By: Madla S.B. No. 126 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the creation and funding of a rural communities health 1-3 care investment program to attract and retain rural health care 1-4 professionals. 1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-6 SECTION 1. Chapter 106, Health and Safety Code, is amended 1-7 by adding Subchapter H to read as follows: 1-8 SUBCHAPTER H. RURAL COMMUNITIES HEALTH CARE INVESTMENT PROGRAM 1-9 Sec. 106.301. DEFINITIONS. In this subchapter: 1-10 (1) "Health professional" means a person who holds a 1-11 license, certificate, registration, permit, or other form of 1-12 authorization required by law or a state agency rule that must be 1-13 obtained by an individual to practice in a health care profession. 1-14 (2) "Medically underserved community" means a 1-15 community: 1-16 (A) located in a county with a population not 1-17 greater than 50,000; 1-18 (B) designated under state or federal law as: 1-19 (i) a health professional shortage area; 1-20 or 1-21 (ii) a medically underserved area; or 1-22 (C) designated a medically underserved community 1-23 by the Center for Rural Health Initiatives. 1-24 Sec. 106.302. ADVISORY PANEL. The center shall appoint an 1-25 advisory panel to assist in the center's duties under this 2-1 subchapter. The advisory panel must consist of at least: 2-2 (1) one representative from the Texas Higher Education 2-3 Coordinating Board; 2-4 (2) one representative from the institutions of higher 2-5 education having degree programs for the health professions 2-6 participating in the programs under this subchapter; 2-7 (3) one representative from a hospital in a medically 2-8 underserved community; 2-9 (4) one physician practicing in a medically 2-10 underserved community; 2-11 (5) one health professional, other than a physician, 2-12 practicing in a medically underserved community; and 2-13 (6) one public representative who resides in a 2-14 medically underserved community. 2-15 Sec. 106.303. LOAN REIMBURSEMENT PROGRAM. The executive 2-16 committee shall establish a program in the center to assist 2-17 communities in recruiting health professionals to practice in 2-18 medically underserved communities by providing loan reimbursement 2-19 for health professionals who agree to serve in those communities. 2-20 Sec. 106.304. STIPEND PROGRAM. The executive committee 2-21 shall establish a program in the center to assist communities in 2-22 recruiting health professionals to practice in medically 2-23 underserved communities by providing a stipend to health 2-24 professionals who agree to serve in those communities. 2-25 Sec. 106.305. CONTRACT REQUIRED. (a) A health professional 2-26 may receive assistance under this subchapter only if the health 3-1 professional signs a contract agreeing to provide health care 3-2 services in a medically underserved community. 3-3 (b) A student in a degree program preparing to become a 3-4 health professional may contract with the center for the loan 3-5 reimbursement program under Section 106.303 before obtaining the 3-6 license required to become a health professional. 3-7 (c) The center may contract with a health professional for 3-8 part-time services under the stipend program established under 3-9 Section 106.304. 3-10 (d) A health professional who participates in any loan 3-11 reimbursement program is not eligible for a stipend under Section 3-12 106.304. 3-13 (e) A contract under this section must provide that a health 3-14 professional who does not provide the required services to the 3-15 community or provides those services for less than the required 3-16 time is personally liable to the state for: 3-17 (1) the total amount of assistance the health 3-18 professional received from the center and the medically underserved 3-19 community; 3-20 (2) interest on the amount under Subdivision (1) at a 3-21 rate set by the executive committee; and 3-22 (3) the state's reasonable expenses incurred in 3-23 obtaining payment, including reasonable attorney's fees. 3-24 Sec. 106.306. POWERS AND DUTIES OF CENTER. (a) The 3-25 executive committee shall adopt rules necessary for the 3-26 administration of this subchapter, including guidelines for: 4-1 (1) developing contracts under which loan or stipend 4-2 recipients provide services to qualifying communities; 4-3 (2) identifying the duties of the state, state agency, 4-4 loan or stipend recipient, and medically underserved community 4-5 under the loan or stipend contract; 4-6 (3) determining a rate of interest to be charged under 4-7 Section 106.305(e)(2); 4-8 (4) insuring that a loan reimbursement or stipend 4-9 recipient provides Medicare or Medicaid patients access to health 4-10 services in qualifying communities; 4-11 (5) encouraging the use of telecommunications or 4-12 telemedicine, as appropriate; 4-13 (6) prioritizing the provision of loans and stipends 4-14 to health professionals who do not have access to any other state 4-15 loan forgiveness, loan repayment, or stipend program; 4-16 (7) prioritizing the provision of loans and stipends 4-17 to health professionals who are graduates of health professional 4-18 degree programs in this state; 4-19 (8) encouraging a medically underserved community 4-20 served by a loan repayment or stipend recipient to contribute to 4-21 the cost of the loan reimbursement or stipend when making a 4-22 contribution is feasible; and 4-23 (9) requiring a medically underserved community served 4-24 by a loan repayment or stipend recipient to assist the center in 4-25 contracting with the loan or stipend recipient who will serve that 4-26 community. 5-1 (b) The executive committee by rule may designate areas of 5-2 the state as medically underserved communities. 5-3 (c) The executive committee shall make reasonable efforts to 5-4 contract with health professionals from a variety of different 5-5 health professions. 5-6 Sec. 106.307. TRUST FUND. (a) The rural communities health 5-7 care investment program trust fund is created as a trust fund with 5-8 the comptroller and shall be administered by the center as trustee 5-9 on behalf of medically underserved communities. 5-10 (b) The center, as trustee of the rural communities health 5-11 care investment program trust fund, may accept and administer gifts 5-12 and grants from any public or private person or entity for the use 5-13 and benefit of any program described or created under this chapter. 5-14 SECTION 2. Subchapter C, Chapter 61, Education Code, is 5-15 amended by adding Section 61.0899 to read as follows: 5-16 Sec. 61.0899. ASSISTANCE IN CERTAIN RURAL HEALTH CARE LOAN 5-17 FORGIVENESS PROGRAMS. The board shall, in cooperation with the 5-18 Center for Rural Health Initiatives and the center's advisory panel 5-19 established under Section 106.302, Health and Safety Code, develop 5-20 a program to ensure that the board and any institution of higher 5-21 education shall seek to obtain the maximum amount of funds from any 5-22 source, including federal funds, to support programs to provide 5-23 student loan reimbursement or stipends for graduates of degree 5-24 programs in this state who practice or agree to practice in a 5-25 medically underserved community. 5-26 SECTION 3. This Act takes effect immediately if it receives 6-1 a vote of two-thirds of all the members elected to each house, as 6-2 provided by Section 39, Article III, Texas Constitution. If this 6-3 Act does not receive the vote necessary for immediate effect, this 6-4 Act takes effect September 1, 2001.