45 CFR 261.53
§ 261.53 May a State correct the problem before incurring a penalty?
United States · 45 CFR — Public Welfare · Status: effective
Cite this
- Citation
- 45 CFR 261.53, § 261.53 May a State correct the problem before incurring a penalty?, United States, version 1 as recorded 2026-07-09, yourstate.us, https://yourstate.us/provision/218513
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Full text
(a) Yes. A State may enter into a corrective compliance plan to remedy a problem that caused its failure to meet a participation rate, as specified at § 262.6 of this chapter.
(b) To qualify for a penalty reduction under § 262.6(j)(1) of this chapter, based on significant progress towards correcting a violation, a State must reduce the difference between the participation rate it achieved in the year for which it is subject to a penalty and the rate applicable during the penalty year (adjusted for any caseload reduction credit determined pursuant to subpart D of this part) by at least 50 percent.
Legislative history
This is a federal regulation, adopted through agency rulemaking under the Administrative Procedure Act — not enacted by a recorded vote of Congress.