(1) The department shall develop criteria for identifying and designating a geographic area, population group, or health facility as a health resource shortage area. In developing the criteria, the department shall consider the needs of rural areas. The criteria may include, but are not limited to, all of the following:

    (a) Infant mortality rate.

    (b) Percentage of population below 100% of the poverty line.

    (c) Percentage of population age 65 and over.

    (d) Appropriate physician to population ratio.

    (e) Percentage of population eligible for Medicaid.

    (f) Aggregate unemployment rate.

    (g) Percentage of practicing physicians who accept Medicare or Medicaid assignment.

    (h) Geographic proximity of physicians to the resident population.

    (i) Average time the resident population must travel to obtain physician services from physicians in a designated physician specialty area.

    (2) On the basis of the criteria set forth in subsection (1), the department shall identify and designate geographic areas, population groups, and health facilities in this state as health resource shortage areas for 1 or more designated professionals.

    (3) Each of the following is considered a health resource shortage area:

    (a) A health professional shortage area, as designated under section 332 of title III of the public health service act, 42 USC 254e, that is located in this state.

    (b) A population of an urban or rural area designated as an area with a shortage of personal health services, as designated under section 330(b)(3) of title III of the public health service act, 42 USC 254c, that is located within this state.

    (c) A population group designated as having a shortage of personal health services, as designated under section 330(b)(3) of title III of the public health service act, 42 USC 254c, that is located within this state.