This article examines national employment and program trends in the nursing profession, the nursing shortage in Iowa, and state policy and community college responses in Iowa. During the seven-year period 2001-2008, two Iowa governors convened special task forces to study the nursing shortage and to make recommendations. The policy responses dealt principally with the recruitment of nursing students, scholarships and forgivable loans for students, improvement of the public's image of the nursing profession, and improvement in the work place for nurses. Meanwhile, the community colleges increased their program capacity by adding sections, and implementing part-time, evening, and weekend programs. Nursing program enrollments increased 63% from fiscal year 2001-2006. During this same time period, nursing program graduation rates decreased almost eight percent; waiting lists of qualified applicants to the program continued to be long. The author poses questions regarding the success of proprietary institutions in establishing nursing programs in geographic areas where community college programs have long waiting lists, including if lessons from the proprietary institutions can inform community college practice. The author concludes that policy initiatives that are aimed principally at increasing public awareness about nursing careers and recruiting students are inadequate for they have failed to confront program capacity issues facing community colleges Suggestions for future research and study are provided. The author recommends that future policy discussions regarding the nursing shortage bring together representatives from all medical and educational providers, including the community colleges, to develop responses to all aspects of this complex and multifaceted issue.