Read the full stored bill text
Senate
File
2491
-
Introduced
SENATE
FILE
2491
BY
COMMITTEE
ON
WAYS
AND
MEANS
(SUCCESSOR
TO
SF
2460)
A
BILL
FOR
An
Act
providing
for
the
rural
veterinarian
loan
repayment
1
program,
including
by
allowing
a
loan
repayment
recipient
to
2
exclude
net
income
attributable
to
loan
payments
received
3
under
the
program.
4
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
5
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Section
1.
Section
256.226,
subsection
4,
paragraph
c,
Code
1
2026,
is
amended
to
read
as
follows:
2
c.
(1)
Secure
Subject
to
subparagraph
(2),
secure
an
3
offer
of
employment
or
establish
and
maintain
a
practice
in
a
4
veterinary
shortage
situation
or
rural
service
commitment
area
5
and
engage
in
the
full-time
practice
of
veterinary
medicine
6
for
a
period
of
four
consecutive
years
after
entering
into
the
7
agreement
in
the
veterinary
shortage
area
or
rural
service
8
commitment
area
,
unless
the
loan
repayment
recipient
receives
.
9
(2)
(a)
The
loan
repayment
recipient
may
notify
the
10
commission
that
the
loan
repayment
recipient
will
complete
the
11
years
of
full-time
practice
required
under
the
agreement
by
12
securing
new
employment,
or
establishing
and
maintaining
a
new
13
practice,
in
the
same
veterinary
shortage
area
or
rural
service
14
commitment
area,
according
to
rules
adopted
by
the
commission.
15
(b)
The
commission
may
grant
the
loan
repayment
recipient
a
16
waiver
from
the
commission
to
complete
the
years
of
full-time
17
practice
required
under
the
agreement
in
another
veterinary
18
shortage
area
or
rural
service
commitment
area
pursuant
to
19
subsection
7
.
20
Sec.
2.
Section
422.7,
Code
2026,
is
amended
by
adding
the
21
following
new
subsection:
22
NEW
SUBSECTION
.
46.
a.
Subtract,
to
the
extent
included,
23
loan
repayments
received
under
a
program
agreement
entered
into
24
between
a
taxpayer
who
is
a
loan
repayment
recipient
and
the
25
college
student
aid
commission
pursuant
to
section
256.226,
if
26
the
taxpayer
fulfills
the
obligation
to
engage
in
the
practice
27
of
veterinary
medicine
according
to
terms
of
that
section
28
including
the
program
agreement.
29
b.
The
subtraction
in
paragraph
“a”
shall
not
exceed
the
30
following
limits:
31
(1)
For
any
tax
year,
fifteen
thousand
dollars.
32
(2)
For
the
aggregate
of
all
tax
years,
sixty
thousand
33
dollars.
34
(3)
In
any
case,
the
amount
of
the
outstanding
eligible
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loan.
1
EXPLANATION
2
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
3
the
explanation’s
substance
by
the
members
of
the
general
assembly.
4
BACKGROUND.
Code
section
256.226
establishes
a
rural
5
veterinarian
loan
repayment
program
(program)
administered
by
6
the
college
student
aid
commission
(commission).
The
purpose
7
of
the
program
is
to
provide
for
the
repayment
of
a
student
8
loan
(eligible
loan)
to
an
individual
who
is
either
enrolled
9
in
the
final
year
of
a
college
of
veterinary
medicine
in
order
10
to
receive
a
doctor
of
veterinary
medicine
degree
or
who
is
a
11
licensed
veterinarian
who
received
a
degree
within
five
years
12
of
applying
to
participate
in
the
program.
The
individual
must
13
enter
into
a
program
agreement
(agreement)
with
the
commission
14
in
which
the
commission
assumes
the
payment
of
the
eligible
15
loan
and
the
loan
repayment
recipient
(recipient)
agrees
to
16
engage
in
the
practice
of
veterinary
medicine
(practice)
for
17
four
years
in
a
rural
service
commitment
area
or
a
veterinary
18
shortage
area
(rural
area).
The
commission
assumes
eligible
19
loan
payments
each
year
of
the
recipient’s
eligible
practice
20
for
a
period
of
four
consecutive
years.
An
eligible
loan
21
payment
amount
cannot
exceed
$15,000
annually
and
cannot
exceed
22
a
total
of
either
$60,000
or
the
amount
of
the
outstanding
23
eligible
loan.
24
BILL’S
PROVISIONS.
Currently,
the
commission
may
grant
a
25
recipient
a
waiver
to
complete
the
years
of
practice
required
26
under
the
agreement
in
another
rural
area.
This
bill
provides
27
that
the
recipient
may
notify
the
commission
that
the
loan
28
recipient
will
complete
the
years
of
practice
required
under
29
the
agreement
by
securing
new
employment,
or
establishing
and
30
maintaining
a
new
practice,
in
the
same
rural
area,
according
31
to
rules
adopted
by
the
commission.
The
bill
allows
the
32
recipient
to
exclude
net
income
attributable
to
eligible
33
loan
payments
received
under
the
program,
subject
to
the
34
restrictions
provided
in
the
program.
The
amount
subject
to
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2491
the
income
exclusion
cannot
exceed
$15,000
per
tax
year,
and
1
an
aggregate
of
$60,000
for
all
tax
years.
However,
in
any
2
case,
the
total
excluded
amount
cannot
exceed
the
amount
of
the
3
recipient’s
outstanding
eligible
loan.
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