THE UNIVERSITY OF TENNESSEE HEALTH SCIENCE CENTER

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1 THE UNIVERSITY OF TENNESSEE HEALTH SCIENCE CENTER BSN Pro Forma Submitted October 2, 2012

2 Introduction Presently, the University of Tennessee Health Science Center (UTHSC) College of Nursing offers a Master of Science in Nursing (MSN) program preparing Clinical Nurse Leaders, and a Doctor of Nursing Practice (DNP) program. A Doctor of Philosophy (PhD) in Nursing is offered through the UTHSC College of Graduate Health Sciences. The university s administration and the College of Nursing faculty, in response to strong support from Methodist Healthcare through a partnership with the University of Tennessee, wish to reactivate the Bachelor of Science in Nursing (BSN) program. The College of Nursing offered a BSN from 1950 until In 1997 the decision was made to hold the BSN program in abeyance allowing the College of Nursing to develop and implement the Doctor of Nursing Science program. Admission to the BSN program was suspended at that time. In keeping with our mission To Prepare Nurse Leaders for Excellence Today and for the Future, over the past nine years the CON faculty have been heavily involved in strategic planning that has focused on the development of academic programs that are responsive to the needs of our community. Beginning in 2003 the CON partnered with Methodist HealthCare of Memphis to enhance delivery of nursing care by offering the full range of educational opportunities in nursing including an entry-level bachelor s degree in nursing, continuing with the master s degree, and concluding with the doctoral degree. In 2005 the BSN program was established and was fully accredited by CCNE in However, soon after graduating our first class of BSN students in 2006, the decision was made that the best model for our college and our community for educating new registered nurses is the Clinical Nurse Leader (CNL) master s professional entry program. After extensive curricular development the college transitioned the professional entry program to the master s level in The college admitted the last professional entry class at the baccalaureate level in June 2008 and that class, with the exception of two students who were out of sequence, graduated in December, The professional entry master s CNL program was granted initial approval by the Tennessee Board of Nursing in In June 2009 the first cohort of professional entry students was admitted to the MSN-CNL program and graduated May 2011.The second cohort graduated May 2012 and the third will graduate May Many believe that the CNL can be valuable, but it is a difficult role for novice nurses who have no nursing experience. However, due to low numbers of qualified non nurse applicants for CNL programs locally as well as nationally, a lower than desired graduation rate of 79% nationally and locally, and lack of a defined role in the workplace, the CON plans to admit only BSN Page 2

3 graduates to the CNL program in Discussions with clinical practice partners confirm that this is a good decision. For these reasons the CON is submitting this BSN Pro Forma documenting our needs assessment and plan for reactivating the BSN program at UTHSC. Needs Assessment BSN Need in Memphis A survey of local hospitals and meetings with the following local Chief Nursing Officers conducted in August and September These surveys supported the need for reactivation of the UTHSC CON BSN program. The following are a list of those individuals surveyed: Nikki Polis CNE Methodist Le Bonheur Hospital System Dana Dye CNE Baptist Memorial Healthcare Catherin Murphy - Methodist University Kathie Krause - Methodist Le Bonheur Hospital Pam Dotson - St Jude Children s Research Hospital Terri Stewart - St. Francis Hospital Sally Aldrich - Methodist Affiliated Services Division The community leaders confirmed the need for new Baccalaureate prepared nurses in their institutions as well as a specific need for their Associate Degree and Diploma prepared nurses to further their education through the proposed RN-to-BSN program. Comments from these Chief Nursing Officers include: Methodist University Hospital estimates a need for 150 RNs a year at their current turnover rate. Methodist Germantown Hospital needs 70 new RNs each year over the next 5 years. Methodist Le Bonheur Children s Hospital is only hiring new RN graduates with BSN or higher; preferential hiring of experienced RNs with BSN or higher. St. Jude Children s Research Hospital prefers to hire new RN grads with a BSN or higher. The CNO of St. Francis Hospital discussed the recent reduction in force (RIF) that eliminated LPNs from their hospital staffing and the plans to only hire BSN or higher prepared nurses. This RIF was based on research that supports increase in quality of patient care when BSN or higher prepared nurses deliver nursing care. Current RNs with diploma and Associate Degrees are being encouraged to further their education. There are five Associate Degree programs in Memphis and the surrounding area: Concorde College, Dyersburg Community College, Southwest Tennessee Community College, Northwest Page 3

