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requested by the commenters.

Changes: None.

Subpart C--State Application and Assurances

General

Comment: A few commenters requested clarification about State application requirements regarding how States ensure the coordination of all available resources and whether interagency agreements, State laws or regulations, or other methods were required.

Discussion: Each State must have policies and procedures to ensure the coordination of all available resources in the State and to implement the payor of last resort

requirements in §303.511. Section 303.511(b) requires the

State to use one or more of the following methods to

implement Part C’s payor of last resort requirements:

State law or regulation, interagency agreements, or other appropriate written methods that are approved by the Secretary.

We have added a new §303.203(b)(2) to clarify that the

State must include in its application, those methods used by the State to implement the payor of last resort

requirements in §303.511(b)(2) and (b)(3), such as

interagency agreements and other appropriate written methods. We require submission of the methods referenced