Section 590.10  Applicability (Repealed)

 

(Source:  Repealed at 35 Ill. Reg. 14089, effective August 4, 2011)

 

Section 590.20  Definitions

 

When used in this Part, the following terms have the meanings ascribed in this Section:

 

"Academic year" means September 1 in one year through August 31 of the next year, or as otherwise defined by the accredited school.

 

"Accredited family medicine residency" means a training program meeting the requirements of the Accreditation Council for Graduate Medical Education, or the Committee on Postdoctoral Training of the American Osteopathic Association.

 

"Accredited medical school" means a college or university at which a Doctor of Medicine (M.D.) degree or a Doctor of Osteopathic Medicine (D.O.) degree is earned.  For an M.D., the college or university is accredited by the Liaison Committee on Medical Education (http://lcme.org/).  For a D.O., the college or university is accredited by the Commission on Osteopathic College Accreditation (https://www.osteopathic.org/inside-aoa/accreditation/COM-accreditation/Pages/default.aspx).

 

"Act" means the Underserved Health Care Provider Workforce Act [110 ILCS 935].

 

"Administrative law judge" or "ALJ" shall have the meaning ascribed in 77 Ill. Adm. Code 100 (Practice and Procedure in Administrative Hearings).

 

"Advanced practice registered nurse" or "APRN" means a person who has met the qualifications for a certified nurse midwife (CNM), certified nurse practitioner (CNP); certified registered nurse anesthetist (CRNA); or clinical nurse specialist (CNS) and has been licensed by the Department of Financial and Professional Regulation. (Section 50-10 of the Nurse Practice Act)

 

"Authorized representative" means a person who has authority to act on behalf of the legal entity or person that is an applicant or grantee.  Authorized representatives are:  for a corporation, any of its officers or members of its board of directors; for a limited liability company, any of its managers or members; for a partnership, any of its general partners; and for a sole proprietor, the individual who is the sole proprietor.

 

"Board certified physician" means a physician who has passed a medical specialty examination and who has maintained certification of that specialty from a nationally recognized medical specialty board certification body.

 

"Board eligible physician" means a physician who has completed the requirements for admission to a medical specialty board examination but has not yet taken and passed the examination.

 

"Breach of service obligation" means failure for any reason to begin or complete all of a contractual service commitment.

 

"Business day" means Monday through Friday.  It does not include a federal or State government declared holiday, Saturday or Sunday.

 

"Calendar day" means all days in a month or prescribed time frame.  It includes weekends and federal or State government declared holidays.

 

"Center" means the Center for Rural Health of the Illinois Department of Public Health.

 

"Certified U.S. Mail" means U.S. Mail for which proof of delivery is obtained.

 

"Children's Health Insurance Program" or "CHIP" means health coverage that is provided to eligible children, through the Illinois Department of Healthcare and Family Services.

 

"Chiropractic physician" means a chiropractic physician as defined in the Medical Practice Act of 1987. (Section 3.11 of the Act)

 

"Commercial loans" means loans made by banks, credit unions, savings and loan associations, insurance companies, and other licensed financial institutions.

 

"Committee" means the Advisory Committee for Residency Programs. (Section 3.03 of the Act)

 

"Community-based organization" means a locally organized and locally recognized group of individuals whose goals include efforts to lawfully maintain or increase the availability of health care in their community.

 

"Construction" means the establishment of a new building (including the installation of fixed equipment), or completion of shell space in an existing building.

 

"Construction costs" or "Modernization costs" means expenses from a construction contract.

 

"Continuous attendance" means enrollment in an accredited medical school for an entire academic year and for the total duration of time it takes the student to complete medical education, up to the maximum number of years the recipient is eligible to receive the scholarship.  Continuous attendance shall be deemed to have been broken if the student goes more than 12 months without successfully completing a medical-related course from an accredited medical school.

 

"Default" means failure to meet all legal obligations or conditions of a loan.

 

"Deferment" means the temporary delay or postponement of a scholarship recipient's continuous attendance or service obligation or an educational loan repayment recipient's service obligation.

 

"Department" means the Illinois Department of Public Health. (Section 3.01 of the Act)

 

"Designated Shortage Area" means an area designated by the Director as a physician shortage area, a medically underserved area or a health professional shortage area, or a critical health manpower shortage area as defined by the United States Department of Health, Education and Welfare, or as further defined by the Department to enable it to effectively fulfill the purpose stated in Section 2 of the Act.  Such areas may include the following:

 

an urban or rural area which is a rational area for the delivery of health services;

 

a population group;

 

a public or nonprofit private medical facility; or

 

a government-owned, privately owned, independent, or provider-based Rural Health Clinic or hospital that accepts Medicaid, Medicare, the State's Children's Health Insurance Program, private insurance, and self-pay. (Section 3.04 of the Act)

 

"Direct patient care" means care of a patient provided by an eligible health care provider.  It may involve any aspect of the health care of a patient, including diagnostic and treatment services; support services such as laboratory, radiologic, and pharmacy; counseling; in-service for self-care; patient education; and administration of medication.

 

"Director" means the Director of the Illinois Department of Public Health. (Section 3.02 of the Act)

 

"Disabled" shall have the meaning ascribed in Section (2)(A)(2.1) of the Business Enterprise for Minorities, Females and Persons with Disabilities Act.

 

"Disability" shall have the meaning ascribed in Section 1-103(I) of the Illinois Human Rights Act.

 

"Due diligence" means action taken toward the completion of a project with the diligence and foresight that persons of ordinary prudence and care would exercise under similar circumstances.

 

"Data Universal Numbering System" or "DUNS" is a system that assigns a unique numeric identifier, referred to as a DUNS number, to a single business entity.

 

"Educational loan repayment award" or "award" means the amount of funding awarded to a recipient based upon reasonable educational expenses, up to a maximum established by the program.

 

"Eligible health care provider" means a primary care physician, general surgeon, emergency medicine physician, obstetrician, anesthesiologist, chiropractic physician, advanced practice registered nurse, or physician assistant who accepts Medicaid, Medicare, the State's Children's Health Insurance Program, private insurance, and self-pay. (Section 3.09 of the Act)

 

"Eligible medical student" means a person who meets all of the following qualifications:

 

He or she is an Illinois resident at the time of application for a scholarship;

 

He or she is studying medicine in an accredited medical school located in Illinois or studying chiropractic medicine in a chiropractic college or institution in Illinois;

 

He or she exhibits financial need as determined by the Department; and

 

He or she agrees to practice full-time, at a Department approved site, located in a Designated Shortage Area in Illinois as a primary care physician, general surgeon, emergency medicine physician, obstetrician, or chiropractic physician one year for each year he or she is a scholarship recipient. (Section 3.07 of the Act)

 

"Emergency medicine physician" means a physician licensed to practice medicine in Illinois under the Medical Practice Act of 1987 with a specialty dedicated to the care and treatment of acutely ill or injured patients who need immediate medical attention.

 

"Equipment" means tangible personal property of a non-consumable nature that may be acquired by a purchase, lease purchase, or installment contract that has a value exceeding $100.

 

"Equipment costs" means the cost of movable capital equipment that is not in a construction or renovation contract.

 

"Federally Qualified Health Center" or "FQHC" means a health center funded under section 330 of the Public Health Service Act (42 U.S.C. 254b).

 

"Federally Qualified Health Center Look-Alike" or "FQHC Look-Alike" means an organization that meets the requirements for receiving a grant under section 330 of the Public Health Service Act but does not receive federal grants under that authority.

 

"Federal poverty level as published in the Federal Register" means the poverty level population figures published annually in the Federal Register.  The Federal Register may be found at the website:  https://www.federalregister.gov/.

 

"Fellowship" means optional medical training, usually one year, completed after residency training.

 

"Fiscal year" means the financial operating year of Illinois State government.  It begins on July 1 and ends on June 30 of the next calendar year.

 

"Fixed equipment" means assets that are usually attached and integral to the building's function.

 

"Forbearance" means the postponement of loan payments by a lender for a temporary period to give the borrower time to make up overdue payments.

 

"Full-time practice" means a recipient works a minimum of 40 hours per week, for a minimum of 45 weeks per year, at a medical facility located in a designated shortage area in Illinois.  For general surgeons and emergency medicine physicians, full-time practice means working a minimum of 32 hours per week, for a minimum of 45 weeks per year, at a medical facility located in a designated shortage area in Illinois.

 

"Funding period" means the time frame during which grant funds are to be expended by the grantee (usually corresponding with the Department's fiscal year).

 

"General surgeon" means a physician licensed to practice medicine in Illinois under the Medical Practice Act of 1987 after successful completion of an accredited surgical residency program, with a specialty in the diagnosis, preoperative, operative, and postoperative surgical management of a patient.

 

"Good academic standing" means a student is matriculating with the rest of that student's class, as determined by the student's medical school.

 

"Government loans" means loans made by federal, State, county or city agencies authorized to make those loans.

 

"Grant" means funds awarded under the Act.

 

"Grantor agency" means any agency of State government which dispenses grant funds. (Section 2(a) of the Illinois Grant Funds Recovery Act)

 

"Grant Agreement" or "agreement" means the agreement entered into between the Department and the grantee setting forth the terms and conditions of a scholarship or educational loan repayment award.

 

"Grant funds" means public funds dispensed by the Department to any person or entity for obligation, expenditure or use for a specific purpose. (Section 2(b) of the Illinois Grant Funds Recovery Act)

 

"Grantee" means a person or entity which may use grant funds. (Section 2(c) of the Illinois Grant Funds Recovery Act)

 

"Health Professional Shortage Area Score" or "HPSA score" means the HPSA shortage severity score calculated by the U.S. Department of Health and Human Services (HHS).

 

"Hospital" means a location defined in and licensed under the Hospital Licensing Act [210 ILCS 85].

 

"Illinois resident" means a person who is a resident of Illinois at the time of application for a Medical Student Scholarship or educational loan repayment award and who is a citizen or national of the United States.

