ARC 8403C

ARC 8403C

Proposing rulemaking related to rural Iowa veterinarian loan repayment program
and providing an opportunity for public comment

The Administrative Rules Coordinator provided preclearance for the publication of this Notice of Intended Action on September 12, 2024.

A Regulatory Analysis for this rulemaking was published in the Iowa Administrative Bulletin on August 21, 2024. A public hearing was held on the following date(s):

●September 10, 2024

No public comments on the Regulatory Analysis were received at the public hearing or in writing.

Any persons who intend to attend a public hearing and have special requirements, such as those related to hearing or mobility impairments, should contact the Commission and advise of specific needs.

ITEM 1.Rescind 283—Chapter 27 and adopt the following new chapter in lieu thereof:

CHAPTER 27

RURAL VETERINARIAN LOAN REPAYMENT PROGRAM

283—27.1(256) Definitions.

“Eligible applicant” means an individual who meets the criteria of Iowa Code sections 256.226(3) and 256.226(4), agrees to sign a program agreement, agrees to begin employment under the obligation within one year of signing a program agreement, and agrees to complete the obligation. The eligible applicant completes applications on or before the date established by the commission and does not meet a condition in 283—subrule 10.3(1).

1.The program agreement specifies the obligation and other details pertaining to the program.

2.The obligation is considered fulfilled or may be postponed pursuant to Iowa Code section 256.226(9). Progression toward completion of the obligation is verified annually.

“Eligible loan” means the same as defined in Iowa Code section 256.226(1). Only the outstanding portion of a federal consolidation loan that was used to repay an eligible loan qualifies as an eligible loan.

“Food supply veterinary medicine” means the same as “practice of food supply veterinary medicine” as defined in Iowa Code section 256.226(1).

“Rural service commitment area” means the same as defined in Iowa Code section 256.226(1). An eligible applicant who signs a program agreement to serve in a service commitment area will contract with the service commitment area to ensure the service commitment area provides a nonrefundable contribution equivalent to 12.5 percent of the eligible applicant’s eligible loan balance, at the time the program agreement is signed, for deposit in the rural veterinarian trust fund. Payment of the nonrefundable contribution to the trust fund can be made by but is not limited to the following organizations: community agencies, medical groups, municipalities, community foundations, local government entities, or other community entities. Locations and distances between cities will be consistently measured and verified by calculating the shortest travel distance on paved roads.

“Veterinary shortage area” means the same as defined in Iowa Code section 256.226(1).

283—27.2(256) Awarding of funds.

27.2(1) Selection criteria. All eligible applicants will be considered for an award.

27.2(2) Extent of award and maximum award. Eligible applicants may receive up to $60,000 upon completion of the obligation. The loan repayment award will not exceed the outstanding balance of the eligible applicant’s eligible loans.

27.2(3) Priority for awards. New awards will be made in the order of the following priority categories if funding is insufficient to award all eligible applicants. An eligible applicant selected for an award under a priority category will continue to meet the provisions of that category to maintain eligibility.

a.Eligible applicants who will be employed in a private practice providing food supply veterinary medicine in a veterinary shortage area and have graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application, followed by eligible applicants who will be employed in a private practice providing food supply veterinary medicine in a veterinary shortage area and have not graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application.

b.Eligible applicants who will be employed in a private practice providing food supply veterinary medicine in a service commitment area and have graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application, followed by eligible applicants who will be employed in a private practice providing food supply veterinary medicine in a service commitment area and have not graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application.

c.Eligible applicants who will practice as a veterinarian in a service commitment area and have graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application, followed by eligible applicants who will practice as veterinarians in a service commitment area and have not graduated from an Iowa high school or completed private instruction under Iowa Code chapter 299A, by date of application.

27.2(4) Awarding process. The commission will:

a.Provide notice of the eligibility criteria and the application process annually.

b.Designate eligible applicants for awards and notify all applicants of their eligibility.

c.Track eligible applicants selected to receive awards through completion of their obligation. Completion of the obligation will be verified by the eligible applicant’s employer. An obligation is satisfied pursuant to Iowa Code section 256.226(9).

d.Pay the loan repayment award directly to the holder of the eligible applicant’s eligible loan.

283—27.3(256) Failure to fulfill obligation. An eligible applicant who fails to fulfill the obligation pursuant to Iowa Code section 256.226(9) will be subject to repayment of any loan repayment awards paid under this chapter toward the eligible applicant’s eligible loans as specified in the program agreement.

These rules are intended to implement Iowa Code chapter 256.