Pursue a career in healthcare – tuition free

A program to increase the number of healthcare professionals serving rural populations in Vermont.

Rural Health Transformation Tuition Benefit Program

The Rural Health Transformation Tuition Benefit Program, funded by a grant from the federal government, was established by the Vermont Department of Health, Agency of Human Services and VSAC to support individuals pursuing education in eligible health related fields who are committed to serving rural Vermont communities following degree completion.

Workforce development funding is limited and awarded to qualifying students on a first-come, first-served basis until all funds have been depleted.

Note:

Funding is no longer available for the academic year 2026-2027.
We will begin accepting applications starting October 1, 2026 for academic year 2027-2028.

Tuition Benefit awards are made with the following conditions (signed Tuition Benefit Agreement required):

The maximum award equals UVM’s in‑state tuition, or the tuition of a higher‑cost Vermont State University program, however, you may attend any qualifying school.
- The amount disbursed will be your actual tuition charges as verified by your school at the time of disbursement, up to your award amount.
- However, the award amount may not exceed Vermont State or UVM’s in‑state tuition cost for your program.
Complete forgiveness of education awards under the following conditions:
- The total tuition benefit will be forgiven upon completion of 5 years of employment (minimum 32 hours per week) as a healthcare professional in a Vermont healthcare setting, serving a rural community (see the description for what qualifies as a rural community), regardless of the number of years for which you receive funding. Note: Employment as a traveling nurse/healthcare professional does not meet this employment commitment.

Note: You will be financially responsible for reimbursing VSAC for the full amount received from the tuition benefit program, if you do not:

complete the degree program (or receive your license) for which you received the funds
work for five years in a Vermont rural healthcare setting
- If you work a portion of the five years, the portion you will be responsible for repaying will be prorated according to the fraction of the service obligation not completed, as determined by VSAC

This project is supported by the Centers for Medicare & Medicaid Services (CMS) of the U.S. Department of Health and Human Services (HHS) as part of a financial assistance award totaling $195,053,740.44 with 100 percent funded by CMS/HHS. The contents are those of the author(s) and do not necessarily represent the official views of, nor an endorsement, by CMS/HHS, or the U.S. Government.

Vermont Rural Health Transformation Tuition Benefit Program FAQs

Eligibility – Including Application Process

Who is eligible and what fields of study are eligible for this program?

Students who:

Commit to working in Vermont, as a healthcare professional in a healthcare setting, serving a rural community (minimum of 32 hours per week), for 5 years following completion of your degree and receipt of your license (if applicable) – Traveling nurse/professionals are ineligible
- Employment averaging less than 32 hours per week will not be credited toward the service obligation and will result in required repayment of the benefit received.
Are Vermont residents (priority given), or non-Vermont residents who commit to working in VT for no less than 5 years (minimum 32 hours per week) following graduation/licensure may apply and will be considered if funding is available
Are not actively enrolled in a privately funded loan forgiveness program (like the Workforce Opportunity Loan Program) or be in repayment phase of a State of Vermont or privately funded loan forgiveness program
Have not received more than the equivalent of 4 years of funding from the Vermont Rural Health Transformation Tuition Benefit program in your lifetime
Seek an undergraduate or graduate degree in one of the following programs:
- Allied Health
  - Dental Hygiene
  - Radiology Technology
  - Respiratory Therapy
  - Occupational Therapy
- Mental Health
  - Clinical Mental Health
  - Community Mental Health Counseling
  - Marriage and Family Therapy
  - Mental Health Counseling
  - Social Work
  - Psychology
- Nursing
  - LPN
  - Associate Degree
  - Bachelor’s
  - Graduate or higher (APRN, MSN, DSN)
- Emergency Medical Services/Paramedicine (must be a degree program, not a certificate program)
- Dentistry (graduate level or higher only)
Enroll at least half-time
Maintain good standing at your school (minimum 2.50 GPA)
Complete and sign a Tuition Benefit Agreement agreeing to reimburse VSAC for the full amount received in education award funds if the employment commitment is not met
Attend an accredited school approved for Title IV funding (Pell Grants, federal Direct Loans)

Why aren’t other programs or fields eligible?

The fields listed above were identified as the workforce areas with the highest need in Vermont. The list will be reevaluated annually.

Where do I find more information about other eligibility requirements?

For detailed information about this tuition benefit program, review the Scholarships & Tuition Benefit Programs for Vermonters booklet.

What period does this cover?

Funding awarded will be applied towards the costs of programs you attend during the 2027-2028 academic year (July 1, 2027-June 30, 2028).

When should I apply?

Funding is limited and not guaranteed. The postmark deadline is February 10, 2027, to submit the Unified Scholarship Application (USA) and all required documents. Awards are determined on a first-come, first-served basis, as long as the funding is available. Those who apply by the postmark deadline will be considered first, in the order applications were received. For more information on eligibility and required documents, review the Scholarships & Tuition Benefit Programs for Vermonters booklet.

Applications are accepted and reviewed on a rolling basis until all funds have been awarded.

What documents are required?

In addition to the Unified Scholarship Application, the following documents are required:

FAFSA
- If you are a Vermont resident, VSAC will automatically receive your FAFSA information
- If you are not a Vermont resident, please submit a copy of your FAFSA Submission Summary
General Essay
Transcript

For more information on eligibility and required documents, review the Scholarships & Tuition Benefit Programs for Vermonters booklet.

How do I apply?

For detailed information about this tuition benefit program and the application process, review the Scholarships & Tuition Benefit Programs for Vermonters booklet.
Complete the Unified Scholarship Application online through your MyVSAC account, click on "Work with Scholarships & Tuition Benefit Programs", look for “Submit Application” and “Unified Scholarship Application (USA)” and follow the instructions.

When is the deadline?

