OK
Oklahoma Senate Bill SB1446

Oklahoma 2024 Regular Session

Oklahoma Senate Bill SB1446 Compare Versions

Only one version of the bill is available at this time.
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5353 STATE OF OKLAHOMA
5454
5555 2nd Session of the 59th Legislature (2024)
5656
5757 SENATE BILL 1446 By: Rader
5858
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6363 AS INTRODUCED
6464
6565 An Act relating to income tax credit; defining terms;
6666 providing income tax credit for certain individuals
6767 who conduct a preceptorship rot ation; providing
6868 amount of and basis for credit; providing limitations
6969 on credits allowed; requiring certification with
7070 specified agency; requiring certifications by
7171 specified agency; establishing requireme nts for
7272 individuals claiming credit; establishing certain
7373 requirements related to the Health Care Workforce
7474 Training Commission; requiring evaluation by
7575 Incentive Evaluation Commission; amending 70 O.S.
7676 2021, Section 697.5, as amended by Section 19,
7777 Chapter 407, O.S.L. 2022 (70 O.S. Supp. 2023, Section
7878 697.5), which relates to the Health Care Workforce
7979 Training Commission; providing additional duties;
8080 updating statutory language; providing for
8181 codification; and providing an effective date .
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8787 BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA:
8888 SECTION 1. NEW LAW A new section of law to be codified
8989 in the Oklahoma Statutes as Section 2357.409 of Title 68, unless
9090 there is created a duplication in numbering, reads as follows:
9191 A. As used in this section:
9292 1. “Advanced Practice Registered Nurse student” means an
9393 individual participating in a state-supported training program in
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145145 this state that is accredited by a nationally re cognized accrediting
146146 body for advanced practice registered nursing programs for the
147147 training of individuals to become Advanced Practice Registered
148148 Nurses as defined in Section 567.3a of Title 59 of the Oklahoma
149149 Statutes;
150150 2. “Faculty preceptor” means a medical doctor, a doctor of
151151 osteopathy, an Advanced Practice Registered Nurse, or a physician
152152 assistant who:
153153 a. is licensed in this state, and
154154 b. practices in a location not less than forty (40) miles
155155 from the city center of a city with a p opulation not
156156 less than two hundred fifty thousand (250,000);
157157 3. “Medical school” means a legally chartered allopathic
158158 medical school recognized by the Oklahoma State Regents for Higher
159159 Education;
160160 4. “Medical student” means a student currently enrolled in a
161161 medical school in this state or a school or college of osteopathic
162162 medicine in this state;
163163 5. “Physician assistant student” means an individual
164164 participating in a state-supported training program in t his state
165165 that is approved by the State Board of Medical Licensure and
166166 Supervision for the training of individuals to become physician
167167 assistants as defined in Section 519.2 of Title 59 of the Oklahoma
168168 Statutes;
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220220 6. “Preceptorship rotation” means a period of preceptorship
221221 training of one or more me dical students, residents, physician
222222 assistant students, or Advanced Practice Registered Nurse students
223223 that in aggregate totals one hundred sixty (160) hours;
224224 7. “Preceptorship training” means uncompensated training of a
225225 medical student, resident, Advanced Practice Registered Nurse
226226 student, or physician assistant student enrolled in a training
227227 program in Oklahoma;
228228 8. “Resident” means a medical doctor or doctor o f osteopathy
229229 pursuing post-graduate medical educ ation at a program su pported by a
230230 state-supported school, a medical sch ool, or a school or college of
231231 osteopathic medicine in this state; and
232232 9. “School or college of osteopathic medicine” means a legally
233233 chartered and accredited school or college of osteopathic medicine
234234 requiring:
235235 a. for admission to its courses of s tudy, a preliminary
236236 education equal to the r equirements established by the
237237 Bureau of Professiona l Education of the American
238238 Osteopathic Association, and
239239 b. for granting the D.O. degree, Doctor of Osteopathy, or
240240 Doctor of Osteopathic Medicine, actual attendance at
241241 the osteopathic school or college an d demonstration of
242242 successful completion of the curr iculum and
243243 recommendation for graduation.