 

"Legal holiday" means a holiday set by statute, during which government working hours are suspended.

 

"Lender" means the commercial or government entity that made the qualifying loan.

 

"Matriculation fees" means the actual educational expenses charged to all students by the various medical schools. These fees are charged to offset the expenses incurred by the school in areas such as the application and enrollment processing, library use, mandatory health insurance, and student activities.

 

"Medicaid" means a health insurance program for individuals with limited income and limited financial assets.  The Medicaid program is jointly administered and funded by the federal and State government.

 

"Medical school" means any private or public nonprofit school in Illinois that provides education leading to a doctor of medicine or doctor of osteopathy degree, that is approved by the Illinois Department of Financial and Professional Regulation, pursuant to the Medical Practice Act of 1987, and that is accredited by the Liaison Committee on Medical Education (http://lcme.org/) or the Commission on Osteopathic College Accreditation (https://www.osteopathic.org/inside-aoa/accreditation/COM-accreditation/Pages/default.aspx).

 

"Medical facility" means a facility for the delivery of health services and includes a hospital, State mental health institution, public health center, outpatient medical facility, rehabilitation facility, long term care facility, community mental health center, migrant health center, community health center, rural health clinic, or State correctional institution. (Section 3.08 of the Act)

 

"Medical student" means an individual studying medicine in an accredited medical school located in Illinois or an individual studying chiropractic medicine in a chiropractic college or institution in Illinois.

 

"Medically underserved area" or "MUA" means a location designated by the U.S. Department of Health and Human Services based on the availability of primary care physicians, demographic characteristics, and health status of the residents of a service area.  The designation is used to identify areas in need of additional health care services.  MUAs can be found at: https://data.hrsa.gov/tools/shortage-area/mua-find.

 

"Medically underserved population" or "MUP" means individuals who:

 

reside in an HHS designated Health Professional Shortage Area or a medically underserved area;

 

who are designated a medically underserved population by HHS; or

 

who reside in an area designated by the Department as underserved.

 

"Medicare" means the federal government's health insurance program for:  people who are 65 or older; certain younger people with disabilities; and people with End-Stage Renal Disease (permanent kidney failure requiring dialysis or a transplant, sometimes called ESRD).

 

"Metropolitan Statistical Area" or "MSA" means one or more adjacent counties that have at least one urban core area of at least 50,000 population, plus adjacent territory that has a high degree of social and economic integration with the core, as measured by commuting ties.

 

"Modernization" means alteration, renovation, upgrading, or improvement of an existing building.

 

"Null and void" means an application submitted to the Department has no legal force and is invalid.

 

"Obligation" or "Obligated" means a requirement for a grantee to make future payments from grant funds that result from financial transactions that have occurred with vendors or other entities in relation to the grantee's activities.

 

"Obstetrician" means a physician licensed to practice medicine in Illinois under the Medical Practice Act of 1987 with a specialty dedicated to pregnancy, childbirth and the postpartum period.

 

"Official transcript" means transcripts that have been received directly from the institution or have been issued to the applicant or recipient in a sealed envelope, which shall remain sealed until its arrival at the Department.  The transcript shall include the institution's official seal, the date the transcript was issued, and the registrar's signature.  The transcript will be verifiable by the Department.

 

"Part-time practice" means a recipient works a minimum of 20 hours per week, but no more than 39 hours per week, for a minimum of 45 weeks per year, at a medical facility located in a designated shortage area in Illinois.  For general surgeons and emergency medicine physicians, part-time practice means working a minimum of 16 hours per week but no more than 24 hours per week, for a minimum of 45 weeks per year, at a medical facility located in a designated shortage area in Illinois.

 

"Physician assistant" means an individual licensed under the Physician Assistant Practice Act of 1987 [225 ILCS 95].

 

"Practice location" means the physical location where the eligible health care provider practices predominately.  For full-time eligible health care providers, this means working at least 21 hours per week at this location.  For general surgeons and emergency medicine physicians, this means working at least 17 hours per week at this location.  For part-time providers, this means working at least 11 hours per week at this location.  For part-time providers who are general surgeons and emergency medicine physicians, this means working at least nine hours per week at this location.

 

"Primary care" means health care that encompasses prevention services, basic diagnostic and treatment services, and support services, including laboratory, radiologic, and pharmacy.

 

"Primary care physician" means a person licensed to practice medicine in all of its branches under the Medical Practice Act of 1987 with a specialty in Family Practice, Internal Medicine, Obstetrics and Gynecology, or Pediatrics as defined by recognized standards of professional medical practice. (Section 3.05 of the Act)

 

"Private insurance" means a health insurance plan sold by the private health insurance industry.  This involves employer-sponsored plans and private coverage purchased outside of the workplace from the individual and family health insurance marketplace.

 

"Project completion" means that the project has concluded based on the project objectives and within the time frame requirements in the Grant Agreement.

 

"Qualifying loan" means government or commercial loans used for tuition and reasonable educational and living expenses related to the medical degree that was obtained by the recipient prior to the recipient's application for loan repayment.  These loans shall be contemporaneous with the education received.

 

"Rational area" means the geographic area surrounding a physician's office, a hospital or a clinic, from which the residents of the geographic area may be reasonably expected to seek health care from the physician, hospital or clinic located within that geographic area.

 

"Real property" means lands, structures, buildings, and anything that is affixed to them.  Real property does not include items that can be moved, including equipment and furniture.

 

"Reasonable educational expenses" means the actual costs for education, exclusive of tuition.  These costs include, but are not limited to, matriculation fees, books, supplies, clinical travel, educational equipment, materials, board certification, or licensing examinations.  These costs shall not exceed the estimated standard budget for expenses for the degree program and for the years of enrollment.

 

"Reasonable living expenses" means room and board, transportation and commuting costs.  These expenses shall not exceed the estimated standard budget for the recipient's degree program and for the years of enrollment.

 

"Recipient" means a medical student receiving funds from the Illinois Medical Student Scholarship Program or an eligible health care provider receiving educational loan repayment funds.

 

"Residency matching process" means the U.S. National Resident Matching Program that coordinates the matching of medical students with the hospitals and residency training programs in the medical students' selected specialty. The matching application process usually lasts from June through September of one year, with match announcements made in March of the following year.

 

"Residency program" means a program accredited by the Accreditation Council for Graduate Medical Education (http://www.acgme.org/) or the Committee on Postdoctoral training of the American Osteopathic Association (http://www.osteopathic.org/inside-aoa/accreditation/postdoctor-training-approval/Pages/default.aspx). (Section 3.06 of the Act)

 

"Residency training" means the years of graduate medical education that follow medical school and that train the new physician in his or her chosen specialty (e.g., family medicine, pediatrics).

 

"Rural" means any geographic area not located in a U.S. Bureau of the Census Metropolitan Statistical Area; or a county located within a Metropolitan Statistical Area but having a population of 60,000 or less; or a community located within a Metropolitan Statistical Area but having a population of 2,500 or less.

 

"Rural Health Clinic" means a clinic that is located in a rural area designated as a shortage area, is not a rehabilitation agency or a facility primarily for the care and treatment of mental diseases and provides primary care and routine laboratory services to medically underserved populations.

 

"Self-pay" means a patient who pays for their health-related service in absence of insurance to cover the medical or surgical procedure performed.

 

"Service obligation" means an eligible health care provider who practices full-time or part-time at a medical facility in a designated shortage area in Illinois.  For medical student scholarship recipients, the physician must work one year for each year he or she is a scholarship recipient.  (Section 3.07(d) of the Act)  For educational loan repayment recipients, the eligible health care provider must work full-time for two years or part-time for four years at a medical facility in a designated shortage area in Illinois for the initial grant term.

 

"Shell space" means space constructed to meet future needs.  It is space enclosed by an exterior building shell, but otherwise unfinished inside.

 

"Submission of application" means that a complete grant, scholarship or educational loan repayment application has been received by the Department by the established deadline.  Submission does not mean that the application is postmarked by the established submission deadline but arrives at the Department on a later date.

 

"Supplant" means to replace, to take the place of, or to supersede.  As used in this Part, grant funds cannot be used to replace or supersede other sources of funding.

 

"Supplies" means a general purpose consumable item that commonly has a shorter life span than equipment, and that is stocked for recurring use.

 

"Supplies expense" means the actual costs incurred for general purpose consumable items that have a shorter life span than equipment and that are stocked for recurring use.

 

"Suspension" means an action by the Department to suspend a recipient's participation in Department grant and loan repayment programs for a specified period of time.

 

"Termination for cause" means termination of employment caused by the eligible health care provider's personal dishonesty, willful misconduct, breach of fiduciary duty, intentional failure to perform stated duties, or the willful violation of any law, rule or regulation, any of which results in material loss to the employer.

 

"Termination without cause" means termination of the eligible health care provider's employment for the convenience of the employer.

 

"Toll" or "Tolling" means to pause, postpone or suspend the running of a defined time period.

 

"Total and permanent disability" means a physical or mental impairment, disease, or loss of a permanent nature that prevents employment with or without reasonable accommodation.

 

"Travel" means the actual cost incurred by a grantee's employees to travel to fulfill specific job requirements.  These costs could include air travel, local transportation, per diem, mileage allowance and lodging.

 

"Tuition" means the established charges of a medical school for instruction at that institution.

 

"United States citizen" means an individual born in the United States; Puerto Rico (on or after April 11, 1899); the Canal Zone or the Republic of Panama (on or after February 26, 1904); the Virgin Islands (on or after January 17, 1917); Guam (after April 11, 1899); or the Commonwealth of the Northern Mariana Islands (on or after November 4, 1986); foreign-born children, under age 18, residing in the U.S. with their birth or adoptive parents, at least one of whom is a U.S. citizen by birth or naturalization; and individuals granted citizenship status by the U.S. Department of Homeland Security, Customs and Immigration Service. (See https://www.uscis.gov/policy-manual/volume-12-part-a-chapter-2#footnote-6)

 

"Urban" means any geographic area that does not meet the definition of "rural" in this Section.

