42 CFR § 433.120 - Procedures for reduction of FFP after reapproval review.

---
identifier: "/us/cfr/t42/s433.120"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "42 CFR § 433.120 - Procedures for reduction of FFP after reapproval review."
title_number: 42
title_name: "Public Health"
section_number: "433.120"
section_name: "Procedures for reduction of FFP after reapproval review."
chapter_name: "CENTERS FOR MEDICARE & MEDICAID SERVICES, DEPARTMENT OF HEALTH AND HUMAN SERVICES"
subchapter_number: "C"
subchapter_name: "MEDICAL ASSISTANCE PROGRAMS"
part_number: "433"
part_name: "STATE FISCAL ADMINISTRATION"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "42 U.S.C. 1302."
regulatory_source: "43 FR 45201, Sept. 29, 1978, unless otherwise noted."
cfr_part: "433"
---


# 433.120 Procedures for reduction of FFP after reapproval review.

(a) If CMS determines after the reapproval review that the system no longer meets the conditions for reapproval in § 433.119, CMS may reduce FFP for certain expenditures for system operations.

(b) CMS may reduce FFP from 75 percent to 50 percent for expenditures related to the operations of non-compliant functionality or system components.

[80 FR 75843, Dec. 4, 2015]