---
kind: "section"
citation: "42 C.F.R. § 488.456"
title: "42"
number: "488.456"
heading: "Termination of provider agreement."
url: "https://uscodex.org/cfr/42/488.456"
---

# §488.456. Termination of provider agreement.

- (a) **Effect of termination.** Termination of the provider agreement ends—
  - (1) Payment to the facility; and
  - (2) **Any alternative remedy.**
- (b) **Basis for termination.**
  - (1) CMS and the State may terminate a facility's provider agreement if a facility—
    - (i) Is not in substantial compliance with the requirements of participation, regardless of whether or not immediate jeopardy is present; or
    - (ii) **Fails to submit an acceptable plan of correction within the timeframe specified by CMS or the State.**
  - (2) **CMS and the State terminate a facility's provider agreement if a facility—**
    - (i) Fails to relinquish control to the temporary manager, if that remedy is imposed by CMS or the State; or
    - (ii) Does not meet the eligibility criteria for continuation of payment as set forth in [§ 488.412(a)(1)](/cfr/42/488.412.md?p=a-1).
- (c) **Notice of termination.** Before terminating a provider agreement, CMS does and the State must notify the facility and the public—
  - (1) At least 2 calendar days before the effective date of termination for a facility with immediate jeopardy deficiencies; and
  - (2) At least 15 calendar days before the effective date of termination for a facility with non-immediate jeopardy deficiencies that constitute noncompliance.
- (d) **Procedures for termination.**
  - (1) CMS terminates the provider agreement in accordance with procedures set forth in [§ 489.53](/cfr/42/489.53.md) of this chapter; and
  - (2) The State must terminate the provider agreement of a NF in accordance with procedures specified in parts [431](/cfr/42/part431.md) and [442](/cfr/42/part442.md) of this chapter.

## Notes

### Source

Source: 59 FR 56243, Nov. 10, 1994, unless otherwise noted.

### Authority

Authority: 42 U.S.C 1302 and 1395hh.

### Source

Source: 53 FR 22859, June 17, 1988, unless otherwise noted.