the remaining period of the participant's service obligation in the fulltime private clinical practice of the participant's health profession, under the requirements of section 753 of the Act. 8 62.9 Under what circumstances can the period of obligated service be deferred to complete approved graduate train. ing? (a) Requested deferment. Upon the request of any participant receiving a degree from a school of medicine, osteopathy, or dentistry, veterinary medicine, optometry, podiatry or pharmacy, the Secretary will defer the beginning date of the obligated service to allow the participant to complete an approved graduate training program. The period of this deferment may not exceed (1) three years for any participant receiving a degree from a school of medicine, osteopathy or dentistry, or (2) one year for any participant recieving a degree from a school of veterinary medicine, optometry, podiatry or pharmacy. The Secretary may, however, extend this period of deferment if the Secretary determines that the extension is consistent with the needs of the National Health Service Corps. (b) Required deferment. Each participant receiving a degree in medicine or osteopathy who does not intend to enter training which can be completed within the deferment period granted under paragraph (a) of this section must complete at least one year of approved graduate training before beginning the period of obligated service. This one year of training must be in (1) an allopathic flexible first-year program whose sponsorship includes approved residencies in family practice, internal medicine, pediatrics, or a categorical first-year program family practice, internal medicine, or pediatrics; (2) a rotating internship in osteopathic medicine; or (3) such other programs as the Secretary determines provides comparable experience. Any participant receiving a degree in medicine or osteopathy who fails to complete the one year of required training approved graduate training program for which a deferment was granted under paragraph (a) of this section will be subject to the default penalties of $ 62.10(c). (c) Altering deferment. Before altering the length or type of approved graduate training for which the period of obligated service was deferred under paragraphs (a) or (b) of this section, the participant must request and obtain the Secretary's approval of the alteration. (d) Additional terms of deferment. The Secretary may prescribe additional terms and conditions for deferment under paragraphs (a), (b), and (c) of this section as necessary to carry out the purposes of the Scholarship Program. (e) Beginning of service after deferment. Any participant whose period of obligated service has been deferred under paragraphs (a) or (b) of this section must begin the obligated service when the participant begins to provide health services in the health manpower shortage area to which he or she is assigned by the Secretary. This assignment will be made by the Secretary as soon as possible following (1) the completion of the requested or required graduate training for which the deferment was granted, and (2) appointment as a Commissioned Officer in the Regular or Reserve Corps of the Seryice or as a civilian member of the National Health Service Corps. in 8 62.10 What will happen if an individual does not comply with the terms and conditions of participating in the scholarship program? (a) If a participant, other than one described in paragraph (b) of this section, fails to accept payment or instructs the school not to accept payment of the scholarship provided by the Secretary, the participant must, in addition to any service or other obligation incurred under the contract, pay to the United States the amount of $1,500 liquidated damages. Payment of this amount must be made within 30 days of the date on which the participant fails to accept payment of the scholarship award or instructs the school not to accept payment. (b) When a participant fails to maintain an acceptable level of academic standing, is dismissed from the school or an for disciplinary reasons, or voluntarily terminates the course of study or program for which the scholarship was awarded before completing the course of study or program, the participant must, instead of performing any service obligation, pay to the United States an amount equal to all scholarship funds awarded under $ 62.7. Payment of this amount must be made within 3 years of the date the participant becomes liable to make payment under this paragraph. (c) If a participant fails to begin or complete the period of obligated service incurred under $ 62.8, including failing to comply with the applicable terms and conditions of a deferment granted by the Secretary, the participant must pay to the United States an amount determined by the formula set forth in section 754(c) of the Act. Payment of this amount shall be made within 1 year of the date that the participant failed to begin or complete the period of obligated service, as determined by the Secretary. 8 62.11 When can a scholarship program payment obligation be discharged in bankruptcy? In accordance with section 754(d)(3) of the Act, any payment obligation incurred under $ 62.10 may not be discharged in bankruptcy under Title XI of the United States Code until 5 years after the date on which the payment obligation is due. ever compliance by the participant (i) is impossible, or (ii) would involve extreme hardship to the participant and if enforcement of the service or payment obligation would be against equity and good conscience. (c) Compliance by a participant with a service or payment obligation will be considered impossible if the Secretary determines, on the basis of information and documentation as may be required, that the participant suffers from a physical or mental disability resulting in the permanent inability of the participant to perform the service or other activities which would be necessary to comply with the obligation. (d) In determining whether to waive or suspend any or all of the service or payment obligations of a participant as imposing an undue hardship and being against equity and good conscience, the Secretary, on the basis of information and documentation as may be required, will consider: (1) The participant's present financial resources and obligations; (2) The participant's estimated future financial resources and obligations; and (3) The extent to which the participant has problems of a personal nature, such as