---
kind: "section"
citation: "45 C.F.R. § 1303.33"
title: "45"
number: "1303.33"
heading: "Termination of delegate agencies."
url: "https://uscodex.org/cfr/45/1303.33"
---

# §1303.33. Termination of delegate agencies.

- (a) If a grant recipient shows cause why termination is appropriate or demonstrates cost effectiveness, the grant recipient may terminate a delegate agency's contract.
- (b) The grant recipient's decision to terminate must not be arbitrary or capricious.
- (c) The grant recipient must establish a process for defunding a delegate agency, including an appeal of a defunding decision and must ensure the process is fair and timely.
- (d) The grant recipient must notify the responsible HHS official about the appeal and its decision.

## Notes

### Authority

Authority: 42 U.S.C. 9801 et seq.

### Source

Source: 81 FR 61412, Sept. 6, 2016, unless otherwise noted.