Medicare Managed Care Manual (Pub. 100-16), Ch. 11 § 70.3
Nonrenewal of MA Contract: CMS-Initiated
70.3 - Nonrenewal of MA Contract: CMS-Initiated
(Rev. 79, Issued 02-17-06, Effective Date 02-17-06)
CMS may elect not to authorize renewal of an MA contract. CMS must notify the MA
organization of its intent to nonrenew by May 1 of the contract year, except in the event
of paragraph (d), below, in which case notice will be sent by September 1. Reasons for
CMS non-renewal of a contract include the following:
a. The MA organization has not fully implemented or shown discernable progress in
implementing quality improvement projects;
b. For any of the same reasons that CMS would terminate a contract;
c. The MA organization has committed any of the acts that would support imposition
of intermediate sanctions or civil money penalties; or
d. The MA organization did not submit a benefit and price bid or the benefit and
price bid was not acceptable.