(a) The board may approve and adopt rules regarding pilot programs for innovative applications in the practice and regulation of nursing.
(b) The board shall specify the procedures to be followed in applying for approval of a pilot program. The board may condition approval of a program on compliance with this section and rules adopted under this section.

(c) In approving a pilot program, the board may grant the program an exception to the mandatory reporting requirements of Sections 301.401-301.409 or to a rule adopted under this chapter or Chapter 303 that relates to the practice of nursing, including education and reporting requirements for nurses. The board may not grant an exception to:
(1) the education requirements of this chapter unless the program includes alternate but substantially equivalent requirements; or
(2) the mandatory reporting requirements unless the program:
(A) is designed to evaluate the efficiency of alternative reporting methods; and
(B) provides consumers adequate protection from nurses whose continued practice is a threat to public safety.