NEW MEXICO DEPARTMENT OF HEALTH
Secretary Dr. Alfredo Vigil

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For immediate release:                                                  Contact: Deborah Busemeyer
December 21, 2007                                                       827-2619, 470-2290
 
Department of Health Launches New Tax Credit Program for Rural Health Care Providers
 
(Albuquerque) – Lt. Governor Diane Denish joined Health Secretary Dr. Alfredo Vigil at a news conference in Albuquerque today to announce a new tax credit for health-care providers who provide care in rural, underserved areas of New Mexico.
 
Health-care providers may be eligible for an income tax credit of $3,000 or $5,000. The New Mexico Department of Health will begin accepting applications for the Rural Health Care Practitioner Tax Credit Program Jan. 1.
 
The new program is one of Governor Bill Richardson and Lt. Governor Diane Denish’s initiatives to attract and retain more health-care professionals in rural areas of New Mexico that typically don’t have enough providers. There are communities in every county of the state, except Los Alamos County, that are considered rural, underserved areas by the federal government.
 
“The Governor and I long ago realized that our efforts to expand health coverage won’t be as effective as possible without an accompanying effort to expand health care – especially to rural parts of the state,” said Lt. Governor Diane Denish. “I worked for this tax credit as one part of a package of programs designed to increase the number of health providers to less-populated parts of New Mexico.”
 
Practitioners who are eligible for a $5,000 tax credit per year are: licensed physicians, osteopathic physicians, dentists, clinical psychologists, podiatrists and optometrists. Health-care providers who are eligible for a $3,000 tax credit per year are: licensed dental hygienists, physician assistants, certified nurse midwives, certified registered nurse anesthetists, certified nurse practitioners and clinical nurse specialists. The credit will be available to eligible providers for taxable years beginning Jan. 1, 2007.
 
“It is especially hard to recruit and retain physicians for our rural areas,” said Randy Marshall, executive director of the New Mexico Medical Society. “Programs such as this make it easier.”
 
The Department considered federal criteria and New Mexico’s needs to determine eligible areas. The Department will review the lists of approved practice locations annually and make changes based on the need for health practitioners throughout the state.
 
Eligible providers must provide health care for at least 2,080 hours to receive the full credit and at least 1,040 hours for half of the tax credit. To apply, providers need to submit an application to the Department with documentation that proves they have provided health care at least one year at an approved location.
 
For more information about the tax credit, please look up www.nmhealth.org or call the Department at 505-841-5817. Providers can mail application information to the Rural Health Care Practitioner Tax Credit Program, New Mexico Department of Health, 300 San Mateo NE – Suite 900, Albuquerque, NM 87108.
 
The rural health care tax credit is a new program to make it easier to attract and retain health-care providers in communities that don’t have enough providers. Department of Health and Higher Education Department have several programs to increase the number of health-care providers in rural communities.
 
“The tax credit is one way we can support our providers who are dedicated to serve in rural communities of New Mexico,” Dr. Vigil said.
 
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Deborah Busemeyer
Communications Director
Office of Secretary, NM Department of Health
505-827-2619, 470-2290