South Carolina H 5158: Rural Physician Education Grants

Bill Text

2025-2026 Bill 5158 Text of Previous Version (Feb. 11, 2026) - South Carolina Legislature Online 

South Carolina General Assembly
126th Session, 2025-2026

Bill 5158

Indicates Matter Stricken
Indicates New Matter

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

A bill

TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING ARTICLE 
8 TO CHAPTER 111, title 59 SO AS TO ESTABLISH THE RURAL PHYSICIAN TUITION GRANT 
PROGRAM, FUNDED BY THE SOUTH CAROLINA EDUCATION LOTTERY, TO PROVIDE TUITION 
ASSISTANCE TO MEDICAL STUDENTS WHO COMMIT TO PRACTICE MEDICINE IN RURAL AREAS 
OF THIS STATE FOR A MINIMUM OF FIVE YEARS, AND TO PROVIDE FOR PROGRAM 
ADMINISTRATION, SERVICE OBLIGATIONS, AND ENFORCEMENT; AND BY ADDING SECTION 
59-150-385 SO AS TO ENABLE FUNDING OF THE PROGRAM FROM THE SOUTH CAROLINA 
EDUCATION LOTTERY.

Be it enacted by the 
General Assembly of the State of South Carolina:

SECTION 1. Chapter 111, Title 59 of the S.C. Code is amended by 
adding:

Article 8

Rural Physician Tuition Grant Program

 Section 
59-111-610. (A) There is 
established the Rural Physician Tuition Grant Program, administered by the 
Commission on Higher Education, for the purpose of increasing the number of 
licensed physicians practicing medicine in rural areas of this State.

 (B) 
For purposes of this article, "rural area" means a county or geographic area of 
this State that meets the definition of a rural area as defined in Section 
44-6-910.

 Section 
59-111-620. (A) The program shall 
provide tuition grants, and not loans, to eligible students enrolled in an 
accredited medical school who enter into a written service obligation agreement 
with the State.

 (B) 
A recipient shall agree to practice medicine on a full-time basis for a minimum 
of five years in a rural area of South Carolina, as defined in Section 
59-111-610(B), following completion of the recipient's medical degree, 
residency, internship, and any other required postgraduate training.

 (C) 
Grants awarded pursuant to this article must be funded from revenues of the 
South Carolina Education Lottery, pursuant to Section 59-150-350, and may be 
used only for the payment of tuition and mandatory academic fees.

 Section 
59-111-630. To be eligible for a grant under this 
article, an applicant must:

 (1) 
be a legal resident of South Carolina at the time of application;

 (2) 
be accepted for enrollment or enrolled in an accredited allopathic or 
osteopathic medical school approved by the Commission on Higher Education;

 (3) 
agree to complete all academic and clinical requirements necessary for 
licensure to practice medicine in South Carolina; and

 (4) 
execute a service obligation agreement as required by Section 59-111-620.

 Section 
59-111-640. In awarding grants, the commission may give priority 
consideration, but not exclusive preference, to applicants who intend to 
practice in medical specialties commonly needed in rural areas of the State.

 Section 
59-111-650. (A) The Commission on 
Higher Education shall administer the program and promulgate regulations 
necessary to carry out the provisions of this article.

 (B) 
Regulations must include, but are not limited to:

 (1) 
the maximum annual grant amount per recipient;

 (2) 
the maximum cumulative grant award per recipient;

 (3) 
the maximum number of grants awarded in any fiscal year;

 (4) 
application procedures and selection criteria;

 (5) 
standards for approval of service locations within rural areas of the State; 
and

 (6) 
procedures for monitoring compliance with service obligations.

 Section 
59-111-660. (A) The service 
obligation period begins upon the recipient's initial licensure to practice 
medicine in South Carolina after completion of all required postgraduate 
training.

 (B) 
The service obligation must be fulfilled on a continuous basis unless the 
commission approves an interruption for good cause shown.

 Section 
59-111-670. (A) A recipient who 
fails to satisfy the service obligation required by this article, other than 
due to permanent disability or death, is in material breach of the service 
obligation agreement.

 (B) 
Upon breach, the recipient is subject to the following remedies:

 (1) 
repayment to the State of South Carolina of an amount equal to one hundred 
fifty percent of the total grant funds received, plus interest at the legal 
rate, as liquidated damages;

 (2) 
ineligibility for issuance or renewal of a license to practice medicine in 
South Carolina until all amounts owed pursuant to item (1) are paid in full; 
and

 (3) 
referral to appropriate licensing authorities for enforcement consistent with 
state law.

 (C) 
The remedies provided in this section are cumulative and in addition to any 
other remedies available at law or in equity.

 Section 
59-111-680. The commission may grant a deferral or partial waiver of the 
service obligation upon a showing of extreme hardship, serious illness, or 
other