 

"Waiver" means to permanently relieve a scholarship or educational loan repayment recipient's continuous attendance or service obligation, expressly put forth in writing.

 

(Source:  Amended at 48 Ill. Reg. 15882, effective October 23, 2024)

 

Section 590.30  Referenced Materials

 

The following materials are referenced in this Part:

 

a)         Illinois Statutes

 

1)         Underserved Health Care Provider Workforce Act [110 ILCS 935]

 

2)         Medical Practice Act of 1987 [225 ILCS 60]

 

3)         Hospital Licensing Act [210 ILCS 85]

 

4)         Illinois Administrative Procedure Act [5 ILCS 100]

 

5)         Department of Public Health Powers and Duties Law [20 ILCS 2310/2310-200]

 

6)         Illinois Grant Funds Recovery Act [30 ILCS 705]

 

7)         Illinois Human Rights Act [775 ILCS 5]

 

8)         Business Enterprise for Minorities, Females and Persons with Disabilities Act [30 ILCS 575]

 

9)         State Finance Act [30 ILCS 105]

 

10)        State Comptroller Act [15 ILCS 405]

 

11)        General Not For Profit Corporation Act of 1986 [805 ILCS 105]

 

12)        Administrative Review Law [735 ILCS 5/Art. III]

 

13)        Nurse Practice Act [225 ILCS 65]

 

14)        Physician Assistant Practice Act of 1987 [225 ILCS 95]

 

b)         Illinois Administrative Rules

 

1)         Practice and Procedure in Administrative Hearings (77 Ill. Adm. Code 100)

 

2)         Government Contracts, Procurement and Property Management (44 Ill. Adm. Code 750)

 

c)         Federal Statutes

 

1)         Federally Qualified Health Center, section 330 of the Public Health Service Act (42 U.S.C. 254b)

 

2)         Designation of Health Professional Shortage Areas, section 332 of the Public Health Service Act (42 U.S.C. 254e)

 

3)         Designation of Medically Underserved Areas/Populations, section 330 of the Public Health Service Act (42 U.S.C. 254e)

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.40  Administrative Hearings

 

Administrative hearings conducted by the Department concerning the provisions of this Part shall be governed by the Department's Practice and Procedure in Administrative Hearings.

 

(Source:  Amended at 35 Ill. Reg. 14089, effective August 4, 2011)

 

Section 590.50  Award of Grants (Repealed)

 

(Source:  Repealed at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.60  Advisory Committee for Residency Programs

 

The Advisory Committee for Residency Programs shall consult with the Director or his or her designee in the administration of the Act. (Section 5 of the Act)  The Department shall consult with the Advisory Committee in the determination of HPSAs, eligibility criteria for the allocation of funds under Section 4.01 of the Act and the awarding of scholarships under Sections 4.03 and 4.04 of the Act. (Section 4.09 of the Act)

 

a)         The Committee shall consist of nine members with the following composition:

 

1)         Four members shall be eligible health care providers licensed in Illinois;

 

2)         One member shall be a dean or associate dean or deputy dean of an accredited medical school in Illinois; and

 

3)         Four members shall represent the general public. (Section 5 of the Act)

 

b)         Committee Appointment

 

1)         The Director shall appoint individuals to the committee.

 

2)         Membership on the committee shall be for a term of four years.

 

3)         No person shall serve more than two terms.

 

4)         Committee members shall continue to serve after the expiration of their terms until their successors have been appointed. (Section 5 of the Act)

 

c)         Committee Structure

 

1)         The Committee shall elect a chairperson from among the eligible health care provider members.

 

2)         The Committee shall elect such other officers as may be required. (Section 5 of the Act)

 

d)         The Committee shall meet as frequently as the Director deems necessary, but not less than once each year. (Section 5 of the Act)

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.100  Eligibility for Grants

 

The following are eligible to apply for grants through this Part:

 

a)         Any accredited residency program located in Illinois; or

 

b)         Any accredited school of medicine or accredited school of osteopathy located in Illinois.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.110  Limitations on Use of Grant Funds

 

Grant funds awarded by the Department may only be used to support project expenses and operations.

 

a)         Grant funds may be used by the applicant to support project expenses, whether incurred at the residency's or school's central site or at an affiliated satellite.

 

b)         Grant funds may be used to support project operations, including those in the following budget categories:

 

1)         Personal services expenses of staff directly involved in the project;

 

2)         Equipment and supplies necessary for the operation of the project;

 

3)         Staff, resident, and student travel directly related to the project;

 

4)         Contractual services and rent necessary for the operation of the project; and

 

5)         Other expenses critical to the operation of the project, as pre-approved by the Department in writing.

 

c)         Grant funds shall not to be used to supplement or supplant any other State or federal grants.

 

d)         Grant funds shall not to be used to purchase real property, for new construction, modernization, or the creation of shell space.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.120  Project Requirements

 

a)         The Department will post a notice of grant opportunity on its web site.  This notice shall consist of at least the following elements and will be made available at http://dph.illinois.gov/topics-services/life-stages-populations/rural-underserved-populations/medical-student-scholarship-program:

 

1)         Identification of the grant opportunity, including a brief description of the program and the date that grant applications can be submitted to the Department;

 

2)         Identification, including mailing address and telephone number, of the Department's unit or section that is responsible for the grant program; and

 

3)         Information regarding where a copy of the application may be viewed by the public and how copies of the application may be obtained.

 

b)         Notification to all persons shall be deemed to have been provided by publication of the notice.

 

c)         Grant opportunities shall address one or more of the following goals:

 

1)         To increase the number of eligible health care providers in HPSAs;

 

2)         To increase the number of accredited, eligible health care provider residencies within the State;

 

3)         To increase the percentage of eligible health care providers establishing practice within the State upon completion of residency; and

 

4)         To provide funds for rental of office space, purchase of equipment and other uses necessary to enable eligible health care providers to locate their practices in communities located in HPSAs.

(Section 4.01 of the Act)

 

d)         Projects shall have a director who is an Illinois licensed and board certified physician who oversees the educational and professional components of the program and who is eligible to be a faculty member of an accredited school of medicine or an accredited school of osteopathy.

 

e)         Project directors shall submit detailed and comprehensive fiscal and program objective progress reports as required by the Department's Grant Agreement.

 

f)         The applicant shall also demonstrate local support for the program.  Local support can be demonstrated through funds, services or other resources.  The ratio of State support to local support shall be determined by the Department in a manner that is consistent with the purpose of the Act. (Section 6 of the Act)

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.130  Application for Grants

 

a)         Applications shall be in writing and describe the applicant's proposed methods to achieve the goals specified in the Department's request for proposals (see Section 590.120).

 

b)         Applicants will have 60 calendar days to submit applications for grant funding.  The 60-calendar-day timeframe begins on the publication date of the notice.  Applications received after the 60-calendar-day timeframe will not be processed and reviewed.

 

c)         Applications shall be in two formats – one for new projects and one for the subsequent years of a continuing project.

 

1)         New project applications shall include:

 

A)        The legal name of the applicant;

 

B)        The name and title of all of the applicant's officers and managers;

 

C)        The applicant's legal address and telephone number;

 

D)        A general description of the applicant, including its business and business experience;

 

E)        The project director's name, phone number and e-mail address;

 

F)         A detailed description of the project for which grant funds are requested, including a summary statement of the applicant's plan of action to address the goals described in the Department's request for proposals;

 

G)        A description of the geographic area or special population group to be served by the applicant's project, a statement of the special needs of the area or group (e.g., lack of health care providers, high incidence of disease, economic barriers to care) and an explanation of the manner in which the proposed project would meet those needs;

 

H)        A statement of objective, measurable and relevant objectives the applicant proposes to achieve in the first year of the project as well as its longer term goals, including appropriate measuring metrics together with proposed objective measurement criteria;

 

I)         A detailed work plan and time table for achievement of the objectives;

 

J)         An evaluation plan that will document the project's progress in meeting the particular needs of the geographic area or special population group described in subsection (c)(1)(G);

 

K)        A description of the medical student or resident involvement in the project, including numbers participating, level of training, amount of academic time involved, medical supervision, and whether involvement will be a required or an optional experience for the student or resident;

 

L)        A description of the educational benefits the project would offer students or residents, which would not be available to them without the project;

 

M)       A detailed description of the project's relationship to other activities and goals of the school or the residency program;

 

N)        A detailed budget with narrative explanation of the request, including cost estimates of developing, constructing, operating or completing the project; and

 

O)        For residency program applicants, a summary report, for the most recent five-year period, of the percentage of its graduates who have established practices in HPSAs in Illinois and, if available, a count of those who have established practices in underserved areas of Illinois.

 

2)         Continuing project applications shall include:

 

A)        The legal name of the applicant;

 

B)        The name and title of the applicant's chief officers and key employees;

 

C)        The applicant's legal address and telephone number;

 

D)        A general description of the applicant, including its business and business experience;

 

E)        A detailed, comprehensive, and objective progress report on the prior project year's activities, including accomplishments in meeting all stated objectives, impact on the needs of the area or population group served, amount of student and/or resident involvement, and educational benefits achieved;

 

F)         A summary statement of all changes in the plan of action;

 

G)        A description of all changes in the geographic area being served;

 

H)        A detailed statement of objective measurable deliverables for the new project year, measured with previously identified metrics;

 

I)         A detailed and comprehensive work plan and timetable to meet each of the objectives;

 

J)         An evaluation plan for the new objectives, including appropriate metrics;

 

K)        A detailed and comprehensive budget with a narrative description, including cost estimates of developing, constructing, operating or completing the project; and

 

L)        For residency program applicants, a report on the practice locations of the most recent graduates.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.135  Application Processing

 

a)         Upon receipt of a grant application, the Department will determine whether the applicant is eligible to apply under the requirements of the Act.  If the applicant is ineligible to apply, the Department will contact the applicant in writing with the determination. 

