Rural America Health Corps Act

To establish a demonstration program to provide payments on eligible loans for individuals who are eligible for the National Health Service Corps Loan Repayment Program. 1. Short title This Act may be cited as the Rural America Health Corps Act 2. National Health Service Corps rural provider loan repayment demonstration program (a) In general (1) Establishment The Secretary of Health and Human Services (referred to in this section as the Secretary (2) Eligible individuals To be eligible for payments under the program under this section, an individual shall— (A) be eligible to participate in the Loan Repayment Program under section 338B of the Public Health Service Act ( 42 U.S.C. 254l–1 (B) agree to the requirements described in subsection (b)(1). (b) Procedure (1) Requirements To be eligible to receive assistance under this section, an eligible individual shall— (A) comply with all rules and requirements described in section 338B of the Public Health Service Act ( 42 U.S.C. 254l–1 (B) agree to a period of obligated service of 5 years of full-time employment in a health professional shortage area that is a rural area. (2) Payments (A) Service in a rural area The Secretary shall pay— (i) for each year of obligated service by an individual pursuant to an agreement under this section, 1/5 (ii) for completion of the fifth and final year of such service, the remainder of such principal and interest. (B) Maximum amount The total amount of payments under this section to any individual shall not exceed $200,000. (3) Breach (A) Liquidated damages formula The Secretary may establish a liquidated damages formula to be used in the event of a breach of an agreement entered into under this section. (B) Limitation The failure by an individual to complete the full period of service obligated pursuant to such an agreement, taken alone, shall not constitute a breach of such agreement, so long as the individual completed in good faith the years of service for which payments were made to the individual under this section. (4) Applicability of loan repayment program provisions Except as otherwise provided in this section, all provisions in subparts II and III of title III of the Public Health Service Act ( 42 U.S.C. 241 et seq. 42 U.S.C. 254l–1 (c) Designations The demonstration program under this section, and any providers who are selected to participate in such program, shall not be considered by the Secretary in the designation of health professional shortage areas under section 332 of the Public Health Service Act ( 42 U.S.C. 254e (d) Report Not later than 5 years after the date of enactment of this Act, the Secretary shall submit to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Energy and Commerce of the House of Representatives a report that evaluates the demonstration program established under this section, including the effects of such program on health care access in rural areas. (e) Health professional shortage area In this section, the term health professional shortage area 42 U.S.C. 254e (f) Authorization of appropriations There is authorized to be appropriated to carry out this section, $50,000,000 for each of fiscal years 2024 through 2028.

Summary: Rural America Health Corps Act This bill establishes a student loan repayment demonstration program for eligible providers who agree to work for five years in a rural area with a shortage of primary, dental, or mental health care providers. For each year of this service, the Department of Health and Human Services must pay one-fifth of the principal and interest on a provider's qualifying loans. Total payments to a provider may not exceed $200,000.