physical or mental disability, terminal illness in the immediate family which so intrude on the participant's present and future ability to perform as to raise a presumption that the individual will be unable to perform the obligation incurred. $ 62.12 Under what circumstances can the service or payment obligation be can celed, waived or suspended? (a) Any obligation of a participant for service or payment will be canceled upon the death of the participant. (b)(1) A participation may seek a waiver or suspension of the service or payment obligations incurred under this part by written request to the Secretary setting forth the bases, circumstances, and causes which support the requested action. The Secretary may approve a request for a suspension for a period of 1 year. A renewal of this suspension may also be granted. (2) The Secretary may waive or suspend any service or payment obligation incurred by a participant when $ 62.13 What are the limitations on the re ceipt of concurrent benefits? Under section 741(f) or 836(h) of the Act, the Secretary may agree to repay a portion of an individual's educational loans in return for the individual's agreement to practice his or her profession in an area in need of health manpower. However, a Scholarship Program participant may not enter into an agreement with the Secretary under section 741(f) or 836(h) of the Act, until either: (a) The participant has completed the service obligation under the Scholarship Program, (b) the Secretary has recovered from the participant an amount determined under $ 62.10, or (c) any service or payment obligation has been waived under $ 62.12. In no case shall a scholarship received under these regulations be considered an educational loan for the purposes of section 741(f) or 836(h) of the Act. 1977-78 school year under the PH/ NHSC Scholarship Training Program, the participant will only receive 1 year of credit toward satisfying the period of obligated service incurred under the PH/NHSC Scholarship Training Program for internship or residency training served in a Service or National Health Service Corps facility. (3) Default penalties. The PH/NHSC Scholarship Training Program default penalty will apply to a participant who fails to begin or complete the active duty service obligation incurred under that Program, and the $ 62.10 default penalties will apply to a participant who fails to begin or complete the service obligation incurred under $ 62.8 of these regulations. In determining which default penalty to apply when an individual who has received a Scholarship award under both the PH/NHSC Scholarship Training Program and the Scholarship Program fails to begin or complete his service obligation, the service obligations will be considered to have been served in the order in which they were incurred. PART 63—NATIONAL INSTITUTES OF HEALTH AND NATIONAL LIBRARY OF MEDICINE TRAINEESHIPS $ 62.14 What are the special provisions re lating to recipients of awards under the PH/NHSC scholarship training program who will also receive awards under the scholarship program? (a) Except as provided in paragraph (b) of this section, if a participant has previously received an award under the PH/NHSC Scholarship Training Program and also receives an award under the Scholarship Program, the terms and conditions of these regulations will apply to the participant's entire obligation incurred under both the PH/NHSC Scholarship Training Program and the Scholarship Program. (b) If a participant has received an award under the PH/NHSC Scholarship Training Program and also receives an award under the Scholarship Program, the following conditions apply: (1) Period of obligated service-carry over. The period of obligated service owed by the participant is equal to the total number of school years for which scholarship support was awarded under both the PH/NHSC Scholarship Training Program and the Scholarship Program without regard to either Program's minimum support requirement under 42 CFR 62.7(a) (1976) as adopted on May 22, 1974 (see 39 FR 17962), and under $ 62.8(c) of this part. (2) Credit for internship and residency training. (i) If a participant received a scholarship under the PH/ NHSC Scholarship Training Program for any school year beginning before October 12, 1976, the participant will receive credit toward satisfying the periods of obligated service incurred under the PH/NHSC Scholarship Training Program and under $ 62.8 of this part for any periods of internship or residency training served in a Seryice or National Health Service Corps facility. (ii) If a participant received a scholarship for the first time during the Sec. AUTHORITY: Sec. 215, 58 Stat. 690, secs. 301, 402, 403, 58 Stat. 691, 707, sec. 303, 60 Stat. 423, secs. 412, 422, 62 Stat. 464, 598, sec. 433, 64 Stat. 444; 42 U.S.C. 216, 241, 282, 283, 242a, 287a, 288a, 289c. SOURCE: 21 FR 9868, Dec. 12, 1956, unless otherwise noted. 8 63.1 Nature and purpose of traineeships. (a) A National Institutes of Health traineeship is an award of funds to an individual for his subsistence during a period in which he is acquiring advanced training in the diagnosis, prevention or treatment of diseases of public health significance. The purpose of such traineeships is to make available in the United States for the community effort against such diseases an increased number of persons having special competence in such diagnosis, prevention or treatment. (b) A National Library of Medicine Traineeship is an award of funds to an individual for his subsistence and other expenses during a period in which he is acquiring advanced training in the field of medical library science, in related fields pertaining to sciences related to health, or in the field of communication of health sciences information. (21 FR 9868, Dec. 12, 1956, as amended at 31 FR 9505, July 13, 1966) spect to a period of one year or such other period, including extensions or renewals, as may be specified by the Surgeon General or his delegate in making awards. (b) An additional allowance, if requested by the trainee and approved in advance by the Surgeon General or his delegate, for travel, per diem and transportation not exceeding such amounts as may be prescribed by the Surgeon General. an 8 63.2 Minimum qualifications. Minimum qualifications for any traineeship shall be established by the Director of the appropriate Institute with the approval of the Surgeon General, and shall be uniformly applicable to all applicants in each traineeship program of such Institute. Such minimum qualifications may include requirements as to age, physical or mental condition, academic degrees, professional or other training or experience and such other factors as may be necessary to the fulfillment of the purpose of the traineeship. To the extent the Surgeon General finds it not inconsistent with such fulfillment, however, he may in individual cases waive compliance with any minimum qualification so established if he determines that the applicant has substantially equivalent qualifications or has such special training, experience or opportunity for service as make an award particularly appropriate. 