For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB770, s. 1 1Section 1. 20.005 (3) (schedule) of the statutes: at the appropriate place, insert
2the following amounts for the purposes indicated: - See PDF for table PDF
AB770, s. 2 1Section 2. 20.285 (1) (qe) of the statutes is created to read:
AB770,4,52 20.285 (1) (qe) Rural physician residency assistance program. Biennially, from
3the critical access hospital assessment fund, the amounts in the schedule for the
4department of family medicine in the University of Wisconsin School of Medicine and
5Public Health to establish and support physician residency positions under s. 36.63.
AB770, s. 3 6Section 3. 20.285 (1) (qj) of the statutes is created to read:
AB770,4,107 20.285 (1) (qj) Physician and dentist and health care provider loan assistance
8programs; critical access hospital assessment fund.
Biennially, from the critical
9access hospital assessment fund, the amounts in the schedule for loan repayments
10under ss. 36.60 and 36.61.
AB770, s. 4 11Section 4. 20.435 (4) (w) of the statutes, as affected by 2009 Act Wisconsin 2,
12is amended to read:
AB770,5,413 20.435 (4) (w) Medical Assistance trust fund. From the Medical Assistance
14trust fund, biennially, the amounts in the schedule for meeting costs of medical

1assistance administered under ss. 46.27, 46.275 (5), 46.278 (6), 46.283 (5), 46.284 (5),
249.45, and 49.472 (6), for refunds under s. 50.38 (6) (a) and (6m) (a), and for
3administrative costs associated with augmenting the amount of federal moneys
4received under 42 CFR 433.51.
AB770, s. 5 5Section 5. 20.435 (4) (xe) of the statutes is created to read:
AB770,5,126 20.435 (4) (xe) Critical access hospital assessment fund; hospital payments.
7From the critical access hospital assessment fund, all moneys received from the
8assessment under s. 50.38 (2) (b), except moneys appropriated under s. 20.285 (1) (qe)
9and (qj), to make payments to critical access hospitals required under s. 49.45 (3) (e)
1012. for services provided under the Medical Assistance Program under subch. IV of
11ch. 49; to make refunds under s. 50.38 (6m); and to make the transfer under s. 50.38
12(10).
AB770, s. 6 13Section 6. 25.17 (1) (cg) of the statutes is created to read:
AB770,5,1414 25.17 (1) (cg) Critical access hospital assessment fund (s. 25.774);
AB770, s. 7 15Section 7. 25.77 (11) of the statutes, as created by 2009 Wisconsin Act 2, is
16amended to read:
AB770,5,1717 25.77 (11) All moneys transferred under s. 50.38 (8) and (10).
AB770, s. 8 18Section 8. 25.77 (12) of the statutes, as created by 2009 Wisconsin Act 2, is
19amended to read:
AB770,5,2120 25.77 (12) All moneys recouped and deposited under s. 50.38 (6) (a) 4. and (6m)
21(a)
4.
AB770, s. 9 22Section 9. 25.772 of the statutes, as created by 2009 Wisconsin Act 2, is
23amended to read:
AB770,6,3 2425.772 Hospital assessment fund. There is established a separate
25nonlapsible trust fund designated as the hospital assessment fund, to consist of all

1moneys received under s. 50.38 (2) (a) from assessments on hospitals other than
2critical access hospitals
and all moneys recouped and deposited under s. 50.38 (6) (a)
33.
AB770, s. 10 4Section 10. 25.774 of the statutes is created to read:
AB770,6,9 525.774 Critical access hospital assessment fund. (1) There is established
6a separate nonlapsible trust fund designated as the critical access hospital
7assessment fund, to consist of all moneys received under s. 50.38 (2) (b) from
8assessments on critical access hospitals and all moneys recouped and deposited
9under s. 50.38 (6m) (a) 3.
AB770, s. 11 10Section 11. 36.60 (1) (d) of the statutes is created to read:
AB770,6,1111 36.60 (1) (d) "Rural area" has the meaning given in s. 36.63 (1) (c).
AB770, s. 12 12Section 12. 36.60 (2) (a) of the statutes, as affected by 2009 Wisconsin Act 28,
13is renumbered 36.60 (2) (a) 1. and amended to read:
AB770,6,1814 36.60 (2) (a) 1. The Except as provided in subd. 2., the board may repay, on
15behalf of a physician or dentist, up to $50,000 in educational loans obtained by the
16physician or dentist from a public or private lending institution for education in an
17accredited school of medicine or dentistry or for postgraduate medical or dental
18training.
