Second Substitute S.B. 113

Senator Peter C. Knudson proposes the following substitute bill:

1 HEALTH CARE WORKFORCE LOAN
2 REPAYMENT ASSISTANCE
3 2002 GENERAL SESSION
4 STATE OF UTAH
5 Sponsor: Peter C. Knudson
6 This act modifies the Utah Health Code. This act replaces three financial assistance
7 programs--the Physicians and Physicians Assistants Grant and Scholarship Program, the
8 Nurse Education Financial Assistance Program, and the Special Population Health Care
9 Provider Financial Assistance Program with a new Utah Health Care Workforce Financial
10 Assistance Program. This act specifies the duties of the Department of Health in
11 administering the new program and creates a committee to advise the department on the
12 development and modification of rules for the program. This act provides for continuity
13 between the old programs and the new program. This act provides a repeal date and an
14 effective date.
15 This act affects sections of Utah Code Annotated 1953 as follows:
16 AMENDS:
17 26-1-7, as last amended by Chapter 345, Laws of Utah 1996
18 63-55b-126, as enacted by Chapter 318, Laws of Utah 2001
19 ENACTS:
20 26-45-101, Utah Code Annotated 1953
21 26-45-102, Utah Code Annotated 1953
22 26-45-103, Utah Code Annotated 1953
23 26-45-104, Utah Code Annotated 1953
24 REPEALS:
25 26-9-201, as enacted by Chapter 44, Laws of Utah 1993

26 26-9-202, as last amended by Chapter 21, Laws of Utah 1999
27 26-9-203, as last amended by Chapters 194 and 243, Laws of Utah 1996
28 26-9-204, as enacted by Chapter 44, Laws of Utah 1993
29 26-9-205, as enacted by Chapter 44, Laws of Utah 1993
30 26-9-206, as enacted by Chapter 44, Laws of Utah 1993
31 26-9-207, as enacted by Chapter 44, Laws of Utah 1993
32 26-9-208, as last amended by Chapter 59, Laws of Utah 1995
33 26-9-209, as last amended by Chapter 59, Laws of Utah 1995
34 26-9-210, as last amended by Chapter 79, Laws of Utah 1996
35 26-9-211, as last amended by Chapter 59, Laws of Utah 1995
36 26-9-212, as last amended by Chapter 13, Laws of Utah 1998
37 26-9-213, as enacted by Chapter 44, Laws of Utah 1993
38 26-9d-1, as last amended by Chapter 21, Laws of Utah 1999
39 26-9d-2, as last amended by Chapters 194 and 243, Laws of Utah 1996
40 26-9d-3, as enacted by Chapter 252, Laws of Utah 1992
41 26-9d-4, as enacted by Chapter 252, Laws of Utah 1992
42 26-9d-5, as last amended by Chapter 21, Laws of Utah 1999
43 26-9d-6, as enacted by Chapter 252, Laws of Utah 1992
44 26-9d-7, as enacted by Chapter 252, Laws of Utah 1992
45 26-9d-8, as enacted by Chapter 252, Laws of Utah 1992
46 26-9d-9, as enacted by Chapter 252, Laws of Utah 1992
47 26-9d-10, as last amended by Chapter 13, Laws of Utah 1998
48 26-9e-1, as enacted by Chapter 345, Laws of Utah 1996
49 26-9e-2, as last amended by Chapter 97, Laws of Utah 1998
50 26-9e-3, as enacted by Chapter 345, Laws of Utah 1996
51 26-9e-4, as last amended by Chapter 97, Laws of Utah 1998
52 26-9e-5, as last amended by Chapter 97, Laws of Utah 1998
53 26-9e-6, as enacted by Chapter 345, Laws of Utah 1996
54 26-9e-7, as last amended by Chapter 97, Laws of Utah 1998
55 26-9e-8, as last amended by Chapter 97, Laws of Utah 1998
56 26-9e-9, as last amended by Chapter 97, Laws of Utah 1998

