Senate Bill 554 Would Create Loan-Forgiveness Structure to Recruit Behavioral Health Providers; Committee Passes Bill

Senate Bill 554 would create the regulatory structure to allow loan forgiveness for mental-health, substance-abuse and alcohol counselors who commit to working in designated behaviorally underserved communities. The committee passed the bill by voice vote; the bill as presented contains no initial state appropriation.

Senator Clark Tucker (District 14) told the committee the bill creates the infrastructure but does not include funding. Under the bill as explained by Tucker, the Department of Human Services secretary would identify "behaviorally underserved communities"—areas lacking an adequate number of mental-health and substance-abuse counselors. A provider who signs a contract to work in such a community would receive 15% of the average student loan amount for that profession each year, for up to three years (totaling 45% of the average amount), rather than reimbursement of the individual's actual loan balance.

Tucker said any monies placed in the created fund could be federal grants, private contributions or state money, but the bill itself does not allocate state dollars. The sponsor told members he had discussed the concept with Secretary Pinto at the Department of Human Services and described the bill as a first step; funding and program structure would be worked out later. The committee moved to a motion to pass; the chair announced a voice vote result of "Ayes have it."