LOAN REPAYMENT PROGRAM FDR ALLIED HEALTH PERSONNEL.

SEC 604. LOAN REPAYMENT PROGRAM FDR ALLIED HEALTH PERSONNEL. Part C of title VII (42 U.S.C. 294 et seq.) is amended by inserting after subpart U the following new subpart: “Subpart III—Loan Repayment Program for Allied Health Personnel “SEC. 751. ESTABLISHMENT OF PROGRAM. “(a) In General.—The Secretary shall establish a program of entering into agreements with allied health personnel and with allied health professions students under which such individuals agree, in consideration of the agreement described in subsection (b) (relating to loan repayment), to serve as an allied health professional for a period of not less than two years in an Indian Health Service health center, in a Native Hawaiian health center, in a rural health clinic, in a rural health facility that is a sole community provider, in any other rural hospital, in a rural home health agency, in a rural or urban hospital that serves a substantial number of patients pursuant to title XIX of the Social Security Act, in a private nursing facility 60 percent of whose patients are patients pursuant to title XIX of such Act, in a public nursing facility, in a migrant health center, in a community health center, or in a health facility determined by the Secretary to have a critical short-age of nurses. “(b) Payments by Federal Government.—The agreement referred to in subsection (a) is an agreement, made by the Federal Government in consideration of the agreement described in paragraph (1) with respect to service as an allied health professional, under which the Federal Government agrees to pay— “(1) for the first year of such service, 30 percent of the balance of the principal and interest of the educational loans of the individual; “(2) for the second year of such service, 30 percent of such balance; and “(3) for the third year of such service, 25 percent of such balance. “(c) Administration.—With respect to the National Health Service Corps Loan Repayment Program established in subpart III of part D of title III, the provisions of such subpart shall, except as inconsistent with this section, apply to the program established in this section in the same manner and to the same extent as such provisions apply to the National Health Service Corps Loan Repayment Program established in such subpart. “(d) Authorization of Appropriations.—For the purpose of carrying out this section, there are authorized to be appropriated $2,000,000 for each of the fiscal years 1989 through 1991.”.