[Code of Federal Regulations]

[Title 42, Volume 1]

[Revised as of October 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 42CFR23.34]



[Page 95]

 

                         TITLE 42--PUBLIC HEALTH

 

    CHAPTER I--PUBLIC HEALTH SERVICE, DEPARTMENT OF HEALTH AND HUMAN 

                                SERVICES

 

PART 23_NATIONAL HEALTH SERVICE CORPS--Table of Contents

 

    Subpart B_Private Practice Special Loans for Former Corps Members

 

Sec. 23.34  What other conditions are imposed?



    (a) The borrower must sign a loan agreement describing the loan and 

practice conditions, and a promissory note agreeing to repay the loan 

plus interest.

    (b) The borrower must agree to enter into private full-time clinical 

practice in a HMSA for the time period specified in the loan agreement.

    (c) The borrower must accept assignment, for the time period 

specified in the loan agreement, under section 1842(b)(3)(B)(ii) of the 

Social Security Act as full payment for all services for which payment 

may be made under part B of title XVIII of that Act.

    (d) The borrower must enter into an appropriate agreement, for the 

time period specified in the loan agreement, with the State agency which 

administers the State plan for medical assistance under title XIX of the 

Social Security Act to provide services to individuals entitled to 

medical assistance under the plan.

    (e) During the time period specified in the loan agreement, the 

borrower must provide health services to individuals at the usual and 

customary rate prevailing in the HMSA in which services are provided; 

however, services must be provided at no charge or at a nominal charge 

to those persons unable to pay for these services.

    (f) The borrower must keep and preserve all documents, including 

bills, receipts, checks, and correspondence which affect the operation 

of the private practice and the expenditure of loan funds for the period 

of the practice obligation specified in the loan agreement plus 3 years. 

Accounts will be maintained under one of the accounting principles 

identified by the Secretary in the loan agreement.

    (g) The borrower must provide the Secretary and the Controller 

General of the United States, or their representatives, access during 

normal working hours to accounts, documents, and records for the 

purposes of audit or evaluation; and must permit the Secretary or his or 

her representative to inspect the private practice at reasonable times 

during the period of the practice obligation specified in the loan 

agreement plus 3 years. All information as to personal facts and 

circumstances about recipients of services shall be held confidential, 

and shall not be divulged without the individual's consent except as may 

be required by law or as may be necessary to provide medical service to 

the individual or to provide for medical or fiscal audits by the 

Secretary or his or her designee with appropriate safeguards for 

confidentiality of records.

    (h) For the entire period of loan repayment, the borrower must 

acquire, maintain, and when requested, must provide the Secretary with 

copies of policies of insurance on equipment and supplies in amounts 

adequate to reasonably protect the borrower from risk, including public 

liability, fire, theft, and worker's compensation.

    (i) If the Secretary retains a security interest pursuant to Sec. 

23.33, the borrower must keep and preserve all documents which affect 

that security interest for the period of the loan repayment and allow 

the Secretary or his or her designee access, during normal working 

hours, to those documents.

    (j) The borrower must maintain the loan proceeds in a separate 

account from his or her other transactions and must agree to draw upon 

this account and expend the loan proceeds in accordance with Sec. 

23.32.

    (k) The Secretary may impose other conditions which he or she deems 

appropriate under law or regulation to protect the Government's 

interests.