---
kind: "section"
citation: "24 C.F.R. § 1003.702"
title: "24"
number: "1003.702"
heading: "Reduction or withdrawal of grant."
url: "https://uscodex.org/cfr/24/1003.702"
---

# §1003.702. Reduction or withdrawal of grant.

- (a) **General.** A reduction or withdrawal of a grant under [paragraph (b)](#b) of this section will not be made until at least one of the corrective or remedial actions specified in [§ 1003.701(b)](/cfr/24/1003.701.md?p=b) has been taken and only then if the grantee has not made an appropriate and timely response. Before making such a grant reduction or withdrawal, the grantee also shall be notified and given an opportunity within a prescribed time for an informal consultation regarding the proposed action.
- (b) **Reduction or withdrawal.** When the Area ONAP determines, on the basis of a review of the grantee's performance, that the objectives set forth in § [1003.700(a)(2)](/cfr/24/1003.700.md?p=a-2) or [(3)](/cfr/24/1003.700.md?p=a-3) have not been met, the Area ONAP may reduce or withdraw the grant, except that funds already expended on eligible approved activities shall not be recaptured.

## Notes

### Authority

Authority: 42 U.S.C. 3535(d) and 5301 et seq.

### Source

Source: 61 FR 40090, July 31, 1996, unless otherwise noted. Redesignated at 62 FR 12349, Mar. 12, 1998.