Bill Text: MO HB1773 | 2014 | Regular Session | Introduced
Bill Title: Establishes the Board of Medical Scholarship Awards to provide scholarships and loans to encourage physicians to practice medicine in underserved areas of the state
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2014-02-18 - Referred: Higher Education(H) [HB1773 Detail]
Download: Missouri-2014-HB1773-Introduced.html
SECOND REGULAR SESSION
97TH GENERAL ASSEMBLY
INTRODUCED BY REPRESENTATIVE FREDERICK.
5640L.01I D. ADAM CRUMBLISS, Chief Clerk
AN ACT
To amend chapter 173, RSMo, by adding thereto one new section relating to the board of medical scholarship awards.
Be it enacted by the General Assembly of the state of Missouri, as follows:
Section A. Chapter 173, RSMo, is amended by adding thereto one new section, to be known as section 173.228, to read as follows:
173.228. 1. There is hereby created within the department of higher education the "Board of Medical Scholarship Awards", which shall establish scholarships and loans to provide for the medical training of qualified applicants for admission, or students in the University of Missouri School of Medicine or any other accredited or provisionally accredited school of medicine in this state. The recipients of loan awards shall enter into a valid agreement with the board to practice the profession of medicine in those areas and localities of Missouri as may be determined by the board for a number of years to be stipulated in the agreement. The board shall collaborate with the Lester R. Bryant Pre-Admissions Program established within the University of Missouri School of Medicine to participate in the scholarships and loans provided under this section, including the flexibility to provide financial incentives, such as forgiveness or repayment of all or a portion of educational loans.
2. The board of medical scholarship awards shall be composed of:
(1) Two members of the board of directors of the Missouri State Medical Association, appointed by the president of the Missouri State Medical Association;
(2) One member of the board of trustees for the Missouri Association of Osteopathic Physicians and Surgeons, appointed by the president of the board;
(3) The dean of each school of osteopathic or allopathic medicine in this state, or the dean's designee;
(4) The chair of the admissions committee of each school of osteopathic or allopathic medicine in this state; and
(5) One member of the senate appointed by the president pro tem of the senate; and
(6) One member of the house of representatives appointed by the speaker of the house.
3. (1) The members of the Missouri State Medical Association and the Missouri Association of Osteopathic Physicians and Surgeons shall serve four-year terms. The terms of the legislative members shall be four years for the senate member and two years for the house member, concurrent with their legislative terms. All appointed members of the board may be reappointed.
(2) The chair of the board shall be selected from the members appointed from the Missouri Medical Association and the Missouri Association of Osteopathic Physicians and Surgeons.
4. (1) The board shall make a careful and thorough investigation of the ability, character, and qualifications of each applicant, and award scholarships and loans according to the judgment of the board. Preference in granting loans shall be given to applicants who sign agreements to practice in those areas in greatest need of medical service for periods of time stipulated by the board.
(2) The board shall make reasonable rules for implementing and administering the provisions of this section. Any rule or portion of a rule, as that term is defined in section 536.010, that is created under the authority delegated in this section shall become effective only if it complies with and is subject to all of the provisions of chapter 536 and, if applicable, section 536.028. This section and chapter 536 are nonseverable and if any of the powers vested with the general assembly pursuant to chapter 536 to review, to delay the effective date, or to disapprove and annul a rule are subsequently held unconstitutional, then the grant of rulemaking authority and any rule proposed or adopted after August 28, 2014, shall be invalid and void.
5. The board shall make two types of awards as follows:
(1) Loans. A number of loans equal in number to twenty percent of the student body of the medical schools in the state of Missouri, each in an amount of up to the average cost of tuition, fees, and living expenses, as set forth in the current catalogs of the University of Missouri School of Medicine or other school of medicine in this state, for the year of each enrollment. Such loans shall be available to any resident of Missouri of good character who has been accepted for matriculation by one of the medical schools in Missouri, with preference given to those applicants who can demonstrate an economic need and who commit in writing to practice in a rural area of generalists specialty as determined by the board. The board may, in its discretion, permit students to apply for a loan under this subdivision in any scholastic year and for any previously completed scholastic year of medical education. Such loans shall be repaid following graduation, under the terms of a contract to practice clinical medicine in an area of Missouri identified by the board as medically underserved for a term of years, as hereinafter set forth;
(2) Merit scholarships. A number of merit scholarships equal in number to five percent of the student body of the medical schools in the state of Missouri, each in an amount not to exceed five thousand dollars per annum or twenty thousand dollars over a four-year period shall be granted to students with high scholastic achievement and excellent character who will attend one of the medical schools in the state of Missouri. The students to whom merit scholarships are granted shall not be obligated to repay the amount of the scholarship award.
