cant agrees to make available in cash (directly
or through donations from public or private en-
tities) non-Federal contributions toward such
costs in an amount that, for any fourth or sub-
sequent fiscal year for which the applicant re-
ceives such an award, is not less than 50 per-
cent of such costs.
‘‘(B) Amounts provided by the Federal
Government may not be included in determin-
ing the amount of non-Federal contributions re-
quired in subparagraph (A).
‘‘(C) The Secretary may not require non-
Federal contributions for the first three fiscal
years for which an applicant receives a grant
under subsection (a).
‘‘(d) PREFERENCE IN MAKING AWARDS.—
‘‘(1) IN GENERAL.—
‘‘(A) In making awards under subsection
(a), the Secretary shall, subject to paragraph
(3), give preference to any applicant that, for
the purpose described in subparagraph (B), has
made an arrangement with not less than one
entity from each of the following categories of
entities: Community-based organizations, ele-
mentary schools, secondary schools, institutions
of higher education, and health professions
schools.
‘‘(B) The purpose of arrangements under
subparagraph (A) is to establish a program for
individuals identified under subsection (a)
under which—
‘‘(i) the activities described in such
subsection are carried out on behalf of the
individuals; and
‘‘(ii) health professions schools make
a commitment to admit as students of the
schools such individuals who participate in
the program, subject to the individuals
meeting reasonable academic standards for
admission to the schools.
‘‘(2) ADDITIONAL PREFERENCES.—Of the ap-
plicants under subsection (a) that are receiving pref-
erence for purposes of paragraph (1), the Secretary
shall, subject to paragraph (3), give additional pref-
erence to applicants whose consortium under sub-
section (b) includes as members one or more health
professions schools that have not previously received
any award under this section (including this section
as in effect prior to fiscal year 1997).
‘‘(3) LIMITATION.—An applicant may not re-
ceive preference for purposes of paragraph (1) or (2)
unless the consortium under subsection (b) includes
not less than one health professions school that has
demonstrated success in enrolling students from dis-
advantaged backgrounds.
‘‘(e) OBJECTIVES UNDER AWARDS.—
‘‘(1) ESTABLISHMENT OF OBJECTIVES.—Before
making a first award to an applicant under sub-
section (a), the Secretary shall establish objectives
regarding the activities to be carried out under the
award, which objectives are applicable until the next
fiscal year for which such award is made after a
competitive process of review. In making an award
after such a review, the Secretary shall establish ad-
ditional objectives for the applicant.
‘‘(2) 
PRECONDITION
FOR
SUBSEQUENT
AWARDS.—In the case of an applicant seeking an
award under subsection (a) pursuant to a competi-
tive process of review, the Secretary may make the
award only if the applicant demonstrates to the sat-
isfaction of the Secretary that the applicant has met
the objectives that were applicable under paragraph
(1) to the preceding awards under such subsection.
‘‘(f) FUNDING.—
‘‘(1) AUTHORIZATION
OF
APPROPRIATIONS.—
For the purpose of carrying out this section and sec-
tion 736, there are authorized to be appropriated
$33,000,000 for fiscal year 1998, $37,000,000 for
fiscal year 1999, and $40,000,000 for fiscal year
2000.
‘‘(2) ALLOCATIONS.—Of the amounts appro-
priated under paragraph (1) for a fiscal year, the
Secretary shall obligate amounts as follows:
‘‘(A) For carrying out subsection (a)(6),
not less than 20 percent.
‘‘(B) For providing scholarships under sec-
tion 736, an amount equal to the amount pro-
vided for such purpose under this section for
fiscal year 1997, plus an amount for offsetting
the effects of inflation occurring after October
1, 1997.’’.
(b) TRANSITIONAL AND SAVINGS PROVISIONS.—
(1) IN GENERAL.—During the period specified
in paragraph (2)—
(A) the amendment made by subsection (a)
does not apply to any entity that received a
grant for fiscal year 1997 under section 740 of
the Public Health Service Act; and
(B) such a grant to the entity for fiscal
year 1998 or subsequent fiscal years shall be
made and expended in accordance with the pro-
visions of such section as in effect on the day
before the date of the enactment of this Act.
(2) RELEVANT PERIOD.—In the case of an en-
tity that received a grant for fiscal year 1997 under
section 740 of the Public Health Service Act, the pe-
riod referred to in paragraph (1) is the period that,
in first approving the grant, the Secretary specified
as the duration of the grant.
