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2025 Session

Budget Amendments - SB800 (Member Request)

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Chief Patron: VanValkenburg
Virginia Oral Health Loan Repayment Program

Item 271 #4s

Item 271 #4s

First Year - FY2025 Second Year - FY2026
Health and Human Resources
Department of Health FY2025 $0 FY2026 $1,610,000 GF

Language
Page 336, line 16, strike "$20,457,021" and insert "$22,067,021".

Page 338, after line 24, insert:

"J.1. Out of this appropriation, $1,610,000 the second year from the general fund shall be provided to the Virginia Health Workforce Development Authority (the Authority) for the Virginia Oral Health Loan Re­payment Program. Eligible applicants shall include actively licensed dentists and dental hygienists who practice in a dental health professional shortage area (D-HPSA), as defined by 42 CFR Part 5. The Authority shall give preference to applicants who practice in dental health professional shortage areas with higher D-HPSA scores.


2. Of the amounts provided in this paragraph, the appropriation shall be distributed as follows: (i) $1,000,000 the second year for loan repayment awards to participating dentists; (ii) $400,000 the second year for loan repayment awards to participating dental hygienists; and (iii) $210,000 the second year to administer, market, and evaluate the program. The maximum annual loan repayment award for a participating dentist shall be $50,000. The maximum annual loan repayment award for a participating dental hygienist shall be $20,000. In no instance shall the loan repayment exceed the total student loan debt.


3. For each eligible year of service provided, the practitioner shall receive a year of applicable loan repayment awards in return. Loan repayment checks will be submitted at the end of each year of service. Payments will be made directly to the lender. In return, practitioners must agree to a minimum of two years of practice, with the option for two one-year renewals.


4.a. Participating dentists and dental hygienists must demonstrate to the Authority that they either (1) practice at least 32 hours per week at a free clinic, federally qualified health center, or similar health safety net organization as determined by the Authority; or (2) are enrolled in Virginia's Medicaid and Family Access to Medical Insurance Security (FAMIS) programs and practice at least 32 hours per week at a private practice that serves Medicaid and FAMIS members.


b. A participating dentist or dental hygienist may practice fewer than 32 hours per week if the Authority determines such an exception is necessary to strengthen access to oral health care in a D-HPSA. In such cases, the Authority shall pro-rate the annual loan repayment award based on the number of hours a participating dentist or dental hygienist practices that meet the requirements of this paragraph.


c. Participating dentists and dental hygienists must report to the Authority the number of unique Medicaid, FAMIS, and uninsured patients they treat each year. The Authority may develop additional standards to ensure that participating dentists and dental hygienists meaningfully serve Medicaid and FAMIS members.


5. No match contribution from practice sites or the community is required. Loan repayment awards shall be tax exempt.


6. The program shall have an Advisory Board, composed of representatives from the Virginia Dental Association, the Virginia Dental Hygienists Association, the Virginia Association of Free and Charitable Clinics, the Virginia Community Healthcare Association, Virginia Health Catalyst, and other organizations determined by the Virginia Health Workforce Development Authority. The Advisory Board shall meet semiannually and provide guidance regarding effective outreach and feedback on both programmatic processes and impact. The department shall provide an annual report to the Advisory Board and to the General Assembly on successes, challenges, and opportunities with the program."



Explanation

(This amendment provides $1.6 million GF the second year for the Virginia Oral Health Loan Repayment Program. Under this program, eligible dentists and dental hygienists would receive annual loan forgiveness awards in return for practicing in Virginia’s most underserved areas. To be eligible for the program, dentists and dental hygienists must demonstrate they either (1) practice at least 32 hours per week at a free clinic, federally qualified health center, or similar health safety net organization as determined by the Authority; or (2) are enrolled in Virginia's Medicaid and Family Access to Medical Insurance Security (FAMIS) programs and practice at least 32 hours per week at a private practice that serves Medicaid and FAMIS members. Loan repayment awards would be tax exempt.)