I 

115TH CONGRESS 

1ST SESSION H. R. 1505 

To amend title 38, United States Code, to authorize the Secretary of Veterans 

Affairs to increase the maximum market pay of physicians and dentists 

in the Veterans Health Administration who work in health professional 

shortage areas, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

MARCH 10, 2017 

Mr. O’ROURKE (for himself and Mr. ABRAHAM) introduced the following bill; 

which was referred to the Committee on Veterans’ Affairs 

A BILL 

To amend title 38, United States Code, to authorize the 

Secretary of Veterans Affairs to increase the maximum 

market pay of physicians and dentists in the Veterans 

Health Administration who work in health professional 

shortage areas, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘VA Provider Pay Mod5 ernization Act of 2017’’. 


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1 SEC. 2. MARKET PAY FOR PHYSICIANS AND DENTISTS IN 

2 THE VETERANS HEALTH ADMINISTRATION IN 

3 HEALTH PROFESSIONAL SHORTAGE AREAS. 

4 Section 7431(c) of title 38, United States Code, is 

5 amended— 

6 (1) in paragraph (3)— 

7 (A) by striking ‘‘The’’ and inserting ‘‘Sub8 ject to paragraph (5), the’’; and 

9 (B) by striking ‘‘determined by the Sec10 retary on a case-by-case basis’’ and inserting 

11 ‘‘the same for each physician or dentist with 

12 the same specialty or assignment in the same 

13 Veterans Integrated Service Network’’; 

14 (2) in paragraph (5)— 

15 (A) by striking ‘‘The’’ and inserting ‘‘Sub16 ject to subparagraph (C), the’’; 

17 (B) by striking ‘‘shall take’’ and inserting 

18 ‘‘may exceed the market pay generally available 

19 under paragraph (3) to a physician or dentist 

20 with the same specialty or assignment in the 

21 same Veterans Integrated Service Network by 

22 an amount not to exceed five percent of the 

23 total pay of such physician or dentist, taking’’; 

24 and 

25 (C) in subparagraph (C)— 


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1 (i) by inserting ‘‘(i)’’ before ‘‘the 

2 health care labor market’’; 

3 (ii) by striking all that follows ‘‘den4 tist’’ and inserting ‘‘in the relevant health 

5 service area, as designated by the Sec6 retary of Health and Human Services 

7 under section 5.2 of title 42, Code of Fed8 eral Regulations (42 C.F.R. 5.2); and’’; 

9 and 

10 (iii) by adding at the end the fol11 lowing new clause: 

12 ‘‘(ii) whether the Secretary of Health and 

13 Human Services has designated under section 

14 332 of the Public Health Service Act (42 

15 U.S.C. 254e) such health service area as a 

16 health professional shortage area with regards 

17 to the specialty of the physician or dentist, in 

18 which case market pay for the physician or den19 tist may exceed, by not more than 25 percent, 

20 the market pay for a physician or dentist in 

21 such health service area with a specialty or as22 signment not relevant to the health professional 

23 shortage area;’’; and 

24 (3) in paragraph (6), by striking ‘‘24’’ and in25 serting ‘‘12’’. 


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1 SEC. 3. BASIC PAY PARITY. 

2 Section 7403(h)(6) of title 38, United States Code, 

3 is amended— 

4 (1) by striking ‘‘and’’ at the end of subpara5 graph (A); 

6 (2) by striking the period at the end of sub7 paragraph (B) and inserting ‘‘; and’’; and 

8 (3) by adding at the end the following new sub9 paragraph: 

10 ‘‘(C) create parity to the greatest extent practicable 

11 between the grades and annual rates of basic pay for em12 ployees of the Administration who perform similar duties 

13 in the same facility, regardless of time of service.’’. 

Æ 


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