AB770, s. 13 19Section 13. 36.60 (2) (a) 2. of the statutes is created to read:
AB770,6,2320 36.60 (2) (a) 2. The board may repay, on behalf of a physician who agrees under
21sub. (3) to practice in a rural area, up to $100,000 in educational loans obtained by
22the physician from a public or private lending institution for education in an
23accredited school of medicine or for postgraduate medical training.
AB770, s. 14 24Section 14. 36.60 (3) of the statutes, as affected by 2009 Wisconsin Act 28, is
25amended to read:
AB770,7,10
136.60 (3) Agreement. (a) The board shall enter into a written agreement with
2the physician, in which the physician agrees to practice at least 32 clinic hours per
3week for 3 years in one or more eligible practice areas in this state or in a rural area,
4except that a physician specializing in psychiatry may only agree to practice
5psychiatry in a mental health shortage area or in a rural area and a physician in the
6expanded loan assistance program under sub. (9) may only agree to practice at a
7public or private nonprofit entity in a health professional shortage area. The
8physician shall also agree to care for patients who are insured or for whom health
9benefits are payable under medicare, medical assistance, or any other governmental
10program.
AB770,7,1511 (am) The board shall enter into a written agreement with the dentist, in which
12the dentist agrees to practice at least 32 clinic hours per week for 3 years in one or
13more dental health shortage areas in this state or in a rural area. The dentist shall
14also agree to care for patients who are insured or for whom dental health benefits are
15payable under medicare, medical assistance, or any other governmental program.
AB770,7,1816 (b) The agreement shall specify that the responsibility of the board to make the
17payments under the agreement is subject to the availability of funds in the
18appropriations under s. 20.285 (1) (jc) and, (ks), and (qj).
AB770, s. 15 19Section 15. 36.60 (4) (intro.) of the statutes, as affected by 2009 Wisconsin Act
2028
, is amended to read:
AB770,7,2321 36.60 (4) Loan repayment. (intro.) Principal Except as provided in sub. (4m),
22principal
and interest due on loans, exclusive of any penalties, may be repaid by the
23board at the following rate:
AB770, s. 16 24Section 16. 36.60 (4m) of the statutes is created to read:
AB770,8,3
136.60 (4m) Loan repayment; rural physicians. If a physician agrees under sub.
2(3) to practice in a rural area, principal and interest due on the loan, exclusive of any
3penalties, may be repaid by the board at the following rate:
AB770,8,54 (a) Up to 40 percent of the principal of the loan or $40,000, whichever is less,
5during the first year of participation in the program under this section.
AB770,8,86 (b) Up to an additional 40 percent of the principal of the loan or $40,000,
7whichever is less, during the 2nd year of participation in the program under this
8section.
AB770,8,119 (c) Up to an additional 20 percent of the principal of the loan or $20,000,
10whichever is less, during the 3rd year of participation in the program under this
11section.
AB770, s. 17 12Section 17. 36.60 (5) (a) of the statutes, as affected by 2009 Wisconsin Act 28,
13is amended to read:
AB770,8,1614 36.60 (5) (a) The obligation of the board to make payments under an agreement
15entered into under sub. (3) (b) is subject to the availability of funds in the
16appropriations under s. 20.285 (1) (jc) and, (ks), and (qj).
AB770, s. 18 17Section 18. 36.60 (5) (b) (intro.) of the statutes, as affected by 2009 Wisconsin
18Act 28
, is amended to read:
AB770,8,2319 36.60 (5) (b) (intro.) If the cost of repaying the loans of all eligible applicants,
20when added to the cost of loan repayments scheduled under existing agreements,
21exceeds the total amount in the appropriations under s. 20.285 (1) (jc) and, (ks), and
22(qj)
, the board shall establish priorities among the eligible applicants based upon the
23following considerations:
AB770, s. 19 24Section 19. 36.60 (5) (b) 1. of the statutes, as affected by 2009 Wisconsin Act
2528
, is amended to read:
AB770,9,5
136.60 (5) (b) 1. The degree to which there is an extremely high need for medical
2care in the eligible practice area or, health professional shortage area, or rural area
3in which a physician desires to practice and the degree to which there is an extremely
4high need for dental care in the dental health shortage area or rural area in which
5a dentist desires to practice.
