Use of Civil Money Penalty (CMP) Funds by States and Reporting of CMP Funds Returned to the State

The purpose of this memorandum is to clarify that States may direct collected CMP funds to entities other than nursing homes as long as funds are used in accordance with statutory intent; share innovative practices that States may want to consider when making decisions about how CMP funds can be directed and used to improve the quality of care and life for nursing home residents; and announce CMS will consider reporting CMP amounts that have been returned to each State.