81R10649 KEL-F
By: Zaffirini S.B. No. 2243
A BILL TO BE ENTITLED
AN ACT
relating to the repayment of certain education loans for licensed
physicians and dentists.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 61.531, Education Code, is amended by
adding Subsection (a-1) to read as follows:
(a-1) Preference shall be given under the program to:
(1) primary care physicians; and
(2) pediatric or geriatric subspecialists.
SECTION 2. 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 [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, have:
(A) an unrestricted license to practice medicine
under Subtitle B, Title 3, Occupations Code;
(B) an authorization number that allows the
physician to provide services to recipients under the medical
assistance program authorized by Chapter 32, Human Resources Code;
and
(C) if the physician is a subspecialist, an
appropriate certification from the Texas Medical Board [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]; and [or]
(3) enter into a written contract with the state
indicating the physician's commitment to:
(A) fulfill a four-year continuous service
obligation; and
(B) during each year of the service obligation:
(i) provide to recipients under the medical
assistance program authorized by Chapter 32, Human Resources Code,
a targeted amount of services as established jointly under
Subsection (b) by the board and the Health and Human Services
Commission; or
(ii) practice in a medically underserved
area and maintain a policy of providing the targeted amount of
services to recipients under the medical assistance program as
provided by Subparagraph (i) [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].
(b) The board and the Health and Human Services Commission
jointly shall establish for purposes of this subchapter target
amounts for the provision of medical services to recipients under
the medical assistance program authorized by Chapter 32, Human
Resources Code. The board and commission shall establish specified
target amounts for services provided to children and to adults.
[The coordinating board may by rule provide for repayment
assistance on a pro rata basis for physicians practicing part-time
for an approved family practice residency training program
established under Subchapter I of this chapter or a state agency
specified in Subsection (a) of this section.]
SECTION 3. 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 4. Sections 61.534(a) and (b), Education Code, are
amended to read as follows:
(a) The coordinating board may provide repayment assistance
for the repayment of any student loan for education at a public or
accredited private [an] institution of higher education in the
United States, including loans for undergraduate, graduate, and
medical education, received by a physician through any lender.
(b) The coordinating board may not provide repayment
assistance for a student loan that is:
(1) in default at the time of the physician's
application;
(2) consolidated with noneducation loans or with loans
held by an entity other than the lender;
(3) subject to an existing service obligation or
subject to any other state or federal student loan repayment or
forgiveness program; or
(4) obtained by the physician during the physician's
residency period, through the physician's insurance policy or
pension plan, or from a person related to the physician within the
third degree by consanguinity or the second degree by affinity, as
determined under Subchapter B, Chapter 573, Government Code.
SECTION 5. 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 to the lender and the
physician after each year of service, in accordance with federal
law.
SECTION 6. 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 7. 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 8. Section 61.538, Education Code, is amended to
read as follows:
Sec. 61.538. TOTAL AMOUNT OF REPAYMENT ASSISTANCE; TARGET
NUMBER OF PROGRAM PARTICIPANTS. (a) The total amount of
repayment assistance distributed by the board may not exceed the
total amount of 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.
(b) The total amount of repayment assistance made under this
subchapter to an individual physician may not exceed $140,000
during the four-year service period.
(c) The board shall limit the target number of program
participants as nearly as the board considers practicable to 300
physicians in each year. The board by rule may establish additional
eligibility requirements for the program to adjust participation in
the program as necessary to achieve the purposes of this
subsection.
SECTION 9. Section 61.539(b), Education Code, is amended to
read as follows:
(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 who satisfies the eligibility requirements provided by
this subchapter [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.
SECTION 10. Section 61.902, Education Code, is amended to
read as follows:
Sec. 61.902. ELIGIBILITY. (a) To be eligible to receive
repayment assistance, a dentist must:
(1) apply to the board;
(2) at the time of application, have:
(A) an unrestricted license to practice
dentistry under Subtitle D, Title 3, Occupations Code;
(B) an authorization number that allows the
dentist to provide services to recipients under the medical
assistance program authorized by Chapter 32, Human Resources Code;
and
(C) if the dentist is a subspecialist, an
appropriate certification from the State Board of Dental Examiners;
and
(3) enter into a written contract with the state
indicating the dentist's commitment to:
(A) fulfill a four-year continuous service
obligation; and
(B) during each year of the service obligation:
(i) provide to recipients under the medical
assistance program authorized by Chapter 32, Human Resources Code,
a targeted amount of services as established jointly under
Subsection (b) by the board and the Health and Human Services
Commission; or
(ii) practice in a medically underserved
area and maintain a policy of providing the targeted amount of
services to recipients under the medical assistance program as
provided by Subparagraph (i) [and have completed at least one year
of dental practice in an area of the state that is underserved with
respect to dental care].
(b) The board and the Health and Human Services Commission
jointly shall establish for purposes of this subchapter target
amounts for the provision of dental services to recipients under
the medical assistance program authorized by Chapter 32, Human
Resources Code. The board and commission shall establish specified
target amounts for services provided to children and to adults [by
rule may provide for repayment assistance on a pro rata basis for
dentists in part-time practice described by Subsection (a)].
SECTION 11. Subchapter V, Chapter 61, Education Code, is
amended by adding Section 61.9035 to read as follows:
Sec. 61.9035. LIMITATION. A dentist may receive repayment
assistance grants for not more than four years.
SECTION 12. Sections 61.904(a) and (b), Education Code, are
amended to read as follows:
(a) The board may provide repayment assistance for the
repayment of any student loan for education at a public or
accredited private institution of higher education in the United
States, including loans for undergraduate, graduate, and
professional dental education, received by a dentist through any
lender.
(b) The board may not provide [withhold] repayment
assistance for a student loan that is:
(1) in default at the time of the dentist's
application;
(2) consolidated with noneducation loans or with loans
held by an entity other than the lender;
(3) subject to an existing service obligation or
subject to any other state or federal student loan repayment or
forgiveness program; or
(4) obtained by the dentist during the dentist's
residency period, through the dentist's insurance policy or pension
plan, or from a person related to the dentist within the third
degree by consanguinity or the second degree by affinity, as
determined under Subchapter B, Chapter 573, Government Code.
SECTION 13. Section 61.905(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 to the lender and the
dentist after each year of service, in accordance with any
applicable federal law.
SECTION 14. Section 61.906, Education Code, is amended to
read as follows:
Sec. 61.906. ADVISORY COMMITTEES. The 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 Oral Health
Services Advisory Committee in performing those duties].
SECTION 15. Section 61.908, Education Code, is amended to
read as follows:
Sec. 61.908. RULES. (a) The 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 dentist in one year. [The board may consult with the
Oral Health Services Advisory Committee to assist the board in
establishing priorities among eligible dentists for repayment
assistance, taking into account the degree of an area's shortage of
dental services, geographic locations, whether the dentist is or
will be providing service in an underserved area with respect to
dental services, and other criteria the board considers
appropriate.]
(b) The coordinating board shall distribute to each dental
school in this state [and to appropriate state agencies] and
professional associations copies of the rules adopted under this
section and other pertinent information relating to this
subchapter.
SECTION 16. Section 61.909, Education Code, is amended to
read as follows:
Sec. 61.909. TOTAL AMOUNT OF REPAYMENT ASSISTANCE; TARGET
NUMBER OF PROGRAM PARTICIPANTS. (a) The total amount of
repayment assistance distributed by the board under this subchapter
may not exceed the total amount of gifts and grants accepted by the
board for repayment assistance, dental school tuition set aside
under Section 61.910, legislative appropriations for repayment
assistance, and other funds available to the board for purposes of
this subchapter.
(b) The total amount of repayment assistance made under this
subchapter to an individual dentist may not exceed $140,000 during
the four-year service period.
(c) The board shall limit the target number of program
participants as nearly as the board considers practicable to 50
dentists in each year. The board by rule may establish additional
eligibility requirements for the program to adjust participation in
the program as necessary to achieve the purposes of this
subsection.
SECTION 17. Sections 61.531(b) and (c), 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 Subchapters J and V, Chapter
61, Education Code, as amended by this Act.
SECTION 19. 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, 2009.