H.B. No. 2154
AN ACT
relating to the physician education loan repayment program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 61.532(a), Education Code, is amended to
read as follows:
(a) To be eligible to receive repayment assistance, a
physician must:
(1) apply to the coordinating board [and have
completed at least one year of medical practice:
[(1) in private practice in an economically depressed
or rural medically underserved area of the state];
(2) at the time of application, be licensed to
practice medicine under Subtitle B, Title 3, Occupations Code [for
one of the following state agencies:
[(A) Texas Department of Health;
[(B) Texas Department of Mental Health and Mental
Retardation;
[(C) Texas Department of Corrections; or
[(D) Texas Youth Commission]; [or]
(3) have completed one, two, three, or four
consecutive years of practice in a health professional shortage
area designated by the Department of State Health Services; and
(4) provide health care services to:
(A) recipients under the medical assistance
program authorized by Chapter 32, Human Resources Code; or
(B) enrollees under the child health plan program
authorized by Chapter 62, Health and Safety Code [for an approved
family practice residency training program established under
Subchapter I as a clinical faculty member and have completed
training in an approved family practice residency training program
on or after July 1, 1994].
SECTION 2. Section 61.533, Education Code, is amended to
read as follows:
Sec. 61.533. LIMITATION. A physician may receive repayment
assistance grants for [each of] not more than four [five] years.
SECTION 3. Section 61.535(a), Education Code, is amended to
read as follows:
(a) The coordinating board shall deliver any repayment made
under this subchapter in a lump sum payable:
(1) to both the [lender and the] physician and the
lender or other holder of the affected loan; or
(2) directly to the lender or other holder of the loan
on the physician's behalf[, in accordance with federal law].
SECTION 4. Section 61.536, Education Code, is amended to
read as follows:
Sec. 61.536. ADVISORY COMMITTEES. The coordinating board
may[:
[(1)] appoint advisory committees from outside the
board's membership to assist the board in performing its duties
under this subchapter[; and
[(2) request the assistance of the Family Practice
Residency Advisory Committee in performing those duties].
SECTION 5. Section 61.537, Education Code, is amended to
read as follows:
Sec. 61.537. RULES. (a) The coordinating board shall adopt
rules necessary for the administration of this subchapter[,
including a rule that sets a maximum amount of repayment assistance
that may be received by a physician in one year and a rule that
authorizes the Family Practice Residency Advisory Committee to
establish priorities among eligible physicians for repayment
assistance, by taking into account the degree of physician
shortage, geographic locations, whether the physician is or will be
providing service in a medically underserved area, and other
criteria the committee considers appropriate].
(b) The coordinating board shall distribute to each medical
unit [and appropriate state agency] and professional association
copies of the rules adopted under this section and pertinent
information in this subchapter.
SECTION 6. Section 61.538, Education Code, is amended to
read as follows:
Sec. 61.538. [TOTAL] AMOUNT OF REPAYMENT ASSISTANCE.
(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.
(b) The total amount of repayment assistance distributed
by the board may not exceed the total amount of money available in
the physician education loan repayment program account [gifts and
grants accepted by the board for repayment assistance, medical
school tuition set aside under Section 61.539 of this code, and
legislative appropriations for repayment assistance].
(c) The total amount of repayment assistance made under this
subchapter to an individual physician may not exceed $160,000.
SECTION 7. Sections 61.539(b) and (c), Education Code, are
amended to read as follows:
(b) The amount set aside shall be transferred to the
comptroller of public accounts to be deposited in the physician
education loan repayment program account established under Section
61.5391 [maintained in the state treasury for the sole purpose of
repayment of student loans of a physician serving in a designated
state agency or in an area of this state that is economically
depressed or that is a medically underserved area or health
professional shortage area, as designated by the United States
Department of Health and Human Services, that has a current
shortage of physicians]. Section 403.095, Government Code, does
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 comptroller
[treasury] under this section, and the total amount available in
the physician education loan repayment program account [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 8. Subchapter J, Chapter 61, Education Code, is
amended by adding Section 61.5391 to read as follows:
Sec. 61.5391. PHYSICIAN EDUCATION LOAN REPAYMENT PROGRAM
ACCOUNT. (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);
(B) legislative appropriations; and
(C) money deposited under Section 155.2415, Tax
Code.
(b) Money in the account may not be appropriated for any
purpose except to provide loan repayment assistance to eligible
physicians under this subchapter.
