Governor Hochul Announces $48.3 Million Awarded for the Healthcare Access Loan Repayment Program

Initiative Will Help Expand Access to Essential Care in Underserved Areas

Funding Supports 352 Healthcare Professionals Committed to Serving Medicaid Members and Uninsured New Yorkers

Governor Kathy Hochul today announced awards for the Healthcare Access Loan Repayment (HEALR) Program, a $48.3 million student loan repayment initiative designed to expand access to care for Medicaid members and uninsured individuals while also attracting providers in critical, high-demand roles across New York State.  The HEALR Program provides significant financial incentives to qualifying healthcare professionals who commit to four years of employment serving high-need populations.

“Every New Yorker deserves access to high-quality healthcare, no matter where they live or how much they earn,” Governor Hochul said.  “By helping hundreds of healthcare professionals repay their student loans in exchange for serving communities that need them most, we are strengthening our workforce and making it easier for New Yorkers to get the care they need, when they need it.”

New York State Health Commissioner Dr. James McDonald said, “This investment in our healthcare workforce is also a tremendous commitment to serving populations where quality, essential care is not easily accessed.  The success of this program is resulting in positive health outcomes for more and more New Yorkers across the state.”

New York State Medicaid Director Amir Bassiri said, “Authorized under New York’s landmark 1115 Demonstration Waiver, the HEALR Program is a game-changer for our Medicaid safety net.  By directly tackling educational debt, we are not only attracting exceptional providers to high-demand roles, but we are also ensuring that our Medicaid members and those served by our Social Care Networks have reliable, long-term access to the high-quality care they deserve."

A total of 352 providers from across New York State were selected for awards from a pool of nearly 900 applicants based on their specialty, geographic location, ability to provide care in a language other than English and other criteria.  The awardee cohort includes 99 psychiatrists, 43 dentists, 76 primary care physicians, and 134 nurse practitioners.  Certain specialties, including psychiatrists serving children and adolescents, and dentists serving individuals with intellectual and developmental disabilities, received added priority.  Sixty percent of awardees provide services in a designated Health Professional Shortage Area.  Forty-five percent of awardees – representing 29 unique languages - provide services in a language other than English.  All HEALR awardees must make a four-year commitment to serving New York State Medicaid members and/or uninsured individuals.  Maximum award amounts are based on title, with psychiatrists eligible for up to $300,000 in repayment, primary care physicians and dentists eligible for up to $100,000, and nurse practitioners eligible for up to $50,000.

State Senator Gustavo Rivera said, “I would like to congratulate the 352 providers from across the state that were selected for the HEALR program.  Their expertise and commitment to their profession will benefit many of our State’s underserved communities by making healthcare services more accessible.  I look forward to working with Governor Hochul and her administration to make meaningful investments, both in the short and long term, to address our State’s healthcare workforce shortage.”

State Senator Samra Brouk said, “New York State needs more health professionals to continue providing quality care for communities with high needs.  I applaud Governor Hochul for announcing the recent awardees for the Healthcare Access Loan Repayment (HEALR) Program who will provide care for underserved residents, increasing healthcare access for individuals who face barriers to care while addressing the statewide workforce shortage.”

State Senator Nathalia Fernandez said, “This investment reflects the kind of thoughtful, forward-looking leadership needed to strengthen New York’s healthcare system.  By helping reduce the financial burden on healthcare professionals who commit to serving Medicaid members and uninsured New Yorkers, Governor Hochul is supporting our workforce while expanding access to care in communities that need it most.  This is a responsible use of government resources that invests in both the people providing care and the New Yorkers who depend on them.”

State Senator Patricia Fahy said, “Access to healthcare is dwindling in some of our most rural areas and urban centers.  These funds will help attract needed medical professionals to help serve vulnerable populations at a time when the federal government is slashing access to healthcare and Medicaid.  Thank you Governor Hochul for recognizing the need to strengthen our workforce and invest in all New Yorkers.”

Assemblymember Amy Paulin said, “HEALR is a common sense way to tackle New York’s workforce shortage, and I’m grateful to Governor Hochul for making this investment.”

Assemblymember Jo Anne Simon said, “Expanding access to healthcare starts with building a strong, diverse workforce.  The HEALR Program will help providers, including much-needed psychiatrists, repay their student loans in exchange for four years of service to Medicaid members and uninsured New Yorkers.  In fact, research has shown that loan forgiveness and reimbursement programs are the most helpful way to both attract and retain health and mental healthcare professionals.  Thank you, Governor Hochul, for investing in expanding care.”

Assemblymember Phil Steck said, “Nurses are essential to the health of our communities, and I have always stood with them in calling for fair compensation and the working conditions they deserve.  I’m pleased to see New York offer loan repayment to nurse practitioners and other healthcare professionals who commit to serving people who too often struggle to get care.  These incentives can help us retain providers and address workforce shortages before more New Yorkers are left without the care they need.”

Assemblymember Angelo Santabarbara said, “Too many New Yorkers have health coverage but still don’t have access to the care they need.  Having insurance doesn’t help if you can’t find a doctor, dentist or mental health provider when you need one.  We need to make sure people can get care close to home, no matter where they live or how much they earn.  This program will help bring more healthcare workers into our communities and keep them there.  It will also help build a stronger healthcare workforce for the future.  When people need care, they should be able to get it without waiting months or traveling long distances.  This is an important step toward making sure more New Yorkers have access to the care they need.”

While New York State has made significant strides in expanding healthcare coverage, statewide workforce shortages in the health sector mean that even those with coverage may struggle to access the care they need.  To address this, New York has created two initiatives through its federal 1115 Waiver – the HEALR Program and the Career Pathways Training (CPT) Program - aimed at bolstering the healthcare workforce in underserved areas.  The CPT Program was launched in 2024, with $646 million in federal funding for training and education for career entry and advancement across 13 eligible occupational titles.  The CPT Program provides support for tuition, textbooks, and academic and career support services for physical health, behavioral health, and social care workers who make a three-year commitment to serving Medicaid members.  To date, the CPT Program enrolled more than 14,000 participants.  Taken together, these two initiatives represent a nearly $700 million investment in strengthening New York’s health workforce and ensuring that New Yorkers have timely access to the care they need.  Further information about the HEALR Program can be found at: Health Care Access Loan Repayment (HEALR) Program.