Sec. 2. Designation of Health Disparity Zones. 
Sec. 3. Consultation. 
Sec. 4. Tax incentives. 
Sec. 5. Grants. 
Sec. 6. Student loan repayment program. 
Sec. 7. 10-percent increase of payment for items and services payable under 
Medicare Part B furnished in Health Disparity Zones. 
Sec. 8. Reporting. 
Sec. 9. Definitions. 
Sec. 10. Authorization of appropriations. 
SEC. 2. DESIGNATION OF HEALTH DISPARITY ZONES. 
(a) DESIGNATION.— 
(1) IN GENERAL.—Not later than 18 months 
after the date of enactment of this Act, the Sec-
retary shall, pursuant to applications submitted 
under subsection (c), designate areas as Health Dis-
parity Zones to reduce health disparities and im-
prove health outcomes in such areas. 
(2) ELIGIBILITY OF AREA.—To be designated 
as a Health Disparity Zone under this section, an 
area must— 
(A) be a contiguous geographic area in one 
census tract or ZIP Code; 
(B) have measurable and documented ra-
cial, ethnic, or geographic health disparities and 
poor health outcomes, demonstrated by— 
(i) average income below 150 percent 
of the Federal poverty line; 
(ii) a rate of participation in the spe-
cial supplemental nutrition program under 
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section 17 of the Child Nutrition Act of 
1966 (42 U.S.C. 1786) that is higher than 
the national average rate of participation 
in such program; 
(iii) lower life expectancy than the na-
tional average; 
(iv) a higher percentage of instances 
of low birth weight than the national aver-
age; or 
(v) designation under section 332 of 
the Public Health Service Act (42 U.S.C. 
254e) as a health professional shortage 
area; and 
(C) are part of a Metropolitan Statistical 
Area or Micropolitan Statistical Area identified 
by the Office of Management and Budget. 
(b) SOLICITATION
OF
APPLICATIONS.—The Sec-
retary shall— 
(1) not later than 12 months after the date of 
enactment of this Act, solicit applications under sub-
section (c); and 
(2) publish on the website of the Department of 
Health and Human Services— 
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(A) the names of all applicants, together 
with the names of each applicant’s coalition 
partners; and 
(B) a description of all areas proposed to 
be designated as Health Disparity Zones. 
(c) SUBMISSION
OF APPLICATIONS.—To seek the 
designation of an area as a Health Disparity Zone, a com-
munity-based nonprofit organization or local governmental 
agency, in coalition with an array of health care providers, 
hospitals, nonprofit community health clinics, health cen-
ters, social service organizations, and other related organi-
zations shall submit an application to the Secretary. 
(d) CONTENTS.—An application under subsection (c) 
shall— 
(1) include an effective and sustainable plan 
with respect to the area proposed for designation— 
(A) to reduce health disparities; 
(B) to reduce the costs of, or to produce 
savings to, the health care system; 
(C) to improve health outcomes; and 
(D) to utilize one or more of the incentives 
established pursuant to sections 4, 5, 6, and 7 
to address health care provider capacity, im-
prove health services delivery, effectuate com-
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munity improvements, or conduct outreach and 
education efforts; and 
(2) identify specific diseases or indicators of 
health for improvement of health outcomes in such 
area, including at least one of the following: cardio-
vascular disease, asthma, diabetes, dental health, be-
havioral health, maternal and birth health, sexually 
transmitted infections, and obesity. 
(e) CONSIDERATIONS.—The Secretary— 
(1) shall consider geographic diversity, among 
other factors, in selecting areas for designation as 
Health Disparity Zones; and 
(2) may conduct outreach efforts to encourage 
a geographically diverse pool of applicants, including 
for designating Health Disparity Zones in rural 
areas. 
(f) PRIORITY.—In selecting areas for designation as 
Health Disparity Zones, the Secretary shall give higher 
priority to applications based on the extent to which they 
demonstrate the following: 
(1) Support from, and participation of, key 
stakeholders in the public and private sectors in the 
area proposed for designation, including residents 
and local governments of such area. 
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(2) A plan for long-term funding and sustain-
ability. 
(3) Supporting funds from the private sector. 
(4) Integration with any applicable State health 
improvement process or plan. 
(5) A plan for evaluation of the impact of des-
ignation of such area as a Health Disparity Zone. 
(6) A plan to utilize existing State tax credits, 
grants, or other incentives to reduce health dispari-
ties and improve health outcomes in the proposed 
Health Disparity Zone. 
(7) Such other factors as the Secretary deter-
mines are appropriate to demonstrate a commitment 
to reduce health disparities and improve health out-
comes in such area. 
(g) PERIOD
OF
DESIGNATION.—The designation 
under this section of any area as a Health Disparity Zone 
shall expire at the end of the period of 10 fiscal years 
following the enactment of this Act. 
SEC. 3. CONSULTATION. 
The Secretary shall carry out this Act in consultation 
with— 
(1) the Secretary of Housing and Urban Devel-
opment; and 
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