By Farabee H.B. No. 3373
77R6527 YDB-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to loan repayment by certain health professionals.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Section 204.104, Occupations Code, is transferred
1-5 to Chapter 61, Education Code, redesignated as Subchapter X of that
1-6 chapter, and amended to read as follows:
1-7 SUBCHAPTER X. REPAYMENT OF CERTAIN
1-8 HEALTH PROFESSIONAL EDUCATION LOANS
1-9 Sec. 61.951 [204.104]. RURAL HEALTH PROFESSIONAL [PHYSICIAN
1-10 ASSISTANT] LOAN REIMBURSEMENT PROGRAM. (a) In this subchapter,
1-11 "health professional" includes:
1-12 (1) a physicians assistant;
1-13 (2) a registered nurse, including an advanced nurse
1-14 practitioner; and
1-15 (3) a pharmacist.
1-16 (b) The board may [A program shall be established to]
1-17 provide student loan reimbursement for graduates of appropriate
1-18 [physician assistant] training programs for health professionals in
1-19 [from] any state who practice in rural health professional shortage
1-20 areas and medically underserved areas identified in this state by
1-21 the Texas Department of Health. The appropriate licensing
1-22 [physician assistant] board shall fund the program by designating
1-23 annually a portion of the revenue generated [under this chapter]
1-24 from [physician assistant] licensing fees for that profession.
2-1 (c) [(b)] The board [Center for Rural Health Initiatives]
2-2 shall establish policies for and adopt rules to administer the loan
2-3 program.
2-4 (d) [(c)] The appropriate licensing [physician assistant
2-5 board shall authorize and the medical] board shall transfer
2-6 annually the funds designated under Subsection (b) [(a)] to the
2-7 Texas Higher Education Coordinating Board [Center for Rural Health
2-8 Initiatives] to administer the loan program.
2-9 SECTION 2. Subchapter F, Chapter 106, Health and Safety Code,
2-10 is transferred to Chapter 61, Education Code, redesignated as
2-11 Subchapter Y of that chapter, and amended to read as follows:
2-12 SUBCHAPTER Y [F]. TEXAS HEALTH SERVICE CORPS PROGRAM FOR MEDICALLY
2-13 UNDERSERVED AREAS
2-14 Sec. 61.976 [106.151]. DEFINITIONS. In this chapter:
2-15 (1) "Health professional" includes:
2-16 (A) a physician;
2-17 (B) a registered nurse, including an advanced
2-18 nurse practitioner; and
2-19 (C) a pharmacist.
2-20 (2) "Medically underserved area" means an area
2-21 designated by the United States Secretary of Health and Human
2-22 Services as having:
2-23 (A) a shortage of personal health services or a
2-24 population group that has such a shortage as provided by 42 U.S.C.
2-25 Section 300e-1(7); or
2-26 (B) a health professional shortage as provided
2-27 by 42 U.S.C. Section 254e(a)(1).
3-1 (3) [(2)] "Physician" means a resident physician who
3-2 is enrolled in an accredited residency training program in this
3-3 state in the specialty of:
3-4 (A) family practice;
3-5 (B) general internal medicine;
3-6 (C) general pediatric medicine; or
3-7 (D) general obstetrics and gynecology.
3-8 Sec. 61.977 [106.152]. TEXAS HEALTH SERVICE CORPS PROGRAM.
3-9 (a) The board [executive committee] shall provide [establish] a
3-10 program [in the center] to assist communities in recruiting and
3-11 retaining health professionals [physicians] to practice in
3-12 medically underserved areas.
3-13 (b) The board [executive committee] by rule shall establish:
3-14 (1) eligibility criteria for applicants;
3-15 (2) stipend application procedures;
3-16 (3) guidelines relating to stipend amounts;
3-17 (4) procedures for evaluating stipend applications;
3-18 and
3-19 (5) a system of priorities relating to the:
3-20 (A) geographic areas covered;
3-21 (B) for physicians, medical specialties eligible
3-22 to receive funding under the program; and
3-23 (C) level of stipend support.
3-24 Sec. 61.978 [106.153]. ADMINISTRATION. (a) The board
3-25 [executive committee] shall adopt rules necessary to administer
3-26 this subchapter[,] and [the center] shall administer the program in
3-27 accordance with those rules.
4-1 (b) The board [center] shall provide for conducting
4-2 [conduct] field research, collecting [collect] information, and
4-3 preparing [prepare] statistical and other reports relating to the
4-4 need for the program.
4-5 (c) The board [center] may not spend for the administration
4-6 of this subchapter [center's administrative costs] more than 10
4-7 percent of the amount appropriated to administer this subchapter.
4-8 Sec. 61.979 [106.154]. REQUIRED CONTRACT. (a) The board
4-9 [center] may award a stipend to a health professional [physician]
4-10 under this subchapter if the health professional [physician] enters
4-11 into a written contract to provide services in a medically
4-12 underserved area for at least one year for each year that the
4-13 health professional [physician] receives the stipend.
4-14 (b) The contract must provide that if the health
4-15 professional [physician] does not provide the required services in
4-16 the medically underserved area or provides those services for less
4-17 than the required term, the health professional [physician] is
4-18 personally liable to the state for:
4-19 (1) the total amount of the stipend the health
4-20 professional [physician] receives;
4-21 (2) interest on that total amount for the period
4-22 beginning on the date the health professional [physician] signs the
4-23 contract and ending on the date the health professional [physician]
4-24 repays the amount of the stipend computed at a rate equal to the
4-25 sum of:
4-26 (A) the auction average rate quoted on a bank
4-27 discount basis for 26-week treasury bills issued by the United
5-1 States government, as published by the Federal Reserve Board, for
5-2 the week preceding the week in which the contract is signed; and
5-3 (B) five percent; and
5-4 (3) the state's reasonable expenses incurred in
5-5 obtaining payment, including reasonable attorney's fees.
