<a id="pl.1.3"></a><var>1.3</var>forgiveness program; appropriating money;proposing coding for new law in <br/>
<a id="pl.1.4"></a><var>1.4</var>Minnesota Statutes, chapter 136A.<br/>
<a id="pl.1.5"></a><var>1.5</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
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<a id="bill.0.1.0"></a><a id="pl.1.6"></a><var>1.6</var>    Section 1. <b>[136A.1795] LARGE ANIMAL VETERINARIAN LOAN </b><br/>
<a id="pl.1.7"></a><var>1.7</var><b>FORGIVENESS PROGRAM.</b><br/>
<a id="pl.1.8"></a><var>1.8</var>    Subdivision 1. <b>Definitions.</b> (a) For purposes of this section, the following terms <br/>
<a id="pl.1.9"></a><var>1.9</var>have the meanings given.<br/>
<a id="pl.1.10"></a><var>1.10</var>(b) "Veterinarian" means an individual who has been awarded a doctor of veterinary <br/>
<a id="pl.1.11"></a><var>1.11</var>medicine degree from the College of Veterinary Medicine, University of Minnesota.<br/>
<a id="pl.1.12"></a><var>1.12</var>(c) "Designated rural area" means an area in Minnesota outside the counties of <br/>
<a id="pl.1.13"></a><var>1.13</var>Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington, excluding the cities of <br/>
<a id="pl.1.14"></a><var>1.14</var>Duluth, Mankato, Moorhead, Rochester, and St. Cloud.<br/>
<a id="pl.1.15"></a><var>1.15</var>(d) "Emergency circumstances" means those conditions that make it impossible for <br/>
<a id="pl.1.16"></a><var>1.16</var>the participant to fulfill the service commitment, including death, total and permanent <br/>
<a id="pl.1.17"></a><var>1.17</var>disability, or temporary disability lasting more than two years.<br/>
<a id="pl.1.18"></a><var>1.18</var>(e) "Qualified educational loan" means a government, commercial, or foundation <br/>
<a id="pl.1.19"></a><var>1.19</var>loan for actual costs paid for tuition, reasonable education expenses, and reasonable living <br/>
<a id="pl.1.20"></a><var>1.20</var>expenses related to the education of a veterinarian.<br/>
<a id="pl.1.21"></a><var>1.21</var>    Subd. 2. <b>Establishment; administration.</b> (a) The director of the Minnesota Office <br/>
<a id="pl.1.22"></a><var>1.22</var>of Higher Education shall establish and administer a loan forgiveness program for large <br/>
<a id="pl.1.23"></a><var>1.23</var>animal veterinarians who:<br/>
<a id="pl.1.24"></a><var>1.24</var>(1) agree to practice in designated rural areas that are considered underserved; and<br/>
<a id="pl.2.1"></a><var>2.1</var>(2) work full time in a practice that is at least 50 percent involved with the care of <br/>
<a id="pl.2.2"></a><var>2.2</var>food animals.<br/>
<a id="pl.2.3"></a><var>2.3</var>(b) Appropriations made to the program do not cancel and are available until <br/>
<a id="pl.2.4"></a><var>2.4</var>expended.<br/>
<a id="pl.2.5"></a><var>2.5</var>    Subd. 3. <b>Eligibility.</b> (a) To be eligible to participate in the loan forgiveness program, <br/>
<a id="pl.2.6"></a><var>2.6</var>an individual must:<br/>
<a id="pl.2.7"></a><var>2.7</var>(1) be a veterinarian who has been awarded a veterinary medicine degree within <br/>
<a id="pl.2.8"></a><var>2.8</var>three years of submitting an application under this section, or be enrolled in the <br/>
<a id="pl.2.9"></a><var>2.9</var>veterinarian degree program and making satisfactory progress in the College of Veterinary <br/>
<a id="pl.2.10"></a><var>2.10</var>Medicine, University of Minnesota; and<br/>
<a id="pl.2.11"></a><var>2.11</var>(2) submit an application to the director of the Minnesota Office of Higher Education <br/>
<a id="pl.2.12"></a><var>2.12</var>in the form and manner prescribed by the director.<br/>
<a id="pl.2.13"></a><var>2.13</var>(b) An applicant selected to participate must sign a contract agreeing to complete a <br/>
<a id="pl.2.14"></a><var>2.14</var>five-year service obligation to practice as required under subdivision 2, paragraph (a).<br/>