Applications are accepted and reviewed on a rolling basis until all funds have been awarded.

Are students with defaulted federal education loans eligible to apply?

Yes, students with defaulted federal education loans are eligible to apply.

Program Details, Eligibility, and Work Commitments

Can you provide more details about the work commitment?

If you accept the award, you are committed to working as a healthcare professional in a Vermont healthcare setting that serves a rural community (see below for eligible facilities), for 5 years (minimum of 32 hours per week), regardless of the number of years for which you receive funding. So, if a student receives funding for one year, they owe 5 years of working in Vermont in a rural healthcare setting. If they receive funding for 3 years, they would still owe 5 years of working in Vermont in a rural healthcare setting.
- Employment averaging less than 32 hours per week will not be credited toward the service obligation and will result in required repayment of the benefit received.
At the end of your 5 years of employment in Vermont in a rural healthcare setting, your total education award balance will be forgiven.
- If you work a portion of the five years, the portion you will be responsible for repaying will be prorated according to the fraction of the service obligation not completed, as determined by VSAC.

If I receive funding from the Rural Health Transformation Tuition Benefit Program for multiple years, how many years must I work in a rural healthcare setting in Vermont?

You must work in a healthcare setting in Vermont, serving a rural community, for 5 years, regardless of the number of years for which you receive funding.

So, if a student receives funding for one year, they owe 5 years of working in Vermont in a rural healthcare setting. If they receive funding for 3 years, they would still owe 5 years of working in Vermont in a rural healthcare setting.

What does it mean to serve a rural community?

Serving a rural community is defined as working at a facility/office that is in:

Addison, Bennington, Caledonia, Essex, Franklin, Grand Isle, Lamoille, Orange, Orleans, Rutland, Washington, Windham, or Windsor County or
One of the following zip codes in Chittenden County; 05445 (Charlotte), 05461(Hinesburg), 05462 (Huntington), 05465 (Jericho), 05466 (Jonesville), 05468 (Milton), 05477(Richmond), 05489 (Underhill), 05490 (Underhill Center), or 05494 (Westford) or
All Community Health Centers of Burlington locations, home health agencies or community mental health centers in Chittenden County, regardless of zip code.

What is considered full time for the purposes of the work requirement?

A minimum of 32 hours per week is required.

Do you have a list of employers I can work for?

No list is currently available.

Does employment as a traveling nurse qualify?

Traveling nurses (or other traveling health professions) do not qualify.

Is Dartmouth Medical Center an eligible employer?

If you are working at a Dartmouth location in NH, the location is not eligible - your employer must be located in Vermont in one of the locations above.
If you are working at a Dartmouth location in one of the zip codes listed above, yes, if the location is in an approved county/zip code in Vermont, the Vermont location is eligible.

Does functioning as a school nurse or mental health counselor in a high school or middle school count?

Yes, if the school is in:

Addison, Bennington, Caledonia, Essex, Franklin, Grand Isle, Lamoille, Orange, Orleans, Rutland, Washington, Windham, or Windsor County or
One of the following zip codes in Chittenden County; 05445 (Charlotte), 05461(Hinesburg), 05462 (Huntington), 05465 (Jericho), 05466 (Jonesville), 05468 (Milton), 05477(Richmond), 05489 (Underhill), 05490 (Underhill Center), or 05494 (Westford)

Otherwise, that employment is not eligible.

Does self-employment count?

Yes, if it’s not telehealth or as a traveling nurse, and you are located in:

Addison, Bennington, Caledonia, Essex, Franklin, Grand Isle, Lamoille, Orange, Orleans, Rutland, Washington, Windham, or Windsor County or
One of the following zip codes in Chittenden County; 05445 (Charlotte), 05461(Hinesburg), 05462 (Huntington), 05465 (Jericho), 05466 (Jonesville), 05468 (Milton), 05477(Richmond), 05489 (Underhill), 05490 (Underhill Center), or 05494 (Westford)

Otherwise, no that employment is not eligible.

Does work in private practice in a rural community count?

If you are self-employed, or in a private practice, it must be physically located in an eligible county or zip code. See ‘What does it mean to serve a rural community?'

Does any telehealth work count toward the requirement?

No. A minimum of 32 hours per week of non-telehealth work is required.

What if I currently have an outstanding forgivable loan/tuition benefit program?

Your existing obligation must be fulfilled first before your employment will count toward the new program's commitment.
If you have a forgivable loan/tuition benefit program for a prior academic year, once you complete your program and receive your license, your employment will first be applied toward the older forgivable loans/tuition benefit programs.
Once your commitment for those loans has been met, then we will start applying your employment towards the 5 year commitment.

If I’m working while I go to school, does that employment count towards my commitment?

No, your employment while in school does not count towards your commitment.

The employment commitment on the loan is 5 years, regardless of the number of years you receive funding, or the degrees/licenses you receive. If you remain continuously enrolled, while obtaining multiple degrees/licenses, your employment commitment does not begin until you’ve completed your final program/license.

If you do not remain continuously enrolled, but complete your program and receive your license, your employment commitment will begin at that time.

Where does this funding come from?

How much is the award?

The maximum award equals UVM’s in‑state tuition, or the tuition of a higher‑cost Vermont State University program if you are enrolled in one.
The amount disbursed will be your actual tuition charges as verified by your school at the time of disbursement, up to your award amount. This means the amount disbursed to your school may be lower than your award.
If your tuition is fully covered by other tuition‑specific financial aid, this award may be applied toward room, board, books, and supplies. However, the award amount may not exceed Vermont State or UVM’s in‑state tuition cost for your program.

Funding is limited and will be awarded on a first come first served basis. Those who apply by the postmark deadline will be considered first.

Additional questions?

If you have additional questions about your application or status, Contact VSAC or call 888-253-4819.

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