AB770, s. 20 6Section 20. 36.60 (5) (b) 2. of the statutes, as affected by 2009 Wisconsin Act
728
, is amended to read:
AB770,9,118 36.60 (5) (b) 2. The likelihood that a physician will remain in the eligible
9practice area or, health professional shortage area, or rural area, and that a dentist
10will remain in the dental health shortage area or rural area, in which he or she
11desires to practice after the loan repayment period.
AB770, s. 21 12Section 21. 36.60 (5) (b) 3. of the statutes, as affected by 2009 Wisconsin Act
1328
, is amended to read:
AB770,9,1614 36.60 (5) (b) 3. The per capita income of the eligible practice area or, health
15professional shortage area, or rural area in which a physician desires to practice and
16of the dental health shortage area or rural area in which a dentist desires to practice.
AB770, s. 22 17Section 22. 36.60 (5) (b) 4. of the statutes, as affected by 2009 Wisconsin Act
1828
, is amended to read:
AB770,9,2419 36.60 (5) (b) 4. The financial or other support for physician recruitment and
20retention provided by individuals, organizations, or local governments in the eligible
21practice area or, health professional shortage area, or rural area in which a physician
22desires to practice and for dentist recruitment and retention provided by individuals,
23organizations, or local governments in the dental health shortage area or rural area
24in which a dentist desires to practice.
AB770, s. 23
1Section 23. 36.60 (5) (b) 5. of the statutes, as affected by 2009 Wisconsin Act
228
, is amended to read:
AB770,10,73 36.60 (5) (b) 5. The geographic distribution of the physicians and dentists who
4have entered into loan repayment agreements under this section and the geographic
5distribution of the eligible practice areas, health professional shortage areas, and
6dental health shortage areas, and rural areas in which the eligible applicants desire
7to practice.
AB770, s. 24 8Section 24. 36.60 (8) (b) of the statutes, as affected by 2009 Wisconsin Act 28,
9is amended to read:
AB770,10,1210 36.60 (8) (b) Identify eligible practice areas and rural areas with an extremely
11high need for medical care and dental health shortage areas and rural areas with an
12extremely high need for dental care.
AB770, s. 25 13Section 25. 36.60 (8) (h) of the statutes is created to read:
AB770,10,1614 36.60 (8) (h) Notwithstanding subs. (3) (b) and (5) (a) and (b), ensure that
15moneys appropriated under s. 20.285 (1) (qj) are used under this section only to repay
16loans on behalf of physicians and dentists who agree to practice in a rural area.
AB770, s. 26 17Section 26. 36.61 (1) (e) of the statutes is created to read:
AB770,10,1818 36.61 (1) (e) "Rural area" has the meaning given in s. 36.63 (1) (c).
AB770, s. 27 19Section 27. 36.61 (3) of the statutes, as affected by 2009 Wisconsin Act 28, is
20amended to read:
AB770,11,221 36.61 (3) Agreement. (a) The board shall enter into a written agreement with
22the health care provider. In the agreement, the health care provider shall agree to
23practice at least 32 clinic hours per week for 3 years in one or more eligible practice
24areas in this state or in a rural area, except that a health care provider in the
25expanded loan assistance program under sub. (8) who is not a dental hygienist may

1only agree to practice at a public or private nonprofit entity in a health professional
2shortage area.
AB770,11,53 (b) The agreement shall specify that the responsibility of the board to make the
4payments under the agreement is subject to the availability of funds in the
5appropriations under s. 20.285 (1) (jc) and, (ks), and (qj).
AB770, s. 28 6Section 28. 36.61 (5) (a) of the statutes, as affected by 2009 Wisconsin Act 28,
7is amended to read:
AB770,11,108 36.61 (5) (a) The obligation of the board to make payments under an agreement
9entered into under sub. (3) is subject to the availability of funds in the appropriations
10under s. 20.285 (1) (jc) and, (ks), and (qj).
