Rep. Cook Introduces Bipartisan Legislation to Address Physician Shortages

Press Release

Today, Rep. Paul Cook (R-Apple Valley) introduced the Stopping Doctor Shortages Act, along with fellow representatives Josh Harder (CA-10), Joaquin Castro (TX-20), and Dan Crenshaw (TX-02). This legislation will close a loophole in federal regulations that prevents some doctors in California and Texas from qualifying for the federal student loan repayment program. The California Medical Association (CMA) estimates the bill could bring 10,000 physicians to California over the next decade.

In 2007, Congress enacted the Public Student Loan Forgiveness (PSLF) Program, which was designed to encourage doctors to pursue careers at nonprofit facilities, especially in rural areas dealing with overwhelming physician shortages. Under this program, these doctors could have the remainder of their federal student loans forgiven after working at a nonprofit hospital and making on-time payments for ten years.

Unfortunately, a 2008 Department of Education regulation unintentionally excluded some California and Texas physicians from receiving the repayment benefit by requiring "direct employment" by a medical facility. California law prevents doctors from being directly employed by corporations, including nonprofit organizations. As a result, these physicians in California don't qualify for the PSLF program, disincentivizing them from working at nonprofits.

The Stopping Doctor Shortages Act will fix the law by requiring the Department of Education to allow doctors who conduct full time work for nonprofits to qualify for the PSLF program regardless of whether the state allows direct employment.

Rep. Cook said, "This commonsense legislative fix will help attract more physicians to California. This is especially important for rural areas like my district, where we have a shortage of medical resources and doctors. I thank my colleagues for joining me in introducing this bipartisan bill."

Rep. Harder said, "Just about everyone I talk to about health care in the Central Valley tells me the same thing -- we just need more doctors -- and that's exactly what my bill would bring to our area. This weird quirk in federal regulation puts us at a disadvantage and means new doctors are more likely to leave the state to get tens of thousands of dollars of their loans repaid. If we get this fixed, we're talking about as many as ten thousand new physicians in California in the next decade alone."

Rep. Castro said, "Our hospitals and healthcare clinics are understaffed and undervalued. The doctors who take care of our fellow Americans are not receiving the benefits that were duly promised to them by our government. The Public Service Loan Forgiveness program is a valuable one and directly impacts those who give their lives in the service of others, particularly in my home state of Texas. This bill would ensure that all of America's caretakers are not burdened by medical school loans and can focus their energy, efforts, and expertise on healing our country's sick."

Rep. Crenshaw said, "It's great to work across the aisle to get this done. Current law discourages doctors in Texas and California from serving their communities through working at a non-profit. This is unacceptable, especially when Texas already suffers from a physician shortage. This simple fix is a step towards ensuring all physicians get the student loan help they've worked for and deserve."

CMA President David H. Aizuss, M.D. said, "The federal Loan Forgiveness Program has been an important and effective way to address physician shortages across the country. An error in the current law excludes many physicians in California and Texas from the program. This bipartisan, technical fix will allow the program to be utilized by physicians in California and Texas who were inadvertently excluded from the original program, including those who practice in children's hospitals and rural hospitals, and could help California retain or attract as many as 10,000 physicians over the next decade to address critical physician shortages in our state."

A member of the House Natural Resources and Armed Services Committees, Cook is the Republican Leader on the House Natural Resources Indigenous Peoples of America Subcommittee. He served as an infantry officer and retired after 26 years as a Colonel in the U.S. Marine Corps. During his time in combat, he was awarded the Bronze Star and two Purple Hearts.