Section 590.240  Scholarship Repayment


a)         Upon the Illinois licensure of the scholarship recipient to practice medicine, the recipient shall provide primary health care in a designated shortage area of Illinois. The term of this service shall be one year for each academic year he or she is a scholarship recipient. (Section 3.07 of the Act)


b)         Service as a primary care physician shall begin no later than 30 calendar days after the licensure of the recipient to practice medicine.


1)         The Department will defer service until the recipient completes a primary care residency; service shall begin no later than 30 calendar days after completion of the residency.


2)         If the recipient leaves the residency program prior to completion, service shall begin within 30 calendar days after leaving the program.


c)         Upon written approval of the Department, service shall be deferred until 30 days following completion of a fellowship in a primary care specialty.


d)         The recipient's internship, residency or other advanced clinical training does not qualify as service repayment of the scholarship obligation.


e)         The scholarship recipient shall submit a written request to the Department for approval for a proposed practice location.  The Department will provide approval or disapproval, in the form of a letter, to the scholarship recipient, based on the requirements of subsection (f).  A letter of approval shall include a description of the terms of the service obligation.


1)         Without approval from the Department, time in practice at the described location shall not meet the scholarship recipient's service obligation.


2)         The scholarship recipient may request and receive approval for a practice location up to 18 months preceding the time that practice at the location is to begin.


3)         Approval for a practice location is granted for the duration of the scholarship recipient's service obligation.


f)         The scholarship recipient's practice shall meet the following requirements:


1)         Be located in a federally designated HPSAs (see Subpart E);


2)         Have at least 51% of the patients seen be members of the affected population group, including Medicaid-reimbursed patients and patients qualifying for a reduced fee if their household income is at or below 200 percent of the federal poverty level;


3)         Be a full-time, office-based practice providing direct patient care (see Subpart A, Section 590.20 for definition of full-time, by primary care specialty);


4)         Be in one of, or in a combination of, the primary care specialties; and


5)         Provide continuous service at the rate of 12 months for each academic year of medical school supported by the scholarship.


g)         Scholarship recipients may relocate to another practice location, or practice in more than one location, if prior written approval is granted by the Department.


h)         Scholarship recipients shall enter into a written contract with the Department that describes terms of the service obligation and contains provisions for enforcement of the contract.


i)          Scholarship recipients who fail to provide service as required shall pay to the Department a sum of money equal to 3 times the amount of the recipient's average annual scholarship award for each year, or portion thereof, that the recipient fails to fulfill the service obligation. (Section 10 of the Act)


1)         To fulfill the repayment requirements of this Section, the scholarship recipient shall have 30 days from the date the failure begins in which to enter into a contract with the Department. (Section 10 of the Act)


2)         If the contract is not entered into within that 30 day period or if the contract is entered into but the required payments are not made in the amounts and at the times provided in the contract, the scholarship recipient also shall be required to pay to the Department interest at the rate of 9% per annum on the amount of that sum remaining due and unpaid. (Section 10 of the Act)


3)         Payment shall be made in equal monthly installments in amounts so that all sums due shall be paid within a period of time equal to the recipient's service term, or remaining portion thereof.


4)         The contract will contain terms for repayment and provisions for enforcement of the contract.


5)         The amounts paid to the Department under this Section shall be deposited into the Community Health Center Care Fund and shall be used by the Department to improve access to primary health care services as authorized under Section 2310-200(a) of the Department of Public Health Powers and Duties Law. (Section 10 of the Act)


j)          If a scholarship recipient fails to pay monies owed to the Department, the Department shall refer the matter to the Illinois Attorney General, a collection agency, or a licensed attorney.


(Source:  Amended at 35 Ill. Reg. 14089, effective August 4, 2011)