6. Any recipient who fails for any reason to continue his or her medical education may, at the discretion of the board, be required to repay all loan amounts immediately with simple interest of eight percent annually from the date of his or her departure or removal from medical school.
7. The loan or any portion thereof shall be repaid by engaging in full-time clinical practice, as defined in rule of the board, in one of the following ways, in accordance with a contract approved by the board:
(1) Practice for a period equal to one year of practice for each year the individual received a loan in a community of less than five thousand population which is in an area within Missouri identified by the board as medically underserved;
(2) Practice for a period equal to one and one-quarter years of practice for each year the individual received a loan in a community of between five thousand and fifteen thousand population which is in an area within Missouri identified by the board as medically underserved;
(3) Practice for a period equal to one and one-half years of practice for each year the individual received a loan in a community of between fifteen thousand and fifty thousand population which is in an area of Missouri identified by the board as medically underserved.
8. (1) Each recipient of a loan under this section shall enter into an agreement with the bard whereby the recipient agrees to practice in an area described in subsection 6 of this section. In the event of a default or other breach of contract by the recipient of loans provided under this section, or other termination of contract prior to the completion of the period of medical education and training, the individual shall be liable for immediate repayment of the total principal loan amount plus interest at the rate of eight percent accruing from the date of default or termination and an additional penalty as specified:
(a) For default or termination of a loan for one scholastic year, a penalty equal to twenty percent of the total principal amount of the loan;
(b) For default or termination of a loan for two scholastic years, a penalty equal to thirty percent of the total principal amount of the loan;
(c) For default or termination of a loan for three scholastic years, a penalty equal to forty percent of the total principal amount of the loan;
(d) For default or termination of a loan for four scholastic years, a penalty equal to fifty percent of the total principal amount of the loan;
(e) If default or termination occurs after the fourth year but prior to the completion of an accredited residency training program in a generalists specialty as determined by the board, a penalty equal to one hundred percent of the total principal amount of the loan; and
(f) If default or termination occurs after completion of an accredited residency training program but prior to completion of the repayment obligation under subsection 7 of this section, a penalty equal to two hundred percent of the total principal amount of the loan.
(2) The attorney general, upon request of the board, shall institute proceedings in the name of the state for the purpose of recovering any amount due the state under this section. Any moneys recovered under this section from loan recipients or paid by recipients to the board shall be retained by the board for funding of future scholarships.
(3) In the event of death of a recipient or upon the recipient's becoming permanently disabled to an extent that he or she is no longer able to engage in the practice of medicine, repayment of the loan may be excused by the board.
9. The failure of a recipient of a loan to perform his or her agreement with the board or to pay the amount he or she is liable for under this section shall constitute a ground for the revocation of his or her license to practice medicine.
10. Any incorporated or unincorporated municipality or locality in this state having a population of less than fifteen thousand inhabitants, desiring additional physicians and wishing to be designated as a locality needing additional physicians, may apply to the board to be placed on a list of localities in need of additional physicians, which shall be maintained by the board. Such applications may be made either by the governing body of the municipality or by a petition signed by at least one twentieth of the qualified voters of the municipality or locality. If the board determines that such locality is in need of physicians, the board shall place such locality on the list of localities in need of physicians from which recipients of scholarships may, after graduation, select an area in which to practice. In compiling and maintaining the list, the board may place any locality thereon which, in its opinion, needs additional physicians.
11. (1) There is hereby created in the state treasury the "Board of Medical Scholarship Awards Fund", which shall consist of money collected under this section, any state appropriations, and all gifts, bequests, grants, or donations from any source whatsoever, including but not limited to grants from the Missouri Foundation for Health. The state treasurer shall be custodian of the fund. In accordance with sections 30.170 and 30.180, the state treasurer may approve disbursements. The fund shall be a dedicated fund and, upon appropriation, money in the fund shall be used solely for the administration of this section.
(2) Notwithstanding the provisions of section 33.080 to the contrary, any moneys remaining in the fund at the end of the biennium shall not revert to the credit of the general revenue fund.
(3) The state treasurer shall invest moneys in the fund in the same manner as other funds are invested. Any interest and moneys earned on such investments shall be credited to the fund.
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