SEC. 206. STUDENT LOANS REGARDING SCHOOLS OF NURS-
ING.
Section 836(b) of the Public Health Service Act (42
U.S.C. 297b(b)) is amended—
(1) in paragraph (1), by striking the period at
the end and inserting a semicolon;
(2) in paragraph (2)—
(A) in subparagraph (A), by striking
‘‘and’’ at the end; and
(B) by inserting before the semicolon at
the end the following: ‘‘, and (C) such addi-
tional periods under the terms of paragraph (8)
of this subsection’’;
(3) in paragraph (7), by striking the period at
the end and inserting ‘‘; and’’; and
(4) by adding at the end the following para-
graph:
‘‘(8) pursuant to uniform criteria established by
the Secretary, the repayment period established
under paragraph (2) for any student borrower who
during the repayment period failed to make consecu-
tive payments and who, during the last 12 months
of the repayment period, has made at least 12 con-
secutive payments may be extended for a period not
to exceed 10 years.’’.
SEC. 207. FEDERALLY-SUPPORTED STUDENT LOAN FUNDS.
(a) AUTHORIZATION OF APPROPRIATIONS REGARD-
ING CERTAIN MEDICAL SCHOOLS.—
(1) IN GENERAL.—Subpart II of part A of title
VII of the Public Health Service Act (42 U.S.C.
292q et seq.) is amended—
(A) by transferring subsection (f) of sec-
tion 735 from the current placement of the sub-
section;
(B) by adding the subsection at the end of
section 723;
(C) by redesignating the subsection as sub-
section (e); and
(D) in subsection (e)(1) of section 723 (as
so redesignated), by striking ‘‘1996’’ and in-
serting ‘‘2000’’.
(2) CONFORMING AMENDMENTS.—Section 723
of the Public Health Service Act (42 U.S.C. 292s),
as amended by paragraph (1) of this subsection, is
amended in subsection (e)(2)(A)—
(A) by striking ‘‘section 723(b)(2)’’ and in-
serting ‘‘subsection (b)(2)’’; and
(B) by striking ‘‘such section’’ and insert-
ing ‘‘such subsection’’.
(b) AUTHORIZATION OF APPROPRIATIONS REGARD-
ING
INDIVIDUALS
FROM
DISADVANTAGED
BACK-
GROUNDS.—Section 724(f)(1) of the Public Health Serv-
ice Act (42 U.S.C. 292t(f)(1)) is amended to read as fol-
lows:
‘‘(1) IN
GENERAL.—With respect to making
Federal capital contributions to student loan funds
for purposes of subsection (a), other than the stu-
dent loan fund of any school of medicine or osteo-
pathic medicine, there is authorized to be appro-
priated $8,000,000 for each of the fiscal years 1998
through 2000.’’.
SEC. 208. AREA HEALTH EDUCATION CENTERS.
(a) 
REQUIREMENTS
FOR
CENTERS.—Section
746(d)(2)(D) of the Public Health Service Act (42 U.S.C.
293j(d)(2)(D)) is amended by inserting ‘‘and minority
health’’ after ‘‘disease prevention’’.
(b) FUNDING.—Section 746(i)(2)(C) of the Public
Health Service Act (42 U.S.C. 293j(i)(2)(C)) is amended
in the second sentence by inserting before the period the
following: ‘‘(except that in the case of fiscal year 1998,
amounts appropriated in excess of the amount appro-
priated for fiscal year 1997 shall be obligated for carrying
out subsection (a)(1) in rural States without an area
health education center program)’’.
TITLE III—RESEARCH
SEC. 301. OFFICE OF RESEARCH ON MINORITY HEALTH.
Section 404 of the Public Health Service Act (42
U.S.C. 283(b)) is amended by adding at the end the fol-
lowing subsections:
‘‘(c) PLAN.—The Director of the Office, in consulta-
tion with the advisory committee established under sub-
section (d), shall develop and implement a plan for carry-
ing out the duties established in subsection (b). The Direc-
tor shall review the plan not less than annually, and revise
the plan as appropriate.
‘‘(d) EQUITY REGARDING VARIOUS GROUPS.—The
Director of the Office shall ensure that activities under
subsection (b) equitably address all racial and ethnic mi-
nority groups.
‘‘(e) ADVISORY COMMITTEE.—
‘‘(1) ESTABLISHMENT.—In carrying out sub-
section (b), the Secretary shall establish an advisory
committee to be known as the Advisory Committee
on Research on Minority Health (in this subsection
referred to as the ‘Advisory Committee’).