4 Mississippi Community College, and East Arkansas Community College. We plan to develop articulation agreements with these community colleges. Comments from Associate Degree Program Directors include: Mary Vines, Chair of the Nursing department at Southwest Community College, stated that the RN-BSN program would provide an excellent opportunity for their Associate Degree graduates to further their education. The Associate Degree Program Director at Concorde College also has expressed a strong desire for an articulation program with the BSN program. Dyersburg State Community College also has an Associate Degree program in Nursing and would be interested in an articulation program. There are four additional BSN programs in Memphis: University of Memphis, Baptist College of Health Sciences, Union University, and Christian Brothers University. The deans at the University of Memphis and Baptist College of Health Sciences report approximately 100 qualified BSN applicants annually that they cannot admit. Christian Brothers University does not offer a generic BSN program; they only offer an RN-BSN program. The table below depicts educational levels of RNs employed at Methodist Le Bonheur Healthcare. Table 1. Educational Preparation of RNs in the Methodist Healthcare System Memphis, TN DIPLOMA A.D.N. 0 This table provides evidence of the need to offer the RN-to-BSN option. Page 4

5 Benefits of the RN-BSN option for employers include: The part time RN-to-BSN is designed to allow practicing RNs to work while completing the BSN degree. Community partners in local hospitals on the magnet journey will find this option very attractive as they strive to achieve 80% BSN staffing. BSN Need in Tennessee A study conducted by the University of Tennessee Center for Business and Economic Research (CBER)(2010) identified Nursing Registered Nurse Training (RN, ADN, BSN, MSN) as one of the Top 10 growing fields in degree production in Tennessee. BSN awards are expected to grow by 1,162 to 3,109 by Table 2 shows the projected growth in Registered Nurse (RN) awards in Tennessee, according to CBER. Table 2. Projected Growth Registered Nurse Awards in Tennessee Program Average Graduates Per Year Projected Average Graduates Per Year Projected Graduates 2018 Growth to CIP : Nursing Registered Nurse Training (RN, ASN, BSN, MSN) 2,251 4,532 5,983 2,280 Associate 997 1,785 2, Bachelor 1,152 2,314 3,109 1,162 Masters Source: CBER Nonetheless, the Tennessee Center for Nursing 2009 study projected that Tennessee will continue to face a shortage of RNs for the next 8 years, with an eventual projected deficit of 14,910 full-time equivalent RNs in 2020 (Figure 1). The study demonstrates clearly the need for more RNs in Tennessee, despite the projected growth in RN graduates. Figure 2 shows the number of qualified students turned away from BSN and graduate programs in Tennessee. Page 5

6 Figure 1. RN Supply and Demand in Tennessee Source: Tennessee Center for Nursing Figure 2. Qualified s Turned Away from Baccalaureate and Graduate Nursing Programs (Applications) in TN Source: American Association of Colleges of Nursing, 2012 Page 6