 

b)         If the applicant is eligible to apply, the Department will determine whether the application is complete.  A review will determine if all applicable criteria have been addressed and if all required materials and documentation have been submitted.  An incomplete application will be rejected.

 

c)         If the application is complete, the Department will proceed with the evaluation of the selection criteria referenced in Section 590.140.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.140  Selection Criteria

 

a)         Priority in the selection of projects for funding shall be given to those projects that demonstrate the greatest impact on availability of health care in HPSAs for the amount awarded. The impact shall be demonstrated in the following order:

 

1)         Applicants that are located in HPSAs or that can objectively demonstrate that a significant percentage of patients served at their existing medical facilities reside in HPSAs;

 

2)         Applicants that have presented a plan to significantly increase the number of individuals residing in HPSAs who will become actual patients at the proposed project;

 

3)         The business experience and track record of the applicant and its executives and managers.

 

b)         Applicants that demonstrate the greatest level of resident involvement in the proposed project shall receive priority consideration.

 

c)         Applicants that demonstrate that the proposed project meets an educational need not available or insufficient in scope at the main residency location will receive priority consideration.

 

d)         Applicants that demonstrate a commitment to training eligible health care providers to meet the health care needs in HPSAs will receive priority consideration. A commitment can be demonstrated by the following:

 

1)         Specific projects or activities targeted at populations residing in HPSAs that were supported by sources other than Underserved Physician Workforce Act grant funds;

 

2)         Evidence of residency support, either financial or peer, for its graduates who have established practices in HPSAs; and

 

3)         A higher percentage of residency graduates who have established practices in HPSAs in Illinois.

 

e)         Additional consideration shall be given for those projects meeting any of the following guidelines:

 

1)         preference for programs that are to be established at locations that exhibit potential for extending eligible health care provider availability to HPSAs (Section 4.02(a) of the Act);

 

2)         preference for programs that are located away from communities in which medical schools and satellite facilities are located (Section 4.02(b) of the Act); and

 

3)         preference for programs located in hospitals having affiliation agreements with medical schools located within the State

(Section 4.02(c) of the Act).  

 

f)         In distributing the funds, the Department may also consider as secondary criteria whether a residency program has:

 

1)         Adequate courses of instruction in the behavioral sciences (Section 4.02(c)(1) of the Act);

 

2)         Availability and systematic utilization of opportunities for residents to gain experience through local health departments or other preventive or occupational medical facilities (Section 4.02(c)(2) of the Act);

 

3)         A continuing program of community-oriented research in such areas as risk factors in community populations, immunization levels, environmental hazards, or occupational hazards (Section 4.02(c)(3) of the Act);

 

4)         Sufficient mechanisms for maintenance of quality training, such as peer review, systematic progress reviews, referral system, and maintenance of adequate records (Section 4.02(c)(4) of the Act); and

 

5)         An appropriate course of instruction in societal, institutional, and economic conditions affecting a rural health care practice (Section 4.02(c)(5) of the Act).

 

g)         Selection criteria may be applied with advice of, and in consultation with, the Advisory Committee.

 

h)         Once the Department determines that applications are complete, grant proposals will be forwarded to the Department's grant review committee for consideration.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.150  Grant Awards, Terms and Conditions

 

To issue a grant award, the Department and grantee will enter into a written grant agreement.  This agreement will describe the requirements the grantee must fulfill (based on the goals and objectives in the application) and how the grantee will ensure compliance with all applicable stipulations and conditions.

 

a)         The written grant agreement shall contain, at a minimum, the following:

 

1)         Identifying information of the grantee, including name, mailing address, phone number, fax number and e-mail address;

 

2)         A description of the grant's purpose;

 

3)         Information on how payments to the grantee will be made;

 

4)         Details on what constitutes permissible expenditure of grant funds;

 

5)         Reporting requirements applicable to the grant, including the filing of quarterly reports, at a minimum (for those grants exceeding $25,000), that describe the project's progress and a detailed report of funds expended;

 

6)         The time period of the grant;

 

7)         Certification that the grantee will comply with all applicable provisions of the Illinois Grant Funds Recovery Act;

 

b)         Grant funds that the grantee does not expend or obligate by the end of the grant agreement shall be returned to the Department within 45 calendar days (see Section 4(b)(5) of the Illinois Grant Funds Recovery Act).  The 45 calendar day time frame begins the day after the grant agreement expires.  Returned funds will be deposited into the fund from which the original grant disbursement to the grantee was made.

 

c)         Grantees are required to keep proper, complete and accurate accounting records of all grant funds received from the Department.

 

d)         If a grantee dispenses any part or all of the grant funds to another person or entity for obligation or expenditure, those dispensed funds shall be treated as grant funds.  (Section 12 of the Illinois Grant Funds Recovery Act)  As such, the person or entity that receives the grant funds from the grantee will be subject to all applicable Sections of this Part.

 

e)         Each award by grant of State funds of $250,000 or more for capital construction costs or professional services is conditioned upon the recipient's written certification that the recipient will comply with the business enterprise program practices for minority-owned businesses, female-owned businesses, and businesses owned by persons with disabilities of the Business Enterprise for Minorities, Females, and Persons with Disabilities Act and the equal employment practices of Section 2-105 of the Illinois Human Rights Act. (Section 45 of the State Finance Act)

 

(Source:  Added at 35 Ill. Reg. 14089, effective August 4, 2011)

 

Section 590.160  Grant Funds Recovery

 

a)         If a grantee fails to comply with this Subpart or any terms of the Grant Agreement, the Department, after notice and opportunity for hearing, shall suspend or revoke the grant and/or recover any grant funds previously disbursed to the grantee.

 

b)         If the Department believes that a grant should be suspended, revoked or recovered because of a grantee's failure to comply with this Subpart or the terms of the Grant Agreement, the grantee shall have the opportunity for at least one informal hearing before the Department or the Department's designee to determine the facts and issues and to resolve any conflicts as amicably as possible before any formal recovery action is taken.  (Section 7 of the Illinois Grant Funds Recovery Act)

 

c)         If, based on the outcome of the informal hearing, the Department believes that a grant should be suspended, revoked or recovered because of a grantee's failure to comply with this Subpart or the terms of the Grant Agreement, then written notice of the proposed action shall be given to the grantee identifying the action to be taken and specific facts that permit the action.  The grantee shall have 35 calendar days after the receipt of the notice to request a formal hearing (see 77 Ill. Adm. Code 100) to show why recovery is not justified or proper.

 

d)         If a grantee requests a hearing pursuant to subsection (c), the Department shall hold a hearing at which the grantee (if an individual or the grantee's attorney if the grantee is a recognized entity) is permitted to present evidence and witnesses to show why the action should not be taken.

 

e)         After the conclusion of the hearing, the Department shall issue a written final order setting forth its findings of fact and decision.  A copy of the order shall be sent to the grantee.

 

f)         In addition to the terms of the Grant Agreement regarding suspension or termination, the Department may suspend or terminate the Grant Agreement if the grantee breaches the Grant Agreement, fails to comply with the Act or this Part, makes any material misrepresentation to the Department, or creates any situation that constitutes a threat to the public's health, safety or welfare.  Notice of opportunity for hearing will be provided with the Notice of Suspension.  If a grantee requests a hearing under subsection (c), the Department will not take any action of recovery until at least 35 calendar days after the Department has issued a final recovery order pursuant to subsection (e).  If a grantee does not request a hearing, the Department will proceed with recovery of the grant funds identified in the notice at any time after the expiration of the 35 calendar day request period established in subsection (c).

 

g)         Any notice or mailing required or permitted by this Part shall be deemed received five business days after the notice or mailing is deposited in the U.S. mail, properly addressed with the grantee's current or last known business address and with sufficient U.S. postage affixed.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.170  Reporting Requirements

 

The reporting requirements of this Section apply to a grantee that has received a grant from the Department under the Act and this Subpart.  Failure of a grantee to fully comply with the requirements of this Section shall result in the Department's withholding or suspension of grant funds and the recovery of previously disbursed grant funds by the Department (see Section 4.1 of the Illinois Grant Funds Recovery Act).

 

a)         Annual Reports.  For grants that are $25,000 or less, each grantee shall submit a detailed and comprehensive annual written report to the Department.  The report is due within 10 calendar days after the reporting period, as specified in the Grant Agreement, has expired.  The report shall include the current status of the project, including the percentage of the project finished and any uncompleted and partially completed grant deliverables.

 

b)         Quarterly Progress Reports.  For grants that exceed $25,000, each grantee shall submit detailed and comprehensive progress reports to the Department every three months.  The reports are due within 10 calendar days after the quarterly reporting period has expired (see Section 4(b)(2) of the Illinois Grant Funds Recovery Act).  The report shall include the following:

 

1)         Current status of the project, including the percentage of the project finished, for each grant deliverable;

 

2)         Project components finished and project components yet to be finished;

 

3)         Costs and expenditures incurred to date, an itemized listing of the total current project costs and a comparison of those costs to the budget approved in the Grant Agreement; and

 

4)         Signature of an authorized official of the grantee, stating that this is a true and complete report of the project's status.

 

c)         Final Report.  Grantees shall submit a detailed and comprehensive final report within 60 calendar days after the Grant Agreement expires.  The degree to which each and every objective in the proposal has been met shall be fully addressed in this report.  The final report shall contain the following:

 

1)         A brief narrative summarizing project accomplishments;

 

2)         A description of any new activities or modifications made to the project as presented in the original grant application, including the causes for change.  The description shall include a narrative on the implementation timetable and expected outcomes;

 

3)         A description of problems that developed and how they were addressed; and

 

4)         A list of all project costs and sources of funds for the grant.

