As of January 1, 2024, this bill creates a mental healthcare professionals student loan repayment grant program ("program") to incentivize certain mental healthcare professionals to provide mental health services in this state following completion of their training. The bill provides that the creation of the program is subject to specific appropriations of funds by the general assembly.
PRACTITIONER ELIGIBILITY
This bill provides that in order to be eligible for a loan repayment grant pursuant to the program, an individual must:
(1) Be a physician licensed pursuant to the laws of this state, with expertise in psychiatry as determined by training, education, or experience and whose practice is primarily limited to psychiatry; a psychologist licensed pursuant to the laws of this state and designated as a health service provider pursuant to the laws of this state; or a licensed professional counselor designated as a mental health service provider and certified to practice trauma therapy;
(2) Have an outstanding student loan balance that resulted from medical education;
(3) Apply to the department of health for a grant on forms provided by the department; and
(4) Enter into a contract with the department of health stating the individual must (i) provide mental health services in this state for at least six years within the eight years following the date of application approval; (ii) accept TennCare or private insurance for services provided to patients for the entire term of the contract; and (iii) use the grant funds only to repay eligible educational loans.
STUDENT ELIGIBILITY
This bill authorizes an individual to apply for a grant while in training to become a licensed psychiatrist, psychologist, or professional counselor, but prohibits the individual from receiving a grant until the individual completes all necessary training to be a licensed provider and satisfies the eligibility requirements listed above for practitioners.
In order to be eligible to apply while in training, this bill requires the individual to be a student who meets the following criteria:
(1) Has graduated from an accredited medical school and is actively enrolled in a psychiatry residency training program;
(2) Is training to become a psychologist and is actively completing one year of post-doctoral experience; or
(3) Is actively completing the two years of postgraduate supervised experience required to become a licensed professional counselor designated as a mental health service provider and is certified to practice trauma therapy.
ADMINISTRATION AND PAYMENT
This bill requires the department of health to administer the program and establish an application and contract process. The department must issue program monies to pay mental healthcare professionals student loan repayment grants to qualifying individuals for the amount of principal, interest, and related expenses of the individual's medical school educational loans, not to exceed the individual's total student loan indebtedness.
This bill provides that an individual who receives a student loan repayment grant and breaches the contract by failing to comply with any of the requirements described above is liable for liquidated damages in an amount equal to the amount that would be owed for default and all other penalties as determined and authorized by the department. This bill authorizes the department to retain legal counsel and commence whatever actions necessary to collect grant payments and charges if there is a default or a breach of a contract. However, this bill also authorizes the department to waive the liquidated damages if the department determines that death or permanent physical disability accounted for the failure of the participant to fulfill the contract. This bill also authorizes the department to prescribe additional conditions for default, cancellation, waiver, or suspension.
ANNUAL REPORT
This bill requires the department to provide an annual report to the governor, the chair of the education administration committee of the house of representatives, and the chair of the education committee of the senate specifying the number of individuals applying for and receiving grants, and making any recommendations for program improvements.
RULEMAKING AUTHORITY
This bill authorizes the department, in consultation with the Tennessee student assistance corporation (TSAC), the board of medical examiners, board of osteopathic examination, the board of professional counselors, and the board of examiners in psychology, to promulgate rules to effectuate this bill.