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S3062AHigher Education

Health and Safety - Health Professional Loan Repayment Program

This bill increases funding for a program that repays student loans for healthcare professionals working in Rhode Island.

Introduced38 Yea0 Nay0 Not voting
Population
Affected
35
Introduced Mar 12, 2026Committee Senate Finance

Plain-English Summary

This bill expands the state's Health Professional Loan Repayment Program to include primary care providers like physicians, nurse practitioners, and physician assistants. It provides student loan repayment to these professionals if they commit to working in a primary care setting in Rhode Island for at least two years. The bill increases the program's annual funding to $500,000. It also specifies that recipients must accept all patients regardless of their ability to pay and must accept all forms of insurance, including Medicare and Medicaid. These state-funded awards do not require the provider to work in a federally designated shortage area.

For younger readers

This bill changes a state program that helps doctors and nurses pay back the money they borrowed to go to college. To get this help, the doctors and nurses must agree to work in Rhode Island for at least two years. They also must agree to help all patients, even if a patient does not have a lot of money to pay for their visit. The bill also increases the amount of money the state uses for this program from $100,000 to $500,000 every year.

Who & Where It Applies

Impacted groups
PhysiciansNurse practitionersPhysician assistantsLow-income patientsPrimary care practices
Impacted communities
All

Constitutional & Fiscal Check

None Likely

Estimated cost
$0.32 per taxpayer
Estimated revenue
None

Bill Analysis

Both viewpoints
For Progressives
  • Expands access to healthcare by incentivizing medical professionals to practice in Rhode Island, specifically benefiting underserved populations.
  • Mandates that participating healthcare providers must accept all patients regardless of their ability to pay and accept Medicare and Medicaid, ensuring equitable care for low-income individuals.
  • Increases public funding for the loan repayment program from $100,000 to $500,000 annually, demonstrating a commitment to robust public services and addressing systemic primary care shortages.
  • Removes the requirement that state-funded awards be restricted to federally designated Health Professional Shortage Areas, potentially diverting resources away from the most severely underserved communities.
  • Diverts $100,000 in funding from the Department of Health's appropriation for the governor's children's health initiative, which could negatively impact existing child health services.
  • The $500,000 annual appropriation may still be insufficient to adequately address the massive student debt burden of medical professionals or fully solve the systemic primary care shortage.
For Conservatives
  • Addresses a critical labor shortage in the healthcare sector, which helps sustain the state's medical businesses, private practices, and local economy.
  • Removes federal bureaucratic red tape by exempting state-funded awards from federal Health Professional Shortage Area site eligibility criteria.
  • Maintains enforcement mechanisms and repayment penalties for professionals who fail to fulfill their two-year contractual obligations, ensuring accountability for taxpayer funds.
  • Increases government spending by raising the annual taxpayer appropriation for the loan repayment program from $100,000 to $500,000.
  • Imposes strict mandates on private healthcare providers, forcing them to accept all patients regardless of ability to pay and mandating the acceptance of government insurance plans.
  • Expands a government subsidy program for highly-educated professionals, essentially using taxpayer dollars to pay off private student loan debt.

Votes

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Full Bill Text

2 versions
Changes to existing Rhode Island law · 74 additions · 20 deletions

SECTION 1. Sections 23-14.1-1, 23-14.1-3, 23-14.1-5, 23-14.1-7 and 23-14.1-11 of the General Laws in Chapter 23-14.1 entitled "Health Professional Loan Repayment Program" are hereby amended to read as follows: 23-14.1-1. Legislative findings. The general assembly finds that:

(1) It is the right of every citizen of the state to have ready access to quality health care; and

(2) Health care facilities serving the poor, including community health centers throughout the state, are experiencing increasing difficulty in attracting and retaining physicians and other health professionals to administer to the needy underserved populations they serve. Therefore, it is the general assembly’s intent to provide incentives, in the form of loan repayment, to physicians, dentists, dental hygienists, nurse practitioners, certified nurse midwives, physician assistants and any other eligible health care professional under § 338A of the Public Health Service Act, 42 U.S.C. § 254l, who desire to serve the health care needs of medically underserved individuals in Rhode Island; and

(3) There currently exists a national and regional shortage of primary care healthcare providers. Primary care healthcare is provided by physicians, nurse practitioners, and physician assistants and the overall number of medical professionals entering the field of primary care healthcare is declining. It is increasingly difficult for primary care practices to hire nurses, medical assistants, behavioral health clinicians and other key staff, which is leading to even higher burnout among primary care providers. Therefore, it is the intent of the general assembly to provide incentives, in the form of loan repayment, to physicians, nurse practitioners and physician assistants who desire to provide primary care health services in Rhode Island. 23-14.1-3. Health professional loan repayment program established.

(a) There is established within the department, to be administered by the director, the health professional loan repayment program whose purpose shall be to support:

(1) The the recruitment and retention of high-quality health professionals working with underserved populations in identified health professional shortage areas (HPSAs) by providing loan repayment to eligible health professionals to defray the cost of their professional education; or

(2) The recruitment and retention of high-quality physicians, nurse practitioners and physician assistants committed to working in primary care health settings in the state for at least two (2) years providing loan repayment to eligible health professionals to defray the cost of their professional education. 23-14.1-5. Duties of the board. The board shall:

(1) Determine which areas of the state shall be eligible to participate in the loan repayment program each year, based on health professional shortage area designations;

