The Veterinary Medical Loan Repayment Act establishes a program aimed at alleviating the student loan burden 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 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 awards will be based on the recipient's total veterinary medical school indebtedness and the characteristics of their practice location, with a maximum award amount of $80,000 over four years.

Additionally, the act includes provisions for penalties if recipients fail to comply with contract terms, as well as conditions under which recipients may be released from their contracts without penalty. The department is required to report annually to the governor and legislature on the program's activities, including the number of awards given, completion rates, and the impact on designated underserved areas. An appropriation of $5 million from the general fund is allocated to support the program from fiscal years 2026 through 2031.