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Amend HB 2667 on third reading (Senate committee printing) by
adding the following appropriately numbered SECTION and
renumbering subsequent SECTIONS of the bill accordingly:
SECTION ____. Chapter 487, Government Code, is amended by
adding Subchapter P to read as follows:
SUBCHAPTER P. RURAL PHYSICIAN AND DENTIST LOAN REPAYMENT PROGRAM
Sec. 487.701. DEFINITION. In this subchapter, "rural
medically or dentally underserved area" means a predominantly rural
geographic area in this state that the office by rule designates as
being underserved with respect to available medical or dental care.
Sec. 487.702. LOAN REPAYMENT PROGRAM. In accordance with
this subchapter and rules adopted by the executive committee, the
office shall establish and administer a program to provide loan
repayment assistance to physicians and dentists who agree to:
(1) practice medicine or dentistry, as applicable, in
a rural medically or dentally underserved area; and
(2) provide medical or dental services, as applicable,
in that area to children who are recipients under the medical
assistance program operated under Chapter 32, Human Resources Code.
Sec. 487.703. ELIGIBILITY. To be eligible to receive loan
repayment assistance under this subchapter, a physician or dentist
must:
(1) apply to the office;
(2) be licensed to practice medicine or dentistry, as
applicable, in this state; and
(3) enter into an agreement with the office as provided
by Section 487.705.
Sec. 487.704. ELIGIBLE LOANS. (a) The office may
provide repayment assistance for the repayment of any education
loan received by the physician or dentist through any lender for
education at any medical or dental school authorized by the Texas
Higher Education Coordinating Board to award a degree that
satisfies the medical or dental study requirements for licensure as
a physician or dentist in this state.
(b) The office may not provide repayment assistance for an
education loan that is in default at the time of the physician's or
dentist's application.
Sec. 487.705. AGREEMENT REQUIREMENTS. (a) To qualify
for loan repayment assistance under this section, a person must
enter into a written agreement with the office as provided by this
section. The agreement must:
(1) specify the conditions the person must satisfy to
receive repayment assistance;
(2) require the person to practice medicine or
dentistry for at least three years in a rural medically or dentally
underserved area and to provide medical or dental services, as
applicable, in that area during that period to children who are
recipients under the medical assistance program operated under
Chapter 32, Human Resources Code;
(3) provide that any repayment assistance the person
receives under this subchapter constitutes a loan until the person
completes the three years of practice and satisfies other
applicable conditions of the agreement; and
(4) require the person to sign a promissory note
acknowledging the conditional nature of the repayment assistance
received and promising to repay the amount of that assistance plus
applicable interest and reasonable collection costs if the person
does not satisfy the applicable conditions.
(b) The office shall determine the terms of the promissory
note required by Subsecton (a)(4). To the extent practicable, the
terms must be the same as those applicable to state or federally
guaranteed student loans made at the same time.
(c) The Health and Human Services Commission shall provide
any information requested by the office necessary for the office to
confirm a physician's or dentist's compliance with the requirement
under Subsection (a)(2) that the physician or dentist provide
services to children who are recipients of the medical assistance
program operated under Chapter 32, Human Resources Code.
Sec. 487.706. REPAYMENT. (a) The office shall deliver
any repayment assistance made under this subchapter in a lump sum
payable to the lender and the physician or dentist, as applicable,
and in accordance with any applicable federal law.
(b) Loan repayment assistance received under this
subchapter may be applied to the principal amount of the loan and to
interest that accrues.
Sec. 487.707. GRANTS, GIFTS, AND DONATIONS. In addition
to funds appropriated by the legislature, the office may solicit
and accept grants, gifts, and donations from any public or private
source for the purposes of this subchapter.
Sec. 487.708. RULES. (a) The executive committee shall
adopt rules necessary to administer this subchapter.
(b) The office shall distribute to each medical or dental
school of a public or private institution of higher education in
this state a copy of the rules adopted under this section.