SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Veterinary Health Enhancement Act''.

SEC. 2. ESTABLISHMENT OF SCHOLARSHIP AND LOAN REPAYMENT PROGRAMS 
              REGARDING VETERINARY MEDICINE.

    Subpart III of part D of title III of the Public Health Service Act 
(42 U.S.C. 254l et seq.) is amended by adding at the end the following 
section:

``SEC. 338M. SCHOLARSHIP AND LOAN REPAYMENT PROGRAMS REGARDING 
              VETERINARY MEDICINE.

    ``(a) Scholarship Program.--The Secretary, acting through the 
Administrator of the Health Resources and Services Administration, 
shall establish a program of entering into agreements with students 
under which the Federal Government provides to the students 
scholarships for attending schools of veterinary medicine in 
consideration of the students agreeing to provide, for a period of time 
specified in the agreement, veterinary services in veterinarian 
shortage areas.
    ``(b) Loan Repayment Program.--The Secretary, acting through the 
Administrator of the Health Resources and Services Administration, 
shall carry out a program of entering into agreements with 
veterinarians under which the veterinarians agree to provide, for a 
period of time specified in the agreement, veterinary services in 
veterinarian shortage areas in consideration of the Federal Government 
agreeing to repay, for each year of such service, not more than $35,000 
of the principal and interest of the educational loans of the 
veterinarians.
    ``(c) Veterinarian Shortage Areas.--
            ``(1) In general.--For purposes of this section, the term 
        `veterinarian shortage area' means any of the following:
                    ``(A) An area in an urban or rural area (which need 
                not conform to the geographic boundaries of a political 
                subdivision and which is a rational area for the 
                delivery of veterinary services) that the Secretary 
                determines has a shortage of veterinarians.
                    ``(B) A population group that the Secretary 
                determines has such a shortage.
                    ``(C) A public or nonprofit private medical 
                facility or other public facility that the Secretary 
                determines has such a shortage.
            ``(2) State participation.--In designating a veterinarian 
        shortage area in a State, the Secretary shall consult with the 
        chief veterinary-medicine official of the State and with other 
        appropriate entities in the State, including representatives of 
        schools of veterinary medicine in the State; representatives of 
        State members of professional associations regarding veterinary 
medicine; and representatives of large-animal veterinarians in the 
State.
    ``(d) Eligible Individuals.--
            ``(1) In general.--The Secretary may approve an individual 
        for participation in the program under subsection (a) or (b) 
        only if (in addition to the requirements that apply under 
        subsection (e)) the individual has been approved by the chief 
        veterinary-medicine official of the State involved, after such 
        official consulted with appropriate entities in the State 
        regarding such approval, including representatives specified in 
        subsection (c)(2).
            ``(2) State involved.--For purposes of paragraph (1), the 
        State involved with respect to an individual is the State 
        described in subparagraph (A) or (B) (as applicable), as 
        follows:
                    ``(A) In the case of the program under subsection 
                (a), the State in which the individual attends or will 
                attend a school of veterinary medicine with a 
                scholarship under the program.
                    ``(B) In the case of the program under subsection 
                (b), the State that contains the veterinarian shortage 
                area for which the individual will provide veterinary 
                services under the program.
    ``(e) Applicability of Certain Provisions.--
            ``(1) Scholarship program.--With respect to the National 
        Health Service Corps Scholarship Program established in section 
        338A, the provisions of this subpart that apply to such program 
        shall, except as determined by the Secretary to be inconsistent 
        with subsection (a), apply to the program established in 
        subsection (a) in the same manner and to the same extent as 
        such provisions apply to the National Health Service Corps 
        Scholarship Program.
            ``(2) Loan repayment program.--With respect to the National 
        Health Service Corps Loan Repayment Program established in 
        section 338B, the provisions of this subpart that apply to such 
        program shall, except as determined by the Secretary to be 
        inconsistent with subsection (b), apply to the program 
        established in subsection (b) in the same manner and to the 
        same extent as such provisions apply to the National Health 
        Service Corps Loan Repayment Program.
    ``(f) Definition.--For purposes of this section, the term `school 
of veterinary medicine' has the meaning given such term in section 
799B.
    ``(g) Authorization of Appropriations.--
            ``(1) Scholarship program.--For the purpose of carrying out 
        this section with respect to the program under subsection (a), 
        there are authorized to be appropriated up to $5,000,000 for 
        each of the fiscal years 2002 through 2006.
            ``(2) Loan repayment program.--For the purpose of carrying 
        out this section with respect to the program under subsection 
        (b), there are authorized to be appropriated up to $5,000,000 
        for each of this fiscal years 2002 through 2006.''.
Veterinary Health Enhancement Act - Amends the Public Health Service Act to establish veterinary scholarship and loan repayment programs in return for service in veterinary shortage areas. Authorizes appropriations.
A bill to amend the Public Health Service Act to establish scholarship and loan repayment programs regarding the provision of veterinary services in veterinarian shortage areas.