Insurance Committee
Filed: 3/20/2007
 
 

 




 

 		












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AMENDMENT TO HOUSE BILL 3653




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    AMENDMENT NO. ______. Amend House Bill 3653 by replacing 
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everything after the enacting clause with the following:

 
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    "Section 1. Short title. This Act may be cited as the 
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Medical School Loan Repayment Program Act.
 
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    Section 5. Definitions. As used in this Act:
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    "Department " means the Department of Public Health.
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    "Low-income area" means an area or neighborhood in this 
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State where a majority of residents are at or below 300% of the 
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federal poverty level.
 
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    Section 10. Loan Repayment Program.  
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    (a) The Department shall establish a Loan Repayment Program 
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for physicians licensed to practice medicine in all of its 
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branches who agree to practice in low-income areas.  In order to 
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qualify for the Loan Repayment Program, the physician must 
 


 






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agree to practice in a low-income area for a contractual period 
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of at least 3 years, but no longer than 5 years.  A physician 
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participating in the Loan Repayment Program shall receive 
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$10,000 per year for the contractual period to be used towards 
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the repayment of student loans for medical school. The Medical 
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School Loan Repayment Fund is created as a special fund in the 
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State treasury. Moneys in the Fund shall be used, subject to 
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appropriation, by the Department  to finance the Loan Repayment 
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Program.
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    (b) The Department must do the following:
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        (1) develop and make available application forms for 
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    assistance under this Act;
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        (2) administer use of moneys in the Medical School Loan 
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    Repayment Fund; and
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        (3) exercise all powers necessary to implement this 
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    Act, including adopting rules.


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    (c) If funding available from the Medical School Loan 
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Repayment Fund is insufficient to provide assistance to all 
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physicians who apply for loan repayment assistance under this 
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Act, the Department may, at its discretion, reduce the payments 
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to each eligible physician by a pro rata amount in a manner 
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designed to maximize the number of physicians who may receive 
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loan repayment assistance under this Act.

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    (d) In addition to any other civil or criminal penalties 
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that may be imposed by law, any physician who fails or refuses 
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to fulfill the terms required under this Section is in breach 
 


 






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of the contract. The Department may obtain the assistance of 
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the Attorney General to recoup the amount of assistance 
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provided under the contract together with attorney fees and 
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other costs of collection.
 
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    Section 90. The State Finance Act is amended by adding 
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Section 5.675 as follows:
 
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    (30 ILCS 105/5.675 new)
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    Sec. 5.675. The Medical School Loan Repayment Fund.".