43-17.2 Physician Loan Repayment Program - North Dakota Statutes

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CHAPTER 43-17.2PHYSICIAN LOAN REPAYMENT PROGRAM43-17.2-01. State-community matching physician loan repayment program.1.The North Dakota state-community matching physician loan repayment program is
established as provided by this chapter.2.The purpose of the program is to increase the number of physicians practicing
medicine in North Dakota communities with defined health professional medical
need.3.Under the program, loan repayments may be made to a recipient for educational
expenses incurred while the recipient was attending an accredited four-year
allopathic or osteopathic medical school located in the United States, its
possessions, territories, or Canada and approved by the state board of medical
examiners or by an accrediting body approved by the board.4.Each recipient is limited to a forty-five thousand dollar maximum loan repayment
from the state to be paid over two years. The loan repayment from the selected
community must be in an amount that equals or exceeds the amount of loan
repayment provided by the state. The selected community may negotiate a period
of service longer than two years.5.The state health council may select any number of recipients and communities each
year as participants in the program subject to the availability of funding.43-17.2-02. Powers of state health council. The state health council may:1.Determine eligibility and qualifications of an applicant to receive loan repayment in
accordance with section 43-17.2-03.2.Identify communities with health professional medical need and establish a priority
ranking for program participation of the selected communities.3.Determine the amount of the loan repayment an applicant may receive within the
parameters of this chapter. This determination must include an investigation of the
outstanding education loans incurred by the applicant.4.Determine the condition of loan repayment to an applicant.5.Enter into a two-year nonrenewable loan repayment program contract with the
applicant and the selected community to provide repayment of education loans in
exchange for the physician agreeing to practice medicine in the selected community.6.Receive and use funds appropriated for the program.7.Receive and use funds paid by the selected communities for repayment of education
loans for physicians who apply and qualify for assistance under the program.8.Enforce any contract under the program.9.Cancel a contract for reasonable cause.10.Participate in federal programs supporting repayment of loans to eligible physicians,
and agree to the conditions of the federal programs.11.Create a loan repayment application packet.Page No. 112.Accept property from any entity.13.Work with the university of North Dakota's center for rural health in implementing this
chapter.43-17.2-03. Physician selection criteria - Eligibility for loan repayment.1.The state health council shall establish criteria to apply to an applicant for a loan
repayment. The criteria must include:a.The extent to which an applicant's training is in a medical specialty determined
by the state health council to be needed in a selected community.b.The applicant's commitment to serve in a community with defined health
professional medical need.c.The applicant's achieving a match with a selected community.d.The availability of the applicant for service, with the highest consideration being
given to an applicant who is available for service at the earliest date.e.The applicant's professional competence and conduct.f.The applicant's willingness to accept medicare and medicaid assignment.2.The state health council shall give priority for program participation to an applicant
who:a.Graduated from the university of North Dakota school of medicine and health
sciences and is enrolled in or has completed a university of North Dakota
school of medicine and health sciences postgraduate residency training
program;b.Graduated from an accredited out-of-state medical or osteopathic college and
is enrolled in or has completed a university of North Dakota school of medicine
and health sciences postgraduate residency training program; orc.Graduated from the university of North Dakota school of medicine and health
sciences and is enrolled in or has completed an accredited out-of-state
postgraduate residency training program in a specialty training program not
available in this state.3.A physician who receives loan repayment under this chapter:a.Must be a graduate of an accredited four-year allopathic or osteopathic medical
school located in the United States, its possessions, territories, or Canada and
approved by the state board of medical examiners or by an accrediting body
approved by the board;b.Must not have practiced full-time medicine in this state for more than one year
before the date of the application;c.Must have a full and unrestricted license to practice medicine in this state;d.Shall submit an application to participate in the loan repayment program; ande.Must have entered into an agreement with a selected community to provide
full-time medical services for a minimum of two years at the selected
community if the applicant receives a loan repayment program contract.Page No. 243-17.2-04. Community selection criteria.1.The state health council shall apply at least the following criteria for selecting a
community with defined health professional medical need:a.The ratio of physicians to population in the community.b.Access by the residents of the community to medical care within the community
and in the surrounding area.c.Assessment of the expected number of physician visits within the community
per year.d.The mix of physician specialties within the community.e.Indications of community support for more physicians within the community.2.The state health council shall give priority for participation to a community that:a.Demonstrates a need for primary care physicians or for a physician trained in
the specialty of psychiatry; orb.Has a population of not more than fifteen thousand persons.3.In selecting a community with health professional medical need, the state health
council may consult public and private associations and organizations and make an
onsite visit to a community for assessment.43-17.2-05. Eligible loans. The state health council may provide for loan repayment toa recipient of any education loan. The council may not provide for repayment of any loan that is
in default at the time of the application.The amount of repayment must be related to theapplicant's outstanding education loans. No applicant may receive repayment in an amount
greater than the total outstanding balance on the applicant's education loans together with
applicable interest. Loan payments may not be used to satisfy other service obligations under
similar programs.43-17.2-06. Breach of loan repayment contract. A recipient of loan repayment underthis chapter who breaches the loan repayment program contract by failing to begin or complete
the obligated service is liable for twice the total uncredited amount of all loan repayment that was
contracted on a prorated monthly basis. Any damages the state is entitled to recover under this
chapter must be paid to the health council within one year from the date of the breach of the loan
repayment program contract. Amounts not paid within the one-year period may be subject to
collection through deductions in medicaid payments or other collection methods.Damagesrecoverable for breach of contract include all interest, costs, and expenses incurred in collection,
including attorney's fees. Damages collected under this section must be prorated among the
state and the involved community. The state share must be deposited in the general fund. For
compelling reasons, the health council may agree to and accept a lesser measure of damages
for breach of a loan repayment program contract.43-17.2-07.Release from contract obligation.An applicant is released from theapplicant's obligated service, without penalty, if the obligated service has been completed; the
applicant is unable to complete the term of the contract because of permanent physical disability;
the applicant dies; or the applicant proves extreme hardship or other good cause, to be
determined by the council. A decision by the health council not to release an applicant from the
applicant's obligated service without penalty is reviewable by the district court.43-17.2-08. Term of obligated service. The length of the term of obligated service of arecipient of a loan repayment under this chapter is a minimum of two years.Page No. 343-17.2-09. Payment. No payment may be made under this chapter until the physicianhas practiced at least six months on a full-time basis in a selected community with health
professional medical need.Any arrangement made by the state health council for loanrepayment in accordance with this chapter must provide that any loan repayment for a year of
obligated service be made no later than the end of the fiscal year in which the physician
completes the year of obligated service.Page No. 4Document Outlinechapter 43-17.2 physician loan repayment program