85R7657 SRS-D     By: Campbell, Hinojosa, Perry S.B. No. 1455       A BILL TO BE ENTITLED   AN ACT   relating to the establishment of a rural resident physician grant   program.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 58A, Education Code, is amended by   adding Subchapter E to read as follows:   SUBCHAPTER E.  RURAL RESIDENT PHYSICIAN GRANT PROGRAM          Sec. 58A.081.  RURAL RESIDENT PHYSICIAN GRANT PROGRAM. (a)   The board shall administer the Rural Resident Physician Grant   Program as a competitive grant program to encourage the creation of   new graduate medical education positions in rural and   nonmetropolitan areas, with particular emphasis on the creation of   rural training tracks. The board shall award grants to new or   expanded physician residency programs at teaching hospitals and   other appropriate health care entities according to the program   criteria established under this section.          (b)  The board shall establish criteria for the grant program   in consultation with one or more physicians, including a physician   who practices in a rural area of this state, teaching hospitals,   medical schools, and independent physician residency programs, and   with other persons considered appropriate by the board. The   program criteria must take into account whether a rural or   nonmetropolitan area has the resources sufficient to support a   physician residency program in a manner that would satisfy   applicable residency program accreditation requirements.          (c)  The board may provide grants only to support a physician   residency program:                (1)  that provides the level of medical care that is   most needed in a rural or nonmetropolitan area; and                (2)  until the program becomes eligible for federal   grant funding.          (d)  Grant funds awarded under this section may be used only   to pay direct costs associated with creating or maintaining a   residency position, including the salary of the resident physician.          (e)  Each grant application must:                (1)  specify the number of residency positions expected   to be created or maintained with the grant money;                (2)  specify the grant amount requested for each year;                (3)  include documentation of infrastructure and   staffing to satisfy applicable residency program accreditation   requirements;                 (4)  include documentation that the residency program   will set a primary goal of producing physicians who are prepared for   practice in a rural area; and                 (5)  include evidence of support for residency training   by sponsoring institutions and the community.          (f)  The board shall award grants for all residency positions   awarded a grant under this section in the preceding year before   awarding a grant for a residency position that did not receive a   grant in the preceding year, provided that the applicable grant   recipient from the preceding year complies with all conditions of   the grant as described by Subsection (g) and satisfies the grant   eligibility requirements.          (g)  The board shall monitor physician residency programs   receiving grants as necessary to ensure compliance with the grant   program and shall require the return of any unused grant money by,   or shall decline to award additional grants to, a residency program   that receives a grant but fails to:                (1)  create and fill, within a reasonable period, the   number of residency positions proposed in the program's grant   application; or                (2)  satisfy any other conditions of the grant imposed   by the board.          (h)  The board shall use money forfeited under Subsection (g)   to award grants to other eligible applicants. With respect to the   physician residency program forfeiting the grant, the board may   restore grant money or award additional grants, as applicable, to   the program as soon as practicable after the program satisfies all   conditions of the grant.          (i)  The board shall adopt rules for the administration of   the grant program. The rules must include:                (1)  administrative provisions governing:                      (A)  eligibility criteria for grant applicants;                      (B)  grant application procedures;                      (C)  guidelines relating to grant amounts;                      (D)  guidelines relating to the number of grants   to be awarded each year, subject to available funds;                      (E)  procedures for evaluating grant   applications;                      (F)  procedures for monitoring the use of grants;   and                      (G)  reporting requirements for grant recipients;                (2)  methods for tracking the effectiveness of grants;   and                (3)  any conditions relating to the receipt and use of a   grant as considered appropriate by the board.          SECTION 2.  (a)  As soon as practicable after the effective   date of this Act, the Texas Higher Education Coordinating Board   shall adopt rules for the implementation and administration of the   grant program established under Subchapter E, Chapter 58A,   Education Code, as added by this Act. The board may adopt the   initial rules in the manner provided by law for emergency rules.          (b)  Not later than October 1, 2017, the Texas Higher   Education Coordinating Board shall establish the grant program   required by Subchapter E, Chapter 58A, Education Code, as added by   this Act, and shall begin to award grants under that program not   later than January 1, 2018.          SECTION 3.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2017.