(a) (1) (A) The Arkansas Rural Medical Practice Student Loan and Scholarship Board and the qualified rural community shall enter a joint community match contract with the applicant.
(B) Any agreements made between the qualified rural community and a recipient regarding the community match contract, including establishing a medical practice in the community, shall be in writing and included as an addendum to the contract.
(2) The form of the community match contract shall be approved by the Attorney General and shall be signed by the Chair of the Arkansas Rural Medical Practice Student Loan and Scholarship Board, the Secretary of the Arkansas Rural Medical Practice Student Loan and Scholarship Board, the designated representative or representatives of the qualified rural community, and the applicant.
(b) Each applicant to whom a community match income incentive is granted by the board shall execute a written contract that shall incorporate the following obligations and conditions:
(1) (A) The recipient of a community match income incentive shall bindingly contract that he or she shall practice primary care medicine full time in the contracting qualified rural community for a period of four (4) years or, if approved by the board, he or she shall practice a designated specialty full time in the contracting qualified rural community for a period of four (4) years.
(B) (i) The recipient shall receive the income incentive funds according to a disbursement schedule acceptable to the board, the qualified rural community, and the recipient as set forth in writing in the community match contract.
(ii) For each three-month period of full-time medical practice by the recipient, according to the terms of the community match contract, the board and the qualified rural community shall award one-quarter (1/4) of the income incentive for the year of service;
(2) (A) If any recipient does not begin or ceases the full-time practice of medicine in breach of the contract or otherwise breaches the loan contract, the recipient shall repay all unearned income paid under the terms of the contract, any actual costs paid by the community in reliance for the income-incentive-recipient's agreement to practice full time in that community, and any civil money penalties that apply.
(B) The board may impose civil money penalties of up to fifty percent (50%) of the principal amount of the income incentive paid under the terms of the community match contract as a consequence of breach;
(3) No interest shall accrue, nor obligation to repay the principal sums accrued, during any one (1) period of time that the recipient involuntarily serves on active duty in the United States Armed Forces; and
(4) In the event of the death of the recipient, any unearned income paid under the terms of the community match contract is due and payable.
(c) Subsection (b) of this section does not prohibit the board from considering and entering into a negotiated settlement with the income incentive recipient involving the terms of repayment of amounts paid under the terms of the community match contract.
(d) Community match loan contracts may be amended at any time before the income incentive has been paid in full or terms and conditions of the contract are satisfied.
(e) The board shall promulgate rules setting forth additional terms and conditions of community match contracts.
Section: Previous 6-81-705 6-81-706 6-81-707 6-81-708 6-81-710 6-81-711 6-81-714 6-81-715 6-81-716 6-81-718 6-81-719 6-81-720 6-81-721 6-81-722 NextLast modified: November 15, 2016