83R10204 AED-D
 
  By: West S.B. No. 1617
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to providing loan repayment assistance for physicians
  providing services to certain patients.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 61.532, Education Code, is amended to
  read as follows:
         Sec. 61.532.  ELIGIBILITY.  (a) To be eligible to receive
  repayment assistance, a physician must:
               (1)  apply to the coordinating board;
               (2)  at the time of application, be licensed to
  practice medicine under Subtitle B, Title 3, Occupations Code;
               (3)  have completed one, two, three, or four
  consecutive years of practice:
                     (A)  in a health professional shortage area
  designated by the Department of State Health Services; or
                     (B)  in accordance with Subsection (b); and
               (4)  provide health care services to:
                     (A)  recipients under the medical assistance
  program authorized by Chapter 32, Human Resources Code;
                     (B)  enrollees under the child health plan program
  authorized by Chapter 62, Health and Safety Code; or
                     (C)  persons committed to a secure correctional
  facility operated by or under contract with the Texas Juvenile
  Justice Department [Youth Commission] or persons confined in a
  secure correctional facility operated by or under contract with any
  division of the Texas Department of Criminal Justice.
         (b)  A physician may complete one or more years of practice
  required by Subsection (a)(3) in a location other than a health
  professional shortage area designated by the Department of State
  Health Services if, during each year of eligibility, the physician
  provides health care services to patients and at least 30 percent of
  the patients receiving services from the physician are recipients
  under the medical assistance program authorized by Chapter 32,
  Human Resources Code, according to criteria established by the
  board in consultation with the Health and Human Services
  Commission. The Health and Human Services Commission shall verify
  a physician's compliance with this subsection, and the board and
  the commission shall enter into a memorandum of understanding for
  that purpose.
         SECTION 2.  Section 61.538, Education Code, is amended by
  amending Subsection (a) and adding Subsection (d) to read as
  follows:
         (a)  Except as provided by Subsection (d), a [A] physician
  may receive repayment assistance under this subchapter in the
  amount determined by board rule, not to exceed the following
  amounts for each year for which the physician establishes
  eligibility for the assistance:
               (1)  for the first year, $25,000;
               (2)  for the second year, $35,000;
               (3)  for the third year, $45,000; and
               (4)  for the fourth year, $55,000.
         (d)  A physician who establishes eligibility under Section
  61.532(b) may receive repayment assistance under this subchapter in
  an amount that is not less than 20 percent of the original total
  amount of the physician's loans for each year the physician
  establishes eligibility for the assistance.
         SECTION 3.  Section 61.5391, Education Code, is amended by
  amending Subsection (a) and adding Subsection (c) to read as
  follows:
         (a)  The physician education loan repayment program account
  is an account in the general revenue fund.  The account is composed
  of:
               (1)  gifts and grants contributed to the account;
               (2)  earnings on the principal of the account; and
               (3)  other amounts deposited to the credit of the
  account, including:
                     (A)  money deposited under Section 61.539(b) or
  61.5392;
                     (B)  legislative appropriations; and
                     (C)  money deposited under Section 155.2415, Tax
  Code.
         (c)  Money deposited to the credit of the account under
  Section 61.5392 may be used only to provide loan repayment
  assistance to physicians who establish eligibility for the
  assistance under Section 61.532(a)(4)(A) or (b).
         SECTION 4.  Subchapter J, Chapter 61, Education Code, is
  amended by adding Section 61.5392 to read as follows:
         Sec. 61.5392.  MEDICAID MATCHING FUNDS. (a) For the
  purposes of this subchapter, the Health and Human Services
  Commission shall seek any federal matching funds that are available
  to support Medicaid services in this state.
         (b)  Any amount received under Subsection (a) shall be
  transferred to the comptroller to be deposited in the physician
  education loan repayment program account established under Section
  61.5391.  Section 403.095, Government Code, does not apply to any
  amount deposited under this section.
         SECTION 5.  Not later than October 1, 2013, the Texas Higher
  Education Coordinating Board and the Health and Human Services
  Commission shall enter into the memorandum of understanding
  required by Section 61.532(b), Education Code, as added by this
  Act. As soon as practicable after the date of the memorandum, the
  board shall begin awarding loan repayment assistance to physicians
  who establish eligibility under that subsection.
         SECTION 6.  This Act takes effect September 1, 2013.