---
kind: "section"
citation: "25 U.S.C. § 1616a–1"
title: "25"
title_heading: "Indians"
number: "1616a–1"
heading: "Scholarship and Loan Repayment Recovery Fund"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/25/1616a-1"
units:
  - "Chapter 18 — Indian Health Care"
  - "Subchapter I — Indian Health Professional Personnel"
---

# §1616a–1. Scholarship and Loan Repayment Recovery Fund

- (a) **Establishment—** There is established in the Treasury of the United States a fund to be known as the [Indian](/usc/25/1603.md?p=13) Health Scholarship and Loan Repayment Recovery Fund (hereafter in this section referred to as the “Fund”). The Fund shall consist of such amounts as may be appropriated to the Fund under [subsection (b)](#b). Amounts appropriated for the Fund shall remain available until expended.
- (b) **Authorization of appropriations—** For each fiscal year, there is authorized to be appropriated to the Fund an amount equal to the sum of—
  - (1) the amount collected during the preceding fiscal year by the Federal Government pursuant to—
    - (A) the liability of individuals under subparagraph (A) or (B) of [section 1613a(b)(5) of this title](/usc/25/1613a.md?p=b-5) for the breach of contracts entered into under [section 1613a of this title](/usc/25/1613a.md); and
    - (B) the liability of individuals under [section 1616a(l)](/usc/25/1616a.md?p=l) of this title for the breach of contracts entered into under [section 1616a of this title](/usc/25/1616a.md); and
  - (2) the aggregate amount of interest accruing during the preceding fiscal year on obligations held in the Fund pursuant to [subsection (d)](#d) and the amount of proceeds from the sale or redemption of such obligations during such fiscal year.
- (c) **Use of funds—**
  - (1) Amounts in the Fund and available pursuant to appropriation Acts may be expended by the [Secretary](/usc/25/1603.md?p=17), acting through the [Service](/usc/25/1603.md?p=18), to make payments to an [Indian tribe](/usc/25/1603.md?p=14) or [tribal organization](/usc/25/1603.md?p=26) administering a health care program pursuant to a contract entered into under the [Indian](/usc/25/1603.md?p=13) Self-Determination Act [[25 U.S.C. 5321](/usc/25/5321.md) et seq.]—
    - (A) to which a scholarship recipient under [section 1613a of this title](/usc/25/1613a.md) or a loan repayment program participant under [section 1616a of this title](/usc/25/1616a.md) has been assigned to meet the obligated [service](/usc/25/1603.md?p=18) requirements pursuant to[^1] sections; and
    - (B) that has a need for a health professional to provide health care [services](/usc/25/1603.md?p=18) as a result of such recipient or participant having breached the contract entered into under [section 1613a of this title](/usc/25/1613a.md) or [section 1616a of this title](/usc/25/1616a.md).
  - (2) An [Indian tribe](/usc/25/1603.md?p=14) or [tribal organization](/usc/25/1603.md?p=26) receiving payments pursuant to [paragraph (1)](#c-1) may expend the payments to recruit and employ, directly or by contract, health professionals to provide health care [services](/usc/25/1603.md?p=18).
- (d) **Investment of excess funds—**
  - (1) The [Secretary](/usc/25/1603.md?p=17) of the Treasury shall invest such amounts of the Fund as such [Secretary](/usc/25/1603.md?p=17) determines are not required to meet current withdrawals from the Fund. Such investments may be made only in interest-bearing obligations of the United States. For such purpose, such obligations may be acquired on original issue at the issue price, or by purchase of outstanding obligations at the market price.
  - (2) Any obligation acquired by the Fund may be sold by the [Secretary](/usc/25/1603.md?p=17) of the Treasury at the market price.

## Footnotes

[^1]: So in original. Probably should be “to such”.

## Source credit

(Pub. L. 94–437, title I, § 108A, as added Pub. L. 102–573, title I, § 110, Oct. 29, 1992, 106 Stat. 4538.)

## Notes

### Editorial Notes

### References in Text

The Indian Self-Determination Act, referred to in subsec. (c)(1), is title I of Pub. L. 93–638, Jan. 4, 1975, 88 Stat. 2206, which is classified principally to subchapter I (§ 5321 et seq.) of chapter 46 of this title. For complete classification of this Act to the Code, see Short Title note set out under section 5301 of this title and Tables.