 

d)         The final report shall include a certification in the form of a notarized statement, signed by an authorized representative of the grantee, attesting that:

 

1)         All funds attributed to the grant have been expended or remitted to the Department as unused grant funds;

 

2)         The costs reported are the final costs required to complete the project and there are no additional or associated costs; and

 

3)         Funds used for the project were approved by the Department.

 

e)         Failure to provide all of the required reports and information in a timely fashion shall result in the withholding or suspension of grant funds and the recovery of previously disbursed grant funds (see Section 590.160 and Section 4.1 of the Illinois Grant Funds Recovery Act).

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.200  Limitations on Use of Scholarship Funds

 

a)         Scholarships shall cover the cost of tuition and matriculation fees, and shall provide a monthly living stipend for selected medical students.

 

b)         Scholarship funds shall be expended by the recipient only while enrolled and in good academic standing at an accredited school of medicine or accredited school of osteopathy in Illinois.

 

c)         Scholarship funds shall not be awarded for expenses incurred when the student must repeat more than once an academic term or terms, if the repetition is necessary because the student has an academic performance below an acceptable level as determined by the student's medical school.

 

d)         Scholarship funds shall be provided to the recipient's medical school. All funds for tuition and fees are to be expended only on the medical student's behalf, and all stipend monies are to be provided directly to the medical student.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.205  Notice

 

a)         Notice of the opportunity to apply for the scholarship is available at the Department's website:  http://dph.illinois.gov/topics-services/life-stages-populations/rural-underserved-populations/medical-student-scholarship-program.

 

b)         Full and proper notice to prospective students and the public shall be considered to have been provided by publication of this notice.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.210  Eligibility for Application

 

a)         A student is eligible to apply for a Medical Student Scholarship if all of the following requirements are met:

 

1)         He or she is an Illinois resident at the time of application;

 

2)         He or she is studying medicine, or accepted for enrollment, in an accredited medical school or accredited school of osteopathy located in Illinois;

 

3)         He or she exhibits financial need as determined by the Department, using financial information provided by the applicant and accepted by his or her medical school.  The Department shall find a financial need when the information provided reveals a deficit in available funds for tuition and fees; and

 

4)         He or she agrees to maintain continuous attendance in medical school.

 

5)         He or she agrees to practice full-time at a Department approved medical facility in an HPSA as a primary care physician, general surgeon, emergency medicine physician, or obstetrician one year for each year he or she is a scholarship recipient. (Section 3.07(d) of the Act)

 

b)         Students receiving funds from other scholarship or loan funds requiring service commitments that would prevent the applicant from meeting the requirements of the Medical Student Scholarship shall be ineligible for scholarships described in this Subpart.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.215  Application Processing

 

a)         Upon receipt of a scholarship application, the Department will determine whether the applicant is eligible to apply under the Act.  If the applicant is ineligible to apply, the Department will send the applicant a written notice of its determination via U.S. Mail to the address reflected by the application.

 

b)         If the applicant is eligible to apply, the Department will determine whether the application is complete.  A review will determine if all criteria have been addressed and if all required materials and documentation have been submitted.  An incomplete application will be rejected.

 

c)         If the application is complete, the Department will proceed with the application evaluation process (see Section 590.220).

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.220  Criteria for Selecting Scholarship Recipients

 

a)         Current recipients will receive preference over new applicants, providing that the current recipient is not repeating an academic term or terms in medical school because of poor academic performance (see Section 590.200(c)) and has not voluntarily withdrawn from medical school.

 

b)         Applicants will be selected based on the following criteria:

 

1)         An interest in pursuing one, or a combination of, the medical specialties of primary care, general surgery, emergency medicine or obstetrics;

 

2)         Level of previous experience with medically underserved populations;

 

3)         Level of previous experience in the health care delivery system, with preference given to those whose experience has involved primary care, general surgery, emergency medicine or obstetrics;

 

4)         Academic capabilities reported by the applicant's medical school;

 

5)         Financial need as reported by standard financial analysis documentation supplied by the applicant's medical school on the student's behalf; and

 

6)         A stated interest in providing health care to Illinois residents residing in HPSAs in Illinois.

 

c)         Selection criteria will be applied with advice of, and in consultation with, the Advisory Committee.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.230  Terms of Performance

 

a)         Prior to receiving scholarship funding for any academic year, the recipient shall enter into a written Grant Agreement with the State of Illinois. The Grant Agreement shall contain terms and conditions that ensure compliance with this Part and the laws of the State of Illinois, and enforcement of the Grant Agreement.

 

b)         The scholarship award will not be final until the recipient and the Department have executed a Grant Agreement setting forth the terms and conditions of the scholarship, using the form prescribed by the Department.  The Department will withdraw the scholarship award if a consensus cannot be reached on the terms of the Grant Agreement.

 

c)         A scholarship recipient will be in breach of the Grant Agreement if the recipient:

 

1)         Does not complete medical school due to academic failure (as documented by the recipient's medical school);

 

2)         Does not complete medical school due to voluntary actions (e.g., withdrawal from medical school classes);

 

3)         Does not maintain the continuous attendance requirement;

 

4)         Does not place in a residency;

 

5)         Does not become licensed as a physician in Illinois;

 

6)         Does not work at a Department-approved medical facility in an HPSA in Illinois to fulfill the service obligation; or

 

7)         Misrepresents any material facts presented in the scholarship application or subsequent information requested by the Department.  A grantee shall fully and promptly cooperate with all requests for information from the Department.

 

d)         A recipient who breaches any term of the Grant Agreement shall pay to the Department a sum equal to 3 times the amount of the annual scholarship grant for each year the recipient fails to fulfill his or her obligation. (Section 10 of the Act)  The amounts paid to the Department under this Subpart shall be used by the Department to improve access to primary health care services as authorized by Section 2310-200 of the Department of Public Health Powers and Duties Law.

 

e)         Scholarship recipients who, in their third year of medical school, seek a residency training program in an area other than a primary care specialty shall have their eligibility for scholarship funds for their final year of medical school suspended until the residency matching process is complete.

 

1)         If the recipient is notified by the National Resident Matching Program, or directly by a residency not participating in the National Resident Matching Program, of acceptance into a non-primary care residency, no funds shall be provided for the final year of medical education, and all funds previously provided by the Department to the student shall be due in full, immediately.

 

2)         If the recipient has requested a non-primary care residency but is matched to a primary care residency instead and agrees to the match, scholarship funds for the final year of medical education shall again be made available.

 

f)         Under the provisions of the State Comptroller Act, recipients may have their scholarship funds offset to fulfill a delinquent State debt.  The offset of funds shall not, in any way, serve to reduce, waive, defer, or suspend a recipient's continuous attendance requirement or service obligation under this Part.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.231  Deferment of Continuous Attendance Requirement

 

A request to defer a scholarship recipient's continuous attendance requirement shall be submitted in writing to the Department and must conform to the requirements in subsection (a) or (b).  The request shall detail the reasons for the deferment and be accompanied and supported by the documentation described in this Section.  The Department may grant one deferment per recipient.

 

a)         A deferment will be granted for up to 12 months if the recipient provides documentation of a physical or mental health disability that results in the recipient's temporary inability to fulfill the continuous attendance requirement.  Documentation shall include an explanation from a physician licensed to practice medicine in the United States attesting to the recipient's medical condition and certifying a temporary inability to fulfill the continuous attendance requirement.

 

b)         A recipient who is a military reservist and is called to active duty by any branch of the armed forces of the United States will be granted a deferment beginning on the activation date in the active duty order.  The recipient shall submit a copy of the order to active duty with the written request for deferment.  The duration of the deferment shall equal the recipient's period of active military duty on behalf of the United States.

 

c)         A recipient who receives a deferment shall have his or her continuous attendance requirement tolled.  The tolling of this requirement shall equal the recipient's period of deferment.

 

d)         A recipient who breaches the continuous attendance requirement shall pay to the Department a sum equal to three times the amount of the full scholarship award.  The amounts paid to the Department under this subsection shall be used by the Department to improve access to primary health care services as authorized by Section 2310-200 of the Department of Public Health Powers and Duties Law. 

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.232  Waiver of Continuous Attendance Requirement

 

A request to waive a recipient's continuous attendance requirement shall be submitted in writing to the Department.  The request shall detail the reasons for the waiver and be accompanied and supported by documentation described in this Section.

 

a)         Reasons for the waiver can include the recipient's:

 

1)         Total and permanent disability;

 

2)         Incompetency; or

 

3)         Death.

 

b)         If the waiver is due to total and permanent disability, documentation from a physician licensed to practice medicine in the United States is required.  Additionally, the proof of disability shall include documentation from:

 

1)         The Social Security Administration;

 

2)         The Illinois Workers' Compensation Commission;

 

3)         The U.S. Department of Defense; or

 

4)         An insurer authorized to transact business in Illinois who is providing permanent disability insurance coverage.

 

c)         If a waiver is requested because the recipient is incompetent, the request shall be supported by a certified copy of an adjudication order from a federal or State court of the United States.

 

d)         If the waiver is requested because of the recipient's death, the request shall be supported by a certified copy of the recipient's death certificate.

 

e)         The Department shall not initiate a claim for repayment against a recipient who is deemed disabled or incompetent nor against the estate of a decedent, if the request is in full compliance with this Section.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.233  Fulfillment of Service Obligation

 

a)         In exchange for scholarship assistance, recipients shall fulfill a service obligation by providing direct patient care at a medical facility in an HPSA in Illinois.

 

b)         Recipients shall provide one year of full-time service for each year of scholarship assistance.  Of the full-time work provided each week, at least 32 hours per week shall be direct patient care.  Recipients will not receive service credit for hours worked over the required 40 hours per week; excess hours cannot be applied to any other work week.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.234  Deferment of Service Obligation

 

A request to defer a scholarship recipient's service obligation shall be submitted in writing to the Department and must conform to the requirements of subsection (a) or (b).  The request shall detail the reasons for the deferment and be accompanied and supported by the documentation described in this Section.  The Department may grant one deferment per recipient.

