Skip to main content

Determine State Loan Repayment Program Eligibility and Application Requirements

The State Loan Repayment Program (SLRP) provides cost-sharing grants to states and territories to operate their own loan repayment programs.

These programs offer loan repayment to primary medical, mental/behavioral, and dental healthcare clinicians working in Health Professional Shortage Areas (HPSAs).

Eligible disciplines, practice sites, length of required service commitment and the amount of loan repayment awards offered may differ by state/territory.

What are the eligibility requirements for states/territories?

There are four requirements for a non-federal entity (NFE) wishing to be eligible for SLRP:

Location

Your entity falls in one of the 50 states, or in:

  • Washington, D.C.
  • Puerto Rico
  • U.S. Virgin Islands
  • Guam
  • American Samoa
  • Palau
  • Marshall Islands
  • Northern Mariana Islands

Matching Funds

Your NFE must obtain matching funds from your state/territory to fund the program.

Your state/territory must:

  • Agree to make available (directly or through donations from public or private entities) non-federal contributions in cash toward SLRP award contracts.
    • The contribution amounts must be at least one dollar for every one dollar you receive federal funds.
  • Refrain from using any federal funds or in-kind contributions to satisfy the non-federal match requirement or for any administrative costs to execute your state loan repayment program.
  • Verify that contributions from sources other than state-appropriated funds are non-federal.

You may use your state/territory’s share of the program to repay qualifying loans of health professionals, administrative costs of the SLRP grant, or a combination of both.

Federal funds and matching state funds, used to support the SLRP funds are exempt from federal income and employment taxes.

Is there flexibility in matching funds?

Yes, your state/territory has flexibility in meeting the required match for funding.

You may use funds from:

  • Other state education loan repayment programs
  • Donations from eligible service sites, private foundations, and/or community organizations

SLRP provides your state/territory an opportunity to expand your educational loan repayment programs without additional state outlays.

Your state/territory cannot:

  • Make SLRP awards to individuals already obligated under the state program unless those individuals complete their state obligation before their SLRP service begins.
  • Operate on terms that are more favorable than what the NHSC Loan Repayment Program (LRP) provides.
    • There’s still a significant amount of flexibility for you to differentiate your SLRP from the NHSC LRP through the
      • eligible disciplines you fund;
      • practice sites where program participants may serve; and
      • length of the service commitment your program requires.

Administration

A state agency must take responsibility for administrating the SLRP grant.

Use of Federal Funds

The state agency must agree to only use federal funds received through the SLRP to make loan repayment awards.

Who determines award amounts for clinicians?

SLRP NFEs (grantees) determine the annual award amount for each clinician receiving loan repayment.

However, clinicians cannot receive more than the total amount of their outstanding educational debt.

  • The maximum award amount per clinician = $50,000 per year.
    • The clinician agrees to a minimum service commitment of two years.
  • If you wish to make awards above $50,000/year:
    • Your state/territory is responsible for funds above that amount.
    • The individual must agree to serve at a NHSC-approved site that qualifies to hire an NHSC scholar or NHSC Students to Service Loan Repayment Program (S2S LRP) clinician. (Refer to the NHSC Site Reference Guide (PDF - 501KB).)

Can you renew awards?

Depending on your state program and its availability of funding, you may renew a clinician’s award in exchange for additional years of service.

What must you do to apply for SLRP?

We publish Notice of Funding Opportunities (NOFO) periodically. Read the most recent NOFO.

Before you can apply for any HRSA grant, you must register and get ready.

Who funds the State Loan Repayment Program (SLRP)?

Health Resources and Services Administration (HRSA)’s Bureau of Health Workforce (BHW) funds the National Health Service Corps (NHSC)’s SLRP through a grant.

These funds support the loan repayment awards distributed by the program.