July 18, 2012, Introduced by Reps. Cavanagh, McBroom, Foster and Ananich and referred to the Committee on Education.
A bill to amend 1978 PA 368, entitled
"Public health code,"
(MCL 333.1101 to 333.25211) by adding sections 2759 and 2761.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2759. (1) For the purpose of repaying all of his or her
state and federal qualified education loans, the department may
award a loan repayment grant to a designated health professional
who agrees to engage in a designated frontline health practice for
a period of at least 2 years in an area of the state that is a
critical needs area for primary health care. For the first 2 years
of his or her practice in a critical needs area for primary health
care, the recipient shall receive a loan repayment grant in the
amount of $40,000.00. For each additional year of his or her
practice in that area after 2 years, for a maximum of 4 additional
years, the recipient shall receive a loan repayment grant in the
amount of $10,000.00.
(2) The department shall use any money available under the
program to apply for and receive federal matching funds from the
national health service corps to assist in the repayment of
qualified education loans for designated health professionals who
agree to practice in a critical needs area for primary health care.
(3) The department may award a loan repayment grant under this
section to an individual determined by the department to meet all
of the following eligibility criteria:
(a) Is an individual described in subsection (4).
(b) Has signed a written grant agreement with the department
that contains the terms and conditions of the grant award. The
agreement shall include the recipient's agreement to engage in a
designated frontline health practice for at least 2 years after
execution of the agreement in an area of the state that is a
critical needs area for primary health care at that time. The
agreement also must specify the total amount of the loan repayment
and a schedule for making payments to the recipient.
(c) Unless he or she is a physician described in subsection
(4)(c), has resided continuously in this state for the 12 months
immediately preceding the date of his or her application and is not
a resident of any other state.
(d) Has not been convicted of a felony involving an assault,
physical injury, or death.
(e) Meets any other standards established in rules promulgated
by the department.
(4) The department shall give priority in awarding loan
repayment grants to designated health professionals according to
the following:
(a) Graduates of qualified state schools or individuals who
have completed successfully a residency training program in this
state, if applicable.
(b) Individuals who were born in this state and who have
completed training in a certified residency program, if applicable,
outside of this state.
(c) Physicians who are practicing outside of this state, who
received training at a medical school outside of this state, and
who are board certified in any of the specialty fields described in
section 2751(2)(c)(i).
(5) If a loan repayment grant recipient fails to engage in a
designated frontline health practice for at least 2 years in a
critical needs area for primary health care designated in his or
her scholarship agreement, he or she must repay all of the grant
money he or she received under this section to the department. The
amount he or she is obligated to repay under this subsection is due
and payable, with interest at the rate established by the
department under section 2761, within 90 days.
Sec. 2761. All of the following apply if a scholarship
recipient is required to repay his or her scholarship proceeds
under section 2757(3) or a loan repayment grant recipient is
required to repay his or her grant proceeds under section 2759(5):
(a) The amount of interest due is equal to the annual rate of
return on the fund for each year from the time the recipient
received the scholarship or loan repayment grant until the time the
scholarship or loan repayment grant is repaid, as determined by the
department.
(b) The department may bring suit against any scholarship or
grant recipient to recover the amount due to this state under
section 2757(3) or 2759(5) for the recipient's failure to comply
with the conditions on which the scholarship or grant was awarded,
as provided in this act and in the scholarship or grant agreement
between the recipient and the department.
(c) The department is authorized to postpone or forgive the
repayment of all or part of the amount of the scholarship or grant
that a recipient received and the interest that would otherwise be
due under section 2757(3) or 2759(5) if the recipient's failure to
comply with the conditions on which the scholarship or grant was
awarded is due to circumstances beyond the recipient's control that
caused the recipient to be physically unable to comply with those
conditions, such as suffering a severe illness, injury, or other
disabling condition.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 96th Legislature are
enacted into law:
(a) Senate Bill No.____ or House Bill No.____ (request no.
02833'11).
(b) Senate Bill No.____ or House Bill No.____ (request no.
05990'12).
(c) Senate Bill No.____ or House Bill No.____ (request no.
05991'12).