Establishes nonpublic school nursing services pilot program to provide funding to county consortium of nonpublic schools for nursing services.

The definition of 'consortium' was changed from 'a group of nonpublic schools' to 'a nonprofit entity representing a group of nonpublic schools,' giving the consortium formal legal standing as an organization.

The funding mechanism was changed so that local boards of education (not the state Department of Education) disburse nursing services aid to the county consortium. Previously the state paid directly; now the money flows through the school districts that would otherwise receive the aid.

A new refund requirement was added: if the consortium's actual expenditures are less than the aid it received, it must refund the unexpended State aid by December 1 of the following school year.

The requirement for the consortium to provide assurances of capability was made conditional - it is now only required 'at the commissioner's request' rather than automatically.

The entire oversight committee provision (section g) was deleted. Previously a five-member committee (three appointed on the Governor's recommendation, one on the Senate President's recommendation, one on the Speaker's recommendation) would have overseen the consortium's operations.

Audit responsibility shifted from the commissioner to the consortium itself. The consortium must now contract with an independent auditor and transmit the audit copy to the Governor and Legislature, rather than the commissioner doing both.

The two-year report requirement was reduced: instead of a full report containing implementation information plus a recommendation, the commissioner is now only required to submit a recommendation on whether to continue or expand the program Statewide.

Notification of the pilot program changed from direct notice by the commissioner to nonpublic schools to a publication on the Department of Education's Internet website.