A bill to amend the National Agricultural Research, Extension and Teaching Policy Act of 1977 to establish a grant program to promote efforts to develop, implement, and sustain veterinary services, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Veterinary Services Investment 
Act''.

SEC. 2. VETERINARY SERVICES GRANT PROGRAM.

    The National Agricultural Research, Extension, and Teaching Policy 
Act of 1977 is amended by inserting after section 1415A (7 U.S.C. 
3151a) the following:

``SEC. 1415B. VETERINARY SERVICES GRANT PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Qualified entity.--The term `qualified entity' 
        means--
                    ``(A) a for-profit or nonprofit entity located in 
                the United States that operates a veterinary clinic 
                providing veterinary services--
                            ``(i) in a rural area, as defined in 
                        section 343(a) of the Consolidated Farm and 
                        Rural Development Act (7 U.S.C. 1991(a)); and
                            ``(ii) in response to a veterinarian 
                        shortage situation;
                    ``(B) a State, national, allied, or regional 
                veterinary organization or specialty board recognized 
                by the American Veterinary Medical Association;
                    ``(C) a college or school of veterinary medicine 
                accredited by the American Veterinary Medical 
                Association;
                    ``(D) a university research foundation or 
                veterinary medical foundation;
                    ``(E) a department of veterinary science or 
                department of comparative medicine accredited by the 
                Department of Education;
                    ``(F) a State agricultural experiment station; and
                    ``(G) a State, local, or tribal government agency.
            ``(2) Veterinarian shortage situation.--The term 
        `veterinarian shortage situation' means a veterinarian shortage 
        situation determined by the Secretary under section 1415A(b).
    ``(b) Establishment of Program.--
            ``(1) Competitive grants.--The Secretary shall carry out a 
        program to make competitive grants to qualified entities that 
        carry out programs or activities described in paragraph (2) for 
        the purpose of developing, implementing, and sustaining 
        veterinary services.
            ``(2) Eligibility requirements.--To be eligible to receive 
        a grant described paragraph (1), a qualified entity shall carry 
        out programs or activities that the Secretary determines will--
                    ``(A) substantially relieve veterinarian shortage 
                situations;
                    ``(B) support or facilitate private veterinary 
                practices engaged in public health activities; or
                    ``(C) support or facilitate the practices of 
                veterinarians who are participating in or have 
                successfully completed a service requirement under 
                section 1415A(a)(2).
    ``(c) Award Processes and Preferences.--
            ``(1) Application, evaluation, and input processes.--In 
        administering the grant program under this section, the 
        Secretary shall--
                    ``(A) use an appropriate application and evaluation 
                process, as determined by the Secretary; and
                    ``(B) seek the input of interested persons.
            ``(2) Grant preferences.--In selecting recipients of grants 
        to be used for any of the purposes described in paragraphs (2) 
        through (6) of subsection (d), the Secretary shall give a 
        preference to qualified entities that provide documentation of 
        coordination with other qualified entities, with respect to any 
        such purpose.
            ``(3) Additional preferences.--In awarding grants under 
        this section, the Secretary may develop additional preferences 
        by taking into account the amount of funds available for grants 
        and the purposes for which the grant funds will be used.
            ``(4) Applicability of other provisions.--Sections 1413B, 
        1462(a), 1469(a)(3), 1469(c), and 1470 apply to the 
        administration of the grant program under this section.
    ``(d) Use of Grants To Relieve Veterinarian Shortage Situations and 
Support Veterinary Services.--A qualified entity may use funds provided 
by grants under this section to relieve veterinarian shortage 
situations and support veterinary services for the following purposes:
            ``(1) To assist veterinarians with establishing or 
        expanding practices for the purpose of--
                    ``(A) equipping veterinary offices;
                    ``(B) sharing in the reasonable overhead costs of 
                the practices, as determined by the Secretary; or
                    ``(C) establishing mobile veterinary facilities in 
                which a portion of the facilities will address 
                education or extension needs.
            ``(2) To promote recruitment (including for programs in 
        secondary schools), placement, and retention of veterinarians, 
        veterinary technicians, students of veterinary medicine, and 
