---
kind: "section"
citation: "42 C.F.R. § 124.506"
title: "42"
number: "124.506"
heading: "Allocation of services; plan requirement."
url: "https://uscodex.org/cfr/42/124.506"
---

# §124.506. Allocation of services; plan requirement.

- (a)
  - (1) A facility shall provide its uncompensated services in accordance with a plan that sets out the method by which the facility will distribute its uncompensated services among persons unable to pay. The plan must:
    - (i) State the type of services that will be made available;
    - (ii) Specify the method, if any, for distributing those services in different periods of the year;
    - (iii) State whether Category B or, in the case of nursing homes only, Category C persons will be provided uncompensated services, and if so, whether the services will be available without charge or at a reduced charge;
    - (iv) If services will be made available to Category B persons at a reduced charge, specify the method used for reducing charges, and provide that the method is applicable to all persons in Category B;
    - (v) With respect to nursing homes only, if services will be made available to Category C persons at a reduced charge, specify the method used for reducing charges, provided that such method may not result in greater reductions than those afforded to Category B persons, and provide that this method is applicable to all persons in Category C; and
    - (vi) Provide that the facility provides uncompensated services to all persons eligible under the plan who request uncompensated services.
  - (2) A facility must adopt an allocation plan that meets the requirements of [paragraph (a)](#a) by publishing the plan in a newspaper of general circulation in its area. The plan may take effect no earlier than 60 days following the date of publication.
- (b)
  - (1) If in any fiscal year a facility fails to adopt and publish a plan in accordance with [paragraph (a)](#a) of this section, it shall provide uncompensated services in accordance with the last plan it published in a newspaper of general circulation in its area.
  - (2) If no plan was previously published in accordance with [paragraph (a)(2)](#a-2) of this section, the facility must provide uncompensated services without charge to all applicants in Category A and Category B, and, with respect to nursing homes, Category C, who request service in the facility. This requirement applies until the facility ceases to provide uncompensated services under [§ 124.508](/cfr/42/124.508.md) or until an allocation plan published in accordance with [paragraph (a)(2)](#a-2) of this section becomes effective.
- (c) A facility may revise its allocation plan during the fiscal year by publishing the revised plan in a newspaper of general circulation in the area it serves. A revised plan may take effect no earlier than 60 days following the date of publication.

## Notes

### Amendments

[52 FR 46031, Dec. 3, 1987, as amended at 60 FR 16756, Mar. 31, 1995]

### Authority

Authority: 42 U.S.C. 216; 42 U.S.C. 300s(3).

### Source

Source: 52 FR 46031, Dec. 3, 1987, unless otherwise noted.

### Authority

Authority: Secs. 215, 1602, 1625, Public Health Service Act (42 U.S.C. 216, 300o-1, 300r), unless otherwise noted.

### Source

Source: 42 FR 62270, Dec. 9, 1977, unless otherwise noted.

### Amendments

[52 FR 46031, Dec. 3, 1987, as amended at 60 FR 16756, Mar. 31, 1995]