<a id="pl.2.15"></a><var>2.15</var>    Subd. 4. <b>Loan forgiveness.</b> (a) The director of the Minnesota Office of Higher <br/>
<a id="pl.2.16"></a><var>2.16</var>Education may select a maximum of five applicants each year for participation in the loan <br/>
<a id="pl.2.17"></a><var>2.17</var>forgiveness program, within the limits of available funding. Applicants are responsible for <br/>
<a id="pl.2.18"></a><var>2.18</var>securing their own qualified educational loans.<br/>
<a id="pl.2.19"></a><var>2.19</var>(b) The director must select participants based on their suitability for practice serving <br/>
<a id="pl.2.20"></a><var>2.20</var>the designated rural area, as indicated by experience or training. The director must give <br/>
<a id="pl.2.21"></a><var>2.21</var>preference to applicants closest to completing their training.<br/>
<a id="pl.2.22"></a><var>2.22</var>(c) The director must make annual disbursements directly to the participant of <br/>
<a id="pl.2.23"></a><var>2.23</var>$15,000 or the balance of the participant's qualifying educational loans, whichever is less, <br/>
<a id="pl.2.24"></a><var>2.24</var>for each year that a participant meets the service obligation required under subdivision 3, <br/>
<a id="pl.2.25"></a><var>2.25</var>paragraph (b), up to a maximum of five years.<br/>
<a id="pl.2.26"></a><var>2.26</var>(d) Before receiving loan repayment disbursements and as requested, the participant <br/>
<a id="pl.2.27"></a><var>2.27</var>must complete and return to the director an affidavit of practice form provided by the <br/>
<a id="pl.2.28"></a><var>2.28</var>director verifying that the participant is practicing as required under subdivision 2, <br/>
<a id="pl.2.29"></a><var>2.29</var>paragraph (a). The participant must provide the director with verification that the full <br/>
<a id="pl.2.30"></a><var>2.30</var>amount of loan repayment disbursement received by the participant has been applied <br/>
<a id="pl.2.31"></a><var>2.31</var>toward the designated loans. After each disbursement, verification must be received by <br/>
<a id="pl.2.32"></a><var>2.32</var>the director and approved before the next loan repayment disbursement is made.<br/>
<a id="pl.2.33"></a><var>2.33</var>(e) Participants who move their practice remain eligible for loan repayment as long <br/>
<a id="pl.2.34"></a><var>2.34</var>as they practice as required under subdivision 2, paragraph (a).<br/>
<a id="pl.2.35"></a><var>2.35</var>    Subd. 5. <b>Penalty for nonfulfillment.</b> If a participant does not fulfill the required <br/>
<a id="pl.2.36"></a><var>2.36</var>minimum commitment of service required under subdivision 3, paragraph (b), the director <br/>
<a id="pl.3.1"></a><var>3.1</var>of the Minnesota Office of Higher Education must collect from the participant the total <br/>
<a id="pl.3.2"></a><var>3.2</var>amount paid to the participant under the loan forgiveness program plus interest at a rate <br/>
<a id="pl.3.3"></a><var>3.3</var>established according to section 270C.40. The director must deposit the money collected <br/>
<a id="pl.3.4"></a><var>3.4</var>in the state general fund. The director must allow waivers of all or part of the money owed <br/>
<a id="pl.3.5"></a><var>3.5</var>the director as a result of a nonfulfillment penalty if emergency circumstances prevented <br/>
<a id="pl.3.6"></a><var>3.6</var>fulfillment of the service obligation.<br/>
<a id="pl.3.7"></a><var>3.7</var>    Subd. 6. <b>Rules.</b> The director may adopt rules to implement this section.<br/>
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<a id="bill.0.2.0"></a><a id="pl.3.8"></a><var>3.8</var>    Sec. 2. <b>APPROPRIATION.</b><br/>
<a id="pl.3.9"></a><var>3.9</var>$225,000 is appropriated from the general fund to the director of the Minnesota <br/>
<a id="pl.3.10"></a><var>3.10</var>Office of Higher Education in fiscal year 2010 for the large animal loan forgiveness <br/>
<a id="pl.3.11"></a><var>3.11</var>program. This appropriation is available until expended.<br/>