1-1     By:  Rangel (Senate Sponsor - Zaffirini)              H.B. No. 2192

 1-2           (In the Senate - Received from the House May 6, 1997;

 1-3     May 7, 1997, read first time and referred to Committee on Health

 1-4     and Human Services; May 14, 1997, reported favorably by the

 1-5     following vote:  Yeas 10, Nays 0; May 14, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to the establishment of a physician recruitment program

 1-9     for medically underserved areas.

1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-11           SECTION 1.  Chapter 106, Health and Safety Code, is amended

1-12     by adding Subchapter E to read as follows:

1-13              SUBCHAPTER E.  TEXAS HEALTH SERVICE CORPS PROGRAM

1-14                       FOR MEDICALLY UNDERSERVED AREAS

1-15           Sec. 106.101.  DEFINITIONS.  In this chapter:

1-16                 (1)  "Medically underserved area" means an area

1-17     designated by the United States Secretary of Health and Human

1-18     Services as having:

1-19                       (A)  a shortage of personal health services or a

1-20     population group that has such a shortage as provided by 42 U.S.C.

1-21     Section 300e-1(7); or

1-22                       (B)  a health professional shortage as provided

1-23     by 42 U.S.C. Section 254e(a)(1).

1-24                 (2)  "Physician" means a resident physician who is

1-25     enrolled in an accredited residency training program in this state

1-26     in the specialty of:

1-27                       (A)  family practice;

1-28                       (B)  general internal medicine;

1-29                       (C)  general pediatric medicine; or

1-30                       (D)  general obstetrics and gynecology.

1-31           Sec. 106.102.  TEXAS HEALTH SERVICE CORPS PROGRAM.  (a)  The

1-32     executive committee shall establish a program in the center to

1-33     assist communities in recruiting and retaining physicians to

1-34     practice in medically underserved areas.

1-35           (b)  The executive committee by rule shall establish:

1-36                 (1)  eligibility criteria for applicants;

1-37                 (2)  stipend application procedures;

1-38                 (3)  guidelines relating to stipend amounts;

1-39                 (4)  procedures for evaluating stipend applications;

1-40     and

1-41                 (5)  a system of priorities relating to the:

1-42                       (A)  geographic areas covered;

1-43                       (B)  medical specialties eligible to receive

1-44     funding under the program; and

1-45                       (C)  level of stipend support.

1-46           Sec. 106.103.  ADMINISTRATION.  (a)  The executive committee

1-47     shall adopt rules necessary to administer this subchapter, and the

1-48     center shall administer the program in accordance with those rules.

1-49           (b)  The center shall conduct field research, collect

1-50     information, and prepare statistical and other reports relating to

1-51     the need for the program.

1-52           (c)  The center may not spend for the center's administrative

1-53     costs more than 10 percent of the amount appropriated to administer

1-54     this subchapter.

1-55           Sec. 106.104.  REQUIRED CONTRACT.  (a)  The center may award

1-56     a stipend to a physician under this subchapter if the physician

1-57     enters into a written contract to provide services in a medically

1-58     underserved area for at least one year for each year that the

1-59     physician receives the stipend.

1-60           (b)  The contract must provide that if the physician does not

1-61     provide the required services in the medically underserved area or

1-62     provides those services for less than the required term, the

1-63     physician is personally liable to the state for:

1-64                 (1)  the total amount of the stipend the physician

 2-1     receives;

 2-2                 (2)  interest on that total amount for the period

 2-3     beginning on the date the physician signs the contract and ending

 2-4     on the date the physician repays the amount of the stipend computed

 2-5     at a rate equal to the sum of:

 2-6                       (A)  the auction average rate quoted on a bank

 2-7     discount basis for 26-week treasury bills issued by the United

 2-8     States government, as published by the Federal Reserve Board, for

 2-9     the week preceding the week in which the contract is signed; and

2-10                       (B)  five percent; and

2-11                 (3)  the state's reasonable expenses incurred in

2-12     obtaining payment, including reasonable attorney's fees.

2-13           Sec. 106.105.  STIPENDS.  (a)  The center shall award

2-14     stipends to physicians for one-year periods.  A stipend awarded

2-15     under this subchapter may not exceed $15,000 each year.

2-16           (b)  The center may renew a stipend used to assist a

2-17     particular  physician.

2-18           (c)  A physician is not eligible for a stipend under this

2-19     subchapter for a period longer than is ordinarily and customarily

2-20     required for the completion of residency training for first board

2-21     eligibility.

2-22           (d)  A physician who receives a stipend under this subchapter

2-23     is not eligible to receive assistance under a state educational

2-24     loan repayment program or other state incentive program.

2-25           Sec. 106.106.  FUNDING.  The center may seek, receive, and

2-26     spend money received through an appropriation, grant, donation, or

2-27     reimbursement from any public or private source to administer this

2-28     subchapter.

2-29           SECTION 2.  The importance of this legislation and the

2-30     crowded condition of the calendars in both houses create an

2-31     emergency and an imperative public necessity that the

2-32     constitutional rule requiring bills to be read on three several

2-33     days in each house be suspended, and this rule is hereby suspended,

2-34     and that this Act take effect and be in force from and after its

2-35     passage, and it is so enacted.

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