Bill Text: MI HB4137 | 2013-2014 | 97th Legislature | Introduced
Bill Title: Higher education; financial aid; loan repayment grant program for certain primary care health professionals and students; establish criteria for award and repayment of grants. Amends 1978 PA 368 (MCL 333.1101 - 333.25211) by adding secs. 2757, 2759, 2761 & 2763. TIE BAR WITH: HB 4136'13
Spectrum: Bipartisan Bill
Status: (Introduced - Dead) 2013-01-31 - Printed Bill Filed 01/31/2013 [HB4137 Detail]
Download: Michigan-2013-HB4137-Introduced.html
HOUSE BILL No. 4137
January 30, 2013, Introduced by Reps. Ananich and Foster 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 2757, 2759, 2761,
and 2763.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2757. (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 2759, within 90 days.
Sec. 2759. All of the following apply if a loan repayment
grant recipient is required to repay his or her grant proceeds
under section 2757(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 loan repayment grant until the time the loan repayment
grant is repaid, as determined by the department.
(b) The department may bring suit against any grant recipient
to recover the amount due to this state under section 2757(5) for
the recipient's failure to comply with the conditions on which the
grant was awarded, as provided in this act and in the 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 grant that a
recipient received and the interest that would otherwise be due
under section 2757(5) if the recipient's failure to comply with the
conditions on which the 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.
Sec. 2761. (1) The frontline health provider program fund is
created in the state treasury. The state treasurer may receive
money or other assets from any source for deposit into the fund,
including, but not limited to, the proceeds of loan repayment
grants under section 2757(5) and earnings and interest from fund
investments.
(2) The state treasurer shall direct the investment of the
fund.
(3) Money in the fund at the close of a fiscal year shall
remain in the fund and shall not lapse to the general fund.
(4) The department is the administrator of the fund for
auditing purposes.
(5) The department shall only expend money appropriated from
the fund to award loan repayment grants under this part.
Sec. 2763. (1) In each of the 2013-2014, 2014-2015, and 2015-
2016 state fiscal years, the department shall award not more than
$4,000,000.00 in grants under this part from the fund to not more
than 40 recipients.
(2) Beginning in 2014, the department shall annually prepare a
report summarizing the grants made under this part and the progress
of the frontline health provider program and provide a copy of the
report to the chairs of the house and senate appropriations
subcommittees for the department of community health.
Enacting section 1. This amendatory act does not take effect
unless Senate Bill No. ____ or House Bill No. 4136(request no.
00354'13) of the 97th Legislature is enacted into law.
