SENATE, No. 731

SECTION 1. Section 19A of chapter 15A of the general laws, as appearing in the 2004 Official Editions, is hereby amended, by striking out said section in its entirety and inserting in place thereof, the follow new section:-

Section 19A. Student loan repayment program; guidelines; expenses for administration

Section 19A. (a) Educational Assistance for Teachers.  There shall be a student loan repayment program known as the attracting excellence to teaching program, for the purpose of encouraging outstanding students to teach in the public schools of the commonwealth by providing financial assistance for the repayment of qualified education loans, as defined below. The program shall be administered by the board of education in accordance with guidelines promulgated by the board of higher education. The program shall be subject to appropriation.

The term “qualified education loan” shall mean any indebtedness including interest on such indebtedness incurred to pay tuition or other direct expenses incurred in connection with the pursuit of an undergraduate or graduate degree by an applicant, but shall not include loans made by any person related to the applicant.

The council shall promulgate guidelines governing the attracting excellence to teaching program. These guidelines shall include the following provisions:

(1) eligibility for the program shall be limited to persons who have graduated in the top 15 per cent of their undergraduate classes or who have graduated with honors designations, as certified by the institution attended by any such applicant;

(2) eligibility shall be limited to persons entering the teaching profession after July first, nineteen hundred and ninety-four;

(3) the commonwealth shall repay a participating teacher’s student loan at a rate not to exceed one hundred and fifty dollars per month for a period not to exceed forty-eight months;

(4) repayment shall be made to the participating teacher annually upon the presentation by the participating teacher of satisfactory evidence of payments under the loan;

(5) payments by the commonwealth shall cover only loan payments made by the participating teacher in the months during which the participating teacher teaches in public school in the commonwealth;

(6) the program may or may not be limited to teachers who teach in school districts designated by the board of education;

(7) the program shall set forth an affirmative action policy and specific annual affirmative action goals. The council shall annually publish a report detailing its efforts to publicize the loan repayment program in order to advance the goals of this affirmative action policy and its success in meeting those goals.

Expenses for administration of the program may be retained in an interest bearing trust fund to be established by the board of education and expended for the costs of administering the program without further appropriation, and any funds remaining in the trust fund at the termination of the program shall be returned to the General Fund.

(b). Educational Assistance for Physicians.  There shall be a student loan repayment program known as the attracting excellence to the medical profession, for the purpose of encouraging outstanding medical school graduates and medical residents to work in underserved practice fields including, but not limited to, primary care, obstetrics, gynecology, neurosurgery, or such practice fields as the board shall certify a shortage.  The program shall also promote efforts to encourage physicians to practice in areas of the commonwealth that are deemed underserved by providers of medical care by providing financial assistance for the repayment of qualified education loans, as defined below. The program shall be administered by the board of higher education in accordance with guidelines promulgated by the board of higher education. The program shall be subject to appropriation.

The term “qualified education loan” shall mean any indebtedness including interest on such indebtedness incurred to pay tuition or other direct expenses or to repay educational loans incurred in connection with the pursuit of graduate medical degree or post-doctoral medical specialization by an applicant.

The council shall promulgate guidelines governing the access to quality medical professionals program. These guidelines shall include the following provisions:

(1) eligibility for the program shall be limited to persons who have graduated in the top 15 per cent of their medical school classes or who have graduated with honors designations, as certified by the institution attended by any such applicant;

(2) eligibility shall be limited to persons entering the medical profession after July first, two thousand and seven;

(3) the commonwealth shall repay a participating physician’s medical student loan at a rate not to exceed one tenth of any total outstanding educational indebtedness per year, and may be renewed annual for not more than four additional years; provided, however, that the amount of the loan repaid annually shall not exceed twenty-five thousand dollars per student.  The board may make such repayments on a monthly, quarterly, semi-annual, or annual basis.

(4) repayment shall be made to the participating physician annually upon the presentation by the participating physician of satisfactory evidence of payments under the loan and of compliance with the terms of any practice agreement with the board to ensure that the physician is meeting unmet medical practice needs;

(5) payments by the commonwealth shall cover only loan payments made by the participating physician in the months during which the participating physician practices in their designated practice field within the commonwealth;

(6) the program may or may not be limited to physicians who practice in regions or neighborhoods designated by the board of higher education in an effort to reduce health care disparities resulting from racial, ethnic, gender or geographic issues;

(7) the program shall set forth an affirmative action policy and specific annual affirmative action goals aimed at recruiting culturally competent physicians. The board shall annually publish a report detailing its efforts to publicize the loan repayment program in order to advance the goals of this affirmative action policy and its success in meeting those goals.

