1. One-half to make grants under the Health Manpower
Shortage Incentive Grant Program under § 18-803 of the Education Article; and

2. One-half to make grants under the Loan Assistance
Repayment Program under § 18-1502(c) of the Education Article to physicians
engaged in primary care or to medical residents specializing in primary care who
agree to practice for at least 2 years as primary care physicians in a geographic area
of the State that has been designated by the Secretary of Health and Mental Hygiene
as being medically underserved; and

[(iii)] (II) The balance of the fees to the Board of Physician Quality
Assurance Fund.

(d) (1) The Fund shall be used exclusively to cover the actual documented
direct and indirect costs of fulfilling the statutory and regulatory duties of the Board
as provided by the provisions of this title.

(2) (i) The Fund is a continuing, nonlapsing fund, not subject to §
7-302 of the State Finance and Procurement Article.

(ii) Any unspent portions of the Fund may not be transferred or
revert to the General Fund of the State, but shall remain in the Fund to be used for
the purposes specified in this title.

(3) No other State money may be used to support the Fund.

(e) (1) The Chairman of the Board or the designee of the Chairman shall
administer the Fund.

(2) Moneys in the Fund may be expended only for any lawful purpose
authorized by the provisions of this title.

(f) The Legislative Auditor shall audit the accounts and transactions of the
Fund as provided in § 2-1220 of the State Government Article.

SECTION 2. AND BE IT FURTHER ENACTED, That the Board of Physician
Quality Assurance shall, on or before June 30, 2000, reduce the fees it sets under §
14-207(b) of the Health Occupations Article for the issuance and renewal of licenses
and its other services, and for the compensation and expenses of its members, in an
amount equal to 6 percent of the fees the State Comptroller distributed to the General
Fund of the State in fiscal year 1999 under § 14-207(c)(2)(i) of the Health
Occupations Article, as repealed by Section 1 of this Act.

SECTION 3. 2. AND BE IT FURTHER ENACTED, That this Act shall take
effect July 1, 1999.