57 26-9e-10, as last amended by Chapter 97, Laws of Utah 1998
58 26-9e-11, as last amended by Chapters 13 and 97, Laws of Utah 1998
59 Be it enacted by the Legislature of the state of Utah:
60 Section 1. Section 26-1-7 is amended to read:
61 26-1-7. Committees within department.
62 There are created within the department the following committees:
63 (1) Health Facility Committee;
64 (2) State Emergency Medical Services Committee;
65 [(3) Rural Medical Financial Assistance Committee;]
66 [(4) Nurse Financial Assistance Committee;]
67 [(5)] (3) Health Data Committee; and
68 [(6) Special Population Health Care Provider Financial Assistance Committee.]
69 (4) Utah Health Care Workforce Financial Assistance Program Advisory Committee.
70 Section 2. Section 26-45-101 is enacted to read:
71 26-45-101. Definitions
72 (1) "Health care professional" means a physician, physician assistant, nurse, dentist, mental
73 health therapist, or other health care professional designated by the department by rule.
74 (2) "Underserved area" means an area designated by the department as underserved by
75 health care professionals, based upon the results of a needs assessment developed by the
76 department in consultation with the Utah Health Care Workforce Financial Assistance Program
77 Advisory Committee created under Section 26-45-103 .
78 Section 3. Section 26-45-102 is enacted to read:
79 26-45-102. Creation of program -- Duties of Department.
80 (1) There is created within the department the Utah Health Care Workforce Financial
81 Assistance Program to provide professional education scholarships and loan repayment assistance
82 to health care professionals who locate or continue to practice in underserved areas.
83 (2) In accordance with Title 63, Chapter 46a, Utah Administrative Rulemaking Act, the
84 department shall make rules governing the administration of the program, including rules that
85 address:
86 (a) application procedures;
87 (b) eligibility criteria;

88 (c) selection criteria;
89 (d) service conditions, which at a minimum shall include professional service in an
90 underserved area for a minimum period of time by any person receiving a scholarship or loan
91 repayment assistance;
92 (e) penalties for failure to comply with service conditions or other terms of a scholarship
93 or loan repayment contract;
94 (f) criteria for modifying or waiving service conditions or penalties in case of extreme
95 hardship or other good cause; and
96 (g) administration of contracts entered into before the effective date of this act, between
97 the department and scholarship or loan repayment recipients under Title 26, Chapter 9, Part 2,
98 Physicians and Physician Assistants Grant and Scholarship Program, Title 26, Chapter 9d, Nurse
99 Education Financial Assistance, or Title 26, Chapter 9e, Special Population Health Care Provider
100 Financial Assistance and Retention Act.
101 (3) The department shall seek and consider the recommendations of the Utah Health Care
102 Workforce Financial Assistance Program Advisory Committee created under Section 26-45-103
103 as it develops and modifies rules to administer the program.
104 (4) Funding for the program shall be a line item within the appropriations act, shall be
105 nonlapsing unless designated otherwise, and may be used to cover administrative costs of the
106 program, including reimbursement expenses of the Utah Health Care Workforce Financial
107 Assistance Program Advisory Committee created under Section 26-45-103 .
108 (5) Loan repayments and payments resulting from breach of contract are dedicated credits
109 to the program.
110 (6) The department shall prepare an annual report on the revenues, expenditures, and
111 outcomes of the program.
112 Section 4. Section 26-45-103 is enacted to read:
113 26-45-103. Advisory committee -- Membership -- Compensation -- Duties.
114 (1) There is created the Utah Health Care Workforce Financial Assistance Program
115 Advisory Committee consisting of the following 11 members appointed by the executive director,
116 seven of whom shall be residents of rural communities:
117 (a) one rural representative of Utah Hospitals and Health Systems, nominated by the
118 association;

119 (b) one rural representative of the Utah Medical Association, nominated by the association;
120 (c) one representative of the Utah Academy of Physician Assistants, nominated by the
121 association;
122 (d) one representative of the Association for Utah Community Health, nominated by the
123 association;
124 (e) one representative of the Utah Dental Association, nominated by the association;
125 (f) one representative of mental health therapists, selected from nominees submitted by
126 mental health therapist professional associations;
127 (g) one representative of the Association of Local Health Officers, nominated by the
128 association;
129 (h) one representative of the low-income advocacy community, nominated by the Utah
130 Human Services Coalition;
131 (i) one nursing program faculty member, nominated by the Statewide Deans and Directors
132 Committee;
133 (j) one administrator of a long-term care facility, nominated by the Utah Health Care
134 Association; and
135 (k) one nursing administrator, nominated by the Utah Nurses Association
136 (2) An appointment to the committee shall be for a four-year term unless the member is
137 appointed to complete an unexpired term. The executive director may also adjust the length of
138 term at the time of appointment or reappointment so that approximately one-half the committee
139 is appointed every two years. The executive director shall annually appoint a committee chair
140 from among the members of the committee.
141 (3) The committee shall meet at the call of the chair, at least three members of the
142 committee, or the executive director, but no less frequently than once each calendar year.
143 (4) A majority of the members of the committee constitutes a quorum. The action of a
144 majority of a quorum constitutes the action of the committee.
145 (5) Members of the committee may not receive compensation for their work associated
146 with the committee, but may receive from the department reimbursement for travel expenses
147 incurred as a member of the committee, as funds are available, at the rates established by the
148 Division of Finance under Section 63A-3-107 . Members of the committee may decline
149 reimbursement.