7 Future RN Employment Opportunities Employment of RNs is expected to grow by 22% from 2008 to 2018, much faster than the average for all occupations. Job opening will result from: o Need to replace experienced nurses who leave the occupation o Technologic advances in patient care o Increasing emphasis on preventive care o Rapid growth in the older population Rationale for BSN program at UTHSC CON: Increased local, state and national need for RNs prepared at the BSN level. Community partners in local hospitals on the magnet journey will find this program very attractive as they strive to achieve 80% BSN staffing. The part-time RN-to-BSN is designed to allow practicing RNs to work while completing the BSN degree. Fewer qualified applicants for the MSN-CNL program. Low (79%) graduation rates for the MSN-CNL program. Lack of defined role for CNL graduates in the workplace. BSN program will provide a pipeline of students for MSN-CNL, DNP, and PhD programs. UTHSC College of Nursing will provide a full range of educational programs: BSN, MSN- CNL, DNP, and PhD. PLAN Beginning fall (August 1) 2013 we plan to admit traditional students who have completed prerequisite college courses and 2 nd degree students who have earned a minimum of a bachelor s degree in a non-nursing discipline to the reactivated BSN program. The CON will also admit registered nurses with an associate degree or diploma (Approximately in Shelby County). Entry Options Option I Traditional BSN-and Option II Second Degree BSN FT = (40 Full Time students) 16 month accelerated program (60 credits total: Fall-19 credits, Spring-17 credits, Summer -6 credits, Fall- 18 credits with opportunity to take a graduate course as well that term) Option II RN-BSN PT = (30 Part-Time students) 16 month program (32 credits total: Fall 10 credits, Spring- 6 credits, Summer 6 credits, Fall 10 credits). Page 7

8 Charge per credit hour/semester plus Nursing fee $300 per credit hour In-state tuition = $18,000 for total program of 60 credits for traditional and 2 nd degree students $300 per credit hour In-state tuition = $9,600 for total program of 32 credits for RN-BSN students /Productivity: and graduation numbers for are projections for the proposed BSN/MSN CNL. The projected numbers of students enrolled are based on additional faculty resources; the projected numbers of graduates are based on our target graduation rates (100% and 85%). Table 3. BSN and Graduation Projections based on 100% graduation rate Year FT non nurse BSN PT RN BSN Actual or Projected Annual Graduates n/a Table 4. BSN and Graduation Projections based on 85% graduation rate Year FT non nurse BSN PT RN BSN Actual or Projected Annual Graduates n/a Goal is to admit 40 Traditional and 2 nd degree students = Tuition for undergraduate level courses for 60 hours over the 16 month course of study =$300 per credit hour $720,000 total/$18,000 per student Goal is to admit 30 RN-BSN students = Tuition for undergraduate level courses for 32 credit hours over the 16 month course of study $288,,000 total/$9,600 per student Goal is a total of 70 new students enrolled in the BSN program August 1, Page 8

9 UTHSC College of Nursing BSN Pro Forma Income Statement FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 REVENUE Tuition Revenue 0 702,000 1,167,000 1,269,000 1,401,000 OPERATING EXPENSES Salaries 58, , , , ,091 Academic Salaries 33, ,000 Associate Professors $100,000 ea) 33, ,000 Adjunct Faculty (Lump sum position) 50,000 Non-Academic Salaries 25,000 50,000 Educational Technical Consultant ea) 25,000 50, % 19, , , , ,693 Travel 16,200 19,200 20,000 20,000 20,000 Faculty Development 4,200 5,700 Travel 6,000 Program Implementation 6,000 3,000 Faculty/ Recruitment 6,000 4,500 Media Processing 3,500 5,000 5,000 5,000 5,000 Printing 1,000 2,500 White Coat Ceremony Printing 1,200 Convocation Invitation/Envelopes/Programs 1,300 Duplicating 2,500 2,500 Communications 1,500 1,250 1,250 1,250 1,250 Freight Telephone 1,000 1,000 Maintenance/Repairs Prof Services & Memberships 44,500 26,500 28,100 29,600 29,600 Publicity 42,000 17, second TV spot 11, spots airing months 10,000 Billboard ($2,000/mo. X 3) 6,000 6,000 Google & Facebook ads 15,000 11,000 Institutional Membership Fees & Dues 2,500 9,500 CCNE new program fee (annually) 2,000 2,000 CCNE site visit ($1,750 per team member X 4) 7,000 CCNE annual fee EBI Baccalaureate exit exams ($1,600/yr) Alumni surveys ($1,500/yr)

