The proposed "Veterinary Medical Loan Repayment Act" establishes a program aimed at alleviating student loan debt for veterinarians who commit to serving in designated underserved areas in New Mexico. The act outlines the creation of a "veterinary medical loan repayment fund," which will be financed through appropriations, gifts, and grants. The New Mexico Higher Education Department is tasked with implementing the program, including the establishment of eligibility criteria, selection processes, and the management of contracts with recipients. The act specifies that recipients must be licensed veterinarians employed full-time in private practices that provide food-animal veterinary services in these underserved areas.

The bill also details the award criteria, which will depend on the recipient's location, practice characteristics, and total educational debt. It allows for penalties if recipients fail to comply with contract terms, with the potential for a penalty of up to three times the awarded amount. Additionally, the department is required to provide annual reports to the governor and legislature, detailing the program's effectiveness, including the number of awards given, completion rates, and the impact on underserved areas. An appropriation of $5 million is allocated from the general fund to support the program from fiscal years 2026 through 2031.