A bipartisan bill to address the shortage of rural veterinary services has been introduced in the U.S. Congress.
The Rural Veterinary Workforce Act would allow veterinarians practicing in underserved areas to exempt student loan repayments from their taxable income. A similar provision exists for physicians who practice in underserved states. The legislation would give veterinarians a similar opportunity to serve the areas that most need their help.
“By addressing the burdensome taxes on the Veterinary Medicine Loan Repayment Program, this legislation would allow more veterinarians to serve in the rural and underserved communities most in need and help ensure ranchers and farmers have access to these essential veterinary services,” said bill co-sponsor Idaho Sen. Mike Crapo.
Almost every rural state faces a shortage of veterinarians needed to maintain an agricultural economy and ensure public health. To address this crisis, Congress established the Veterinary Medicine Loan Repayment Program (VMLRP) to help qualified veterinarians repay their student loans in exchange for practicing for three years in underserved communities.
However, the VMLRP is subject to a significant federal withholding tax, which limits the program’s benefits. This legislation would lift this burden by allowing recipients to exempt payments received under this and similar state programs. This change would enable veterinarians to practice in the underserved areas that may otherwise be unaffordable.
“This record shortage causes serious harm to the health of animals and the public,” said Minnesota Sen. Tina Smith, co-sponsor of the bill. “Providing additional funding to the Veterinary Medicine Loan Repayment Program and updating the tax code to better serve veterinarians will allow more qualified vets to do vital work with our animals in underserved communities.”
In addition to Crapo and Smith, the bill is co-sponsored by Sens. John Boozman (R-Arkansas), Susan Collins (R-Maine), Cindy Hyde-Smith (R-Mississippi), Cynthia Lummis (R-Wyoming), Jerry Moran (R-Kanas), Jim Risch (R-Idaho), Chris Coons (D-Delaware), Kirsten Gillibrand (D-New York), Angus King (I-Maine), Amy Klobuchar (D-Minnesota) and Jon Ossoff (D-Georgia).
Reps. Adrian Smith (R-Nebraska) and John Larson (D-Connecticut) introduced a companion bill in the U.S. House of Representatives.
