42 CFR §488.456

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