10 UTHSC College of Nursing BSN Pro Forma Income Statement FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 Supplies 28,585 5,000 5,000 5,000 5,000 Operating Supplies 2,500 4,200 Office supplies 1,800 White coats 2,400 Lab Supplies Sensitive Minor Equipment (< $1,500) 26, Laptops $700 ea) 9,100 Laptop stands $595 ea) 7,735 Vital Kelly replacement arm $200 ea) Rolling stools $100 ea) 1,300 Computers $1,250 ea) 6,250 Laser printer $900 ea) 900 Contractual Services 30,000 15,500 15,500 15,500 15,500 Marketing 10,000 5,000 Website update 2,000 Recruitment video production 7,000 Community assessment 1,000 Consultant costs for implementation 20,000 Group Arranged Food 8,500 White Coat Ceremony Catering 3,500 Dean's Convocation Catering 5,000 Special Commercial Services 2,000 Convocation facility rental/security/custodial 1,000 Regalia fee 1,000 Equipment 78,150 - SimMan Essential 39,000 Adult IV simulator 11,000 Pyxis medication administration 25,000 Stretcher 1,575 Child crib 1,575 Total Operating Expenses 280, , , , ,634 NET INCOME (LOSS) (280,479) 93, , , ,366 Assumptions: Assumes incremental revenue and expenses to current CON budget. Salaries include 3% annual raises FY No CON or UTHSC F&A included. No tuition increases included.

11 UTHSC College of Nursing BSN Program Estimated Tuition FY Option I & II Option III Total Tuition Revenue Fall 1 228,000 90, ,000 FY 2014 Spring 1 204,000 54, ,000 Summer 1 72,000 54, ,000 $ 504,000 $ 198, ,000 Fall 2 501, , ,000 FY 2015 Spring 2 255,000 63, ,000 Summer 2 90,000 63, ,000 $ 846,000 $ 321,000 1,167,000 Fall 2 555, , ,000 FY 2016 Spring 2 255,000 72, ,000 Summer 2 90,000 72, ,000 $ 900,000 $ 369,000 1,269,000 Fall 2 555, , ,000 FY 2017 Spring 2 285, , ,000 Summer 2 90,000 81, ,000 $ 930,000 $ 471,000 1,401,000 Assumptions: All in-state students used for projections, although approx. 10% are estimated to pay out-of-state tuition. Tuition based on $300 per credit hour. No tuition increases included.

12 UTHSC College of Nursing BSN Program Estimated Tuition - 1st Cohort Option I & II Option III Option I & II Option III Total 2013 BSN s 75% CoN Share Term Credit Credit Estimated Hrs Hrs s Fall , ,000 Fall 1 228,000 90, ,000 FY 2014 Spring , ,800 Spring 1 204,000 54, ,000 Summer 1 6 1, ,800 Summer 1 72,000 54, ,000 $ 12,600 $ 6,600 $ 504,000 $ 198, , ,500 Fall , ,000 Fall 2 216,000 90, ,000 FY 2015 Spring 2 Spring Summer 2 Summer $ 5,400 $ 3,000 $ 216,000 $ 90, , ,500 Total Tuition Per $ 18,000 $ 9,600 Total Tuition 1st BSN Cohort $ 720,000 $ 288,000 $ 1,008,000 $ 756,000 Assumptions: All in-state students used for projections, although approx. 10% are estimated to pay out-of-state tuition. Tuition based on $300 per credit hour. No tuition increases included.

