H259 - 2023 Appropriations Act. (SL 2023-134)

Overview: Section 8A.14 of S.L. 2023-134 establishes the Primary Care Medicine and Psychiatry Targeted Assistance Program (Program) administered by the State Education Assistance Authority (SEAA) to provide forgivable loans to address the demand for physicians practicing primary care medicine and psychiatry in rural and other high-need areas of the State. Students enrolled in medical school at an eligible institution of higher education to practice primary care medicine or psychiatry can qualify for loans up to $25,000 per academic year, up to $100,000 per student. Loans will be forgiven by the SEAA through service, as follows:

• One year of the loan amount, including any accrued interest, will be forgiven for each year of full-time employment as a licensed physician practicing primary care medicine or psychiatry in a healthcare facility in a tier one or tier two county.
• If the county in which the physician is working is no longer a tier one or tier two county, the physician will still qualify for forgiveness if he or she continues to work at the healthcare facility without a break in service.
• The SEAA can provide for an accelerated repayment option or an option for part-time employment to qualify for forgiveness.

The SEAA, in consultation with the Office of Rural Health at the Department of Health and Human Services, is required to report no later than January 15, 2025, to the Joint Legislative Education Oversight Committee and the Joint Legislative Oversight Committee on Health and Human Services on strategies to increase the pipeline of physicians practicing primary care medicine and psychiatry in the State.

This section became effective July 1, 2023, and applies to loans awarded beginning with the 2024-2025 academic year.