A bill to permit the Secretary of Health and Human Services to enter into loan forgiveness agreements with physicians specializing in primary care or psychiatry on the condition that such physicians serve in health manpower shortage areas, and for other purposes.

Amends the Public Health Service Act to direct the Secretary of Health and Human Services to enter into loan forgiveness agreements with specified physicians who agree to practice at least two years in health manpower shortage areas. Permits such agreements to be renewed for up to four consecutive one-year periods. Sets forth the Secretary's payments schedule. Establishes annual and aggregate payments limits for any one individual. Limits the number of agreements for each of fiscal years 1985 through 1988. Authorizes specified appropriations for fiscal years 1985 through 1988.

Directs the Secretary to prescribe certain regulations concerning health manpower shortage areas by January 1, 1984.