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295295 B. 1. For tax years 2025 through 2034 , there shall be allowed
296296 a credit against the tax imposed pursuant to Section 2355 of Title
297297 68 of the Oklahoma Statutes for a faculty preceptor who conducts a
298298 preceptorship rotation.
299299 2. The credit shall be allowed for no greater than ten (10)
300300 preceptorship rotations completed in a calendar year, and shall be
301301 equal to the following amounts:
302302 a. for a licensed medical doctor or doctor of osteopathy,
303303 Five Hundred Dollars ($500.00) each for the first,
304304 second, or third preceptorship rotatio ns and One
305305 Thousand Dollars ($1,000.00) each for up to seven (7)
306306 subsequent rotations, and
307307 b. for a licensed Advanced Practice Registered Nurse or a
308308 physician assistant, Three Hundred Seventy-five
309309 Dollars ($375.00) each for the first, second, or third
310310 preceptorship rotations and Seven Hundred Fifty
311311 Dollars ($750.00) each for up to seven (7) subsequent
312312 rotations.
313313 C. The credit authorized by this section shall not be used to
314314 reduce the tax liability of the taxpayer to less than zero (0).
315315 D. To the extent not used, the credits authorized by this
316316 section may be carried over, in order, to each of the five (5)
317317 subsequent tax years.
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369369 E. 1. For tax year 2027 and any subsequent tax year during
370370 which the credit is allowed, the total amount of credits authorized
371371 by subsection B of this section used to offset tax shall be adjusted
372372 annually to limit the annual amount of credits to Two Million Two
373373 Hundred Thousand Dollars ($2,200,000.00). The Oklahoma Tax
374374 Commission shall annually calculate and publish a percentage by
375375 which the credits authorized by subsection B of this section shall
376376 be reduced so the total amount of credits used to offset tax does
377377 not exceed Two Million Two Hundred Thousand Dollars ($2,200,000.00)
378378 per year. The formula to be used for the percenta ge adjustment
379379 shall be Two Million Two Hundred Thousand Dollars ($2,200,000.00)
380380 divided by the credits claimed in the second precedin g tax year.
381381 2. Pursuant to paragraph 1 of this subsection, in the event the
382382 total tax credits authorized by subsection B of this section exceed
383383 Two Million Two Hundred Thousand Dollars ($2,200,000.00) in any tax
384384 year, the Tax Commission shall permit any excess over Two Million
385385 Two Hundred Thousand Dollars ($2,200,000.00), but shal l factor such
386386 excess into the percentage adjustment formula for subsequent years.
387387 F. A faculty preceptor shall not be eligible for the credit
388388 created under this section if he or she is not certified by the
389389 Health Care Workforce Training Commission as provided by Section
390390 697.5 of Title 70 of the Oklahoma Statutes.
391391 G. The Health Care Workforce Training Commission shall certify
392392 preceptorship rotations on behalf of all eligible public and private
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444444 training programs for medicine, osteopathic medicine, advanced
445445 practice registered nursing, and physician assistants at
446446 institutions in this state for the purpose of determining
447447 eligibility for the income tax credit create d under this section and
448448 shall provide to the taxpayer the information as may be required
449449 pursuant to subsection I of this section.
450450 H. In order to receive the credit provided pursuant to this
451451 section, a faculty preceptor shall:
452452 1. Claim the credit for the tax year in which the preceptorship
453453 rotation was completed;
454454 2. Certify that he or she did not receive payment during the
455455 tax year from any source for providing the training; and
456456 3. Supply supporting documentation as may be required by the
457457 Tax Commission.
458458 I. The credit provided by this secti on shall be evaluated by
459459 the Incentive Evaluation Commiss ion at least once in every four-year
460460 period, as provided in Section 7004 of Title 62 of the Oklahoma
461461 Statutes. In addition to any other data, the evaluation shal l
462462 include data on the annual:
463463 1. Number of faculty preceptors claiming the credit;
464464 2. Total number of preceptorship rotations completed;
465465 3. Number and type of trainees who participated in a
466466 preceptorship rotation; and
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518518 4. The total amount of credits allowed pursuant to this
519519 section.
