and dentists in the Department, as determined by the Sec-
retary. 
‘‘(C) Notwithstanding subsection (c)(1), the agreement 
between the Secretary and a participant in the Scholarship 
Program who receives a scholarship pursuant to this para-
graph shall provide the following: 
‘‘(i) The Secretary’s agreement to provide the 
participant with a scholarship under this subchapter 
for a specified number (from two to four) of school 
years during which the participant is pursuing a 
course of education or training leading to employ-
ment as a physician or dentist. 
‘‘(ii) The participant’s agreement to serve as a 
full-time employee in the Veterans Health Adminis-
tration for a period of time (hereinafter in this sub-
chapter referred to as the ‘period of obligated service’) 
of 18 months for each school year or part thereof for 
which the participant was provided a scholarship 
under the Scholarship Program. 
‘‘(D) In providing scholarships pursuant to this para-
graph, the Secretary may provide a preference for appli-
cants who are veterans. 
‘‘(E) On an annual basis, the Secretary shall provide 
to appropriate educational institutions informational ma-
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terial about the availability of scholarships under this para-
graph.’’. 
(b) BREACH OF AGREEMENT.—Section 7617(b) of such 
title is amended— 
(1) by redesignating paragraphs (4) and (5) as 
paragraphs (5) and (6), respectively; and 
(2) by inserting after paragraph (3) the fol-
lowing new paragraph (4): 
‘‘(4) In the case of a participant who is enrolled 
in a program or education or training leading to em-
ployment as a physician, the participant fails to suc-
cessfully complete post-graduate training leading to 
eligibility for board certification in a specialty.’’. 
(c) EXTENSION OF PROGRAM.—Section 7619 of such 
title is amended by striking ‘‘December 31, 2019’’ and in-
serting ‘‘December 31, 2033’’. 
SEC. 302. ESTABLISHMENT OF DEPARTMENT OF VETERANS 
AFFAIRS SPECIALTY EDUCATION LOAN RE-
PAYMENT PROGRAM. 
(a) IN GENERAL.—Chapter 76 of title 38, United 
States Code, is amended by inserting after subchapter VII 
the following new subchapter: 
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‘‘SUBCHAPTER VIII—SPECIALTY EDUCATION 
LOAN REPAYMENT PROGRAM 
‘‘§ 7691. Establishment 
‘‘As part of the Educational Assistance Program, the 
Secretary may carry out a student loan repayment pro-
gram under section 5379 of title 5. The program shall be 
known as the Department of Veterans Affairs Specialty 
Education Loan Repayment Program (in this chapter re-
ferred to as the ‘Specialty Education Loan Repayment Pro-
gram’). 
‘‘§ 7692. Purpose 
‘‘The purpose of the Specialty Education Loan Repay-
ment Program is to assist, through the establishment of an 
incentive program for certain individuals employed in the 
Veterans Health Administration, in meeting the staffing 
needs of the Veterans Health Administration for physicians 
in medical specialties for which the Secretary determines 
recruitment or retention of qualified personnel is difficult. 
‘‘§ 7693. Eligibility; preference; covered costs 
‘‘(a) ELIGIBILITY.—An individual is eligible to par-
ticipate in the Specialty Education Loan Repayment Pro-
gram if the individual— 
‘‘(1) is hired under section 7401 of this title to 
work in an occupation described in section 7692 of 
this title; 
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‘‘(2) owes any amount of principal or interest 
under a loan, the proceeds of which were used by or 
on behalf of that individual to pay costs relating to 
a course of education or training which led to a de-
gree that qualified the individual for the position re-
ferred to in paragraph (1); and 
‘‘(3) is— 
‘‘(A) recently graduated from an accredited 
medical or osteopathic school and matched to an 
accredited residency program in a medical spe-
cialty described in section 7692 of this title; or 
‘‘(B) a physician in training in a medical 
specialty described in section 7692 of this title 
with more than two years remaining in such 
training. 
‘‘(b) PREFERENCE FOR VETERANS.—In selecting indi-
viduals for participation in the Specialty Education Loan 
Repayment Program under this subchapter, the Secretary 
may give preference to veterans. 
‘‘(c) COVERED COSTS.—For purposes of subsection 
(a)(2), costs relating to a course of education or training 
include— 
‘‘(1) tuition expenses; 
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‘‘(2) all other reasonable educational expenses, 
including expenses for fees, books, equipment, and lab-
oratory expenses; and 
‘‘(3) reasonable living expenses. 
‘‘§ 7694. Specialty education loan repayment 
‘‘(a) IN GENERAL.—Payments under the Specialty 
Education Loan Repayment Program shall consist of pay-
ments for the principal and interest on loans described in 
section 7682(a)(2) of this title for individuals selected to 
participate in the Program to the holders of such loans. 
‘‘(b) FREQUENCY OF PAYMENT.—The Secretary shall 
make payments for any given participant in the Specialty 
Education Loan Repayment Program on a schedule deter-
mined appropriate by the Secretary. 
‘‘(c) MAXIMUM AMOUNT; WAIVER.—(1) The amount of 
payments made for a participant under the Specialty Edu-
cation Loan Repayment Program may not exceed $160,000 
over a total of four years of participation in the Program, 
of which not more than $40,000 of such payments may be 
made in each year of participation in the Program. 
‘‘(2)(A) The Secretary may waive the limitations 
under paragraph (1) in the case of a participant described 
in subparagraph (B). In the case of such a waiver, the total 
amount of payments payable to or for that participant is 
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the total amount of the principal and the interest on the 
participant’s loans referred to in subsection (a). 
‘‘(B) A participant described in this subparagraph is 
a participant in the Program who the Secretary determines 
serves in a position for which there is a shortage of qualified 
employees by reason of either the location or the require-
ments of the position. 
‘‘§ 7695. Choice of location 
‘‘Each participant in the Specialty Education Loan 
Repayment Program who completes residency may select, 
from a list of medical facilities of the Veterans Health Ad-
ministration provided by the Secretary, at which such facil-
ity the participant will work in a medical specialty de-
scribed in section 7692 of this title. 
‘‘§ 7696. Term of obligated service 
‘‘(a) IN GENERAL.—In addition to any requirements 
under section 5379(c) of title 5, a participant in the Spe-
cialty Education Loan Repayment Program must agree, in 
writing and before the Secretary may make any payment 
to or for the participant, to— 
‘‘(1) obtain a license to practice medicine in a 
State; 
‘‘(2) successfully complete post-graduate training 
leading to eligibility for board certification in a spe-
cialty; 
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‘‘(3) serve as a full-time clinical practice em-
ployee of the Veterans Health Administration for 12 
months for every $40,000 in such benefits that the em-
ployee receives, but in no case for fewer than 24 
months; and 
‘‘(4) except as provided in subsection (b), to 
begin such service as a full-time practice employee by 
not later than 60 days after completing a residency. 
‘‘(b) FELLOWSHIP.—In the case of a participant who 
receives an accredited fellowship in a medical specialty 
other than a medical specialty described in section 7692 
of this title, the Secretary, on written request of the partici-
pant, may delay the term of obligated service under sub-
section (a) for the participant until after the participant 
completes the fellowship, but in no case later than 60 days 
after completion of such fellowship. 
‘‘(c) PENALTY.—(1) An employee who does not com-
plete a period of obligated service under this section shall 
owe the Federal Government an amount determined in ac-
cordance with the following formula: A=B×((T¥S)÷T)) . 
‘‘(2) In the formula in paragraph (1): 
‘‘(A) ‘A’ is the amount the employee owes the 
Federal Government. 
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‘‘(B) ‘B’ is the sum of all payments to or for the 
participant under the Specialty Education Loan Re-
payment Program. 
‘‘(C) ‘T’ is the number of months in the period 
of obligated service of the employee. 
‘‘(D) ‘S’ is the number of whole months of such 
period of obligated service served by the employee. 
‘‘§ 7697. Relationship to Educational Assistance Pro-
gram 
‘‘Assistance under the Specialty Education Loan Re-
payment Program may be in addition to other assistance 
available to individuals under the Educational Assistance 
Program.’’. 
(b) CONFORMING AND TECHNICAL AMENDMENTS.— 
(1) CONFORMING AMENDMENTS.— 
(A) Section 7601(a) of title 38, United 
States Code, is amended— 
(i) in paragraph (4), by striking 
‘‘and’’; 
(ii) in paragraph (5), by striking the 
period and inserting ‘‘; and’’; and 
(iii) by adding at the end the following 
new paragraph: 
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‘‘(6) the specialty education loan repayment pro-
gram provided for in subchapter VIII of this chap-
ter.’’. 
(B) Section 7603(a)(1) of title 38, United 
States Code, is amended by striking ‘‘or VI’’ and 
inserting ‘‘VI, or VIII’’. 
(C) Section 7604 of title 38, United States 
Code, is amended by striking ‘‘or VI’’ each place 
it appears and inserting ‘‘VI, or VIII’’. 
(D) Section 7631 of title 38, United States 
Code, is amended— 
(i) in subsection (a)(1)— 
(I) by striking ‘‘and’’ after ‘‘schol-
arship amount,’’; and 
(II) by inserting ‘‘, and the max-
imum specialty education loan repay-
ment amount’’ after ‘‘reduction pay-
ments amount’’; and 
(ii) in subsection (b) by adding at the 
end the following new paragraph: 
‘‘(7) The term ‘specialty education loan repayment 
amount’ means the maximum amount of specialty edu-
cation loan repayment payments payable to or for a partic-
ipant in the Department of Veterans Affairs Specialty Edu-
cation Loan Repayment Program under subchapter VIII of 
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this chapter, as specified in section 7694(c)(1) of this title 
and as previously adjusted (if at all) in accordance with 
this section.’’. 
(E) Section 7632 of title 38, United States 
Code, is amended— 
(i) in paragraph (1), by striking ‘‘and 
the Education Debt Reduction Program’’ 
and inserting ‘‘the Education Debt Reduc-
tion Program, and the Specialty Education 
Loan Repayment Program’’; and 
(ii) in paragraph (4), by striking ‘‘and 
per participant in the Education Debt Re-
duction Program’’ and inserting ‘‘per par-
ticipant in the Education Debt Reduction 
Program, and per participant in the Spe-
cialty Education Loan Repayment Pro-
gram’’. 
(2) TABLE OF SECTIONS.—The table of sections 
at the beginning of chapter 76 of such title is amend-
ed by inserting after the items relating to subchapter 
VII the following: 
‘‘SUBCHAPTER VIII—SPECIALTY EDUCATION LOAN REPAYMENT PROGRAM 
‘‘7691. Establishment. 
‘‘7692. Purpose. 
‘‘7693. Eligibility; preference; covered costs. 
‘‘7694. Specialty education loan repayment. 
‘‘7695. Choice of location. 
‘‘7696. Term of obligated service. 
‘‘7697. Relationship to Educational Assistance Program.’’. 
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(c) NEEDS OF THE VHA.—In making determinations 
each year under section 7692 of title 38, United States 
Code, as enacted by subsection (a), the Secretary of Veterans 
Affairs shall consider the anticipated needs of the Veterans 
Health Administration during the period two to six years 
in the future. 
(d) OFFER DEADLINE.—In the case of an applicant 
who applies before receiving a residency match and whom 
the Secretary of Veterans Affairs selects for participation 
in the Specialty Education Loan Repayment Program es-
tablished by subsection (a), the Secretary shall offer partici-
pation to the applicant not later than 28 days after— 
(1) the applicant matches with a residency in a 
medical specialty described in section 7692 of title 38, 
United States Code, as enacted by subsection (a); and 
(2) such match is published. 
(e) PUBLICITY.—The Secretary of Veterans Affairs 
shall take such steps as the Secretary determines are appro-
priate to publicize the Specialty Education Loan Repay-
ment Program established under subchapter VIII of chapter 
76 of title 38, United States Code, as enacted by subsection 
(a). 
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SEC. 303. VETERANS HEALING VETERANS MEDICAL ACCESS 
AND SCHOLARSHIP PROGRAM. 
(a) ESTABLISHMENT.—The Secretary of Veterans Af-
fairs, acting through the Office of Academic Affiliations of 
the Department of Veterans Affairs, shall carry out a pilot 
program under which the Secretary shall provide funding 
for the medical education of a total of 18 eligible veterans. 
Such funding shall be provided for two veterans enrolled 
in each covered medical schools in accordance with this sec-
tion. 
(b) ELIGIBLE VETERANS.—To be eligible to receive 
funding for medical education under this section, a veteran 
shall— 
(1) have been discharged from the Armed Forces 
not more than ten years before the date of application 
for admission to a covered medical school; 
(2) not be entitled to educational assistance 
under chapter 30, 31, 32, 33, 34, or 35 of title 38, 
United States Code, or chapter 1606 or 1607 of title 
10, United States Code; 
(3) apply for admission to a covered medical 
school for the entering class of 2019; 
(4) indicate on such application for admission 
that the veteran would like to be considered for an 
award of funding under this section; 
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