In May, healthcare regulation continued to accelerate, driven by expanded federal focus on program integrity and AI-enabled oversight, alongside an active state legislative cycle addressing licensure and workforce stability. Here are the federal and state changes to help organizations maintain clarity, compliance readiness, and operational continuity across licensure and continuing education (CE) programs.
Federal activity
Nursing is a Professional Degree Act (H.R. 8659/8691)
The “Nursing is a Professional Degree Act” (H.R. 8659/8691), introduced by Rep. Jen Kiggans (R-VA), would amend the federal definition of a “professional student” to explicitly include advanced nursing degrees such as the MSN, DNP, DNAP, and Ph.D. in Nursing. The legislation responds to a U.S. Department of Education final rule issued on May 1 (effective July 1), which narrows the definition of “professional degree” programs and excludes nursing from that category.
Under the revised federal framework, graduate borrowing is subject to lower annual and lifetime limits for programs outside the “professional” designation, alongside the planned phaseout of Grad PLUS lending that previously enabled students to finance the full cost of attendance. The bill is intended to address concerns about affordability and potential downstream impacts on the nursing education pipeline and advanced practice workforce capacity.
The legislation has been referred to the House Committee on Education and the Workforce and has drawn early support from more than 30 national nursing, higher education, and workforce advocacy organizations, reflecting broad concern about the implications of the federal loan classification change on graduate nursing education.
HHS expands AI-driven program integrity oversight across Medicare and Medicaid systems
In May, the U.S. Department of Health and Human Services (HHS) announced a major expansion of its use of artificial intelligence to identify fraud, waste, and abuse across Medicare, Medicaid, and other federal health programs. The initiative includes multi-year, state-spanning audit activity and reflects a broader shift toward more automated, data-driven program integrity oversight for providers, state agencies, and federal contractors.
The announcement signals heightened federal scrutiny of credentialing, billing accuracy, enrollment processes, and clinical documentation, alongside a broader shift toward continuous monitoring and faster, more targeted enforcement actions across federal healthcare programs.
National association updates
Federation of State Medical Boards announces a new AI workgroup
On May 19, 2026, the Federation of State Medical Boards (FSMB) announced the formation of a new Workgroup on the Regulation of Artificial Intelligence (AI) in Medical Practice. Building on FSMB’s 2024 AI guidance and following its 2026 Annual Meeting in Baltimore, where AI featured prominently across multiple sessions, the initiative reflects the growing urgency for state medical boards to address how AI is being integrated into clinical care, particularly in areas such as diagnostic support, prescribing, and other functions that may operate with limited physician supervision.
The Workgroup will develop recommendations and potential model guidelines to help boards identify regulatory gaps, assess patient safety risks, and define appropriate standards for oversight of AI-enabled medical practice. This effort reflects a broader 2026 regulatory shift across federal and state levels toward establishing clearer guardrails for AI in healthcare, with a continued focus on accountability, clinical oversight, and patient safety as these technologies become more embedded in care delivery.
AACN NTI 2026 meeting highlights
The American Association of Critical-Care Nurses (AACN) held its National Teaching Institute (NTI) 2026 in San Diego from May 17–20, 2026, convening thousands of acute and critical care nurses for one of the profession’s most significant annual education and practice forums. This year’s discussions reflected ongoing workforce pressures, with strong attention to retention challenges, staffing stability, and the operational realities facing frontline care teams.
A notable focus throughout the event was the accelerating integration of technology, particularly AI-enabled tools, into bedside care and clinical decision support, alongside continued emphasis on evidence-based practice and continuing education. The meeting reinforced how workforce dynamics and emerging technologies are increasingly intersecting in both clinical practice and health system policy discussions.
State legislative activity
As state legislatures begin sending bills to governors for final action, we are closely monitoring the use of executive authority through vetoes and amendatory actions. For instance, in Virginia, Governor Abigail Spanberger, in her first term in office and first legislative session, vetoed 8 bills and issued approximately 180 amendments. Below are a few highlights for April 2026. Our team will continue to observe, track, and report on this activity.
Artificial Intelligence (AI)
New York (A. 3356) - New York is advancing legislation that would establish one of the more comprehensive state-level regulatory frameworks for high-risk AI systems. The bill would require developers and deployers of qualifying AI technologies, those that could meaningfully affect public safety, health, infrastructure, law enforcement, or democratic processes, to register and obtain a state license prior to deployment or significant system changes. In addition to the licensing structure, the proposal would create ongoing oversight mechanisms, including a statewide AI advisory council and system-level ethics and risk boards tasked with producing annual reports on performance, incidents, and risk mitigation.