520520 SECTION 2. AMENDATORY 70 O.S. 2021, Section 69 7.5, as
521521 amended by Section 19, Chapter 407, O.S.L. 2022 (70 O.S. Supp. 2023,
522522 Section 697.5), is amended to read as follows:
523523 Section 697.5. The Health Care Workforce Training Commission,
524524 in order to perform its official function in establishing and
525525 administering physician training programs, shall ha ve the following
526526 specific powers, duties, and responsibilities:
527527 1. To review all available data on health care workforce in
528528 Oklahoma in order to determine the current and projected
529529 distribution of physicians by geographic location and by type of
530530 practice, and, to accomplish this review, the Commission shall
531531 obtain information from and work in conjunctio n with the State
532532 Department of Health and all other agencies which gather data and
533533 evaluate health care workforce needs;
534534 2. To review data and information on accredited physician
535535 internship and residency programs currently operated by Oklahoma
536536 hospitals and other approved clinical situations, in order to
537537 ascertain the number and distribution by physician s pecialty
538538 training and by geographic location of available internship and
539539 residency positions and to evaluate the impact of internship and
540540 residency placement on the establishment of practices by physicians
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592592 in that geographic area or similar areas within th e state where
593593 their services are urgently needed;
594594 3. To serve as an agent to advise hospitals, clinics, and
595595 communities on setting up and planning internship and residency
596596 programs which emphasize the provision of additional primary care
597597 physicians to service the rural areas of Oklahoma with primary care
598598 specialties to be defined to incl ude training in the area of
599599 internal medicine, obstetrics and gynecology, pediatrics, emergency
600600 trauma, and family practice;
601601 4. To provide general counsel and advice in th e development,
602602 operation and evaluation of physici an internship and residency
603603 programs throughout the State of Oklahoma in cooperation with the
604604 efforts of the Oklahoma State Regents for Higher Education and the
605605 state’s physician training institutions such as the Oklahoma
606606 University College of Medicine, Oklahoma City and Tulsa campuses,
607607 and the Oklahoma College of Osteopathic Medicine and Surgery, and
608608 subject to accreditation by official and appropriate accrediting
609609 agencies;
610610 5. To develop the criteria for d etermining the physician
611611 training cost component or associated clinical and hospital training
612612 costs which are or may be nonreimbursable by third party payers in
613613 programs proposed by accredited hospitals, clinical situ ations, or
614614 hospital and clinical progra ms affiliated with and administered by
615615 the College of Medicine, College of Medicine – Tulsa, or College of
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667667 Osteopathic Medicine and Surgery in order to determine the share for
668668 the state in supporting the salary, benefits, training and program
669669 administration costs incurred by hospitals in supporting of the
670670 interns and residents;
671671 6. To develop the criteria and procedure by which state
672672 matching funds will be awarded to hospitals, accredited clinical
673673 situations, in cooper ation with the University of Oklahoma Co llege
674674 of Medicine, University of Oklahoma College of Medicine - Tulsa, and
675675 the Oklahoma College of Osteopathic Medicine and Surgery which shall
676676 administer programs in hospital and clinical situations in the state
677677 to be used to underwrite the salaries, bene fits and associated
678678 training and administration costs provided for the physician int erns
679679 and residents during their period of training in such a way as to
680680 create an incentive for the development and establishment of
681681 residency and internship positions by ho spitals, clinical
682682 establishments or by affiliation agreement with the University of
683683 Oklahoma College of Medicine, University of Oklahoma College of
684684 Medicine – Tulsa, and the Oklahoma College of Osteopathic Medicine
685685 and Surgery by providing funds to cover an d to supplement the
686686 nonreimbursable or additiona l costs incurred in hospitals for
687687 training activities or for delivery of service in outreach and
688688 ambulatory clinical situations which are outside but associated with
689689 the hospitals and clinical establishments participating in the
690690 program;
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742742 7. To review and to approve for inclusion in the prog rams
743743 funded the applications for funds submitted by accredited hospitals
744744 and clinical situations participating in physician training programs
745745 in cooperation with the Univer sity of Oklahoma College of Medicine,
746746 University of Oklahoma College of Medicine - Tulsa and the Oklahoma
