By:  Truan                                             S.B. No. 514
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to expanding certain grant programs formerly limited to
 1-3     physicians to include other health care professionals.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 106.101, Health and Safety Code, is
 1-6     amended to read as follows:
 1-7           Sec. 106.101.  DEFINITIONS.  In this subchapter:
 1-8                 (1)  "Federally qualified health center" has the
 1-9     meaning assigned by 42 U.S.C. Section 1396d(l)(2).
1-10                 (2)  "Health care professional" means:
1-11                       (A)  a physician assistant;
1-12                       (B)  an advanced practice nurse;
1-13                       (C)  a registered nurse;
1-14                       (D)  a radiologist;
1-15                       (E)  a pharmacist; and
1-16                       (F)  any other professional who provides health
1-17     care services, as determined by the executive committee.
1-18                 (3)  "Medically underserved community" means:
1-19                       (A)  a community located in an area in this state
1-20     with a medically underserved population;
1-21                       (B)  a community located in an area in this state
1-22     designated by the United States Secretary of Health and Human
1-23     Services as an area with a shortage of personal health services;
1-24                       (C)  a population group designated by the United
1-25     States Secretary of Health and Human Services as having a shortage
 2-1     of personal health services; or
 2-2                       (D)  a community that meets criteria adopted by
 2-3     the board by rule, considering relevant demographic, geographic,
 2-4     and environmental factors.
 2-5                 (4) [(2)]  "Physician" means a person licensed to
 2-6     practice medicine in this state.
 2-7                 (5) [(3)]  "Primary care" means physician services in
 2-8     family practice, general practice, internal medicine, pediatrics,
 2-9     obstetrics, or gynecology.
2-10                 (6) [(4)]  "Start-up money" means a payment made by a
2-11     medically underserved community for reasonable costs incurred by a
2-12     physician to establish a medical office and ancillary facilities
2-13     for diagnosing and treating patients.
2-14           SECTION 2.  Subsections (a) through (d), Section 106.102,
2-15     Health and Safety Code, are amended to read as follows:
2-16           (a)  The executive committee shall establish and administer a
2-17     program under this subchapter to increase the number of physicians,
2-18     health care professionals, and federally qualified health centers
2-19     providing or assisting in the provision of primary care in
2-20     medically underserved communities.
2-21           (b)  A medically underserved community may sponsor a
2-22     physician who has completed a primary care residency program, a
2-23     health care professional, or a federally qualified health center if
2-24     the physician, health care professional, or federally qualified
2-25     health center [and] has agreed to provide or assist in the
2-26     provision of primary care in the community by contributing to
 3-1     start-up money for the physician, health care professional, or
 3-2     federally qualified health center and having that contribution
 3-3     matched in whole or in part by state money appropriated to the
 3-4     executive committee for that purpose.
 3-5           (c)  A participating medically underserved community may
 3-6     provide start-up money to an eligible physician, health care
 3-7     professional, or federally qualified health center over a two-year
 3-8     period.
 3-9           (d)  The executive committee may not pay more than the
3-10     following amounts [$25,000] to a community in a fiscal year unless
3-11     the executive committee makes a specific finding of need by the
3-12     community:
3-13                 (1)  $25,000 for eligible physicians;
3-14                 (2)  $25,000 for eligible health care professionals;
3-15     and
3-16                 (3)  $50,000 for a federally qualified health center.
3-17           SECTION 3.  Section 106.103, Health and Safety Code, is
3-18     amended to read as follows:
3-19           Sec. 106.103.  ELIGIBILITY.  To be eligible to receive money
3-20     from the executive committee, a medically underserved community
3-21     must:
3-22                 (1)  apply for the money; and
3-23                 (2)  provide evidence satisfactory to the executive
3-24     committee that it has entered into an agreement with a physician or
3-25     health care professional, or with an entity applying under this
3-26     chapter that has submitted an application for federally qualified
 4-1     health center status, under which [for] the physician, health care
 4-2     professional, or federally qualified health center shall [to]
 4-3     provide or assist in the provision of primary care in the community
 4-4     for at least two years.