SECTION 9. Section 61.540, Education Code, is amended to
read as follows:
Sec. 61.540. LOAN REPAYMENT ASSISTANCE [SERVICE AGREEMENTS
ENTERED INTO] UNDER FORMER LAW; SAVING PROVISION. (a) This
subsection [section] applies only to a person who entered into a
written agreement to perform service as a physician in exchange for
loan repayment assistance under this subchapter before September 1,
2003.
[(b)] The agreement continues in effect and this
subchapter, as it existed when the person entered into the
agreement, is continued in effect for purposes of that agreement
until the person satisfies all the conditions of the agreement or
repays all amounts due under the agreement if the person does not
satisfy the conditions of the agreement.
(b) A person receiving loan repayment assistance under this
subchapter immediately before the effective date of the amendments
made to this subchapter by the 81st Legislature, Regular Session,
2009, may continue to receive loan repayment assistance under this
subchapter, as this subchapter applied to the person immediately
before the effective date of those amendments, until the person is
no longer eligible for loan repayment assistance under this
subchapter, as this subchapter existed on that date, and the former
law is continued in effect for that purpose.
(c) A person to whom this section applies is not eligible to
receive repayment assistance under another provision of this
subchapter.
SECTION 10. Section 155.0211, Tax Code, is amended by
amending Subsection (b) and adding Subsections (b-1), (b-2), (b-3),
(b-4), (c), (d), and (e) to read as follows:
(b) Except as provided by Subsection (c), the [The] tax rate
for each can or package of a tobacco product [products] other than
cigars is $1.22 per ounce and a proportionate rate on all fractional
parts of an ounce [40 percent of the manufacturer's list price,
exclusive of any trade discount, special discount, or deal].
(b-1) Notwithstanding Subsection (b) and except as provided
by Subsection (c), for the state fiscal year beginning September 1,
2012, the tax rate for each can or package of a tobacco product
other than cigars is $1.19 per ounce and a proportionate rate on all
fractional parts of an ounce. This subsection expires December 1,
2013.
(b-2) Notwithstanding Subsection (b) and except as provided
by Subsection (c), for the state fiscal year beginning September 1,
2011, the tax rate for each can or package of a tobacco product
other than cigars is $1.16 per ounce and a proportionate rate on all
fractional parts of an ounce. This subsection expires December 1,
2012.
(b-3) Notwithstanding Subsection (b) and except as provided
by Subsection (c), for the state fiscal year beginning September 1,
2010, the tax rate for each can or package of a tobacco product
other than cigars is $1.13 per ounce and a proportionate rate on all
fractional parts of an ounce. This subsection expires December 1,
2011.
(b-4) Notwithstanding Subsection (b) and except as provided
by Subsection (c), for the state fiscal year beginning September 1,
2009, the tax rate for each can or package of a tobacco product
other than cigars is $1.10 per ounce and a proportionate rate on all
fractional parts of an ounce. This subsection expires December 1,
2010.
(c) The tax imposed on a can or package of a tobacco product
other than cigars that weighs less than 1.2 ounces is equal to the
amount of the tax imposed on a can or package of a tobacco product
that weighs 1.2 ounces.
(d) The computation of the tax under this section and the
applicability of Subsection (c) shall be based on the net weight as
listed by the manufacturer. The total tax to be imposed on a unit
that contains multiple individual cans or packages is the sum of the
taxes imposed by this section on each individual can or package
intended for sale or distribution at retail.
(e) A change in the tax rate in effect for a state fiscal
year that occurs in accordance with this section does not affect
taxes imposed before that fiscal year, and the rate in effect when
those taxes were imposed continues in effect for purposes of the
liability for and collection of those taxes.
SECTION 11. Section 155.101, Tax Code, is amended to read as
follows:
Sec. 155.101. RECORD OF PURCHASE OR RECEIPT. Each
distributor, wholesaler, bonded agent, and export warehouse shall
keep records at each place of business of all tobacco products
purchased or received. Each retailer shall keep records at a single
location, which the retailer shall designate as its principal place
of business in the state, of all tobacco products purchased and
received. These records must include the following, except that
Subdivision (7) applies to distributors only and Subdivision (8)
applies only to the purchase or receipt of tobacco products other
than cigars:
(1) the name and address of the shipper or carrier and
the mode of transportation;
(2) all shipping records or copies of records,
including invoices, bills of lading, waybills, freight bills, and
express receipts;
(3) the date and the name of the place of origin of the
tobacco product shipment;
(4) the date and the name of the place of arrival of
the tobacco product shipment;
(5) a statement of the number, kind, and price paid for
the tobacco products;
(6) the name, address, permit number, and tax
identification number of the seller;
(7) the manufacturer's list price for the tobacco
products; [and]
(8) the net weight as listed by the manufacturer for
each unit; and
(9) any other information required by rules of the
comptroller.
