---
kind: "section"
citation: "42 C.F.R. § 438.812"
title: "42"
number: "438.812"
heading: "Costs under risk and nonrisk contracts."
url: "https://uscodex.org/cfr/42/438.812"
---

# §438.812. Costs under risk and nonrisk contracts.

- (a) Under a risk contract, the total amount the State agency pays for carrying out the contract provisions is a medical assistance cost.
- (b) **Under a nonrisk contract—**
  - (1) The amount the State agency pays for the furnishing of medical services to eligible beneficiaries is a medical assistance cost; and
  - (2) The amount the State agency pays for the contractor's performance of other functions is an administrative cost.

## Notes

### Source

Source: 81 FR 27853, May 6, 2016, unless otherwise noted.

### Authority

Authority: 42 U.S.C. 1302.

### Source

Source: 67 FR 41095, June 14, 2002, unless otherwise noted.