By:  Hardcastle, Christian (Senate Sponsor - Madla)               H.B. No. 1420
	(In the Senate - Received from the House April 25, 2003; 
April 28, 2003, read first time and referred to Subcommittee on 
Higher Education; May 22, 2003, reported to Committee on 
Education; May 23, 2003, reported adversely, with favorable 
Committee Substitute by the following vote:  Yeas 7, Nays 0; 
May 23, 2003, sent to printer.)


COMMITTEE SUBSTITUTE FOR H.B. No. 1420                                   By:  Janek


A BILL TO BE ENTITLED

AN ACT


relating to the use of a portion of medical school tuition for 
student loan repayment assistance for physicians.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 61.539, Education Code, is amended to 
read as follows:   
	Sec. 61.539.  MEDICAL SCHOOL TUITION SET ASIDE FOR CERTAIN 
LOAN REPAYMENTS.  (a)  The governing boards of each medical unit of 
an institution of higher education shall cause to be set aside two 
percent of tuition charges for each student [resident students] 
registered in a medical branch, school, or college.
	(b)  The amount set aside shall be transferred to the 
comptroller of public accounts to be maintained in the state 
treasury for the sole purpose of repayment of student loans of a 
physician [physicians] serving in a designated state agency 
[agencies] or in an area of this state that is economically 
depressed or that is a [rural] medically underserved area or health 
professional shortage area, [areas of the state] as designated by 
the United States Department of Health and Human Services, that has 
a current shortage of physicians [specified by this subchapter].  
Section [Sections 403.094(h) and] 403.095, Government Code, does
[do] not apply to the amount set aside by this section.
	(c)  As soon as practicable after each state fiscal year, the 
comptroller shall prepare a report for that fiscal year of the 
number of students registered in a medical branch, school, or 
college, the total amount of tuition charges collected by each 
institution, the total amount transferred to the treasury under 
this section, and the total amount available under Subsection (b) 
for the repayment of student loans of physicians under this 
subchapter.  The comptroller shall deliver a copy of the report to 
the board and to the governor, lieutenant governor, and speaker of 
the house of representatives not later than January 1 following the 
end of the fiscal year covered by the report.
	SECTION 2.  The change in law made by this Act applies 
beginning with tuition fees charged to students registered in a 
medical branch, school, or college for the 2003-2004 academic year.
	SECTION 3.   This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect September 1, 2003.



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