[Code of Federal Regulations] [Title 42, Volume 3] [Revised as of October 1, 2002] From the U.S. Government Printing Office via GPO Access [CITE: 42CFR430.45] [Page 13] TITLE 42--PUBLIC HEALTH CHAPTER IV--CENTERS FOR MEDICARE & MEDICAID SERVICES, DEPARTMENT OF HEALTH AND HUMAN SERVICES--(Continued) PART 430--GRANTS TO STATES FOR MEDICAL ASSISTANCE PROGRAMS--Table of Contents Subpart C--Grants; Reviews and Audits; Withholding for Failure To Comply; Deferral and Disallowance of Claims; Reduction of Federal Medicaid Payments Sec. 430.45 Reduction of Federal Medicaid payments. (a) Methods of reduction. CMS may reduce Medicaid payments to a State as required under the Act by reducing-- (1) The Federal Medical Assistance Percentage; (2) The amount of State expenditures subject to FFP; (3) The rates of FFP; or (4) The amount otherwise payable to the State. (b) Right to reconsideration. A state that receives written final notice of a reduction under paragraph (a) of this section has a right to reconsideration. The provisions of Sec. 430.42 (b) and (c) apply. (c) Other applicable rules. Other rules regarding reduction of Medicaid payments are set forth in parts 433 and 447 of this chapter.