CHAPTER 6. MEDICINE
VERNON'S CIVIL STATUTES
TITLE 71. HEALTH--PUBLIC
CHAPTER 6. MEDICINE
Art. 4498c. STATE RURAL MEDICAL EDUCATION BOARD.
Creation
Sec. 1. There is hereby established and created the State Medical
Education Board, which shall have the general powers and duties
authorized and imposed by the provisions of this Act. The State
Medical Education Board is administratively attached to the Texas
Higher Education Coordinating Board. The coordinating board shall
provide the staff necessary for the State Medical Education Board
to perform its duties. The State Medical Education Board shall
adopt rules to carry out this Act.
Sec. 1a. Repealed by Acts 1989, 71st Leg., ch. 1084, Sec.
4.01(3), eff. Sept. 1, 1989.
Citation of act
Sec. 1b. This Act may be cited as the State Medical Education
Act.
"Board" defined
Sec. 1c. In this Act, "Board" means the State Medical Education
Board.
Board duties
Sec. 1d. The duties of the State Medical Education Board are to
carry out the administration and collection of loans already made
under this Act.
Members; appointment; qualifications; terms of office; vacancies;
oath of office; commission
Sec. 2. The Board shall consist of six members, who shall be
appointed by the Governor with the advice and consent of the
Senate, and who shall have the following qualifications: Three of
the members shall be legally qualified practicing physicians, who
shall have had not less than five years experience in the actual
practice of medicine within the State of Texas in rural areas as
defined by this Act, of good professional standing and graduates
of recognized medical colleges; three of whose members shall
consist of citizens of this State who have maintained residence
for a period of not less than five years in a rural area as
defined by this Act.
The terms of office of members of the Board shall be for six
years. Any vacancy in an unexpired term shall be filled by
appointment of the Governor with the advice and consent of the
Senate for the unexpired term. The members of the Board shall
qualify by taking a Constitutional Oath of office before an
officer authorized to administer oaths with this State, and, upon
presentation of such oath of office, together with a certificate
of their appointment, the Secretary of State shall issue
commissions to them.
Secs. 3 to 6. Repealed by Acts 1989, 71st Leg., ch. 1084, Sec.
4.01(3), eff. Sept. 1, 1989.
Amount and proportioning of loans, grants and scholarships;
repayment; credit for rural practice; default
Sec. 7. Applicants who are granted loans, grants or scholarships
by the Board shall receive an amount which may defray his or her
tuition and other expenses in any reputable, accepted and
accredited medical school or medical college or school listed by
the World Health Organization, or a scholarship to any such
medical college or school for a term not exceeding four (4)
years, same to be paid at such time and in such manner as may be
determined by the Board. The loans, grants and scholarships
herein provided may be proportioned in any such manner as to pay
to the medical school to which any applicant is admitted such
funds as are required by that school, and the balance to be paid
directly to the applicant; all of which shall be under such terms
and conditions as may be provided under rules and regulations of
the Board. The said loans, grants, or scholarships shall be based
upon the condition that the full amount thereof shall be repaid
to the State of Texas in cash in full with ten (10) percent
interest from the date of each payment by the State on such loan,
grant or scholarship or by satisfaction of other conditions of
the Board or this Act. If the applicant practices his profession
in a rural area as defined by this Act the Board is authorized
and shall credit one-fifth of the loan, grant or scholarship
together with interest thereon to the applicant for each year of
such practice as certified by the Board. At the end of the second
full year of practice in a rural area as provided for herein, the
applicant shall be privileged to pay off the balance of the loan,
grant or scholarship as the case may be with accrued interest
thereon, and upon such payment shall be relieved from further
obligation under his contract. Should the applicant default under
his contract at any time the full principal and accrued interest
plus a penalty of 100 percent of the outstanding balance plus
attorneys' fees as defined by said contract shall be due and
owing to the State.
Sec. 7A. Repealed by Acts 1989, 71st Leg., ch. 1084, Sec.
4.01(3), eff. Sept. 1, 1989.
Contract of Applicant; Terms and Conditions; Form; Signature;
Removal of Disabilities; Suits
Sec. 8. Each applicant before being granted a loan, grant or
scholarship shall enter into a contract with the Board, which
shall be deemed a contract within the State of Texas, agreeing to
the terms and conditions upon which the loan or scholarship shall
be granted to him, which said contract shall include such terms
and provisions as will carry out the full purpose and intent of
this Act, and the form thereof shall be prepared and approved by
the Attorney General of this State, and shall be signed by the
Chairman of the Board, countersigned by the Secretary, and shall
be signed by the applicant. For the purposes of this Act the
disabilities and minorityhood of all applicants granted loans or
scholarships hereunder shall be and the same are hereby removed
and said applicants are declared to be full lawful age for the
purpose of entering into the contract hereinabove provided for,
and such contract so executed by any applicant is hereby declared
to be a valid and binding contract the same as though the said
applicant were of the full age of twenty-one (21) years and
upward. The Board is hereby vested with the full and complete
authority and power to sue in its own name any applicant for any
balance due the Board upon any such contract.
