42 CFR §432.10

1. (a)State plan requirement. A State plan must provide that the requirements of paragraphs (c) through (h) of this section are met.
2. (b)Terms. In this section, “standards” refer to those specified in paragraph (c) of this section.
3. (c)Methods of personnel administration. Methods of personnel administration must be established and maintained, in the Medicaid agency and in local agencies administering the propgram, in conformity with:
   1. (1)[Reserved]
   2. (2)5 CFR part 900, subpart F, Administration of the Standards for Merit System of Personnel Administration.
4. (d)Compliance of local jurisdictions. The Medicaid agency must have in effect methods to assure compliance with the standards by local jurisdictions included in the plan.
5. (e)Review and adequacy of State laws, regulations, and policies. The agency must—
   1. (1)Assure that the U.S. Civil Service Commission has determined the adequacy of current State laws, regulations, and policy statements that effect methods of personnel administration in conformity with the standards, and
   2. (2)Submit any changes in them to the Commission for review.
6. (f)Statements of acceptance by local agencies. If the Medicaid agency changes from a State-administered to a State-supervised, locally administered program, it must obtain statements of acceptance of the standards from the local agencies.
7. (g)Affirmative action plan. The Medicaid agency must have in effect an affirmative action plan for equal employment opportunity, that includes specific action steps and timetables to assure that opportunity, and meets all other requirements of 45 CFR 70.4. 1
8. (h)Submittal of requested materials. The Medicaid agency must submit to HHS, upon request, copies of the affirmative action plan and of the State and local materials that assure compliance with the standards.