        students of veterinary technology.
            ``(3) To allow veterinary students, veterinary interns, 
        externs, fellows, and residents, and veterinary technician 
        students to cover expenses (other than the types of expenses 
        described in 1415A(c)(5)) to attend training programs in food 
        safety or food animal medicine.
            ``(4) To establish or expand accredited veterinary 
        education programs (including faculty recruitment and 
        retention), veterinary residency and fellowship programs, or 
        veterinary internship and externship programs carried out in 
        coordination with accredited colleges of veterinary medicine.
            ``(5) To assess veterinarian shortage situations and the 
        preparation of applications submitted to the Secretary for 
        designation as a veterinarian shortage situation under section 
        1415A(b).
            ``(6) To provide continuing education and extension, 
        including veterinary telemedicine and other distance-based 
        education, for veterinarians, veterinary technicians, and other 
        health professionals needed to strengthen veterinary programs 
        and enhance food safety.
    ``(e) Special Requirements for Certain Grants.--
            ``(1) Terms of service requirements.--
                    ``(A) In general.--Grants provided under this 
                section for the purpose specified in subsection (d)(1) 
                shall be subject to an agreement between the Secretary 
                and the grant recipient that includes a required term 
                of service for the recipient, as established by the 
                Secretary.
                    ``(B) Considerations.--In establishing a term of 
                service under subparagraph (A), the Secretary shall 
                consider only--
                            ``(i) the amount of the grant awarded; and
                            ``(ii) the specific purpose of the grant.
            ``(2) Breach remedies.--
                    ``(A) In general.--An agreement under paragraph (1) 
                shall provide remedies for any breach of the agreement 
                by the grant recipient, including repayment or partial 
                repayment of the grant funds, with interest.
                    ``(B) Waiver.--The Secretary may grant a wavier of 
                the repayment obligation for breach of contract if the 
                Secretary determines that the grant recipient 
                demonstrates extreme hardship or extreme need.
                    ``(C) Treatment of amounts recovered.--Funds 
                recovered under this paragraph shall--
                            ``(i) be credited to the account available 
                        to carry out this section; and
                            ``(ii) remain available until expended.
    ``(f) Cost-Sharing Requirements.--
            ``(1) Recipient share.--Subject to paragraph (2), to be 
        eligible to receive a grant under this section, a qualified 
        entity shall provide matching non-Federal funds, either in cash 
        or in-kind support, in an amount equal to not less than 25 
        percent of the Federal funds provided by the grant.
            ``(2) Waiver.--The Secretary may establish, by regulation, 
        conditions under which the cost-sharing requirements of 
        paragraph (1) may be reduced or waived.
    ``(g) Prohibition on Use of Grant Funds for Construction.--Funds 
made available for grants under this section may not be used--
            ``(1) to construct a new building or facility; or
            ``(2) to acquire, expand, remodel, or alter an existing 
        building or facility, including site grading and improvement 
        and architect fees.
    ``(h) Regulations.--Not later than 1 year after the date of 
enactment of this section, the Secretary shall promulgate regulations 
to carry out this section.
    ``(i) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out this section $10,000,000 for 
fiscal year 2012 and each fiscal year thereafter, to remain available 
until expended.''.

Summary: Veterinarian Services Investment Act - Amends the National Agricultural Research, Extension, and Teaching Policy Act of 1977 to direct the Secretary of Agriculture (USDA) to carry out a matching grant program with qualified entities to develop, implement, and sustain veterinary services.

Requires a qualifying entity to carry out programs that: (1) relieve veterinarian shortage situations, (2) support private veterinary practices engaged in public health activities, or (3) support practices of veterinarians who are participating in or have successfully completed a specified service requirement.

Makes such grants available for: (1) assistance for establishing or expanding veterinary practices or establishing mobile veterinary facilities; (2) veterinarian, technician, and student recruitment; (3) grants to attend training programs in food safety or food animal medicine; (4) grants to establish or expand accredited education, internship, residency, and fellowship programs; (5) grants to assess veterinarian shortage situations; and (6) grants for continuing education and extension, including veterinary telemedicine and other distance-based education.