Veterans Affairs Physician Recruitment Act of 2017
A BILL
To amend title 38, United States Code, to make certain improvements in the Health Professionals Educational Assistance Program of the Department of Veterans Affairs, and for other purposes.
Sec. 2 Designated scholarships for physicians and dentists under Department of Veterans Affairs Health Professional Scholarship Program
“(6)
“(A) Of the scholarships awarded under this subchapter, the Secretary shall ensure that not less than 50 scholarships are awarded each year to individuals who are accepted for enrollment or enrolled (as described in section 7602 of this title) in a program of education or training leading to employment as a physician or dentist until such date as the Secretary determines that the staffing shortage of physicians and dentists in the Department is less than 500.
“(B) After such date, the Secretary shall ensure that of the scholarships awarded under this subchapter, a number of scholarships is awarded each year to individuals referred to in subparagraph (A) in an amount equal to not less than ten percent of the staffing shortage of physicians and dentists in the Department, as determined by the Secretary.
“(C) Notwithstanding subsection (c)(1), the agreement between the Secretary and a participant in the Scholarship Program who receives a scholarship pursuant to this paragraph shall provide the following:
“(i) The Secretary’s agreement to provide the participant with a scholarship under this subchapter for a specified number (from two to four) of school years during which the participant is pursuing a course of education or training leading to employment as a physician or dentist.
“(ii) The participant's agreement to serve as a full-time employee in the Veterans Health Administration for a period of time (hereinafter in this subchapter referred to as the “period of obligated service”) of 18 months for each school year or part thereof for which the participant was provided a scholarship under the Scholarship Program.
“(D) In providing scholarships pursuant to this paragraph, the Secretary may provide a preference for applicants who are veterans.
“(E) On an annual basis, the Secretary shall provide to appropriate educational institutions informational material about the availability of scholarships under this paragraph.”
“(4) In the case of a participant who is enrolled in a program or education or training leading to employment as a physician, the participant fails to successfully complete post-graduate training leading to eligibility for board certification in a specialty.”
Sec. 3 Establishing the Department of Veterans Affairs Specialty Education Loan Repayment Program
“VIII Specialty Education Loan Repayment Program
“7691. Establishment
“As part of the Educational Assistance Program, the Secretary may carry out a student loan repayment program under section 5379 of title 5. The program shall be known as the Department of Veterans Affairs Specialty Education Loan Repayment Program (in this chapter referred to as the “Specialty Education Loan Repayment Program”).
“7692. Purpose
“The purpose of the Specialty Education Loan Repayment Program is to assist, through the establishment of an incentive program for certain individuals employed in the Veterans Health Administration, in meeting the staffing needs of the Veterans Health Administration for physicians in medical specialties for which the Secretary determines recruitment or retention of qualified personnel is difficult.
“7693. Eligibility; preference; covered costs
“(a) Eligibility—An individual is eligible to participate in the Specialty Education Loan Repayment Program if the individual—
“(1) is hired under section 7401 of this title to work in an occupation described in section 7692 of this title;
“(2) owes any amount of principal or interest under a loan, the proceeds of which were used by or on behalf of that individual to pay costs relating to a course of education or training which led to a degree that qualified the individual for the position referred to in paragraph (1); and
“(3) is—
“(A) recently graduated from an accredited medical or osteopathic school and matched to an accredited residency program in a medical specialty described in section 7692 of this title; or
“(B) a physician in training in a medical specialty described in section 7692 of this title with more than two years remaining in such training.
“(b) Preference for veterans—In selecting individuals for participation in the Specialty Education Loan Repayment Program under this subchapter, the Secretary may give preference to veterans.
“(c) Covered costs—For purposes of subsection (a)(2), costs relating to a course of education or training include—
“(1) tuition expenses;
“(2) all other reasonable educational expenses, including expenses for fees, books, equipment, and laboratory expenses; and
“(3) reasonable living expenses.
“7694. Specialty education loan repayment
“(a) In general—Payments under the Specialty Education Loan Repayment Program shall consist of payments for the principal and interest on loans described in section 7682(a)(2) of this title for individuals selected to participate in the Program to the holders of such loans.
“(b) Frequency of payment—The Secretary shall make payments for any given participant in the Specialty Education Loan Repayment Program on a schedule determined appropriate by the Secretary.
“(c) Maximum amount; waiver
“(1) The amount of payments made for a participant under the Specialty Education Loan Repayment Program may not exceed $160,000 over a total of four years of participation in the Program, of which not more than $40,000 of such payments may be made in each year of participation in the Program.
“(2)
“(A) The Secretary may waive the limitations under paragraph (1) in the case of a participant described in subparagraph (B). In the case of such a waiver, the total amount of payments payable to or for that participant is the total amount of the principal and the interest on the participant's loans referred to in subsection (a).
“(B) A participant described in this subparagraph is a participant in the Program who the Secretary determines serves in a position for which there is a shortage of qualified employees by reason of either the location or the requirements of the position.
“7695. Choice of location
“Each participant in the Specialty Education Loan Repayment Program who completes residency may select, from a list of medical facilities of the Veterans Health Administration provided by the Secretary, at which such facility the participant will work in a medical specialty described in section 7692 of this title.
“7696. Term of obligated service
“(a) In general—In addition to any requirements under section 5379(c) of title 5, a participant in the Specialty Education Loan Repayment Program must agree, in writing and before the Secretary may make any payment to or for the participant, to—
“(1) obtain a license to practice medicine in a State;
“(2) successfully complete post-graduate training leading to eligibility for board certification in a specialty;
“(3) serve as a full-time clinical practice employee of the Veterans Health Administration for 12 months for every $40,000 in such benefits that the employee receives, but in no case for fewer than 24 months; and
“(4) except as provided in subsection (b), to begin such service as a full-time practice employee by not later than 60 days after completing a residency.
“(b) Fellowship—In the case of a participant who receives an accredited fellowship in a medical specialty other than a medical specialty described in section 7692 of this title, the Secretary, on written request of the participant, may delay the term of obligated service under subsection (a) for the participant until after the participant completes the fellowship, but in no case later than 60 days after completion of such fellowship.
“(c) Penalty
“(1) An employee who does not complete a period of obligated service under this section shall owe the Federal Government an amount determined in accordance with the following formula:
“(2) In the formula in paragraph (1):
“(A) “A” is the amount the employee owes the Federal Government.
“(B) “B” is the sum of all payments to or for the participant under the Specialty Education Loan Repayment Program.
“(C) “T” is the number of months in the period of obligated service of the employee.
“(D) “S” is the number of whole months of such period of obligated service served by the employee.
“7697. Relationship to Educational Assistance Program
“Assistance under the Specialty Education Loan Repayment Program may be in addition to other assistance available to individuals under the Educational Assistance Program.”
“(6) the specialty education loan repayment program provided for in subchapter VIII of this chapter.”
“(7) The term “specialty education loan repayment amount” means the maximum amount of specialty education loan repayment payments payable to or for a participant in the Department of Veterans Affairs Specialty Education Loan Repayment Program under subchapter VIII of this chapter, as specified in section 7694(c)(1) of this title and as previously adjusted (if at all) in accordance with this section.”