 

a)         A deferment will be granted for up to 12 months if the recipient provides documentation of a physical or mental health disability that results in the recipient's temporary inability to fulfill the service obligation.  Documentation shall include an explanation from a physician licensed to practice medicine in the United States attesting to the recipient's temporary inability to fulfill the service obligation.

 

b)         A recipient who is a military reservist and is called to active duty by the armed forces of the United States will be granted a deferment beginning on the activation date in the active duty order.  The recipient shall submit a copy of the order to active duty with the written request for deferment.  The duration of the deferment shall equal the recipient's period of active military duty.

 

c)         A recipient who receives a deferment shall have his or her service obligation tolled.  The tolling of this requirement shall equal the recipient's period of deferment.

 

d)         A recipient who does not request a deferment and who does not fulfill the service obligation shall be required to repay to the Department all scholarship monies received.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.235  Waiver of Service Obligation

 

A waiver request of the service obligation shall be submitted in writing to the Department.  The request shall detail the reasons for the waiver and be accompanied and supported by documentation described in this Section.

 

a)         Reasons for a waiver request may include the recipient's:

 

1)         Total and permanent disability;

 

2)         Incompetency; or

 

3)         Death.

 

b)         If the waiver is due to total and permanent disability, documentation from a physician licensed to practice medicine in the United States is required.  Additionally, the proof of disability shall include documentation from:

 

1)         The Social Security Administration;

 

2)         The Illinois Workers' Compensation Commission;

 

3)         The U.S. Department of Defense; or

 

4)         An insurer authorized to transact business in Illinois who is providing disability insurance coverage.

 

c)         If a waiver is requested because the recipient is incompetent, the request shall be supported by a certified copy of the adjudication from a federal or State court of law.

 

d)         If the waiver is requested because of the recipient's death, the request shall be supported by a certified copy of the recipient's death certificate.

 

e)         The Department shall not initiate a claim for repayment against a recipient who is deemed disabled or incompetent nor against the estate of a decedent, if the request is in full compliance with this Section.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.240  Scholarship Repayment

 

a)         Upon Illinois licensure of the scholarship recipient to practice medicine, the recipient shall provide health care in a Department-approved site in a medical facility in an HPSA in Illinois. The term of this service shall be one year for each academic year he or she is a scholarship recipient. (Section 3.07(d) of the Act)

 

b)         Service as a physician shall begin no later than 30 calendar days after the licensure of the recipient to practice medicine.

 

1)         The Department will defer service until the recipient completes a residency; service shall begin no later than 30 calendar days after completion of the residency.

 

2)         If the recipient leaves the residency program prior to completion, service shall begin within 30 calendar days after leaving the program.

 

c)         Upon written pre-approval of the Department, the service obligation shall be deferred until 30 calendar days following completion of a fellowship.

 

d)         The recipient's internship, residency or other advanced clinical training does not qualify as repayment of the service obligation.

 

e)         The scholarship recipient shall submit a written request to the Department for pre-approval for a proposed practice location.  The Department will provide written pre-approval or disapproval to the scholarship recipient, based on the requirements of subsection (f).  The approval shall include a description of the terms of the service obligation.

 

1)         Without written pre-approval from the Department, time in practice at the described location shall not meet the scholarship recipient's service obligation.

 

2)         The scholarship recipient may request and receive approval for a practice location up to 18 months preceding the time that practice at the location is to begin.  Prior to commencement of the physician's work at the practice location, the Department will verify that the practice location is in an HPSA in Illinois.

 

3)         Approval for a practice location is granted for the duration of the scholarship recipient's service obligation.  Should the approved practice location close or lose its HPSA designation, the recipient shall secure a new practice location.  The Department shall pre-approve the new practice location prior to the recipient commencing work at the new practice location.

 

f)         The scholarship recipient's practice shall continuously meet all of the following requirements:

 

1)         Be located in a federally designated HPSA or HPSAs and be approved by the Department;

 

2)         Be a full-time practice providing direct patient care;

 

3)         Be in one of, or in a combination of, the eligible health care specialties; and

 

4)         Provide continuous service at the rate of 12 months for each academic year of medical school supported by the scholarship.

 

g)         Scholarship recipients may relocate to another qualified practice location, or practice in more than one location, if prior written approval is granted by the Department.

 

h)         Scholarship recipients shall enter into a written contract with the Department that describes terms of the service obligation and contains provisions for enforcement of the contract.

 

i)          Scholarship recipients who fail to provide service as required shall pay to the Department a sum of money equal to 3 times the amount of the recipient's annual scholarship award for each year, or portion thereof, that the recipient fails to fulfill the service obligation. (Section 10 of the Act)

 

1)         To fulfill the repayment requirements of this Section, the scholarship recipient shall have 30 days from the date the failure begins in which to enter into a contract with the Department that sets forth the manner in which that sum is required to be paid on a form provided by the Department. (Section 10 of the Act)

 

2)         If the contract is not entered into within that 30 day period or if the contract is entered into but the required payments are not made in the amounts and at the times provided in the contract, the scholarship recipient also shall be required to pay to the Department interest at the rate of 9% per annum on the amount of that sum remaining due and unpaid. (Section 10 of the Act)

 

3)         Payment shall be made in equal consecutive monthly installments in amounts so that all sums due shall be paid within a period of time equal to the recipient's service obligation, or remaining portion thereof.

 

4)         The contract will contain terms for repayment and provisions for enforcement of the contract.

 

5)         The amounts paid to the Department under this Section shall be deposited into the Community Health Center Care Fund and shall be used by the Department to improve access to primary health care services as authorized under Section 2310-200(a) of the Department of Public Health Powers and Duties Law. (Section 10 of the Act)

 

j)          If a scholarship recipient fails to pay all monies owed to the Department, the Department shall refer the matter to the Illinois Attorney General, a collection agency, or a licensed attorney.

 

(Source:  Amended at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.300  Limitations on Use of Loan Repayment Funds

 

a)         Funds shall be used for the initial grant term for the repayment of the educational loans of eligible health care providers who agree to serve in designated shortage areas for a specified period of time, no less than 2 years. (Section 4.10 of the Act)

 

b)         Payments under this program may be made for the principal, interest, and related expenses of government and commercial loans received by the individual for tuition expenses, and all other reasonable educational expenses incurred by the individual. (Section 4.10 of the Act)

 

c)         Payments made under this Section shall be exempt from Illinois State income tax. (Section 4.10 of the Act)

 

d)         Loan repayment funds shall be used:

 

1)         To repay qualifying educational loans of eligible health care providers who agree to serve in a medical facility in a designated shortage area in Illinois for a specified period of time;

 

2)         For educational loans that were obtained prior to the date the recipient applies for loan repayment assistance;

 

3)         To retire qualifying educational loans if the loans are the result of consolidated or refinanced debt.  To qualify, the consolidated or refinanced loans shall:

 

A)        Originate from a government (federal, State or local) or commercial lender; and

 

B)        Include only the qualifying educational loans of the eligible health care provider.

 

e)         Loan repayment funds shall not be used:

 

1)         To repay a practice obligation resulting from educational loans or scholarships, whether from Illinois-based institutions or governments or those in other states;

 

2)         To fulfill practice obligations to the federal government, the State or other entity (such as a local government or the U.S. military), under an agreement with the federal government, State or other entity; or

 

3)         To retire qualifying educational loans if the consolidated or refinanced debt is:

 

A)        Commingled with non-qualifying debt; or

 

B)        Consolidated with loans owed by another person, such as a spouse or child.

 

f)         The following types of debt are ineligible for loan repayment assistance through this Part:

 

1)         Loans for which the associated documentation does not identify the loan as applicable to undergraduate or graduate education;

 

2)         Loans not obtained from a government entity or licensed commercial lending institution in the United States;

 

3)         Parent PLUS loans;

 

4)         Co-signed loans;

 

5)         Loans currently in default;

 

6)         Loans currently in forbearance;

 

7)         Personal lines of credit or personal loans;

 

8)         Residency relocation loans; and

 

9)         Credit card debt.

 

g)         Loan repayment funds cannot be used by recipients to reimburse themselves for loans that have been repaid.

 

h)         Under the provisions of the federal Treasury Offset Program (https://fiscal.treasury.gov/top) and the State Comptroller Act, recipients will have their loan repayment funds offset to fulfill a delinquent federal or State debt.  The offset of loan repayment assistance funds shall not in any way reduce, waive, defer or suspend a recipient's service obligation under this Part.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.310  Eligibility for Application

 

a)         To apply for educational loan repayment assistance, the applicant must be an eligible health care provider who:

 

1)         Is licensed to practice medicine in Illinois under the Medical Practice Act of 1987; or is licensed as an Advanced Practice Registered Nurse under the Nurse Practice Act; or is licensed as a Physician Assistant under the Physician Assistant Practice Act of 1987;

 

2)         Practices at a medical facility that is located in a designated shortage area in Illinois;

 

3)         Participates as a provider in the Medicare, Medicaid and Children's Health Insurance Program, as appropriate;

 

4)         Does not have any judgment liens arising from federal debt;

 

5)         Is not excluded, suspended or disqualified by a federal agency;

 

6)         Signs a written agreement attesting to accepting repayment of health professional educational loans and to serve for the applicable period of obligated service in a medical facility in a designated shortage area in Illinois; and

 

7)         Is a U.S. citizen or U.S. national (see 8 U.S.C. 1401, et seq.).

 

b)         Applicants are ineligible for educational loan repayment assistance if one or more of the following exist:

 

1)         Breach on a prior service obligation to the federal, State or local government, or other entity (such as the U.S. military), even if the eligible health care provider has satisfied the obligation through service, monetary payment or other means;

 

2)         Failure to apply previously awarded loan repayment funds to the health care professional's qualifying educational loans; or

 

3)         Default on any State payment obligation or State income tax liability.