Contracts for Admission with Medical Colleges or Schools
Sec. 9. It shall be the duty of the Board to contact and make
inquiry of such of the medical colleges or schools as herein
provided as it deems proper, and make such arrangements and enter
into such contracts, within the limitations as to cost as herein
provided, for the admission of students granted loans or
scholarships by the Board, such contracts to be approved by the
Attorney General of this State, and money obligations of such
contracts so made by the Board with any such college shall be
paid for out of the funds to be provided by law for such
purposes, and all students granted loans, grants or scholarships
shall attend the medical school with which the Board has entered
a contract, or any accredited medical school or college in which
said applicant may obtain admission, and which is approved by the
Board.
Cancellation of Contracts
Sec. 10. The Board shall promulgate and adopt rules and
regulations for the cancellation of any contract made between it
and any applicant for loans or scholarships upon such cause
deemed sufficient by the Board. And the Board shall have
authority to cancel such contracts which it may lawfully cancel
made with any of the colleges or schools as herein provided.
Requisition; Warrant; Payment by Comptroller out of Appropriated
Funds
Sec. 11. All payments of funds or loans or scholarships hereunder
shall be made by requisition of the Board signed by the Chairman
and the Secretary directed to the Comptroller of the Public
Accounts, who shall thereupon issue a warrant on the Treasury of
the State of Texas for the amount fixed in the requisition and
payable to the person designated thereon, which said warrant upon
presentation shall be paid by the Comptroller out of any funds
appropriated by the Legislature for the purpose provided for
under this Act.
Contracts for Life Insurance
Sec. 12. The Board may contract with any insurance company or
companies licensed to do business in Texas for issuance on the
life of any applicant an amount sufficient to retire the
principal and interest owed under a loan made under the
provisions of this Act, the costs of the insurance shall be paid
by the student borrower. No contract for insurance provided for
in this section may be approved except by the Board during a
regular meeting attended by a quorum of the total Board
membership.
Extension of Time for Beginning Repayment
Sec. 13. The Board may extend the time for beginning repayment
for unusual or financial hardships with approval of the Attorney
General.
Suit on default
Sec. 14. (a) The Board shall collect any payments due from a loan
recipient under this Act. The Attorney General shall make those
collections only if the loan recipient defaults on making those
payments.
(b) Upon any default as provided for herein the Board shall turn
the same over to the Attorney General for prosecution and suit
for the remaining sum shall be instituted by the Attorney
General, or any county or district attorney acting for him, in
the county of the person's residence, the county in which is
located the institution at which the person was last enrolled, or
in Travis County, unless the Attorney General finds reasonable
justification for delaying suit and so advises the Board in
writing.
Sec. 15. Repealed by Acts 1989, 71st Leg., ch. 1084, Sec.
4.01(3), eff. Sept. 1, 1989.
Contracts with State and Federal Agencies, Corporations, Etc.
Sec. 16. In achieving the goals outlined in this Act and the
performance of functions assigned to it, the Board may contract
with any other State governmental agency as authorized by law,
with any agency of the United States, and with corporations,
associations, partnerships, and individuals.
Gifts, grants or donations; acceptance; deposit; expenditure
Sec. 17. The Board may accept gifts, grants or donations of real
or personal property from any individual, group, association, or
corporation or the United States, subject to limitations or
conditions set by law. The gifts, grants, or donations of money
shall be deposited in the Texas Medical Education Board fund,
separately accounted for, and expended in accordance with the
specific purposes for which given and under such conditions as
are imposed by the donor and as provided by law.
Audit
Sec. 18. All transactions under this Act are subject to audit by
the State Auditor.
Sec. 19. Repealed by Acts 1989, 71st Leg., ch. 1084, Sec.
4.01(3), eff. Sept. 1, 1989.
Rural Area
Sec. 20. Rural areas as defined in this Act shall mean residence
in or intention to practice in a county of the State of Texas
which according to the last preceding Federal Census had a
population of less than 30,000.
Acts 1973, 63rd Leg., p. 782, ch. 348, eff. June 12, 1973.
Sec. 1 amended by Acts 1989, 71st Leg., ch. 1084, Sec. 3.07, eff.
Sept. 1, 1989.
Sec. 1b added by Acts 1989, 71st Leg., ch. 1084, Sec. 3.07, eff.
Sept. 1, 1989.
Sec. 1c added by Acts 1989, 71st Leg., ch. 1084, Sec. 3.07, eff.
Sept. 1, 1989.
Sec. 1d added by Acts 1989, 71st Leg., ch. 1084, Sec. 3.07, eff.
Sept. 1, 1989.
Sec. 2 amended by Acts 1989, 71st Leg., ch. 1084, Sec. 3.08, eff.
Sept. 1, 1989.
Sec. 7 amended by Acts 1977, 65th Leg., p. 130, ch. 60, Sec. 1,
eff. Aug. 29, 1977; Acts 1983, 68th Leg., p. 4329, ch. 691, Sec.
2, eff. Aug. 29, 1983.
Sec. 11 amended by Acts 1997, 75th Leg., ch. 1423, Sec. 21.47,
eff. Sept. 1, 1997.
Sec. 14 amended by Acts 1989, 71st Leg., ch. 1084, Sec. 3.08,
eff. Sept. 1, 1989.
Sec. 17 amended by Acts 1989, 71st Leg., ch. 1084, Sec. 3.08,
eff. Sept. 1, 1989.
Sec. 20 amended by Acts 1983, 68th Leg., p. 4330, ch. 691, Sec.
3, eff. Aug. 29, 1983.