‘‘(2) COMPOSITION.—
‘‘(A) VOTING
AND
NONVOTING
MEM-
BERS.—The Advisory Committee shall be com-
posed of voting members appointed in accord-
ance with subparagraph (B) and the ex officio
nonvoting members described in subparagraph
(C).
‘‘(B) VOTING
MEMBERS.—The Advisory
Committee shall include 12 voting members
who are not officers or employees of the Fed-
eral Government. The Director of the Office
shall appoint such members to the Advisory
Committee from among physicians, practition-
ers, scientists, consumers and other health pro-
fessionals, whose clinical practices, research
specialization, or professional expertise includes
a significant focus on research on minority
health or on the barriers that minorities must
overcome to participate in clinical trials. The
racial and ethnic minority groups shall be
equally represented among such members.
‘‘(C) EX OFFICIO NONVOTING MEMBERS.—
The Deputy Assistant Secretary for Minority
Health and the Directors of each of the na-
tional research entities shall serve as ex officio
nonvoting members of the Advisory Committee
(except that any of such Directors may des-
ignate an official of the institute involved to
serve as such member of the Committee in lieu
of the Director).
‘‘(3) CHAIR.—The Director of the Office shall
serve as the chair of the Advisory Committee.
‘‘(4) 
DUTIES.—The 
Advisory 
Committee
shall—
‘‘(A) advise the Director of the Office on
appropriate research activities to be undertaken
by the national research institutes with respect
to—
‘‘(i) research on minority health;
‘‘(ii) research on racial and ethnic dif-
ferences in clinical drug trials, including
responses to pharmacological drugs;
‘‘(iii) research on racial and ethnic
differences in disease etiology, course, and
treatment; and
‘‘(iv) research on minority health con-
ditions which require a multidisciplinary
approach;
‘‘(B) report to the Director of the Office
on such research;
‘‘(C) provide recommendations to such Di-
rector regarding activities of the Office (includ-
ing recommendations on priorities in carrying
out research described in subparagraph (A));
and
‘‘(D) assist in monitoring compliance with
section 492B regarding the inclusion of minori-
ties in clinical research.
‘‘(5) BIENNIAL REPORT.—
‘‘(A) PREPARATION.—The Advisory Com-
mittee shall prepare a biennial report describing
the activities of the Committee, including find-
ings made by the Committee regarding—
‘‘(i) compliance with section 492B;
‘‘(ii) the extent of expenditures made
for research on minority health by the
agencies of the National Institutes of
Health; and
‘‘(iii) the level of funding needed for
such research.
‘‘(B) SUBMISSION.—The report required in
subparagraph (A) shall be submitted to the Di-
rector of the National Institutes of Health for
inclusion in the report required in section 403.
‘‘(f) REPRESENTATIVES OF MINORITIES AMONG RE-
SEARCHERS.—The Secretary, acting through the Assist-
ant Secretary for Personnel Administration and in collabo-
ration with the Director of the Office, shall determine the
extent to which minorities are represented among senior
physicians and scientists of the national research insti-
tutes and among physicians and scientists conducting re-
search with funds provided by such institutes, and as ap-
propriate, carry out activities to increase the extent of
such representation.
‘‘(g) REQUIREMENT REGARDING GRANTS AND CON-
TRACTS.—Any award of a grant, cooperative agreement,
or contract that the Director of the Office is authorized
to make shall be made only on a competitive basis.
‘‘(h) DEFINITIONS.—For purposes of this part:
‘‘(1) The term ‘minority health conditions’, with
respect to individuals who are members of minority
groups, means all diseases, disorders, and conditions
(including with respect to mental health)—
‘‘(A) unique to, more serious, or more
prevalent in such individuals;
‘‘(B) for which the factors of medical risk
or types of medical intervention are different
for such individuals, or for which it is unknown
whether such factors or types are different for
such individuals; or
‘‘(C) with respect to which there has been
insufficient research involving such individuals
as subjects or insufficient data on such individ-
uals.
‘‘(2) The term ‘research on minority health’
means research on minority health conditions, in-
cluding research on preventing such conditions.
‘‘(3) The term ‘racial and ethnic minority
group’ has the meaning given such term in section
1707(g).’’.
SEC. 302. ACTIVITIES OF AGENCY FOR HEALTH CARE POL-
ICY AND RESEARCH.
Title IX of the Public Health Service Act (42 U.S.C.
299 et seq.) is amended—
(1) in section 902, by amending subsection (b)
to read as follows: