Summary of the Committee Version of the Bill

HB 834 -- HEALTH PROFESSIONAL STUDENT LOAN REPAYMENT PROGRAM

SPONSOR:  Barry

COMMITTEE ACTION:  Voted "do pass" by the Committee on Children,
Families and Health by a vote of 13 to 1.

This bill renames the Medical School Loan Repayment Program as
the Health Professional Student Loan Repayment Program and
expands its scope to include dentists.  The criteria for areas
of defined need are revised.  Patient ratios, poverty and age
percentages, and distance requirements to hospitals are removed
and replaced with a designation as shortage areas by the U.S.
Department of Health and Human Services or a determination of
extraordinary need by the Director of the Department of Health.
The maximum amount of repayment assistance is revised from its
current level of $20,000 per year of obligated service to an
amount not exceeding the maximum allowed under the National
Health Service Corps Repayment Program.  For students who breach
their service obligation contracts, the penalty is changed from
$500 per month of service not completed to include damages
incurred by the Department of Health resulting from the breach
and legal fees and costs incurred in the collection of damages.

FISCAL NOTE:  Estimated Net Cost to Health Professional Student
Loan and Loan Repayment Fund of Unknown in FY 2002, FY 2003, and
FY 2004.

PROPONENTS:  The main purpose of the bill is to provide a means
to encourage graduating dentists and medical students to
establish a dental practice or a medical practice in a federally
designated primary care health professional shortage area or an
area of need as determined by the Department of Health.

Testifying for the bill were Representative Barry; and
Department of Health.

OPPONENTS:  There was no opposition voiced to the committee.

Joseph Deering, Legislative Analyst


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Last Updated November 26, 2001 at 11:46 am