SECTION 12. Section 155.102, Tax Code, is amended by adding
Subsection (c) to read as follows:
(c) In addition to the information required under
Subsection (b), the records for each sale, distribution, exchange,
or use of tobacco products other than cigars must show the net
weight as listed by the manufacturer for each unit.
SECTION 13. Section 155.103, Tax Code, is amended by adding
Subsection (a-1) and amending Subsection (b) to read as follows:
(a-1) In addition to the information required under
Subsection (a), the records for each sale of tobacco products other
than cigars must show the net weight as listed by the manufacturer
for each unit.
(b) A manufacturer who sells tobacco products to a permit
holder in this state shall file with the comptroller, on or before
the last day of each month, a report showing the information
required to be listed by Subsections [in Subsection] (a) and (a-1),
if applicable, for the previous month.
SECTION 14. Section 155.105(b), Tax Code, is amended to
read as follows:
(b) The wholesaler or distributor shall file the report on
or before the 25th day of each month. The report must contain the
following information for the preceding calendar month's sales in
relation to each retailer:
(1) the name of the retailer and the address of the
retailer's outlet location to which the wholesaler or distributor
delivered cigars or tobacco products, including the city and zip
code;
(2) the taxpayer number assigned by the comptroller to
the retailer, if the wholesaler or distributor is in possession of
the number;
(3) the tobacco permit number of the outlet location
to which the wholesaler or distributor delivered cigars or tobacco
products; and
(4) the monthly net sales made to the retailer by the
wholesaler or distributor, including:
(A) the quantity and units of cigars and tobacco
products sold to the retailer; and
(B) for each unit of tobacco products other than
cigars, the net weight as listed by the manufacturer.
SECTION 15. Section 155.111, Tax Code, is amended by adding
Subsection (b-1) to read as follows:
(b-1) In addition to the information required under
Subsection (b), the report must show the net weight as listed by the
manufacturer for each unit of tobacco products other than cigars
that is purchased, received, or acquired.
SECTION 16. Section 155.2415, Tax Code, is amended to read
as follows:
Sec. 155.2415. ALLOCATION OF CERTAIN REVENUE TO PROPERTY
TAX RELIEF FUND AND CERTAIN OTHER FUNDS. Notwithstanding Section
155.241, the [all] proceeds from the collection of taxes imposed by
Section 155.0211 shall be allocated as follows:
(1) the amount of the proceeds that is equal to the
amount that, if the taxes imposed by Section 155.0211 were imposed
at a rate of 40 percent of the manufacturer's list price, exclusive
of any trade discount, special discount, or deal, would be
attributable to the portion of that [the] tax rate in excess of
35.213 percent [of the manufacturer's list price, exclusive of any
trade discount, special discount, or deal], shall be deposited to
the credit of the property tax relief fund under Section 403.109,
Government Code;
(2) the amount of the proceeds that is equal to the
amount that would be attributable to a tax rate of 35.213 percent of
the manufacturer's list price, exclusive of any trade discount,
special discount, or deal, if the taxes were imposed by Section
155.0211 at that rate, shall be deposited to the credit of the
general revenue fund; and
(3) 100 percent of the remaining proceeds shall be
deposited to the credit of the physician education loan repayment
program account established under Subchapter J, Chapter 61,
Education Code.
SECTION 17. Sections 61.531(b) and (c) and 61.532(b),
Education Code, are repealed.
SECTION 18. As soon as practicable after the effective date
of this Act, the Texas Higher Education Coordinating Board shall
adopt rules necessary to administer Subchapter J, Chapter 61,
Education Code, as amended by this Act. For that purpose, the
coordinating board may adopt the initial rules in the manner
provided by law for emergency rules.
SECTION 19. The changes in law made by this Act in amending
Chapter 155, Tax Code, do not affect tax liability accruing before
the effective date of this Act. That liability continues in effect
as if this Act had not been enacted, and the former law is continued
in effect for the collection of taxes due and for civil and criminal
enforcement of the liability for those taxes.
SECTION 20. This Act takes effect September 1, 2009.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 2154 was passed by the House on May
13, 2009, by the following vote: Yeas 79, Nays 61, 1 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 2154 on May 29, 2009, by the following vote: Yeas 121, Nays 22,
2 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 2154 was passed by the Senate, with
amendments, on May 26, 2009, by the following vote: Yeas 29, Nays
2.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor