H. R. 1367
One Hundred Eighth Congress
of the
United States of America
AT THE FIRST SESSION
Begun and held at the City of Washington on Tuesday,
the seventh day of January, two thousand and three
An Act
To authorize the Secretary of Agriculture to conduct a loan repayment program
regarding the provision of veterinary services in shortage situations, and for
other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION. 1. SHORT TITLE.
This Act may be cited as the ‘‘National Veterinary Medical
Service Act’’.
SEC. 2. ESTABLISHMENT OF LOAN REPAYMENT PROGRAM REGARDING
VETERINARY MEDICINE.
The National Agricultural Research, Extension, and Teaching
Policy Act of 1977 (7 U.S.C. 3101 et seq.) is amended by inserting
after section 1415 the following new section:
‘‘SEC. 1415A. VETERINARY MEDICINE LOAN REPAYMENT.
‘‘(a) PROGRAM.—
‘‘(1) SERVICE IN SHORTAGE SITUATIONS.—The Secretary shall
carry out a program of entering into agreements with veterinar-
ians under which the veterinarians agree to provide, for a
period of time as determined by the Secretary and specified
in the agreement, veterinary services in veterinarian shortage
situations. For each year of such service under an agreement
under this paragraph, the Secretary shall pay an amount, as
determined by the Secretary and specified in the agreement,
of the principal and interest of qualifying educational loans
of the veterinarians.
‘‘(2) SERVICE
TO
FEDERAL
GOVERNMENT
IN
EMERGENCY
SITUATIONS.—
‘‘(A) IN GENERAL.—The Secretary may enter into agree-
ments of 1 year duration with veterinarians who have
agreements pursuant to paragraph (1) for such veterinar-
ians to provide services to the Federal Government in
emergency situations, as determined by the Secretary,
under terms and conditions specified in the agreement.
Pursuant to an agreement under this paragraph, the Sec-
retary shall pay an amount, in addition to the amount
paid pursuant to the agreement in paragraph (1), as deter-
mined by the Secretary and specified in the agreement,
of the principal and interest of qualifying educational loans
of the veterinarians.
‘‘(B) REQUIREMENTS.—Agreements entered into under
this paragraph shall include the following:
H. R. 1367—2
‘‘(i) A veterinarian shall not be required to serve
more than 60 working days per year of the agreement.
‘‘(ii) A veterinarian who provides service pursuant
to the agreement shall receive a salary commensurate
with the duties and shall be reimbursed for travel
and per diem expenses as appropriate for the duration
of the service.
‘‘(b) DETERMINATION OF VETERINARIAN SHORTAGE SITUATIONS.—
In determining ‘veterinarian shortage situations’ the Secretary may
consider the following:
‘‘(1) Urban or rural areas that the Secretary determines
have a shortage of veterinarians.
‘‘(2) Areas of veterinary practice that the Secretary deter-
mines have a shortage of veterinarians, such as public health,
epidemiology, and food safety.
‘‘(3) Areas of veterinary need in the Federal Government.
‘‘(4) Other factors that the Secretary considers to be rel-
evant.
‘‘(c) ADMINISTRATION.—
‘‘(1) AUTHORITY.—The Secretary may carry out this pro-
gram directly or enter into agreements with another Federal
agency or other service provider to assist in the administration
of this program.
‘‘(2) BREACH REMEDIES.—
‘‘(A) IN GENERAL.—Agreements with program partici-
pants shall provide remedies for any breach of an agree-
ment by a participant, including repayment or partial
repayment of financial assistance received, with interest.
‘‘(B) AMOUNTS
RECOVERED.—Funds recovered under
this subsection shall be credited to the account available
to carry out this section and shall remain available until
expended.
‘‘(3) WAIVER.—The Secretary may grant a waiver of the
repayment obligation for breach of contract in the event of
extreme hardship or extreme need, as determined by the Sec-
retary.
‘‘(4) AMOUNT.—The Secretary shall develop regulations to
determine the amount of loan repayment for a year of service
by a veterinarian. In making the determination, the Secretary
shall consider the extent to which such determination—
‘‘(A) affects the ability of the Secretary to maximize
the number of agreements that can be provided under
the Veterinary Medicine Loan Repayment Program from
the amounts appropriated for such agreements; and
‘‘(B) provides an incentive to serve in veterinary service
shortage areas with the greatest need.
‘‘(5) QUALIFYING EDUCATIONAL LOANS.—Loan repayments
provided under this section may consist of payments on behalf
of participating individuals of the principal and interest on
government and commercial loans received by the individual
for attendance of the individual at an accredited college of
veterinary medicine resulting in a degree of Doctor of Veteri-
nary Medicine or the equivalent, which loans were made for—
‘‘(A) tuition expenses;
‘‘(B) 
all 
other 
reasonable 
educational 
expenses,
including fees, books, and laboratory expenses, incurred
by the individual; or
H. R. 1367—3
‘‘(C) reasonable living expenses as determined by the
Secretary.
‘‘(6) REPAYMENT SCHEDULE.—The Secretary may enter into
an agreement with the holder of any loan for which payments
are made under this section to establish a schedule for the
making of such payments.
‘‘(7) TAX LIABILITY.—In addition to educational loan repay-
ments, the Secretary shall make such additional payments
to participants as the Secretary determines to be appropriate
for the purpose of providing reimbursements to participants
for individual tax liability resulting from participation in this
program.
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There are authorized
to be appropriated for carrying out this section such sums as may
be necessary and such sums shall remain available to the Secretary
for the purposes of this section until expended.’’.
Speaker of the House of Representatives.
Vice President of the United States and
President of the Senate.