While not directly aimed at government licensing entities, the framework could indirectly affect state licensing boards and other public-facing regulatory agencies if they utilize AI-enabled tools in licensing, enforcement, or decision-support functions, potentially introducing new compliance and procurement requirements for government services.
Criminal background checks
Georgia (SB 207) - Enacted May 12, 2026, and effective July 1, 2027, Georgia SB 207 modernizes how state licensing boards assess criminal history during the licensure process. The law requires boards to deny licensure when an applicant’s criminal record is determined to be directly relevant to the responsibilities of the profession, while also establishing standardized factors to guide how that determination is made. The legislation further clarifies what categories of criminal history may be considered, restricts certain records from being requested or used in decision-making, and establishes a formal petition process allowing applicants to request review following a denial.
Physician assistant and pharmacist collaborative agreements
Nebraska (LB 955) - Enacted and effective July 19, 2026, this legislation expands scope-of-practice authority by explicitly permitting physician assistants to enter into collaborative practice agreements with pharmacists.
Dental licensure and workforce modernization
Oklahoma (HB 3934) – Enacted and effective May 6, 2026, HB 3934 modernizes Oklahoma’s dental regulatory framework with updates focused on licensure mobility, workforce flexibility, and access to care. The legislation expands recognition of accredited dental education programs, broadens licensure by credential pathways, and creates additional opportunities for military spouses and experienced out-of-state practitioners. The bill also expands practice and supervision flexibility for dental hygienists and assistants and establishes a three-year pilot program through the University of Oklahoma College of Dentistry for certain foreign-trained dentists to obtain dental hygiene licensure.
Licensure compacts
Iowa (H.F. 2498) – Sent to the Governor on May 18, 2026, this legislation would establish Iowa’s participation in the Interstate Podiatric Medical Licensure Compact, creating a pathway for expedited multistate licensure for podiatric physicians across member states.
Alaska (H.B. 110 & H.B. 173) – Sent to the Governor on May 20, 2026, these bills authorize Alaska’s participation in both the Social Work Licensure Compact and the Occupational Therapy Compact, expanding interstate practice authority and supporting streamlined licensure mobility for these professions.
Louisiana is now live and actively issuing interstate practice privileges under the Counseling Compact as a participating member state.
Scope of practice
Vermont (S. 163) - Enacted and effective May 6, updates scope-of-practice authority for advanced practice registered nurses and physician assistants by formally authorizing them to coordinate care and provide direct patient services within their practice roles. The legislation also establishes a structured consultation framework, requiring physician availability to support clinical collaboration when needed.
Continuing education rulemaking updates
On May 1, the Missouri State Board for Registration for the Healing Arts finalized a rule update to continuing medical education (CME) requirements for physician licensure. The rule requires that at least one of the 50 CME hours in each renewal cycle be completed in nutrition and its role in health outcomes.
On May 5, the New Mexico Medical Board issued a proposed rule that would update continuing medical education (CME) requirements beginning July 1. Under the proposal, physicians would be required to complete at least one hour of nutrition-related CME within the existing 75-hour triennial renewal cycle. The rule also reinforces the Board’s authority to define specific CME topics and content areas as part of licensure renewal requirements.
The Washington State Department of Health’s Board of Osteopathic Medicine and Surgery issued a proposed rule (WSR 26-09-112) to expand continuing education (CE) compliance pathways for osteopathic physicians by formally recognizing participation in Maintenance of Certification (MOC) programs through ABMS or AOA member boards as an additional method to satisfy licensure renewal requirements. The proposal builds on Washington’s existing multi-pathway framework, which already includes board certification or recertification, MOC participation, AOA CME recognition, and AMA PRA equivalency. A public hearing is scheduled for June 5, 2026, with written comments due by May 29, 2026, ahead of anticipated board action.
Stay ahead with us
Through our unified solutions, Propelus CE Broker®, Propelus EverCheck®, and Propelus Immuware®, Propelus provides the vital infrastructure that connects boards, professionals, and employers in a single, secure ecosystem. As a leading CE tracking platform for license renewal compliance, in an evolving 2026 landscape, you need a partner who doesn’t just react to change, but anticipates it. We are dedicated to ensuring your workforce is not just qualified and compliant with CE, and strategically positioned for whatever comes next. Get in touch with Propelus CE Broker to learn how we can support your workforce.