Expenses for administration of the program may be retained in an interest bearing trust fund to be established by the board of  higher education and expended for the costs of administering the program without further appropriation, and any funds remaining in the trust fund at the termination of the program shall be returned to the General Fund.

(c) . Health Care Workforce Financial Assistance Program.  There is hereby created within the Board of Higher Education, the Massachusetts Health Care Workforce Financial Assistance Program to provide professional scholarships and loan repayment assistance to health care professionals who locate or continue to practice in underserved areas of the Commonwealth.  For the purposes of this section, “health care professional” shall mean a physician, physician assistant, nurse, dentist, mental health therapist, pharmacist, or other health care professional designated by the department by regulation.  “Underserved area or practice field” applies to regions, neighborhoods or fields of health care designated by the Board, in cooperation with the advisory committee, based on results of a needs assessment or other research indicating the current and future needs for services of health care professionals.

     The Board shall promulgate rules and regulations governing the administration of the program including, but not limited to:

1.      Application procedure;

2.      Eligibility criteria;

3.      Selection criteria;

4.      Service conditions, which at a minimum shall include professional service in an underserved area or practice field for a minimum period of time by any person receiving a scholarship or loan repayment assistance;

5.      Penalties for failure to comply with service conditions or other terms of a scholarship or loan repayment contract;

6.      Criteria for modifying or waiving service conditions or penalties in case of extreme hardship or other good cause; and

7.      Administration of contracts.

     The Board shall seek and consider recommendations of the Massachusetts Health Care Workforce Financial Assistance Advisory Committee as it develops and modifies rules and regulations to administer the program.

     Funding for the program shall be a line item within the general appropriations bill, shall be non-lapsing unless otherwise designated, and may be used to cover administrative costs of the program, including reimbursement expenses of the Advisory Committee.  Funds may also be received or transferred from other sources including federal grants, the nursing workforce trust fund, or other programs.

     Loan repayments and payments resulting from breach of contract are dedicated credits to the program.  The Board shall prepare an annual report on the revenues, expenditures and outcomes of the program.  The Board may enter into cooperative agreements with the Massachusetts Educational Loan Authority or other agencies for the administration of all or part of the program.

     There shall be an Advisory Committee on the Massachusetts Health Care Workforce Financial Assistance Program, appointed by the Chancellor, to assist the Board with the development and implementation of said program.  The committee shall consist of fifteen members: the chancellor of higher education or his designee, who shall serve as chair; one representative of the Massachusetts Hospital Association; one representative of the Massachusetts Medical Society; one representative of the Massachusetts Organization of Nurse Executives; two representatives of nursing schools, one of whom represents a public institution and one of whom represents an independent institution; one representative of a medical school; one representative of a dental school; one representative of the Massachusetts Dental Society; one representative of the Massachusetts Extended Care Federation; one representative of the Massachusetts Home Care Alliance; the Senate and House chairs of the joint committee on labor and workforce development; a representative of the department of employment and training, and one health care representative of the Service Employees International Union.

     An appointment to the committee shall be for a term of four years unless the member is appointed to an unexpired term.  The chancellor may adjust the length of terms at the time of initial appointment or reappointment so that approximately one-half of the committee is appointed every two years.  The committee shall meet at the call of the chair or at least three members of the committee, but no less frequently than once each calendar year.  A majority of the committee shall constitute a quorum.  The action of a majority of a quorum shall constitute action of the committee.  Members may not receive compensation for their work associated with the committee, but may receive reimbursement from the Board for travel and parking expenses incurred as a member of the committee, as funds are available, at the rates established by the Chancellor.  Members of the committee may decline reimbursement.

     The committee shall:

(a)    Make recommendations to the Board of Higher Education for the development and modification of rules and regulations to administer the Massachusetts Health Care Workforce Financial Assistance Program; and

(b)   Advise the Board relative to the development of a needs assessment tool or other source for identifying underserved areas, health professions, or fields of health practice.