(a) Funds received from the State Board of Collection Agencies under § 17-24-305 by the University of Arkansas for Medical Sciences and any interest earnings on the funds by the university shall be used exclusively as follows:

(1) Two-thirds (2/3) of the funds shall be used within the College of Nursing for:

(A) Scholarships and stipends for nursing students who are candidates for bachelor's or master's degrees or degrees beyond a master's degree; and

(B) Salary improvements for purposes of retaining and attracting nursing school faculty; and

(2) One-third (1/3) of the funds shall be used within the School of Pharmacy for:

(A) Scholarships and stipends for pharmacy students;

(B) Facility improvements required to expand the enrollment of pharmacy students; and

(C) Salary improvements for purposes of retaining and attracting pharmacy school faculty.

(b)

(1) The Dean of the College of Nursing shall allocate the funds made available to the College of Nursing under this section.

(2) The Graduate Nurse Educator Loan and Scholarship Board shall make recommendations to the dean regarding the recipients of annual awards, stipends, and scholarships.

(3) A recipient of a scholarship or stipend under this subsection must be a resident of the State of Arkansas.

(c)

(1) The Dean of the School of Pharmacy shall allocate the funds made available to the School of Pharmacy under this section.

(2) Using financial aid and academic performance data, the College of Pharmacy Awards and Financial Aid Committee will make recommendations to the faculty regarding the recipients of annual awards, stipends, and scholarships.

(3) A recipient of a stipend or scholarship under this subsection:

(A) Must be a resident of the State of Arkansas;

(B) Is not required to repay a stipend or scholarship; and

(C) Is not required to enter into any agreement with the university or School of Pharmacy requiring the recipient to practice pharmacy in any area of Arkansas after graduation in exchange for a stipend or scholarship.

(d) The university shall report annually the utilization of the funds received by the College of Nursing under this section to the Legislative Council and the Arkansas Legislative Commission on Nursing.

(e) Scholarships and other awards under this section may be granted in addition to other funds awarded to a student under other scholarship and assistance programs.