747747 College of Osteopathic Medicine and Surgery for the costs of
748748 supplying residents and interns in programs which they administer by
749749 affiliation agreemen ts with hospitals and clinical situations
750750 throughout the state in which the interns and residents are
751751 supervised and funded by the University of Oklahoma College of
752752 Medicine, University of Oklahoma College of Medicine - Tulsa and the
753753 Oklahoma College of Os teopathic Medicine and Surgery and the
754754 hospitals and clinical establishments pay for the patient care
755755 services rendered in their institutions by these residents and
756756 interns during the period of training;
757757 8. To determine the specific level of funding and t he
758758 priorities used for granting state support to approved hospitals and
759759 clinical situations, in cooperation with the University of Oklahoma
760760 College of Medicine, University of Oklahoma College of Medicine -
761761 Tulsa and the Oklahoma College of Osteopathic Medi cine and Surgery
762762 for approved hospital physici an training programs for interns and
763763 residents and to recommend to the Governor and the Oklahoma
764764 Legislature the total funds needed to carry out the purpose of this
765765 program;
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817817 9. To employ a director and any sta ff personnel required to
818818 administer the funding of approved physician training progr ams and
819819 to contract with other state agencies and institutions to conduct
820820 and to perform specified services, functions and aspects in
821821 administering state funds on the speci fied cost-sharing basis
822822 determined by the Com mission or for developing programs and
823823 community and institutional participation in these training
824824 programs;
825825 10. To ensure that hospitals or clinical situations that can
826826 qualify in all sections of Oklahoma be u tilized, and to take all
827827 steps necessary to assist such hospitals or clinics in obta ining
828828 necessary recognition or status, or in meeting standards for
829829 accreditation or affiliation so that they may participate in these
830830 physician training programs;
831831 11. To ensure that in programs administered and ope rated by the
832832 University of Oklahoma Colle ge of Medicine, University of Oklahoma
833833 College of Medicine - Tulsa and the Oklahoma College of Osteopathic
834834 Medicine and Surgery in hospitals and clinical situations through out
835835 the state that funds allocated to the colleges are paid by the
836836 hospitals and clinical situations in which the patient care services
837837 are rendered, the funds are expended for such purposes in funding
838838 residents and interns in the physician training progra ms that the
839839 colleges have established with the approved hospitals and clinical
840840 situations which programs are designed to provide primary health
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892892 care services to the rural and medically underserved parts of the
893893 state;
894894 12. To conduct and to administer a pro gram of physician and
895895 health care workforce placement services throughout the State of
896896 Oklahoma. Placement services shall be made available to
897897 communities, hospitals, health care facilities, physician and health
898898 professional training institutions, health profess ional associations
899899 and organizations, individual physicians, health professiona ls,
900900 students in physician and health professional training institutions
901901 and schools, and other interested parties in such a way so as to
902902 further the purposes of improving the di stribution of physicians and
903903 health professionals practicing or available for pra ctice in the
904904 state and improving in the availability of health care services to
905905 the people of the state. Said The placement service shall include
906906 but not be limited to assist ing communities in matching with,
907907 contacting and recruiting physicians and heal th professionals to
908908 practice in communities in the state. The Commission shall develop
909909 criteria and procedures for the conduct and performance of placement
910910 services and employ any staff, contract for services with any
911911 private agency, nonprofit corporation , or institution to facilitate
912912 the performance of placement services; and
913913 13. For purposes of the income tax credit authorized pursua nt
914914 to Section 1 of this act and in cooperation with the Oklahoma Tax
915915 Commission:
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967967 a. to certify preceptorship rotations for allopathic
968968 medicine, osteopathic medicine, advance practice
969969 registered nursing, and physician assistant training
970970 programs in this stat e and to register faculty
971971 preceptors who provide certified training, and
972972 b. to promulgate any addit ional rules necessary for the
973973 implementation of this act.
974974 SECTION 3. This act shall become effective November 1, 2024.
975975
976976 59-2-3263 QD 12/15/2023 5:09:49 PM