Citations Affected: IC 21-13.
Synopsis: Primary care physician loan forgiveness program.
Establishes the primary care physician loan forgiveness program and
the primary care physician loan forgiveness fund. Specifies
qualifications to receive a student loan forgiveness payment from the
fund. (The introduced version of this bill was prepared by the health
finance advisory committee)
Effective: July 1, 2009.
January 8, 2009, read first time and referred to Committee on Health and Provider
February 19, 2009, amended, reported favorably _ Do Pass.
February 23, 2009, read second time, ordered engrossed. Engrossed.
February 24, 2009, read third time, passed. Yeas 48, nays 1.
A BILL FOR AN ACT to amend the Indiana Code concerning
Chapter 6. Primary Care Physician Loan Forgiveness Program
Sec. 1. As used in this chapter, "primary care physician" means a physician who practices in any of the following areas:
(1) Family practice.
(3) Obstetrics and gynecology.
(4) Internal medicine.
Sec. 2. (a) The primary care physician loan forgiveness program is established.
(b) The commission shall administer the primary care physician loan forgiveness program.
Sec. 3. (a) The primary care physician loan forgiveness fund is established to encourage and promote qualified physicians to pursue a medical career in Indiana.
(b) The fund consists of the following:
(1) Appropriations by the general assembly.
(2) Gifts to the fund.
Sec. 4. (a) The commission shall administer the fund.
(b) The expenses of administering the fund shall be paid from money in the fund.
(c) The treasurer of state shall invest the money in the fund not currently needed to meet the obligations of the fund in the same manner as other public funds. Interest that accrues from those investments shall be deposited in the fund.
(d) Money in the fund at the end of a fiscal year does not revert to the state general fund but remains available to be used to provide money for student loan forgiveness payments under this chapter.
Sec. 5. (a) The money in the fund must be used to provide annual student loan forgiveness payments to qualified primary care physicians who are residents of Indiana and practice medicine in Indiana.
(b) Subject to section 8 of this chapter, a student loan forgiveness payment awarded in a particular year under this section is equal to the lesser of the following amounts:
(1) The balance of the physician's total amount of student loans.
(2) Five thousand dollars ($5,000).
(c) A primary care physician is eligible for a student loan forgiveness payment under this section each year that the individual meets the qualifications under section 6 of this chapter.
Sec. 6. To qualify for a student loan forgiveness payment from the fund, an individual must:
(1) be a resident of Indiana;
(2) be licensed as a physician under IC 25-22.5;
(3) practice as a primary care physician;
(4) conduct the majority of the individual's medical practice in Indiana;
(5) have an outstanding student loan balance at the beginning of the calendar year; and
(6) be approved by the commission.
Sec. 7. The medical education board shall annually make available to the commission the most recent information concerning the number of primary care physicians who are serving as medical residents in Indiana.
Sec. 8. The commission shall annually allocate the available money in the fund to each primary care physician approved under this chapter in proportion to the total number of primary care physicians approved under this chapter.
Sec. 9. Each:
(1) primary care physician who applies under this chapter; and
(2) primary care physician approved under this chapter;
shall provide to the commission any information that the commission determines is necessary to administer this chapter.