[Federal Register Volume 59, Number 97 (Friday, May 20, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-12427]


[[Page Unknown]]

[Federal Register: May 20, 1994]


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DEPARTMENT OF HEALTH AND HUMAN SERVICES
Health Resources and Services Administration
[PN 2236]
RIN 0905-ZA49

 

Availability of Funds for the Nursing Education Loan Repayment 
Program for Service in Certain Health Facilities

AGENCY: Health Resources and Services Administration, PHS.

ACTION: Notice.

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SUMMARY: The Health Resources and Services Administration (HRSA) 
announces that approximately $2,025,000 will be available in fiscal 
year (FY) 1994 for awards under section 846 of the Public Health 
Service (PHS) Act to repay up to 85 percent of the nursing education 
loans of registered nurses who agree to serve for up to 3 years as 
nurse employees in certain health facilities with a critical shortage 
of nurses.
    The HRSA, through this notice, invites applications for 
participation in this loan repayment program. With these funds, the 
HRSA estimates that approximately 218 loan repayment awards may be 
made.
    The PHS is committed to achieving the health promotion and disease 
prevention objectives of Healthy People 2000, a PHS-led national 
activity for setting health priorities. These programs will contribute 
to the Healthy People 2000 objectives by improving access to primary 
health care services through coordinated systems of care for medically 
underserved populations in both rural and urban areas. Potential 
applicants may obtain a copy of Healthy People 2000 (Full Report, Stock 
No. 017-001-00474-01) or Healthy People 2000 (Summary Report, Stock No. 
017-001-00473-01) through the Superintendent of Documents, Government 
Printing Office, Washington, DC 20402-9325 (telephone number: 202 783-
3238).

DATES: To receive consideration for funding, individuals must submit 
their applications by September 1, 1994. Applications shall be 
considered as meeting the deadline if they are either:
    (1) Received on or before the deadline date; or
    (2) Sent on or before the deadline and received in time for 
submission to the reviewing program official. (Applicants should 
request a legibly dated U.S. Postal Service postmark or obtain a 
legibly dated receipt from a commercial carrier or U.S. Postal Service. 
Private metered postmarks shall not be acceptable as proof of timely 
mailing).
    Late applications will not be considered for funding.

ADDRESSES: Application materials with a list of counties (parishes) 
with the greatest shortage of nurses may be obtained by calling or 
writing to: Mr. Clarke Gordon, Chief, Loan Repayment Programs Branch, 
Division of Scholarships and Loan Repayments, Bureau of Primary Health 
Care, HRSA, 4350 East-West Highway, 10th floor, Bethesda, MD 20814, 
(301-594-4400). The 24-hour toll-free phone number is 1-800-435-6464 
and the FAX number is (301) 594-4981. Completed applications should be 
mailed to the same address. The application form has been approved 
under Office of Management and Budget (OMB) Number 0915-0140.

FOR FURTHER INFORMATION CONTACT: For further program information and 
technical assistance, please contact Mr. Gordon at the above address, 
phone or FAX number.

SUPPLEMENTARY INFORMATION: Section 846 of the PHS Act provides that the 
Secretary will repay a portion of an individual's educational loans 
incurred for nursing education costs if that individual enters into an 
agreement with the Secretary to serve as a registered nurse for 2 or 3 
years in a variety of eligible health facilities or in a health 
facility determined by the Secretary to have a critical shortage of 
nurses. For an individual who is selected to participate in this 
program, repayment shall be on the following basis:
    (1) By the completion of the first year of agreed service, the 
Secretary will have paid 30 percent of the principal of, and interest 
on, the outstanding balance on each qualified loan as of the beginning 
date of service;
    (2) By the completion of the second year of agreed service, the 
Secretary will have paid another 30 percent of the principal of, and 
interest on, the outstanding balance of each qualified loan as of the 
beginning date of service; and
    (3) By the completion of a third year of agreed service, if any, 
the Secretary will have paid another 25 percent of the principal of, 
and interest on, the outstanding balance of each qualified loan as of 
the beginning date of service.
    No more than 85 percent of the principal balance of any qualified 
loan which was unpaid as of the beginning date of service will be paid 
under this program.
    Prior to entering an agreement for repayment of loans, other than 
Nursing Student Loans (authorized under Section 838 of the PHS Act), 
the Secretary will require that satisfactory evidence be provided of 
the existence and reasonableness of the educational loans.
    These loan repayment amounts are unrelated to any salary paid to 
the nursing education loan repayment recipient by the health facility 
by which he or she has been employed.
    To be eligible to participate in this program, an individual must:
    (1) Have received, prior to the start of service, a baccalaureate 
or associate degree in nursing, a diploma in nursing, or a graduate 
degree in nursing;
    (2) Have outstanding educational loans for the costs of his/her 
nursing education;
    (3) Agree to be employed full-time for not less than 2 years in any 
of the following types of eligible health facilities: an Indian Health 
Service health center; a Native Hawaiian health center; a public 
hospital (operated by a State, county, or local government); a 
community or migrant health center [sections 330(a) and 329(a)(1) of 
the PHS Act]; (Federally Qualified Health Centers receiving sections 
330 or 329 funding are also eligible); a rural health clinic (section 
1861 (aa)(2) of the Social Security Act); or a public or nonprofit 
private health facility determined by the Secretary to have a critical 
shortage of nurses; and
    (4) Plan to begin employment as a registered nurse no later than 
September 30, 1994.

Funding Preferences

    As required under section 846, the Secretary will give preference 
to qualified applicants:
    (1) Who have the greatest financial need; and
    (2) Who agree to serve in the types of health facilities described 
in paragraph (3) above, that are located in geographic areas determined 
by the Secretary to have a shortage of and need for nurses.

Breach of Agreement

    Participants in this program who fail to provide health services 
for the period specified in their agreements with the Secretary, shall 
be liable to the Federal Government for payments made by the Secretary 
during the service period pursuant to such agreement, plus interest on 
this amount at the maximum legal prevailing rate, payable within 3 
years from the date the agreement with the Secretary is breached.

Waiver of Suspension of Liability

    A waiver or suspension of liability may be granted by the Secretary 
if compliance with the agreement with the Secretary by the individual 
participant is impossible, or would involve extreme hardship to the 
individual, and if enforcement of the agreement with respect to the 
individual would be unconscionable.

Other Award Information

    This program is not subject to the provisions of Executive Order 
12372, Intergovernmental Review of Federal Programs, since payments to 
individuals are not covered. In addition, this program is not subject 
to the submission of a Public Health System Impact Statement.

    The OMB Catalog of Federal Domestic Assistance number for this 
program is 93.908.

    Dated: April 21, 1994.
John H. Kelso,
Acting Administrator.
[FR Doc. 94-12427 Filed 5-19-94; 8:45 am]
BILLING CODE 4160-15-P