AB770, s. 29 11Section 29. 36.61 (5) (b) (intro.) of the statutes, as affected by 2009 Wisconsin
12Act 28
, is amended to read:
AB770,11,1713 36.61 (5) (b) (intro.) If the cost of repaying the loans of all eligible applicants,
14when added to the cost of loan repayments scheduled under existing agreements,
15exceeds the total amount in the appropriations under s. 20.285 (1) (jc) and, (ks), and
16(qj)
, the board shall establish priorities among the eligible applicants based upon the
17following considerations:
AB770, s. 30 18Section 30. 36.61 (5) (b) 1. of the statutes, as affected by 2009 Wisconsin Act
1928
, is amended to read:
AB770,11,2520 36.61 (5) (b) 1. The degree to which there is an extremely high need for medical
21care in the eligible practice area or, health professional shortage area, or rural area
22in which an eligible applicant who is not a dental hygienist desires to practice and
23the degree to which there is an extremely high need for dental care in the dental
24health shortage area or rural area in which an eligible applicant who is a dental
25hygienist desires to practice.
AB770, s. 31
1Section 31. 36.61 (5) (b) 2. of the statutes, as affected by 2009 Wisconsin Act
228
, is amended to read:
AB770,12,53 36.61 (5) (b) 2. The likelihood that an eligible applicant will remain in the
4eligible practice area or, health professional shortage area, or rural area in which he
5or she desires to practice after the loan repayment period.
AB770, s. 32 6Section 32. 36.61 (5) (b) 3. of the statutes, as affected by 2009 Wisconsin Act
728
, is amended to read:
AB770,12,108 36.61 (5) (b) 3. The per capita income of the eligible practice area or, health
9professional shortage area, or rural area in which an eligible applicant desires to
10practice.
AB770, s. 33 11Section 33. 36.61 (5) (b) 4. of the statutes, as affected by 2009 Wisconsin Act
1228
, is amended to read:
AB770,12,1613 36.61 (5) (b) 4. The financial or other support for health care provider
14recruitment and retention provided by individuals, organizations or local
15governments in the eligible practice area or, health professional shortage area, or
16rural area
in which an eligible applicant desires to practice.
AB770, s. 34 17Section 34. 36.61 (5) (b) 5. of the statutes, as affected by 2009 Wisconsin Act
1828
, is amended to read:
AB770,12,2219 36.61 (5) (b) 5. The geographic distribution of the health care providers who
20have entered into loan repayment agreements under this section and the geographic
21location of the eligible practice area or, health professional shortage area, or rural
22area
in which an eligible applicant desires to practice.
AB770, s. 35 23Section 35. 36.61 (7) (e) of the statutes is created to read:
AB770,13,3
136.61 (7) (e) Notwithstanding subs. (3) (b) and (5) (a) and (b), ensure that
2moneys appropriated under s. 20.285 (1) (qj) are used under this section only to repay
3loans on behalf of health care providers who agree to practice in a rural area.
AB770, s. 36 4Section 36. 36.63 of the statutes is created to read:
AB770,13,5 536.63 Rural physician residency assistance program. (1) In this section:
AB770,13,76 (a) "Department" means the department of family medicine in the University
7of Wisconsin School of Medicine and Public Health.
AB770,13,108 (b) "Physician" means a physician, as defined in s. 448.01 (5), who specializes
9in family practice, general surgery, internal medicine, obstetrics, pediatrics or
10psychiatry.
AB770,13,1111 (c) "Rural area" means any of the following:
AB770,13,1412 1. A city, town, or village in this state that has a population of less than 20,000
13and that is at least 15 miles from any city, town, or village that has a population of
14at least 20,000.
AB770,13,1615 2. An area in this state that is not an urbanized area, as defined by the federal
16bureau of the census.
AB770,13,18 17(2) (a) The department shall establish and support physician residency
18positions to which one of the following applies:
AB770,13,2019 1. The residency position is in a hospital that is located in a rural area or in a
20clinic staffed by physicians who admit patients to a hospital located in a rural area.
AB770,13,2421 2. The residency position includes a rural rotation, begun after June 30, 2010,
22which consists of at least 8 weeks of training experience in a hospital that is located
23in a rural area or in a clinic staffed by physicians who admit patients to a hospital
24located in a rural area.
AB770,14,4
1(b) In establishing and supporting residency positions under par. (a), the
2department shall give preference to residency programs that actively recruit
3graduates of the University of Wisconsin School of Medicine and Public Health and
4the Medical College of Wisconsin.
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