 4-5           SECTION 4.  Section 106.104, Health and Safety Code, is
 4-6     amended to read as follows:
 4-7           Sec. 106.104.  RULES.  The executive committee shall adopt
 4-8     rules necessary for the administration of this subchapter,
 4-9     including:
4-10                 (1)  eligibility criteria for a medically underserved
4-11     community;
4-12                 (2)  eligibility criteria for a physician;
4-13                 (3)  eligibility criteria for health care
4-14     professionals;
4-15                 (4)  eligibility criteria for federally qualified
4-16     health centers;
4-17                 (5)  minimum and maximum community contributions to the
4-18     start-up money for a physician to be matched with state money;
4-19                 (6) [(4)]  conditions under which state money must be
4-20     repaid by a community, [or] physician, health care professional, or
4-21     federally qualified health center;
4-22                 (7) [(5)]  procedures for disbursement of money by the
4-23     executive committee;
4-24                 (8) [(6)]  the form and manner in which a community
4-25     must make its contribution to the start-up money; and
4-26                 (9) [(7)]  the contents of an agreement to be entered
 5-1     into by the parties to include at least:
 5-2                       (A)  a credit check for an eligible physician or
 5-3     health care professional; and
 5-4                       (B)  community retention of interest in any
 5-5     property, equipment, or durable goods for seven years.
 5-6           SECTION 5.  Section 106.151, Health and Safety Code, is
 5-7     amended to read as follows:
 5-8           Sec. 106.151.  DEFINITIONS.  In this chapter:
 5-9                 (1)  "Health care professional" means:
5-10                       (A)  a physician assistant;
5-11                       (B)  an advanced practice nurse;
5-12                       (C)  a registered nurse;
5-13                       (D)  a radiologist;
5-14                       (E)  a pharmacist; and
5-15                       (F)  any other professional who provides health
5-16     care services as determined by the executive committee.
5-17                 (2)  "Medically underserved area" means an area
5-18     designated by the United States Secretary of Health and Human
5-19     Services as having:
5-20                       (A)  a shortage of personal health services or a
5-21     population group that has such a shortage as provided by 42 U.S.C.
5-22     Section 300e-1(7); or
5-23                       (B)  a health professional shortage as provided
5-24     by 42 U.S.C. Section 254e(a)(1).
5-25                 (3) [(2)]  "Physician" means a resident physician who
5-26     is enrolled in an accredited residency training program in this
 6-1     state in the specialty of:
 6-2                       (A)  family practice;
 6-3                       (B)  general internal medicine;
 6-4                       (C)  general pediatric medicine; or
 6-5                       (D)  general obstetrics and gynecology.
 6-6           SECTION 6.  Subsection (a), Section 106.152, Health and
 6-7     Safety Code, is amended to read as follows:
 6-8           (a)  The executive committee shall establish a program in the
 6-9     center to assist communities in recruiting and retaining physicians
6-10     and health care professionals to practice in medically underserved
6-11     areas.
6-12           SECTION 7.  Section 106.154, Health and Safety Code, is
6-13     amended to read as follows:
6-14           Sec. 106.154.  REQUIRED CONTRACT.  (a)  The center may award
6-15     a stipend to a physician or a health care professional under this
6-16     subchapter if the physician or the health care professional enters
6-17     into a written contract to provide services in a medically
6-18     underserved area for at least one year for each year that the
6-19     physician or the health care professional receives the stipend.
6-20           (b)  The contract must provide that if the physician or the
6-21     health care professional does not provide the required services in
6-22     the medically underserved area or provides those services for less
6-23     than the required term, the physician or the health care
6-24     professional is personally liable to the state for:
6-25                 (1)  the total amount of the stipend the physician or
6-26     the health care professional receives;
 7-1                 (2)  interest on that total amount for the period
 7-2     beginning on the date the physician or the health care professional
 7-3     signs the contract and ending on the date the physician or the
 7-4     health care professional repays the amount of the stipend computed
 7-5     at a rate equal to the sum of:
 7-6                       (A)  the auction average rate quoted on a bank
 7-7     discount basis for 26-week treasury bills issued by the United
 7-8     States government, as published by the Federal Reserve Board, for
 7-9     the week preceding the week in which the contract is signed; and
7-10                       (B)  five percent; and
7-11                 (3)  the state's reasonable expenses incurred in
7-12     obtaining payment, including reasonable attorney's fees.
7-13           SECTION 8.  Subsections (a), (b), and (d), Section 106.155,
7-14     Health and Safety Code, are amended to read as follows:
7-15           (a)  The center shall award stipends to physicians or health
7-16     care professionals for one-year periods.  A stipend awarded under
7-17     this subchapter may not exceed $15,000 each year.
7-18           (b)  The center may renew a stipend used to assist a
7-19     particular physician or health care professional.
7-20           (d)  A physician or a health care professional who receives a
7-21     stipend under this subchapter is not eligible to receive assistance
7-22     under a state educational loan repayment program or other state
7-23     incentive program.
7-24           SECTION 9.  This Act takes effect September 1, 2001.