(2) Determine which areas of the state shall be eligible to participate in the loan repayment program each year, based on primary care provider shortages; (2)(3) Receive and consider all applications for loan repayment made by eligible health professionals; (3)(4) Conduct a careful and full investigation of the ability, character, financial needs, and qualifications of each applicant; (4)(5) Consider the intent of the applicant to practice in a health professional shortage area or commitment to providing primary care healthcare services, and to adhere to all the requirements for participation in the loan repayment program; (5)(6) Submit to the director a list of those individuals eligible for loan repayment from each program and amount of loan repayment to be granted; (6)(7) Promulgate rules and regulations to ensure an effective implementation and administration of the program programs; (7)(8) Within ninety (90) days after the end of each fiscal year, the board shall approve and submit an annual report to the governor, the speaker of the house of representatives, the president of the senate, and the secretary of state, of its activities during that fiscal year. The report shall provide: an operating statement summarizing meetings or hearings held, including meeting minutes, subjects addressed, decisions rendered, applications considered and their disposition, rules or regulations promulgated, studies conducted, polices and plans developed, approved, or modified, and programs administered or initiated; a consolidated financial statement of all funds received and expended including the source of the funds, a listing of any staff supported by these funds, and a summary of any clerical, administrative, or technical support received; a summary of performance during the previous fiscal year including accomplishments, shortcomings, and remedies; a synopsis of hearings, complaints, suspensions, or other legal matters related to the committee; a summary of any training courses held pursuant to this chapter; a briefing on anticipated activities in the upcoming fiscal year, and findings and recommendations for improvements. The report shall be posted electronically on the websites of the general assembly and the secretary of state pursuant to the provisions of § 42-20-8.2. The director of the department of administration shall be responsible for the enforcement of the provisions of this subsection; and (8)(9) Conduct a training course for newly appointed and qualified members within six (6) months of their qualification or designation. The course shall be developed by the chair of the board, be approved by the board, and be conducted by the chair of the board. The board may approve the use of any board and/or staff members and/or individuals to assist with training. The training course shall include instruction in the following areas: the provisions of chapter 46 of title 42, chapter 14 of title 36, chapter 2 of title 38; and the board’s rules and regulations. The director of the department of administration shall, within ninety (90) days of June 16, 2006, prepare and disseminate training materials relating to the provisions of chapter 46 of title 42, chapter 14 of title 36, and chapter 2 of title 38. 23-14.1-7. Conditions of loan repayment.

(a) Loan repayments under the provisions of this chapter shall be based upon the condition that the recipient apply for a license to practice medicine, dentistry, dental hygiene, nurse midwifery, as a registered nurse practitioner, or as a health care professional under § 338A of the Public Health Service Act, 42 U.S.C. § 254l, or be registered as a physician assistant in Rhode Island at the earliest practicable opportunity.

(b) A recipient must agree to accept all patients regardless of their ability to pay for services received. A recipient must agree to accept all forms of insurance as payment in full, including Titles XVIII and XIX of the Social Security Act, 42 U.S.C. § 1395 et seq.

(c) A recipient shall be required to practice full-time in a health professional shortage area for a minimum of two (2) years in order to be eligible to participate in the program.

(d) Recipients of state-funded primary care loan repayment awards shall be subject to the same service hour requirements applicable under the federal State Loan Repayment Program, including the definition of full-time service or which a minimum percentage shall be dedicated to direct patient care consistent with federal program requirements. 23-14.1-11. Appropriation.

(a) The general assembly shall annually appropriate one hundred thousand dollars ($100,000) five hundred thousand dollars ($500,000) deposited into a restricted receipt account to implement the loan repayment program established in § 23-14.1-3 for the purpose of repayment of health education loans as outlined in this bill chapter. Those One hundred thousand dollars ($100,000) in funds shall be taken from the department of health appropriation for the governor’s children’s health initiative, (RIte Track program). Funds in this account shall be used only for the purpose of repayment of health education loans as outlined in this chapter. The state controller is authorized and directed to draw his or her orders upon the general treasurer for the payment of that sum, or so much of it as may be required from time to time, upon the receipt to him or her of duly authenticated vouchers. Implementation of this program is contingent upon the appropriation of the required resources.

(b) Of the funds appropriated pursuant to subsection (a) of this section, five hundred thousand dollars ($500,000) shall be designated for state-funded primary care loan repayment awards to eligible primary care health professionals, including physicians, physician assistants, and nurse practitioners.

(c) Awards funded pursuant to subsection (b) of this section shall be administered through the existing health professional loan repayment program infrastructure, including execution of contracts, enforcement of obligations, and repayment penalties.

(d) Awards funded pursuant to subsection (b) of this section shall not be subject to federal Health Professional Shortage Area (HPSA) requirements or federal site eligibility criteria under the State Loan Repayment Program.

(e) The department shall administer, track, and report awards issued pursuant to subsection

(b) of this section as a distinct funding category separate and apart from federally funded loan repayment awards.

(f) Awards funded pursuant to subsection (b) of this section may be supported with state funds or other non-federal funds, and may also be used in combination with federal funds awarded under the federal State Loan Repayment Program established pursuant to 42 U.S.C. § 254q-1, provided that any award funded in whole or in part with federal funds shall remain subject to all applicable federal requirements.

(g) Awards funded solely with state or other non-federal funds shall not be subject to federal Health Professional Shortage Area (HPSA) requirements or federal site eligibility criteria.

(h) For the fiscal year ending June 30, 2028, and each fiscal year thereafter, the general assembly shall annually appropriate a sum as it may deem necessary, but not less than five hundred thousand dollars ($500,000), to carry out the purposes of this chapter, and the state controller is hereby authorized and directed to draw the controller’s orders upon the general treasurer for the payment of the sum(s) or so much thereof as may be required from time to time to be deposited in a restricted receipt account upon receipt by the general treasurer of properly authenticated vouchers submitted by the director.

SECTION 2. This act shall take effect upon passage.