HF4500

Purpose

• To provide a targeted funding boost for loan forgiveness for doctors who specialize in obstetrics and gynecology (OB-GYN) and work in designated rural areas, by appropriating money from the general fund for the health professional education loan forgiveness program in fiscal years 2027 and 2028.

Main Provisions

• Appropriates general fund money in fiscal years 2027 and 2028 to the health professional education loan forgiveness program.
• The funds are to be used only for loan forgiveness for physicians licensed to practice obstetrics and gynecology who practice in a designated rural area (per Minnesota law 144.1501).
• The appropriation is made "notwithstanding" existing priorities and distribution rules under Minnesota Statutes 144.1501, meaning this target is in addition to or outside those usual rules.
• If there are not enough qualified OB-GYN applicants in each biennium, the unused funds must be carried over to the next biennium and allocated proportionally among other eligible professions under Minnesota Statutes 144.1501, subdivision 2.

Key Details and Scope

• Focuses specifically on OB-GYN physicians (licensed to practice medicine in obstetrics and gynecology).
• Eligible practitioners must serve in a designated rural area as defined by Minnesota Statutes 144.1501.
• The program operates within the existing Health Professional Education Loan Forgiveness framework.

Timing and Administration

• The targeted funding is for fiscal years 2027 and 2028.
• Administration and oversight remain with the commissioner of health, using the general fund money approved by the Legislature.

Changes to Existing Law

• Creates a new, targeted appropriation within the health professional education loan forgiveness program for OB-GYN physicians in rural areas.
• Introduces a carryover mechanism: unused funds can roll over to the next biennium and be redistributed to other eligible professions in proportion to the statute’s rules.

Implications

• Aims to attract or retain OB-GYN physicians in rural Minnesota by offering loan forgiveness.
• Could affect how funds are allocated across health professions if OB-GYN needs exceed available applicants in a given biennium.

Relevant Terms - health professional education loan forgiveness program - general fund - appropriation - physicians licensed to practice obstetrics and gynecology (OB-GYN) - designated rural area - Minnesota Statutes 144.1501 - fiscal year 2027 - fiscal year 2028 - biennium - carryover - remaining funds - eligible professions - commissioner of health