8 63.3 Award of traineeships. Subject to the regulations of this part, the Surgeon General or his delegate may award traineeships to those qualified applicants who are best able in his judgment to carry out the purpose of the traineeships. Such awards may be made in the name of the appropriate Institute. 8 63.4 Benefits. Each individual awarded a traineeship shall be entitled to the following benefits: (a) A stipend fixed in amount by the Surgeon General and payable with re 8 63.5 Terms and conditions of award. All traineeship awards shall be subject to the following terms and conditions: (a) Training must be carried out at an institution found by the Director of the appropriate Institute to provide a well-rounded course of instruction in the particular field in which the traineeship is awarded. A change in the training institution may be made only with the approval of such Director. (b) No traineeship may be utilized to compensate, nor awarded as consideration, for personal services or employment of the trainee for the United States or for any other person. (c) No payment shall be made to any citizen or noncitizen national of the United States receiving award under the regulations in this part unless such citizen or noncitizen national has taken, subscribed to, and filed with the Public Health Service a written oath or affirmation in the fol. lowing terms: “I do solemnly swear (or affirm) that I bear true faith and allegiance to the United States of America and will support and defend the Constitution and laws of the United States against all its enemies, foreign and domestic." (d) Additional conditions consistent with the regulations in this part may be established by the Surgeon General or his delegate to the extent he finds them necessary to fulfill the purpose of the traineeship. (e) Anoncitizen national of the United States is a person, who, though not a citizen of the United States, owes permanent allegiance to the United States. (f) Payments made under awards pursuant to § 63.1(b) may be made to [21 FR 9868, Dec. 12, 1956, as amended at 31 FR 9505, July 13, 1966) the trainee or the sponsoring institution. Except as may be otherwise prescribed by the Surgeon General, payments shall be made in advance or by way of reimbursement and in monthly installments. PART 64-NATIONAL INSTITUTES OF HEALTH AND NATIONAL LIBRARY (21 FR 9868, Dec. 12, 1956, as amended at 30 FR 6072, Apr. 29, 1965; 31 FR 9505, July 13, 1966) 63.6 Termination of traineeships. The Surgeon General or his delegate may terminate a traineeship at any time upon request of the trainee, and shall terminate any traineeship prior to the date it would otherwise expire upon a determination, made or approved by the Surgeon General, either that the trainee's performance is unsatisfactory or that he is unfit or unable to carry out the purpose of the traineeship. Sec. 64.1 Nature and purpose of training grants. 64.2 Application requirements. 64.3 Award of training grants. 64.4 Conditions to awards; general. 64.5 Additional conditions; institutional ex penses. 64.6 Additional conditions; stipends. 64.7 Payments; repayment of unexpended balances; unauthorized expenditures. 64.8 Appropriate Institute. AUTHORITY: Sec. 215, 58 Stat. 690, as amended; 42 U.S.C. 216; sec. 433, 64 Stat. 444; 42 U.S.C. 289c. SOURCE: 21 FR 9869, Dec. 12, 1956, unless otherwise noted. 8 63.7 Appropriate Institute. As used in this part "appropriate Institute" shall mean the National Cancer Institute for traineeships in the field of cancer, the National Institute of Mental Health for traineeships in the field of mental disorders, the National Heart Institute for traineeships in the field of cardiovascular diseases, the National Institute of Dental Research for traineeships in the field of dental diseases and conditions, the National Institute for Allergy and Infectious Diseases for traineeships in the field of allergy and infectious diseases, the National Institute of Arthritis and Metabolic Diseases for traineeship in the field of arthritis, rheumatism and metabolic disease, the National Institute of Neurological Diseases and Blindness for traineeships in the field of epilepsy, cerebral palsy, multiple sclerosis, other neurological and sensory disorders, and any other institute hereafter established by the Surgeon General under section 431 of the Public Health Service Act, as amended, for traineeships in the field of those diseases constituting the responsibility of such institute. “Appropriate Institute” shall also mean, with respect to awards pursuant to $ 63.1(b), the National Library of Medicine. 8 64.1 Nature and purpose of training grants. (a) A National Institutes of Health training grant is an award of funds to a qualified educational or training institution, the objective of such grants being to make available for the community effort against diseases of public health significance an increased number of facilities providing adequate training and instruction, and an increased number of persons having special competence, in matters relating to the diagnosis, prevention and treatment of such diseases. Such a grant may have one or both of the following purposes: (1) To defray the expenses of the institution in providing training and instruction in matters relating to the diagnosis, prevention or treatment of diseases within the responsibility of the appropriate Institute. (2) To enable the institution to pay stipends and allowances to individuals with respect to a period in which they receive under the direction of such institution training and instruction in matters relating to such diagnosis, prevention or treatment. (b) A National Library of Medicine training grant is an award of funds to a qualified educational or training institution, the objective of such a grant being to make available an increased |