State of South Dakota
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EIGHTY-SEVENTH SESSION
LEGISLATIVE ASSEMBLY, 2012
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400T0729
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SENATE BILL NO. 176
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Introduced by: The Committee on Health and Human Services at the request of the Office of
the Governor
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FOR AN ACT ENTITLED, An Act to establish a program to assist rural health care facilities
in recruiting certain health care professionals and to repeal certain provisions regarding
recruitment incentive payments for health care professionals.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. The Department of Health may establish a program to assist rural health care
facilities in recruiting eligible health care professionals as defined pursuant to section 3 of this
Act.
Section 2. A rural health care facility eligible to participate in the recruitment assistance
program is any rural health care facility which:
(1) Is located in a community with a population of ten thousand or less;
(2) Is licensed pursuant to chapter 34-12 or certified under Title XVIII or XIX of the
Social Security Act as amended through December 31, 2011; and
(3) Agrees to provide its portion of the recruitment assistance payment payable to a
health care professional who practices in the health care facility as required by this
Act.
A rural health care facility may have up to three eligible health care professionals per year
participate in the program.
Section 3. A health care professional is eligible to participate in the recruitment assistance
program, established pursuant to this Act, if the health care professional is licensed or certified
to practice in his or her profession in South Dakota and agrees to practice full time in an eligible
rural health care facility for a minimum period of three years. No more than sixty health care
professionals may participate in the program each year. The Department of Health shall
promulgate rules pursuant to chapter 1-26 to specify those health care professionals eligible to
receive incentive payments under this recruitment assistance program.
Section 4. A health care professional who fulfills the requirements of the recruitment
assistance program established pursuant to this Act is entitled to receive an incentive payment
not to exceed ten thousand dollars.
Section 5. Any agreement for the payment of recruitment assistance pursuant to this Act
shall obligate the rural health care facility employing the health care professional to provide a
portion of the total amount of recruitment incentives based on the following criteria: rural health
care facilities in communities of two thousand five hundred persons or less shall provide
twenty-five percent of recruitment incentive payments, and rural health care facilities in
communities of greater than two thousand five hundred persons shall provide fifty percent of
recruitment incentive payments. When the rural health care facility certifies to the secretary of
health that it has paid the full amount for which it is obligated, the secretary of health shall pay
to the health care professional the remaining balance of the total incentive amount. The secretary
shall pay the required amount out of funds appropriated by the Legislature for such purpose. The
incentive shall be paid upon the health care professional's completion of the required three-year
practice period. However, a rural health facility may pay its portion of the incentive at any time
during the three-year period.
Section 6. No recruitment assistance agreement entered into pursuant to the provisions of
this Act is effective until it is filed with and approved by the secretary of health. The secretary
may prescribe the form of the agreements and procedures for approval by rules promulgated
pursuant to chapter 1-26.
Section 7. No person may participate in the program established pursuant to the provisions
of this Act if the person has previously participated in such program, or any other state or federal
scholarship, loan repayment, or tuition reimbursement program which obligates the person to
provide medical services within an underserved area.
Section 8. Any rural health care facility participating in the program established pursuant
to the provisions of this Act shall agree to be a participating South Dakota medical assistance
provider and to serve any person eligible under chapter 28-6 and may not refuse treatment to any
such person while participating in the program.
Section 9. That § 1-16A-73.13 be repealed.
1-16A-73.13. A health care professional is eligible to receive recruitment incentive
payments pursuant to §§ 1-16A-73.13 to 1-16A-73.19, inclusive, if the health care professional
is licensed or certified to practice his or her profession in South Dakota and agrees to practice
full time in an eligible health care facility for a minimum period of two years. However, no
more than sixty health care professionals may participate in this program at any specified time.
The Department of Health shall promulgate rules pursuant to chapter 1-26 to specify those
health care professionals eligible to receive recruitment incentive payments.
Section 10. That § 1-16A-73.14 be repealed.
1-16A-73.14. For purposes of §§ 1-16A-73.13 to 1-16A-73.19, inclusive, an eligible health
care facility is any facility in this state which:
(1) Is licensed pursuant to chapter 34-12 or certified under Title XVIII or XIX of the
Social Security Act as amended to December 31, 2001;
(2) Agrees to provide its portion of the recruitment incentive payments payable to a
health care professional who practices in the health care facility as required by §§ 1-16A-73.13 to 1-16A-73.19, inclusive; and
(3) Is determined to be eligible by the Department of Health.
Prior to making a determination under subdivision (3) of this section, the Department of
Health shall promulgate rules pursuant to chapter 1-26 to establish specific criteria to evaluate
each facility's need for eligible health care professionals.
Section 11. That § 1-16A-73.15 be repealed.
1-16A-73.15. A health care professional who fulfills the requirements of §§ 1-16A-73.13
to 1-16A-73.19, inclusive, is entitled to receive a recruitment incentive payment in the amount
of five thousand dollars.
Section 12. That § 1-16A-73.16 be repealed.
1-16A-73.16. Any agreement for the payment of recruitment incentives pursuant to §§ 1-16A-73.13 to 1-16A-73.19, inclusive, shall obligate the facility employing the health care
professional to provide a portion of the total amount of recruitment incentives based on the
following criteria: health care facilities in communities of two thousand five hundred persons
or less shall provide twenty-five percent of recruitment incentive payments and health care
facilities in communities of greater than two thousand five hundred persons shall provide fifty
percent of recruitment incentive payments. When the facility certifies to the secretary of health
that it has paid the full amount for which it is obligated, the secretary of health shall pay to the
health care professional the remaining balance of the total recruitment incentive amount. The
incentive shall be paid upon the health care professional's completion of the required two-year
practice period. However, a facility may pay its portion of the recruitment incentive at any time
during the two-year period.
Section 13. That § 1-16A-73.17 be repealed.
1-16A-73.17. Any county or municipality may appropriate funds for the purpose of carrying
out the provisions of §§ 1-16A-73.13 to 1-16A-73.19, inclusive.
Section 14. That § 1-16A-73.18 be repealed.
1-16A-73.18. No recruitment incentive agreement entered into pursuant to the provisions
of §§ 1-16A-73.13 to 1-16A-73.19, inclusive, is effective until it is filed with and approved by
the secretary of health. The secretary may prescribe the form of agreements and procedures for
approval by rules promulgated pursuant to chapter 1-26.
Section 15. That § 1-16A-73.19 be repealed.
1-16A-73.19. No person may participate in the recruitment incentive program established
by §§ 1-16A-73.13 to 1-16A-73.19, inclusive, who is participating in, or has previously
participated in, this or any other state or federal tuition reimbursement or forgiveness program.