(a) Eligibility.— An individual is eligible to participate in the Education Debt Reduction Program if the individual
(1) is a recently appointed employee in the Veterans Health Administration serving in a position (as determined by the Secretary) providing direct-patient care services or services incident to direct-patient care services for which recruitment or retention of qualified health-care personnel (as so determined) is difficult; and
(2) owes any amount of principal or interest under a loan, the proceeds of which were used by or on behalf of that individual to pay costs relating to a course of education or training which led to a degree that qualified the individual for the position referred to in paragraph (1).
(b) Covered Costs.— For purposes of subsection (a)(2), costs relating to a course of education or training include
(1) tuition expenses;
(2) all other reasonable educational expenses, including expenses for fees, books, and laboratory expenses; and
(3) reasonable living expenses.
(c) Recently Appointed Individuals.—
For purposes of subsection (a), an individual shall be considered to be recently appointed to a position if the individual has held that position for less than 6 months.