* § 233. New York state health service corps scholarship and
fellowship program. 1. (a) New York state health service corps
scholarships and fellowships for health corps professionals shall be
awarded, within amounts appropriated, on a competitive basis, as
determined by the commissioner, to students who: (i) are or will be
enrolled in a program of undergraduate or graduate study to become a
health care professional eligible to participate in the health service
corps; and

(ii) agree to serve in eligible institutions or facilities upon
satisfactory completion of their studies and upon satisfaction of
applicable licensing and certification requirements; and

(iii) meet such other requirements as the commissioner, in
consultation with the commissioners of education, correctional services,
mental health, mental retardation and developmental disabilities, the
commission for the blind and visually handicapped and the president of
the civil service commission, may establish.

(b) In selecting students to be awarded such scholarships or
fellowships, preference shall be given to students in the following
order: (i) New York state residents who attend or plan to attend a
program of undergraduate or graduate study located in New York state;
(ii) New York state residents who attend or plan to attend a program of
undergraduate or graduate study located out-of-state; and (iii) persons
who are not residents of New York state who attend or plan to attend a
program of undergraduate or graduate study located in New York state.

(c) The commissioner shall, pursuant to agreement with the appropriate
agency, allocate, to the extent possible, the placement of award
recipients to each catchment area or region, as defined by such agency,
in which an eligible institution or facility is located.

2. Within such time as the commissioner shall by regulation provide, a
recipient of an award shall have practiced as a health corps
professional in an eligible institution or facility for that number of
months calculated by multiplying by eighteen the number of annual awards
received by the recipient. If a recipient fails to comply fully with
such conditions, the president shall be entitled to receive from such
recipient an amount to be determined by the formula:

A = 2B(T-S)

t
In which "A" is the amount the president is entitled to recover; "B" is
the sum of all payments made to the recipient and the interest on such
amount which would be payable if at the times such awards were paid they
were loans bearing interest at the maximum prevailing rate; "t" is the
total number of months in the recipient's period of obligated services;
and "s" is the number of months of service actually rendered by the
recipient. Any amount which the president is entitled to recover under
this subdivision shall be paid within the five-year period beginning on
the date that the recipient failed to comply with this condition. Any
obligation to comply with such provisions shall be cancelled upon the
death of the recipient. The commissioner of health shall promulgate
regulations to provide for the waiver or suspension of any financial
obligation when compliance would involve extreme hardship.

3. A recipient of an award shall report semi-annually to the
president, on forms prescribed by him, as to the performance of the
required services or the recipient's current status, commencing with the
calendar year of the first award and continuing until the recipient
shall have completed, or until it is determined he or she shall not be
obligated to complete, the required services. The president may also
require the recipient to file a report on his or her current status
prior to completion of professional training during any calendar year in
which an application for an additional award is not filed. The president
shall make available any reports required hereunder to the commissioner.
If the recipient shall fail to file any report required hereunder within
thirty days of written notice to the recipient, mailed to the address
shown on the last application for an award or last report filed,
whichever is later, the president may impose a fine of up to one
thousand dollars. The president shall have the discretion to waive the
filing of a report, excuse a delay in filing, or a failure to file a
report, or waive or reduce any fine imposed for good cause shown.

* NB Expired July 18, 1996