 

c)         Applicants shall document currently existing educational loan indebtedness to all governmental or commercial lending institutions incurred for educational expenses in pursuit of the applicant's medical degree. Documentation of indebtedness shall include a photocopy or original copy of promissory notes or other evidence of indebtedness, with disclosure of the lending institution or agency, loan amount, loan period, interest rate, and any amounts repaid prior to the date of application.

 

d)         Applicants shall practice full-time or part-time in a medical facility in a designated shortage area in Illinois.

 

e)         Eligible health care providers having practice obligations to the National Health Service Corps, the Illinois State Loan Repayment Program, or the Illinois Medical Student Scholarship Program may apply for educational loan repayment after completion of the practice obligation.

 

(Source:  Amended at 48 Ill. Reg. 2653, effective January 30, 2024)

 

Section 590.315  Application Processing

 

a)         Applications shall be submitted on forms designed by the Department.

 

b)         Upon receipt of an educational loan repayment application, the Department will determine whether the applicant is eligible to apply under the Act.  If the applicant is ineligible to apply, the Department will contact the applicant in writing with the determination.

 

c)         If the applicant is eligible to apply, the Department will determine whether the application is complete.  A review will determine if all applicable criteria have been addressed and if all required materials and documentation have been submitted.

 

1)         If the application is complete, the Department will proceed with the selection process (see Section 590.320).

 

2)         If the application is incomplete, the Department will notify the applicant in writing and specify the items needed to deem the application complete.

 

d)         An applicant shall document current educational loan debt owed to governmental or commercial lending institutions incurred for expenses in pursuit of the applicant's medical, nursing, or physician assistant degree.  For each loan that is being submitted for consideration, the applicant shall provide:  an account statement, which provides current information on a qualifying educational loan.  The account statement must:

 

1)         Be on official letterhead or other clear verification that it came from the lender;

 

2)         Include the name and address of the borrower;

 

3)         Include the date of the statement (date cannot be more than 30 calendar days prior to the date of application submission); and

 

4)         Include the current outstanding balance (principal and interest) or the current payoff balance.

 

e)         If an applicant intends to work at more than one medical facility (e.g., several satellite clinics), each location shall be in a designated shortage area in Illinois.

 

f)         The medical facility shall agree to employ the eligible health care provider for a minimum of two years or the duration of the agreement.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.320  Selection Criteria for Distribution of Loan Repayment Funds

 

a)         In determining which applications will be accepted, the Department will apply the following criteria:

 

1)         The individual's commitment to serve in a medical facility in a designated shortage area in Illinois;

 

2)         The availability of the individual for service, with highest consideration given to individuals who will be available for service at the earliest date; and

 

3)         Greatest documented eligible educational indebtedness of an applicant.

 

b)         Applicants will be notified as to whether the application is approved or denied.  The notice will be made by regular U.S. Mail or other written communication.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.325  Educational Loan Repayment Agreement

 

a)         The award to a recipient will not be final until the recipient and the Department have executed an agreement setting forth the terms and conditions of the agreement on a form provided by the Department. 

 

b)         Pursuant to the Illinois Grant Funds Recovery Act, the agreement shall, at a minimum:

 

1)         Describe the purpose of the award and be signed by the Department and the recipient;

 

2)         Specify how payments shall be made, what constitutes permissible expenditure of award funds, and the financial controls applicable to the award, including, for those awards in excess of $25,000, the filing of quarterly reports describing the recipient's progress in the program and the expenditure of the award funds related to the program;

 

3)         Specify the period of time for which the award is valid and the period of time during which award funds may be expended by the recipient;

 

4)         Contain a provision that any recipients receiving award funds are required to permit the Department, the Auditor General or the Attorney General to inspect and audit any books, records or papers related to the program for which award funds are provided;

 

5)         Contain a provision in which the recipient certifies under oath that all information in the agreement is true and correct to the best of the recipient's knowledge, information and belief; that all funds shall be used only for the purposes described in the agreement; and that the award of loan repayment funds is conditioned upon the certification. (Section 4(b) of the Illinois Grant Funds Recovery Act)

 

c)         The amount of an award shall be based on the following:

 

1)         If the recipient works full-time at a medical facility in a designated shortage area in Illinois for two years, the recipient can receive a maximum of $50,000 if the recipient has that amount in educational debt.

 

2)         If the recipient works part-time at a medical facility in a designated shortage area in Illinois for four years, the recipient can receive a maximum $50,000 if the recipient has that amount in educational debt.

 

(Source:  Amended at 48 Ill. Reg. 2653, effective January 30, 2024)

 

Section 590.326  Fulfillment of Service Obligation

 

a)         Full-time Service Obligation Option

 

1)         In exchange for educational loan repayment assistance, a recipient shall work full-time to fulfill a service obligation at a medical facility in a designated shortage area in Illinois.

 

2)         Recipients shall provide two years of full-time service for each year of educational loan repayment assistance.  The 40 hours per week requirement can be compressed into no fewer than four days per week, and excess hours cannot be applied to any other work week.

 

b)         Part-time Service Obligation Option

 

1)         In exchange for educational loan repayment assistance, a recipient shall work part-time to fulfill a service obligation at a medical facility in a designated shortage area in Illinois.

 

2)         Recipients shall provide two years of part-time service for each year of educational loan repayment assistance.  Recipients who are part-time shall not receive service credit for hours worked over their part-time status and excess hours shall not be applied to any other week.

 

(Source:  Amended at 48 Ill. Reg. 2653, effective January 30, 2024)

 

Section 590.327  Deferment of Service Obligation

 

A request to defer the recipient's service obligation shall be submitted in writing to the Department.  The request shall detail the reasons for the deferment and shall be accompanied and supported by documentation described in this Section.

 

a)         Deferment of the service obligation shall include:

 

1)         Providing documentation of a physical or mental health disability that results in the recipient's temporary inability to fulfill the service obligation.  Documentation shall include an explanation from a physician, advanced practice registered nurse, or physician assistant licensed to practice in Illinois attesting to the recipient's temporary inability to fulfill the obligation.  This deferment may be granted for up to 12 months.

 

2)         Requesting up to 12 weeks leave for maternity, paternity or adoption leave.  If the recipient's leave will exceed 12 weeks, a deferment may be granted based on documented medical need.

 

b)         A recipient who is a military reservist and is called to active duty by the armed forces of the United States will be granted a deferment beginning on the activation date in the active duty order.  The recipient shall submit a copy of the order to active duty with the written request for deferment.  The duration of the deferment shall equal the recipient's period of active military duty.

 

c)         Recipients who receive a deferment shall have their service obligation tolled.  The tolling of this requirement shall equal the recipient's period of deferment.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.328  Waiver of Service Obligation

 

A waiver request of the service obligation shall be submitted in writing to the Department.  The request shall detail the reasons for the waiver and be accompanied and supported by documentation described in this Section.

 

a)         Reasons for a waiver request must be based upon the recipient's:

 

1)         Total and permanent disability;

 

2)         Incompetency; or

 

3)         Death.

 

b)         If the waiver is due to total and permanent disability, documentation from a physician licensed to practice medicine in the United States is required.  Additionally, the proof of disability shall include documentation from:

 

1)         The Social Security Administration;

 

2)         The Illinois Workers' Compensation Commission;

 

3)         The U.S. Department of Defense; or

 

4)         An insurer authorized to transact business in Illinois who is providing disability insurance coverage.

 

c)         If a waiver is requested because the recipient is incompetent, the request shall be supported by a certified copy of the adjudication from a State or federal court of law.

 

d)         If the waiver is requested because of the recipient's death, the request shall be supported by a certified copy of the recipient's death certificate.

 

e)         The Department shall not initiate a claim for repayment against a recipient who is deemed disabled or incompetent nor against the estate of a decedent, if the request is in full compliance with this Section.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.330  Terms of Performance

 

a)         Each recipient selected for educational loan repayment assistance shall sign a written agreement with the Department. The agreement shall contain terms and conditions that ensure compliance with the laws of the State of Illinois and this Part, and enforcement of the agreement.

 

b)         Each recipient selected for loan repayment assistance shall practice as a primary care physician, a general surgeon, emergency medicine physician, obstetrician, anesthesiologist, chiropractic physician, advanced practice registered nurse, or physician assistant in a medical facility in a designated shortage area in Illinois on a full-time or part-time basis.

 

c)         Recipients who move their practice from the location described in the agreement shall relocate to a medical facility in a designated shortage area in Illinois.

 

d)         Misrepresentation of any material facts presented in the application or in response to any Department inquiry will be considered a breach of the agreement.  If the Department determines that a breach of the agreement has occurred, any funds provided by the Department for the repayment of educational loans shall be due in full immediately.  The Department will void the agreement and the recipient will be disallowed from participating in the program.

 

e)         If the recipient does not repay any funds owed to the Department, the Department shall refer the matter to the Illinois Attorney General, a collection agency, or a licensed attorney.

 

(Source:  Amended at 48 Ill. Reg. 2653, effective January 30, 2024)

 

Section 590.335  Medical Facility Transfer

 

A recipient may transfer from the medical facility stipulated in the agreement to a new medical facility, provided that all of the requirements in this Section are met.

 

a)         The recipient shall request from the Department, in writing, a transfer.  The request shall be submitted to the Department at least 30 calendar days prior to the anticipated transfer. The request must be approved before the recipient transfers to the new medical facility.

 

b)         If the recipient transfers from the medical facility stipulated in the agreement to a new medical facility prior to Department approval, the recipient will not receive credit toward their service obligation for the time period between the transfer and the subsequent approval.  The recipient’s service obligation will be tolled to accommodate this time period.

 

c)         The new medical facility shall be in a designated shortage area in Illinois.

 

d)         If the transfer request is denied, the recipient shall continue to work at the original medical facility.

 

e)         If the transfer request is denied and the recipient refuses assignment to the current medical facility or to another approved medical facility, the recipient shall be in breach.