13 UTHSC College of Nursing BSN Program Estimated Tuition - 2nd Cohort Option I & II Option III Option I & II Option III 2014 s Credit Hours Estimated s Fall 1 Fall FY 2014 Spring 1 Spring Summer 1 Summer $ - $ - $ - $ - - Fall 1 5,700 3,000 Fall 1 285, , ,000 FY 2015 Spring 1 5,100 1,800 Spring 1 255,000 63, ,000 Summer 1 1,800 1,800 Summer 1 90,000 63, ,000 $ 12,600 $ 6,600 $ 630,000 $ 231, ,000 Fall 2 5,400 3,000 Fall 1 270, , ,000 FY 2016 Spring 2 Spring Summer 2 Summer $ 5,400 $ 3,000 $ 270,000 $ 105, ,000 Total Tuition Per $ 18,000 $ 9,600 Total Tuition 2nd BSN Cohort $ 900,000 $ 336,000 $ 1,236,000 Assumptions: All in-state students used for projections, although approx. 10% are estimated to pay out-of-state tuition. Tuition based on $300 per credit hour. No tuition increases included.

14 UTHSC College of Nursing BSN Program Estimated Tuition - 3rdCohort Option I & II Option III Option I & II Option III 2014 s Credit Hours Estimated s Fall 1 Fall FY 2015 Spring 1 Spring Summer 1 Summer $ - $ - $ - $ - - Fall 1 5,700 3,000 Fall 1 285, , ,000 FY 2016 Spring 1 5,100 1,800 Spring 1 255,000 72, ,000 Summer 1 1,800 1,800 Summer 1 90,000 72, ,000 $ 12,600 $ 6,600 $ 630,000 $ 264, ,000 Fall 2 5,400 3,000 Fall 2 270, , ,000 FY 2017 Spring 2 Spring Summer 2 Summer $ 5,400 $ 3,000 $ 270,000 $ 120, ,000 Total Tuition Per $ 18,000 $ 9,600 Total Tuition 3rd BSN Cohort $ 900,000 $ 384,000 $ 1,284,000 Assumptions: All in-state students used for projections, although approx. 10% are estimated to pay out-of-state tuition. Tuition based on $300 per credit hour. No tuition increases included.

15 UTHSC College of Nursing BSN Program Estimated Tuition - 4th Cohort Option I & II Option III Option I & II Option III 2014 s Credit Hours Estimated s Fall 1 Fall FY 2016 Spring 1 Spring Summer 1 Summer $ - $ - $ - $ - - Fall 1 5,700 3,000 Fall 1 285, , ,000 FY 2017 Spring 1 5,100 1,800 Spring 1 255,000 81, ,000 Summer 1 1,800 1,800 Summer 1 90,000 81, ,000 $ 12,600 $ 6,600 $ 630,000 $ 297, ,000 Fall 2 5,400 3,000 Fall 2 270, , ,000 FY 2018 Spring 2 Spring Summer 2 Summer $ 5,400 $ 3,000 $ 270,000 $ 135, ,000 Total Tuition Per $ 18,000 $ 9,600 Total Tuition 4th BSN Cohort $ 900,000 $ 432,000 $ 1,332,000 Assumptions: All in-state students used for projections, although approx. 10% are estimated to pay out-of-state tuition. Tuition based on $300 per credit hour. No tuition increases included.

16 References American Association of Colleges of Nursing Race/Ethnicity of s Enrolled in Nursing Programs by State. Retrieved July 29, 2012 from American Association of Colleges of Nursing Legislative Updates- State Snapshots Tennessee Center for Nursing. June Forecasting Supply, Demand, and Shortage of Nurses in Tennessee. Retrieved July 27, 2012 from N%20June%2025% pdf Tennessee Center for Nursing. January 15, State Approved Professional Nursing Programs Annual Report Retrieved August 1, 2012 from pdf Tennessee Center for Nursing. June Statewide Status Report on Nursing Supply, Demand, and Education. Retrieved July 27, 2012 from The University of Tennessee Center for Business and Economic Research Academic Program Supply and Occupational Demand Projections: Retrieved July 27, 2012 from nd%20demand%20final.pdf

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