New Mexico expands medical school debt repayment to help doctor shortage

New Mexico Gov. Michelle Lujan Grisham on Tuesday announced an expansion of the state’s loan repayment program for health professionals as the latest in a series of efforts to address the state’s doctor shortage.

The expansion increases the allowable debt relief for physicians from $25,000 over a three-year service period to $75,000 over a four-year service commitment — for a total up to $300,000. The expansion comes via House Bill 66, passed by the Legislature earlier this year.

“Every New Mexican deserves access to the care they need, and today, we’re putting $300,000 on the table for physicians who want to serve communities that need them most,” Lujan Grisham said in a statement. “We’re committed to cutting wait times, closing care gaps and making New Mexico the best place in America to practice medicine.”

According to a news release from the governor’s office, New Mexico faces a shortage of more than 5,000 health care professionals and nearly 40% of the state’s doctors are 60 or older and expected to retire by 2030.

During the most recent legislative session, lawmakers also passed and the governor signed legislation reforming medical malpractice and expanding the state’s participation in interstate health care compacts.

State higher education officials said the loan repayment expansion makes the state’s program one of the most generous in the country. New Mexico’s program is double Georgia’s $37,500 per year and triple Rhode Island’s annual award of $20,000, according to Auriella Ortiz, communications director at the state’s Higher Education Department.

In addition to part-time and full-time physicians, professionals in 25 other health care fields are eligible for awards up to $25,000 per year following a three-year commitment to practicing in New Mexico.

The healthcare professional loan repayment program will accept applications from June 1 through July 31.