 

f)         A recipient who resigns from the recipient's current medical facility without prior written approval from the Department, or is terminated by the medical facility for cause, and who does not receive a Department pre-approved transfer to another medical facility shall be in breach.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.340  Reporting Requirements

 

Failure of the recipient to comply with any of the requirements of this Section shall result in the Department's withholding or suspending of educational loan repayment funds and recovery of previously disbursed educational loan repayment funds (see Section 4.1 of the Illinois Grant Funds Recovery Act).

 

a)         The recipient shall submit a detailed written progress report to the Department every three months for the duration of the agreement.

 

b)         Within the progress report, the recipient shall document that:

 

1)         Funds were used to pay off educational debt (documentation shall consist of copies of payments made to the lending institution where the qualifying educational loans were obtained or copies of account statements that document payments made during the reporting period); and

 

2)         The eligible health care provider is still working (full-time or part-time, as agreed) at the medical facility by reporting the hours worked at the medical facility.

 

c)         The payment history shall document that all loan repayment funds received were paid toward the qualifying educational loan.

 

d)         If the Department determines that all educational loan repayment funds were not paid toward the qualifying educational loan, the Department shall terminate the agreement and take any appropriate or necessary action to recover loan repayment funds.

 

(Source:  Amended at 48 Ill. Reg. 2653, effective January 30, 2024)

 

Section 590.345  Educational Loan Repayment Award Monitoring

 

a)         The agreement will be monitored throughout the agreement period.  Components in the monitoring process include, but are not limited to, the agreement, the recipient's progress reports, and correspondence, e-mails and telephone calls concerning the agreement.

 

b)         The recipient shall fully and promptly cooperate with the Department's efforts to monitor and verify compliance with the agreement, including providing supporting documentation.  The recipient shall retain all records relating to the agreement until after all final reports have been submitted to, and reviewed by, the Department.

 

c)         The recipient shall maintain records necessary to document compliance, take appropriate action to meet the stated objectives, and immediately notify the Department of any breaches of the agreement or of problems or concerns.

 

d)         The recipient shall be subject to unannounced on-site visits by the Department during normal business hours. 

 

e)         The recipient shall provide, upon request, copies of all documents concerning the expenditure of educational loan repayment funds.

 

f)         The Department will relay any questions and concerns regarding management of educational loan repayment funds to the recipient in writing.  The recipient will be requested to respond in writing addressing the concerns.

 

g)         If the Department finds evidence of financial mismanagement, the Department may terminate the agreement and take any appropriate or necessary action to recover educational loan repayment funds.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.350  Cooperation with Investigations and Audits

 

Recipients shall fully and promptly cooperate with all investigations and audits of the use of educational loan repayment funds.  Recipients shall provide the Department with unrestricted access to the recipient's records and files during normal business hours.  A failure to cooperate shall create a presumption that educational loan repayment funds have not been spent in accordance with the agreement and that grounds exist for immediate suspension or termination of any agreement.

 

(Source:  Added at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section  590.355  Penalty for Failure to Fulfill Service Obligation

 

a)         If the recipient fails to fulfill the service obligation to provide service at the medical facility in a designated shortage area in Illinois for the duration and hours specified in the agreement, the recipient shall be in breach of the agreement.

 

b)         Breach shall include, but not be limited to, the following:

 

1)         Failure to practice at the location specified in the agreement;

 

2)         Resignation from the recipient's current medical facility without prior written approval from the Department or termination by the medical facility for cause;

 

3)         Material misstatement in furnishing any information to the Department;

 

4)         Any misrepresentation for the purpose of obtaining or keeping educational loan repayment assistance; or

 

5)         Failure to promptly retire educational loan balances by the amount of educational loan repayment assistance received during the agreement term.

 

c)         If the Department believes that any breach has occurred, the Department shall commence administrative recovery pursuant to the Illinois Grant Funds Recovery Act.

 

d)         Agreements made under this Part are subject to the Illinois Grant Funds Recovery Act.  If a provision of this Part conflicts with a provision of the Illinois Grant Funds Recovery Act, the provision of the Illinois Grant Funds Recovery Act will control. 

 

e)         The Department may request and the recipient shall provide access to documents as part of the Department's investigation, audit, inquiry or review into the use of educational loan repayment funds.

 

f)         Every recipient shall keep complete and accurate records of all educational loan repayment funds received and utilized.  A recipient's failure to maintain accurate records shall create a presumption in favor of recovery by the Department.

 

g)         Whenever the Department believes that educational loan repayment funds are subject to recovery, the Department shall provide the recipient the opportunity for at least one informal hearing to determine the facts and issues and to resolve any conflicts as amicably as possible before taking any formal recovery actions. (Section 7 of the Illinois Grant Funds Recovery Act)

 

h)         The offer of an informal hearing will be in writing and will provide the recipient with no fewer than 10 calendar days in which to request an informal hearing.  A recipient’s failure to deliver a timely request for an informal hearing shall constitute the recipient’s waiver of the informal hearing.  During any informal hearing, the recipient may be represented by a licensed attorney.

 

i)          If, after an informal hearing or, if no timely request for an informal hearing is received, the Department determines that any educational loan repayment funds are to be recovered, the Department will provide the recipient with formal written notice of its intent to recover educational loan repayment funds.  The notice will identify the funds, the amount to be recovered, and the specific facts that permit recovery, and include instructions for requesting a formal hearing.

 

j)          A recipient shall have 35 days from the receipt of the notice required in subsection (i) to request a hearing to show why recovery is not proper.

 

k)         Once a formal hearing is requested, the Department's Administrative Hearings administrative law judge (ALJ) will schedule an initial prehearing conference within 30 days of the request for hearing.  During the prehearing conference, the ALJ and parties will discuss and determine a hearing date and any other prehearing matters (see 77 Ill. Adm. Code 100.11).  At the hearing, the recipient may present evidence and witnesses to show why recovery should not occur.  After the conclusion of the hearing, if recovery is warranted, the Department will issue a written final recovery order and send a copy of the final recovery order to the recipient by Certified U.S. Mail.

 

l)          A recipient may seek judicial review in the circuit court of any Department final recovery order, pursuant to the Administrative Review Law.

 

m)        The Department will not take any action of recovery until at least 35 days after a final recovery order has been issued.

 

n)         If a recipient does not timely request a hearing, the Department may proceed with recovery of the educational loan repayment funds identified in the notice issued pursuant to this Section, at any time after the expiration of the 35-day request period.

 

o)         Any notice or mailing required or permitted by this Section shall be deemed received five days after the notice or mailing is deposited in the U.S. mail, with the recipient’s current address and with sufficient U.S. postage affixed, or the date of actual delivery, whichever is sooner.

 

p)         During any formal hearing, the recipient may be represented by a licensed attorney.

 

q)         The amounts paid to the Department shall be deposited into the Community Health Center Care Fund.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.360  Suspension or Termination of Educational Loan Repayment Funding

 

a)         Availability of Appropriation or Sufficiency of Funds

 

1)         All awards are contingent upon and subject to the availability of funds.  The Department may deny an application or may terminate or suspend any agreement, in whole or in part, without penalty or further payment being required, if:

 

A)        The Illinois General Assembly fails to make an appropriation sufficient to pay the obligation or if funds needed are insufficient for any reason;

 

B)        The Governor decreases the Department's funding by reserving some or all of the Department's appropriation or appropriations pursuant to power delegated to the Governor by the Illinois General Assembly; or

 

C)        In accordance with the GATA Uniform Grant Agreement, the Department or the Governor determines that a reduction is necessary or advisable based upon actual or projected budgetary considerations.

 

2)         The recipient will be notified in writing of the lack of appropriation or a reduction or decrease.

 

b)         Termination for Cause

 

1)         The Department may immediately terminate the agreement, in whole or in part, upon notice to the recipient, if: 

 

A)        The recipient is convicted of committing any illegal act other than a minor traffic violation;

 

B)        The Department determines that the actions or inactions of the recipient have caused, or reasonably could cause, jeopardy to health, safety or property of any person or the Department itself;

 

C)        The Department has notified the recipient that the Department is unable to perform the agreement; or

 

D)        The Department has reasonable cause to believe that the recipient cannot lawfully perform the agreement.

 

2)         If the Department believes that any breach has occurred, then the Department shall either refer the matter to the Illinois Attorney General for commencement of collection litigation or commence administrative recovery pursuant to the requirements of the Illinois Grant Funds Recovery Act.  In either case, actions shall include all of the remedies referenced in Section 590.355.  Any final order entered by the Director following the administrative recovery process shall be reviewable in the Circuit Court pursuant to the Administrative Review Law.

 

(Source:  Amended at 47 Ill. Reg. 6528, effective April 27, 2023)

 

Section 590.400  Data Elements Used in Designation Process (Repealed)

 

(Source:  Repealed at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.410  Criteria for Designating Shortage Areas (Repealed)

 

(Source:  Repealed at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.420  Distribution of Lists of Designated Shortage Areas (Repealed)

 

(Source:  Repealed at 44 Ill. Reg. 20074, effective December 9, 2020)

 

Section 590.APPENDIX A  Sample Contract for Medical Student Scholarship (Student Contract) (Repealed)

 

(Source:  Repealed at 35 Ill. Reg. 14089, effective August 4, 2011)

 

Section 590.APPENDIX B   Sample Contract for Scholarship Service Obligation (Repealed)

 

(Source:  Repealed at 35 Ill. Reg. 14089, effective August 4, 2011)

 

Section 590.APPENDIX C   Sample Contract for Monetary Repayment of Scholarship Obligation (Repealed)

 

(Source:  Repealed at 35 Ill. Reg. 14089, effective August 4, 2011)

Section 590.APPENDIX D   Sample Contract for Education Loan Repayment (Repealed)

 

(Source:  Repealed at 35 Ill. Reg. 14089, effective August 4, 2011)