HR 3394 — Teaching Health Centers Graduate Medical Education Extension Act of 2017

(a) Payments (1) In general Subject to subsection (h)(2), the Secretary shall make payments under this section for direct expenses and indirect expenses to qualified teaching health centers that are listed as sponsoring institutions by the relevant accrediting body for, as appropriate— (A) maintenance of filled positions at existing approved graduate medical residency training programs; (B) expansion of existing approved graduate medical residency training programs; and (C) establishment of new approved graduate medical residency training programs. (2) Per resident amount In making payments under paragraph (1), the Secretary shall consider the cost of training residents at teaching health centers and the implications of the per resident amount on approved graduate medical residency training programs at teaching health centers. (3) Priority In making payments under paragraph (1)(C), the Secretary shall give priority to qualified teaching health centers that— (A) serve a health professional shortage area with a designation in effect under section 254e of this title or a medically underserved community (as defined in section 295p of this title); or (B) are located in a rural area (as defined in section 1395ww(d)(2)(D) of this title). (b) Amount of payments (1) In general Subject to paragraph (2), the amounts payable under this section to qualified teaching health centers for an approved graduate medical residency training program for a fiscal year are each of the following amounts: (A) Direct expense amount The amount determined under subsection (c) for direct expenses associated with sponsoring approved graduate medical residency training programs. (B) Indirect expense amount The amount determined under subsection (d) for indirect expenses associated with the additional costs relating to teaching residents in such programs. (2) Capped amount (A) In general The total of the payments made to qualified teaching health centers under paragraph (1)(A) or paragraph (1)(B) in a fiscal year shall not exceed the amount of funds appropriated under subsection (g) for such payments for that fiscal year. (B) Limitation The Secretary shall limit the funding of full-time equivalent residents in order to ensure the direct and indirect payments as determined under subsection 1 (c) and (d) do not exceed the total amount of funds appropriated in a fiscal year under subsection (g). (C) Addition Notwithstanding any provision of this section, for the period beginning on October 1, 2023, and ending on December 31, 2024, the Secretary may use any amounts made available in any fiscal year to carry out this section (including amounts recouped under subsection (f)) to make payments described in paragraphs (1)(A) and (1)(B), in addition to the total amount of funds appropriated under subsection (g). (c) Amount of payment for direct graduate medical education (1) In general The amount determined under this subsection for payments to qualified teaching health centers for direct graduate expenses relating to approved graduate medical residency training programs for a fiscal year is equal to the product of— (A) the updated national per resident amount for direct graduate medical education, as determined under paragraph (2); and (B) the average number of full-time equivalent residents in the teaching health center’s graduate approved medical residency training programs as determined under section 1395ww(h)(4) of this title (without regard to the limitation under subparagraph (F) of such section) during the fiscal year. (2) Updated national per resident amount for direct graduate medical education The updated per resident amount for direct graduate medical education for a qualified teaching health center for a fiscal year is an amount determined as follows: (A) Determination of qualified teaching health center per resident amount The Secretary shall compute for each individual qualified teaching health center a per resident amount— (i) by dividing the national...