---
kind: "section"
citation: "42 U.S.C. § 254u"
title: "42"
title_heading: "The Public Health and Welfare"
number: "254u"
heading: "Public health departments"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/254u"
units:
  - "Chapter 6A — Public Health Service"
  - "Subchapter II — General Powers and Duties"
  - "Part D — Primary Health Care"
  - "Subpart iii — scholarship program and loan repayment program"
---

# §254u. Public health departments

- (a) **In general—** To the extent that funds are appropriated under [subsection (e)](#e), the [Secretary](/usc/42/201.md?p=c) shall establish a demonstration [project](/usc/42/13641.md?p=2) to provide for the participation of individuals who are eligible for the Loan Repayment [Program](/usc/42/274l–1.md?p=4) described in [section 254l–1](/usc/42/254l–1.md) of this title and who agree to complete their [service](/usc/42/201.md?p=a) obligation in a [State](/usc/42/201.md?p=f) health department that provides a significant amount of [service](/usc/42/201.md?p=a) to health professional shortage areas or areas at risk of a public health emergency, as determined by the [Secretary](/usc/42/201.md?p=c), or in a local or tribal health department that serves a health professional shortage area or an area at risk of a public health emergency.
- (b) **Procedure—** To be eligible to receive assistance under [subsection (a)](#a), with respect to the [program](/usc/42/274l–1.md?p=4) described in [section 254l–1](/usc/42/254l–1.md) of this title, an individual shall—
  - (1) comply with all rules and requirements described in such section (other than [section 254l–1(f)(1)(B)(iv)](/usc/42/254l–1.md?p=f-1-B-iv) of this title); and
  - (2) agree to serve for a time period equal to 2 years, or such longer period as the individual may agree to, in a [State](/usc/42/201.md?p=f), local, or tribal health department, described in [subsection (a)](#a).
- (c) **Designations—** The demonstration [project](/usc/42/13641.md?p=2) described in [subsection (a)](#a), and any healthcare [providers](/usc/42/299b–21.md?p=8) who are selected to participate in such [project](/usc/42/13641.md?p=2), shall not be considered by the [Secretary](/usc/42/201.md?p=c) in the designation of health professional shortage areas under [section 254e of this title](/usc/42/254e.md) during fiscal years 2007 through 2010.
- (d) **Report—** Not later than 3 years after December 19, 2006, the [Secretary](/usc/42/201.md?p=c) shall submit a report to the relevant committees of Congress that evaluates the participation of individuals in the demonstration [project](/usc/42/13641.md?p=2) under [subsection (a)](#a), the impact of such participation on [State](/usc/42/201.md?p=f), local, and tribal health departments, and the benefit and feasibility of permanently allowing such [placements](/usc/42/300gg–91.md?p=d-12) in the Loan Repayment [Program](/usc/42/274l–1.md?p=4).
- (e) **Authorization of appropriations—** There are authorized to be appropriated to carry out this section, such sums as may be necessary for each of fiscal years 2007 through 2010.

## Source credit

(July 1, 1944, ch. 373, title III, § 338M, as added Pub. L. 109–417, title II, § 203(a), Dec. 19, 2006, 120 Stat. 2848.)