32.1-122.9 - Conditional grants for certain dental students.

§ 32.1-122.9. Conditional grants for certain dental students.

A. With such funds as are appropriated for this purpose, the Board of Healthshall establish annual dental scholarships for students in good standing atVirginia Commonwealth University. No recipient shall be awarded more thanfive scholarships. The amount and number of such scholarships shall bedetermined annually as provided in the appropriation act. The Commissionershall act as fiscal agent for the Board in administration of the scholarshipfunds.

The governing board of Virginia Commonwealth University shall submit to theCommissioner the names of those eligible applicants who are most qualified asdetermined by the regulations of the Board for these dental scholarships. TheCommissioner shall award the scholarships to the applicants whose names aresubmitted by the governing board.

B. The Board, after consultation with the School of Dentistry of VirginiaCommonwealth University, shall promulgate regulations to administer thisscholarship program which shall include, but not be limited to:

1. Qualifications of applicants;

2. Criteria for award of the scholarships to assure that recipients willfulfill the practice obligations established in this section;

3. Standards to assure that recipients participate in the Commonwealth'smedical assistance services program, established pursuant to § 32.1-325, andthe Family Access to Medical Insurance Security Plan, established pursuant to§ 32.1-351, and that recipients do not limit the number of persons enrolledin these programs who are admitted to their dental practice;

4. Assurances that bona fide residents of Virginia, as determined by §23-7.4, students of economically disadvantaged backgrounds and residents ofunderserved areas are given preference over nonresidents in determiningscholarship eligibility and awards;

5. Assurances that scholarship recipients will begin dental practice in anunderserved area of the Commonwealth within two years following completion oftheir residencies;

6. Methods for reimbursement of the Commonwealth by recipients who fail tocomplete dental school or who fail to honor the obligation to engage indental practice for a period of years equal to the number of annualscholarships received;

7. Procedures for reimbursing any recipient who has repaid the Commonwealthfor part or all of any scholarship and who later fulfills the terms of hiscontract; and

8. Reporting of data related to the recipients of the scholarships by thedental schools.

C. Prior to the award of any scholarship, the applicant shall sign a contractin which he agrees to pursue the dental course of Virginia CommonwealthUniversity until his graduation and, upon graduation or upon completing aterm not to exceed four years as an intern or resident at an approvedinstitution or facility, to promptly begin and thereafter engage continuouslyin dental practice in an underserved area in Virginia for a period of yearsequal to the number of annual scholarships received. The contract shallspecify that no form of dental practice such as military service or publichealth service may be substituted for the obligation to practice in anunderserved area in the Commonwealth.

The contract shall provide that the applicant will not voluntarily obligatehimself for more than the minimum period of military service required fordentists by the laws of the United States and that, upon completion of thisminimum period of obligatory military service, the applicant will promptlybegin to practice in an underserved area for the requisite number of years.The contract shall include other provisions as considered necessary by theAttorney General and the Commissioner.

The contract may be terminated by the recipient while the recipient isenrolled in dental school upon providing notice and immediate repayment ofthe total amount of scholarship funds received plus interest at theprevailing bank rate for similar amounts of unsecured debt.

D. In the event the recipient fails to maintain a satisfactory scholasticstanding, the recipient may, upon certification of the Commissioner, berelieved of the obligations under the contract to engage in dental practicein an underserved area upon repayment to the Commonwealth of the total amountof scholarship funds received plus interest at the prevailing bank rate forsimilar amounts of unsecured debt.

E. In the event the recipient dies or becomes permanently disabled so as notto be able to engage in the practice of dentistry, the recipient or hisestate may, upon certification of the Commissioner, be relieved of theobligation under the contract to engage in dental practice in an underservedarea upon repayment to the Commonwealth of the total amount of scholarshipfunds plus interest on such amount computed at eight percent per annum fromthe date of receipt of scholarship funds. This obligation may be waived inwhole or in part by the Commissioner in his discretion upon application bythe recipient or his estate to the Commissioner with proof of hardship orinability to pay.

F. Except as provided in subsections D and E, any recipient of a scholarshipwho fails or refuses to fulfill his obligation to practice dentistry in anunderserved area for a period of years equal to the number of annualscholarships received shall reimburse the Commonwealth three times the totalamount of the scholarship funds received plus interest at the prevailing bankrate for similar amounts of unsecured debt. If the recipient has fulfilledpart of his contractual obligations by serving in an underserved area, thetotal amount of the scholarship funds received shall be reduced by the amountof the annual scholarship multiplied by the number of years served.

G. The Commissioner shall collect all repayments required by this section andmay establish a schedule of payments for reimbursement consistent with theregulations of the Board. No schedule of payments shall amortize the totalamount due for a period of longer than two years following the completion ofthe recipient's postgraduate training or the recipient's entrance into thefull-time practice of dentistry, whichever is later. All such funds,including any interest thereon, shall be used only for the purposes of thissection and shall not revert to the general fund. If any recipient fails tomake any payment when and as due, the Commissioner shall notify the AttorneyGeneral. The Attorney General shall take such action as he deems proper. Inthe event court action is required to collect a delinquent scholarshipaccount, the recipient shall be responsible for the court costs andreasonable attorneys' fees incurred by the Commonwealth in such collection.

H. For purposes of this section, the term "underserved area" shall includethose underserved areas designated by the Board pursuant to § 32.1-122.5 anddental health professional shortage areas designated in accordance with thecriteria established in 42 C.F.R. Part 5.

(1994, c. 867; 2000, c. 926; 2001, c. 188; 2002, c. 52.)