One or more residency programs may close.

All programs close.

The hospital closing the program may choose whether to temporarily loan training slots to another hospital.

CMS is required to permanently redistribute slots from closed hospitals through the section 5506 slot redistribution process.

Residents must be physically present at the hospital that is closing the program (or on standard vacation) on the last or next-to-last day of the program (i.e., they cannot be training in another hospital) to be considered a “displaced” resident with respect to whom a temporary slot transfer may be made to support further training.

Residents must be physically present at the closing hospital (or on standard vacation) on the last or next-to-last day of the resident’s program (i.e., they cannot be training in another hospital) to be considered a “displaced” resident with respect to whom a permanent slot award may be made to a hospital applying under ranking criteria 1 and 3 of the section 5506 application, for applicant hospitals that have committed to taking over all or a portion of the closed program.

A hospital hosting a displaced resident has 60 days after beginning to train the resident to submit a request to its MAC regarding temporary funding transfers.

Hospitals have 90 days to apply for a permanent slot award after a section 5506 closed hospital redistribution announcement is published in the display copy of the Federal Register.