To reauthorize and improve programs of the National Health Service Corps.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``National Health Services Corps and 
Loan Repayment Programs Renewal Act of 2007''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) The National Health Service Corps is a vital resource 
        for underserved communities experiencing shortages of health 
        professionals.
            (2) For over 35 years, National Health Service Corps 
        clinicians have expanded access to primary and preventive 
        health care, dental care, mental health, and behavioral health 
        services in underserved areas of the United States and have 
        improved health outcomes among underserved populations.
            (3) The National Health Service Corps Scholarship Program 
        provides a predictable supply of clinicians who will pursue 
        employment in primary care for underserved communities. Upon 
        completion of their training, National Health Service Corps 
        scholars become salaried employees of organized systems of care 
        in such underserved communities.
            (4) The National Health Service Corps Loan Repayment 
        Program helps communities meet their immediate needs for health 
        professionals by offering to pay off qualifying educational 
        loans in exchange for 2 years of service in an underserved 
        community.
            (5) A recent report in the Journal of the American Medical 
        Association found that community health centers are facing 13 
        percent vacancies for family physician positions and 20.8 
        percent vacancies for OB-GYN positions. The study cited heavy 
        reliance on the National Health Service Corps and recommended 
        expanding the program in order to address those needs.
            (6) Critical to the growth of new and existing health 
        centers is having a sufficient supply of primary care health 
        professionals to staff them. Currently, health centers rely on 
        the National Health Service Corps for over 20 percent of their 
        physician workforce. Yet, just over half of all Corps 
        placements are made to health centers, even though they are one 
        of the strongest cords in the health care safety net.
            (7) Health facilities in rural areas, including community 
        health centers and rural health clinics, face primary care 
        vacancy rates higher than the national average, and are more 
        heavily reliant on the National Health Service Corps to address 
        those needs.
            (8) The number of new medical residents choosing a primary 
        care discipline as a medical specialty is declining, and the 
        National Health Service Corps Scholarship Program and the 
        National Health Service Corps Loan Repayment Program provide an 
        important incentive for students to choose to pursue a career 
        in primary care.

SEC. 3. NATIONAL HEALTH SERVICE CORPS.

    (a) Funding.--To carry out the programs authorized under sections 
331 through 338G of the Public Health Service Act (42 U.S.C. 254d-
254p), there are authorized to be appropriated, and there are 
appropriated--
            (1) for fiscal year 2008, $131,500,000;
            (2) for fiscal year 2009, $175,000,000;
            (3) for fiscal year 2010, $200,000,000;
            (4) for fiscal year 2011, $225,000,000; and
            (5) for fiscal year 2012, $250,000,000.
    (b) Assignment of Personnel.--
            (1) In general.--Section 333(a)(3) of the Public Health 
        Service Act (42 U.S.C. 254f(a)(3)) is amended to read as 
        follows:
            ``(3)(A) In approving applications for assignment of 
        members of the Corps, the Secretary shall not discriminate 
        against applications from entities that are not receiving 
        Federal financial assistance under this Act.
            ``(B) In approving the applications described in 
        subparagraph (A), the Secretary shall--
                    ``(i) give preference to applications in which a 
                nonprofit entity or public entity shall provide a site 
                to which Corps members may be assigned; and
                    ``(ii) give the highest preference to 
                applications--
                            ``(I) for entities described in clause (i) 
                        that are federally-qualified health centers as 
                        defined in section 1905(l)(2)(B) of the Social 
                        Security Act (42 U.S.C. 1396d(l)(2)(B));
                            ``(II) or entities described in clause (i) 
                        that are rural health clinics; and
                            ``(III) for entities described in clause 
                        (i) that primarily serve health disparity 
                        populations or medically underserved 
                        populations.''.
            (2) Priorities in assignment of corps personnel.--Section 
        333A of the Public Health Service Act (42 U.S.C. 254f-1) is 
        amended--
                    (A) in subsection (a)--
                            (i) by redesignating paragraphs (1), (2), 
                        and (3) as paragraphs (2), (3), and (4), 
                        respectively; and
                            (ii) by inserting before paragraph (2) (as 
                        so redesignated) the following:
            ``(1) give preference to applications as set forth in 
        subsection (a)(3) of such section;''; and
                    (B) by striking ``subsection (a)(1)'' each place 
                such appears and inserting ``subsection (a)(2)''.
            (3) Conforming amendment.--Section 338I(c)(3)(B)(ii) of the 
        Public Health Service Act (42 U.S.C. 254q-1(c)(3)(B)(ii)) is 
        amended by striking ``section 333A(a)(1)'' and inserting 
        ``section 333A(a)(2)''.
    (c) Elimination of 6-Year Demonstration Requirement.--Section 
332(a)(1) of the Public Health Service Act (42 U.S.C. 254e(a)(1)) is 
amended by striking ``Not earlier than 6 years'' and all that follows 
through ``purposes of this section''.

Summary: National Health Services Corps and Loan Repayment Programs Renewal Act of 2007 - Reauthorizes appropriations for the National Health Service Corps for FY2008-FY2012. Amends the Public Health Service Act to direct the Secretary of Health and Human Services, in approving applications for assignment of members of the Corps, to give the highest preference to entities that are federally-qualified health centers, that are rural health clinics, and that primarily serve health disparity populations or medically underserved populations. Repeals the requirement that federally qualified health centers and rural health clinics demonstate that they meet health professional shortage area requirements every six years after such a center or clinic is designated as having such a shortage.