Authority: §§ 23-35.9 through 23-35.13, 23-37.1 through 23-37.5, and 32.1-122.5:1 through 32.1-122.10, Code of Virginia.

A. Out of this appropriation, $500,680 from the general fund and $280,284 from nongeneral funds the first year and $780,964 from the general fund the second year is provided for financial incentives such as medical scholarships (for those medical students currently participating in the scholarship program), loan repayment, one-time salary bonuses, and travel expenses to physicians, including psychiatrists, or medical students who are currently participating in the scholarship program and who commit to practice in underserved areas of the state. The Virginia Department of Health will continue to grant scholarships to those medical students participating in the scholarship program for academic year 2002-2003, until their eligibility runs out. The agency will move towards a total loan repayment focused incentive program. The three state medical schools shall fully match all state funds for scholarships awarded to current scholarship recipients. Any unexpended and repaid money due to default shall revert to the pool of funding for financial incentives to recruit physicians, including psychiatrists. All financial aid shall be awarded in accordance with regulations promulgated by the Board of Health. The Department shall maintain an accounting of the numbers and amount of the awards made each year, and the specialties of the physicians receiving the awards.

B. Out of this appropriation, $25,000 the first year and $25,000 the second year is provided from the general fund for five nurse practitioner scholarships pursuant to § 32.1-122.6:02, Code of Virginia.

C. Out of this appropriation, $25,000 the first year and $25,000 the second year shall be provided from the general fund for scholarships for dental students and loan repayments for dentists. The Department is authorized to use these funds to award either a scholarship or a loan repayment, depending on the needs of the individual dental student or dentist being recruited to a dental underserved area of the Commonwealth. All scholarships or loan repayments shall be awarded in accordance with regulations promulgated by the Board of Health. The Department shall maintain an accounting of the number and amount of the scholarship and loan repayment awards made each year.