SB2618sam001 93RD GENERAL ASSEMBLY

Sen. William R. Haine

Filed: 3/31/2004

09300SB2618sam001 LRB093 18548 LCB 49431 a

AMENDMENT TO SENATE BILL 2618

AMENDMENT NO. ______. Amend Senate Bill 2618 by replacing everything after the enacting clause with the following:

"Section 1. Short title. This Act may be cited as the Medical Student Loan Repayment Assistance Act.

Section 5. Definitions. The purpose of this Act is to establish a program in the Department of Public Health to increase the total number of physicians in this State by providing educational loan repayment assistance grants to physicians.

Section 10. Definitions. In this Act, unless the context otherwise requires:

"Department" means the Department of Public Health.

"Educational loans" means higher education student loans that a person has incurred in attending a registered professional physician education program.

"Physician" means a person licensed under the Medical Practice Act of 1987 to practice medicine in all of its branches.

"Program" means the educational loan repayment assistance program for physicians established by the Department under this Act.

Section 15. Establishment of program. The Department shall establish an educational loan repayment assistance program for physicians who practice in Illinois. The Department shall administer the program and make all necessary and proper rules not inconsistent with this Act for the program's effective implementation. The Department may use up to 5% of the appropriation for this program for administration and promotion of physician incentive programs.

Section 20. Application. Beginning July 1, 2004, the Department shall, each year, consider applications for assistance under the program. The form of application and information required to be set forth in the application shall be determined by the Department, and the Department shall require applicants to submit with their applications such supporting documents as the Department deems necessary.

Section 25. Eligibility. To be eligible for assistance under the program, an applicant must meet all of the following qualifications:

(1) He or she must be a citizen or permanent resident of the United States.

(2) He or she must be a resident of Illinois.

(3) He or she must be practicing full-time in Illinois as a physician.

(4) He or she must currently be repaying educational loans.

(5) He or she must agree to continue to practice full-time in Illinois for 3 years.

Section 30. The award of grants. Under the program, for each year that a qualified applicant practices full-time in Illinois as a physician, the Department shall, subject to appropriation, award a grant to that person in an amount equal to the amount in educational loans that the person must repay that year. However, the total amount in grants that a person may be awarded under the program shall not exceed $25,000. The Department shall require recipients to use the grants to pay off their educational loans.

Section 35. Penalty. Loan repayment recipients who fail to practice full-time in Illinois for 3 years shall repay the Department a sum equal to 3 times the amount received under the program.

Section 80. The Illinois Public Aid Code is amended by adding Section 5-5.25 as follows:

(305 ILCS 5/5-5.25 new)

Sec. 5-5.25. Rate increase to Medicare rate level. Notwithstanding any other provision of this Code, the Department of Public Aid shall increase the rates paid to every physician licensed to practice in all its branches in Illinois for (vendor) services provided to recipients of medical assistance under this Article so that the rate paid under this Article for each such service is equal to the rate paid to a vendor for services under the Medicare program. The Department shall implement this rate increase over a period of 3 years so that one-third of the increase is applied for State fiscal year 2005, 50% of the remaining balance is applied for State fiscal year 2006, and the entire amount of the remaining balance is applied for State fiscal year 2007. Thereafter, the rates paid under this Article shall equal the rates paid under the Medicare program.

Section 99. Effective date. This Act takes effect upon becoming law.".