150 (6) The committee shall:
151 (a) make recommendations to the department for the development and modification of
152 rules to administer the Utah Health Care Workforce Financial Assistance Program; and
153 (b) advise the department on the development of a needs assessment tool for identifying
154 underserved areas.
155 (7) As funding permits, the department shall provide staff and other administrative support
156 to the committee.
157 Section 5. Section 26-45-104 is enacted to read:
158 26-45-104. Continuity between programs.
159 (1) A contract entered into between the department and a scholarship or loan repayment
160 recipient under Title 26, Chapter 9, Part 2, Physicians and Physician Assistants Grant and
161 Scholarship Program, Title 26, Chapter 9d, Nurse Education Financial Assistance, or Title 26,
162 Chapter 9e, Special Population Health Care Provider Financial Assistance and Retention Act, prior
163 to the effective date of this act, remains valid on and after the effective date of this act, except that
164 any provisions that cannot be administered due to the repeal of these programs shall be
165 administered pursuant to Subsection 26-45-102 (2)(g).
166 (2) Applications in process on the effective date of this act, for scholarship or loan
167 repayment under Title 26, Chapter 9, Part 2, Physicians and Physician Assistants Grant and
168 Scholarship Program, Title 26, Chapter 9d, Nurse Education Financial Assistance, or Title 26,
169 Chapter 9e, Special Population Health Care Provider Financial Assistance and Retention Act, shall
170 be evaluated for acceptance under the provisions of this chapter
171 Section 6. Section 63-55b-126 is amended to read:
172 63-55b-126. Repeal dates -- Title 26.
173 (1) Section 26-4-7.1 is repealed April 1, 2002.
174 (2) Title 26, Chapter 45, "Utah Health Care Workforce Financial Assistance Program," is
175 repealed July 1, 2007.
176 Section 7. Repealer.
177 This act repeals:
178 Section 26-9-201, Title.
179 Section 26-9-202, Definitions.
180 Section 26-9-203, Rural Medical Financial Assistance Committee -- Membership --

181 Expenses.
182 Section 26-9-204, Committee duties and powers.
183 Section 26-9-205, Department duties and powers.
184 Section 26-9-206, Physician loan repayment grants -- Terms and amounts -- Service.
185 Section 26-9-207, Physician scholarships -- Terms and amounts -- Service.
186 Section 26-9-208, Physician assistant loan repayment grants -- Terms and amounts
187 -- Service.
188 Section 26-9-209, Physician assistant scholarships -- Terms and amounts -- Service.
189 Section 26-9-210, Service obligation -- Repayment -- Penalty.
190 Section 26-9-211, Funding.
191 Section 26-9-212, Reporting.
192 Section 26-9-213, Continuity with prior provisions.
193 Section 26-9d-1, Definitions.
194 Section 26-9d-2, Committee -- Appointment -- Membership -- Terms -- Vacancies --
195 Quorum -- Per diem and expenses.
196 Section 26-9d-3, Committee responsibilities.
197 Section 26-9d-4, Powers and duties of the department.
198 Section 26-9d-5, Loan repayment grants -- Terms and amounts -- Service.
199 Section 26-9d-6, Scholarships -- Terms and amounts -- Service.
200 Section 26-9d-7, Service obligation -- Repayment -- Penalty.
201 Section 26-9d-8, Release from obligation -- Cancellation.
202 Section 26-9d-9, Funding.
203 Section 26-9d-10, Reporting.
204 Section 26-9e-1, Title.
205 Section 26-9e-2, Definitions.
206 Section 26-9e-3, Creation of program.
207 Section 26-9e-4, Committee created.
208 Section 26-9e-5, Committee responsibilities.
209 Section 26-9e-6, Department responsibilities.
210 Section 26-9e-7, Primary health care provider loan repayment grants -- Terms and
211 amounts -- Service.

212 Section 26-9e-8, Primary health care provider scholarships -- Terms and amounts --
213 Service.
214 Section 26-9e-9, Service obligation -- Repayment -- Penalty.
215 Section 26-9e-10, Funding.
216 Section 26-9e-11, Committee report.
217 Section 8. Effective date.
218 If approved by two-thirds of all the members elected to each house, this act takes effect
219 upon approval by the governor, or the day following the constitutional time limit of Utah
220 Constitution Article VII, Section 8, without the governor's signature, or in the case of a veto, the
221 date of veto override.