---
kind: "section"
citation: "42 C.F.R. § 457.606"
title: "42"
number: "457.606"
heading: "Conditions for State allotments and Federal payments for a fiscal year."
url: "https://uscodex.org/cfr/42/457.606"
---

# §457.606. Conditions for State allotments and Federal payments for a fiscal year.

- (a) **Basic conditions.** In order to receive a State allotment for a fiscal year, a State must have a State child health plan submitted in accordance with section 2106 of the Act, and
  - (1) For fiscal years 1998 and 1999, the State child health plan must be approved before October 1, 1999;
  - (2) For fiscal years after 1999, the State child health plan must be approved by the end of the fiscal year;
  - (3) An allotment for a fiscal year is not available to a State prior to the beginning of the fiscal year; and
  - (4) Federal payments out of an allotment are based on State expenditures which are allowable under the approved State child health plan.
- (b) Federal payments for Children's Health Insurance Program (CHIP) expenditures under an approved State child health plan are—
  - (1) Limited to the amount of available funds remaining in State allotments calculated in accordance with the allotment process and formula specified in §§ [457.608](/cfr/42/457.608.md) and [457.610](/cfr/42/457.610.md), and payment process in §§ [457.614](/cfr/42/457.614.md) and [457.616](/cfr/42/457.616.md).
  - (2) Available based on a percentage of State CHIP expenditures, at a rate equal to the enhanced Federal medical assistance percentage (FMAP) for each fiscal year, calculated in accordance with [§ 457.622](/cfr/42/457.622.md).
  - (3) Available through the grants process specified in [§ 457.630](/cfr/42/457.630.md).

## Notes

### Amendments

[65 FR 33622, May 24, 2000, as amended at 75 FR 48852, Aug. 11, 2010]

### Authority

Authority: 42 U.S.C. 1302.

### Source

Source: 65 FR 33622, May 24, 2000, unless otherwise noted.

### Amendments

[65 FR 33622, May 24, 2000, as amended at 75 FR 48852, Aug. 11, 2010]