Senate File 2069 - Introduced SENATE FILE BY TINSMAN Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act establishing a dentist recruitment program and revolving 2 fund and making an appropriation. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5872SS 81 5 kh/gg/14 PAG LIN 1 1 Section 1. COLLEGE STUDENT AID COMMISSION == DENTIST 1 2 RECRUITMENT PROGRAM. There is appropriated from the general 1 3 fund of the state to the college student aid commission for 1 4 the fiscal year beginning July 1, 2006, and ending June 30, 1 5 2007, the following amount, or so much thereof as is 1 6 necessary, to be used for the purpose designated: 1 7 For the dentist recruiting program established pursuant to 1 8 section 261.23A: 1 9 .................................................. $ 250,000 1 10 Sec. 2. NEW SECTION. 261.23A DENTIST RECRUITMENT PROGRAM 1 11 == REVOLVING FUND. 1 12 1. A dentist recruitment program is established to be 1 13 administered by the college student aid commission for the 1 14 university of Iowa college of dentistry. The program shall 1 15 consist of a forgivable loan program and a rural community 1 16 loan repayment program for dentists. The commission shall 1 17 regularly adjust the dentist service requirement under each 1 18 aspect of the program to provide, to the extent possible, an 1 19 equal financial benefit for each period of service required. 1 20 From funds appropriated for purposes of the program by the 1 21 general assembly, the commission shall pay a fee to the 1 22 university of Iowa college of dentistry for administration of 1 23 the program. A portion of the fee shall be paid by the 1 24 commission to the university based upon the number of dental 1 25 students and dentists recruited under subsections 2 and 3. 1 26 2. a. The university of Iowa college of dentistry shall 1 27 provide recommendations to the commission for students who 1 28 meet the eligibility requirements of the forgivable loan 1 29 program under this subsection. A forgivable loan may be 1 30 awarded to a resident of Iowa who meets both of the following 1 31 conditions: 1 32 (1) Is enrolled on a full=time basis at the university of 1 33 Iowa college of dentistry. 1 34 (2) Agrees to practice dentistry in an area in this state 1 35 underserved by dentists for a period of time to be determined 2 1 by the commission at the time the loan is awarded. 2 2 b. The loan shall be for a term set by the commission. 2 3 Interest on the loan shall begin to accrue the day following 2 4 the date on which the student graduates from the university, 2 5 or on the date the student graduates from a residency program, 2 6 whichever date is later. If the student completes the period 2 7 of practice in the underserved area established by the 2 8 commission and agreed to by the student, the loan amount shall 2 9 be forgiven. Neither the loan amount nor the interest on the 2 10 loan amount shall be forgiven if the dentist fails to complete 2 11 the required time period of practice in the underserved area 2 12 of this state. 2 13 3. A dentist who graduated from the university of Iowa 2 14 college of dentistry shall be eligible for the rural community 2 15 loan repayment program if the dentist agrees to practice in an 2 16 eligible rural community in this state. The university of 2 17 Iowa college of dentistry shall recruit and place dentists in 2 18 rural communities that have agreed to provide additional funds 2 19 for the dentist's loan repayment. The contract for the loan 2 20 repayment shall stipulate the time period the dentist shall 2 21 practice in an eligible rural community in this state and 2 22 shall also stipulate that the dentist repay any funds paid on 2 23 the dentist's loan by the commission if the dentist fails to 2 24 practice in an eligible rural community in this state for the 2 25 required period of time. For purposes of this subsection, 2 26 "eligible rural community" means a rural community in this 2 27 state underserved by dentists that agrees to match state funds 2 28 provided on at least a dollar=for=dollar basis for the loan 2 29 repayment of a dentist who practices in the eligible rural 2 30 community. 2 31 4. The commission shall adopt rules pursuant to chapter 2 32 17A to administer this section. 2 33 5. A dentist recruitment revolving fund is created in the 2 34 state treasury as a separate fund under the control of the 2 35 commission. The commission shall deposit payments made by 3 1 dentist recruitment program recipients and the proceeds from 3 2 the sale of loans made pursuant to subsection 2 into the 3 3 dentist recruitment revolving fund. Moneys credited to the 3 4 fund shall be used to supplement moneys appropriated for the 3 5 dentist recruitment program, for loan forgiveness to eligible 3 6 dentists, and to pay for loan or interest repayment defaults 3 7 by eligible dentists. Notwithstanding section 8.33, any 3 8 balance in the fund on June 30 of any fiscal year shall not 3 9 revert to the general fund of the state. Notwithstanding 3 10 section 12C.7, subsection 2, interest or earnings on moneys in 3 11 the dentist recruitment revolving fund shall be credited to 3 12 the fund. 3 13 EXPLANATION 3 14 This bill establishes a dentist recruitment program to be 3 15 administered by the college student aid commission for the 3 16 university of Iowa college of dentistry. The program consists 3 17 of a loan forgiveness program for students who agree to 3 18 practice in underserved areas upon graduation and a rural 3 19 community loan repayment program for dentists who agree to 3 20 serve in eligible rural communities. The bill appropriates 3 21 $250,000 to the college student aid commission for the 2006= 3 22 2007 fiscal year for the program. An eligible rural community 3 23 is a rural community underserved by dentists that agrees to 3 24 match state funds provided for the dentist's loans on at least 3 25 a $1=for=$1 basis. 3 26 From funds appropriated for the program by the general 3 27 assembly, the commission must pay a fee to the university of 3 28 Iowa college of dentistry for administration of the program 3 29 based upon the number of dental students and dentists 3 30 recruited. 3 31 Students are eligible for the loan forgiveness program if 3 32 they are residents of Iowa, are enrolled on a full=time basis 3 33 at the university of Iowa college of dentistry, and agree to 3 34 practice dentistry in an area underserved by dentists for a 3 35 period of time to be determined by the commission at the time 4 1 the loan is awarded. 4 2 A dentist who graduated from the university of Iowa college 4 3 of dentistry is eligible for the rural community loan 4 4 repayment program if the dentist agrees to practice in an 4 5 eligible rural community in this state for a time agreed to by 4 6 the dentist and the commission. 4 7 The dentist recruitment revolving fund is created in the 4 8 state treasury as a separate fund under the control of the 4 9 commission. Moneys in the fund derive from payments made by 4 10 dentist recruitment program recipients and the proceeds from 4 11 the sale of loans. Moneys in the fund must be used to 4 12 supplement moneys appropriated for the dentist recruitment 4 13 program, for loan forgiveness to eligible dentists, and to pay 4 14 for loan or interest repayment defaults by eligible dentists. 4 15 Moneys in the fund do not revert to the general fund and 4 16 interest or earnings on moneys in the fund are credited to the 4 17 fund. 4 18 LSB 5872SS 81 4 19 kh:nh/gg/14