38 U.S.C. § 7696: Term of obligated service

Summary

Before you get any loan-repayment money, you must sign a written agreement and meet other related rules. You must have a State medical license, finish post-graduate training that makes you eligible for board certification, and work full time as a clinical practice employee for the Veterans Health Administration. You must serve 12 months for every $40,000 you receive, and at least 24 months total. You must begin full-time service within 60 days after finishing residency. If you get an accredited fellowship in a different specialty, you can ask in writing to delay starting service until after the fellowship, but no later than 60 days after it ends. If you don’t finish the required service, you must pay back part of the payments. The amount owed is A = B × ((T − S) ÷ T). A is the amount you owe. B is the total payments you received under the program. T is the total months you agreed to serve. S is the whole months you actually served.

Title 38, §7696

Veterans' Benefits, Source: USLM XML via OLRC

(a)In General.—

In addition to any requirements under section 5379(c) of title 5, a participant in the Specialty Education Loan Repayment Program must agree, in writing and before the Secretary may make any payment to or for the participant, to—

(1)obtain a license to practice medicine in a State;

(2)successfully complete post-graduate training leading to eligibility for board certification in a specialty;

(3)serve as a full-time clinical practice employee of the Veterans Health Administration for 12 months for every $40,000 in such benefits that the employee receives, but in no case for fewer than 24 months; and

(4)except as provided in subsection (b), to begin such service as a full-time practice employee by not later than 60 days after completing a residency.

(b)Fellowship.—

In the case of a participant who receives an accredited fellowship in a medical specialty other than a medical specialty described in section 7692 of this title, the Secretary, on written request of the participant, may delay the term of obligated service under subsection (a) for the participant until after the participant completes the fellowship, but in no case later than 60 days after completion of such fellowship.

(c)Penalty.—

(1)An employee who does not complete a period of obligated service under this section shall owe the Federal Government an amount determined in accordance with the following formula: A = B × ((T − S) ÷ T).

(2)In the formula in paragraph (1):

(A)“A” is the amount the employee owes the Federal Government.

(B)“B” is the sum of all payments to or for the participant under the Specialty Education Loan Repayment Program.

(C)“T” is the number of months in the period of obligated service of the employee.

(D)“S” is the number of whole months of such period of obligated service served by the employee.

Editorial Notes

Amendments

2019—Subsec. (c)(1). Pub. L. 116–61 struck out second closing parenthesis before period at end.

§7696 Term of Obligated Service

Summary

Title 38, §7696

Notes & Related Subsidiaries

Editorial Notes

Amendments

Citations & Metadata