5-6 Sec. 61.980 [106.155]. STIPENDS. (a) The board [center]
5-7 shall award stipends to health professionals [physicians] for
5-8 one-year periods. A stipend awarded under this subchapter may not
5-9 exceed $15,000 each year.
5-10 (b) The board [center] may renew a stipend used to assist a
5-11 particular health professional [physician].
5-12 (c) A physician is not eligible for a stipend under this
5-13 subchapter for a period longer than is ordinarily and customarily
5-14 required for the completion of residency training for first board
5-15 eligibility.
5-16 (d) A health professional [physician] who receives a stipend
5-17 under this subchapter is not eligible to receive assistance under a
5-18 state educational loan repayment program or other state incentive
5-19 program.
5-20 Sec. 61.981 [106.156]. FUNDING. The board [center] may seek,
5-21 receive, and spend money received through an appropriation, grant,
5-22 donation, or reimbursement from any public or private source to
5-23 administer this subchapter.
5-24 SECTION 3. Section 61.537(a), Education Code, is amended to
5-25 read as follows:
5-26 (a) The [coordinating] board shall adopt rules necessary for
5-27 the administration of this subchapter, including rules [a rule]
6-1 that:
6-2 (1) set [sets] a maximum amount of repayment
6-3 assistance that may be received by a physician in one year;
6-4 (2) give priority for repayment assistance to an
6-5 eligible physician who is or will be providing service in a
6-6 medically underserved area; and
6-7 (3) authorize [a rule that authorizes] the Family
6-8 Practice Residency Advisory Committee to establish other priorities
6-9 among eligible physicians for repayment assistance, by taking into
6-10 account the degree of physician shortage, geographic locations,
6-11 [whether the physician is or will be providing service in a
6-12 medically underserved area,] and any other criteria the committee
6-13 considers appropriate.
6-14 SECTION 4. Section 61.609(a), Education Code, is amended to
6-15 read as follows:
6-16 (a) The [coordinating] board shall adopt rules necessary for
6-17 the administration of this subchapter, including rules [a rule]
6-18 that:
6-19 (1) set [sets] a maximum amount of repayment
6-20 assistance that may be received by a physical therapist in one
6-21 year; and
6-22 (2) give priority for repayment assistance to a
6-23 physical therapist who is or will be providing service in an
6-24 underserved area with respect to physical therapy services.
6-25 SECTION 5. Section 61.656, Education Code, is amended by
6-26 adding Subsection (f) to read as follows:
6-27 (f) The board shall adopt a rule giving priority for
7-1 financial aid or loan repayment assistance to a professional
7-2 nursing student or a vocational nursing student who is or will be
7-3 providing service in an underserved area with respect to nursing
7-4 services.
7-5 SECTION 6. Section 61.904(a), Education Code, is amended to
7-6 read as follows:
7-7 (a) The board may provide repayment assistance for the
7-8 repayment of any student loan for education at a public or private
7-9 institution of higher education [in this state], including loans
7-10 for undergraduate education, received by a dentist through any
7-11 lender.
7-12 SECTION 7. Section 61.908(a), Education Code, is amended to
7-13 read as follows:
7-14 (a) The board shall adopt rules necessary for the
7-15 administration of this subchapter, including rules [a rule] that:
7-16 (1) set [sets] a maximum amount of repayment
7-17 assistance that may be received by a dentist in one year;
7-18 (2) give priority for repayment assistance to a
7-19 dentist who is or will be providing services in an underserved area
7-20 with respect to dental services; and
7-21 (3) authorize[. The board may consult with] the Oral
7-22 Health Services Advisory Committee to assist the board in
7-23 establishing other priorities among eligible dentists for repayment
7-24 assistance, taking into account the degree of an area's shortage of
7-25 dental services, geographic locations, [whether the dentist is or
7-26 will be providing service in an underserved area with respect to
7-27 dental services,] and any other criteria the board considers
8-1 appropriate.
8-2 SECTION 8. Effective January 1, 2002:
8-3 (1) the powers and duties of the Texas State Board of
8-4 Physician Assistant Examiners relating to the loan reimbursement
8-5 program under Subchapter X, Chapter 61, Education Code, as
8-6 redesignated and amended by this Act, and of the executive
8-7 committee of the Center for Rural Health Initiatives relating to
8-8 the Texas Health Service Corps Program for Medically Underserved
8-9 Areas under Subchapter Y, Chapter 61, Education Code, as
8-10 redesignated and amended by this Act, are transferred as provided
8-11 by this Act, on the effective date of this Act, to the Texas Higher
8-12 Education Coordinating Board;
8-13 (2) all personnel, property, equipment, records, and
8-14 unobligated and unexpended appropriations of the Texas State Board
8-15 of Physician Assistant Examiners or of the Center for Rural Health
8-16 Initiatives, as applicable, relating to a program specified by
8-17 Subdivision (1) of this section are transferred to the Texas Higher
8-18 Education Coordinating Board; and
8-19 (3) a rule or form adopted by the Texas State Board of
8-20 Physician Assistant Examiners or the Center for Rural Health
8-21 Initiatives, as applicable, relating to a program specified by
8-22 Subdivision (1) of this section is a rule or form of the Texas
8-23 Higher Education Coordinating Board and remains in effect until
8-24 amended or repealed by the board.
8-25 SECTION 9. This Act takes effect September 1, 2001.