstances, their immediate response was, “We’ll help,” Hurn said.

With a goal to help offset the graduate loan cuts for U‑M nursing programs, the couple made a gift to create the Nancy S. and Michael B. McLelland Graduate Student Scholarship Fund. The scholarship is expected to make an estimated $100,000 in awards to nursing students over the next five years, supporting between seven and 10 students each year. 

“So much of the future of medicine is going to be based on research that’s done by nurses and other healthcare professionals,” Mike McLelland said. “So if they can’t get these higher degrees, who’s going to do the research and where are the advances going to come from?” 

The McLellands' dedication to the School of Nursing spans decades, having established the McLelland Endowed Professorship, the McLelland Research Fund, and the McLelland Memorial Scholarship, which honors Mike’s mother, Betty McLelland, and Nancy’s sister, Kathleen Green (BSN ’74), who were both nurses. 

“We’ve always been struck by the debt load people have when they come out of school,” Mike McLelland said. “We’re big believers in education, so at the end of the day, how do we help people get a good education and make it affordable?”

 
A ripple effect 

U‑M’s School of Nursing is recognized as a national leader in nursing education. Its programs (Bachelor of Science in Nursing, Master of Science in Nursing, Doctor of Nursing Practice) are ranked among the nation’s top 10, according to the 2026-2027 U.S. News & World Report. This fall, there will be 20,026 incoming freshmen, a number that has doubled since fall 2021. 

But Hurn fears that these new loan caps will affect U‑M’s graduate programs—and the profession, in general. As she noted, the majority of U‑M master’s and Doctor of Nursing Practice students have federal loans. Additionally, Hurn said enrollment has already declined in the School of Nursing graduate program, and the demand for nurse practitioners—whose entry of practice is a Master of Science—is significantly increasing. 

 
“You need these individuals to keep the cycle of change and growth going, and to address the demand in healthcare for nurse practitioners because they’re an effective way to respond to the many patients that need frontline care,” Hurn said. 

A DNP, the highest nursing degree, is also necessary for individuals as they prepare for advanced clinical practice and leadership roles to help shape the future of healthcare. 

“We need these leaders,” she stressed. “This is a critical time for healthcare, and if they don’t choose or can’t choose that pathway [because of finances], you’re going to feel a rippling effect throughout healthcare systems, whether it’s at a community level or at the tertiary care level in a major hospital like the University of Michigan Health System.”

 
A morale boost 

The McLellands understand the gravity of this situation, and according to Hurn, they’ve stepped right up to ensure students can continue to invest in themselves. 

Their recent gift will have a broad impact. Though many nursing students work while attending graduate school, the pressure of juggling a job, paying tuition, and supporting themselves can take its toll—potentially delaying their studies or hindering their ability to complete their degree altogether, Hurn said. 

The McLellands’ gift has been assuring for students and faculty alike. 

“It’s been a huge morale uplift for our students already because they’re blown away that somebody would invest a significant amount of money in them,” Hurn said. “It’s also been a real morale lift and a pat on the back to the faculty who say, ‘We’re doing our best to educate these folks and to get them where they need to be.’” 

For Nancy McLelland, helping graduate students on their academic journey is not only necessary, but also rewarding: “We need nurses, so that’s why we’re happy to support the School of Nursing,” she said. “We just hope that it will enable more bright people to advance their careers and go out and have an impact on the world with what they do.”