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Sanction policies are different for participants extended on MFIP beyond the 60-month time limit.

The differences include:

· Non-compliance can result in permanently closing a participant’s case.

· The count of sanction occurrences starts over after month 60.

· Two-parent provisions are more complex.

Participants extended for a reason other than employed are considered Family Stabilization Services participants.

· Follow the directions about the steps to take before a sanction is imposed in Chapter 18.x, Family Stabilization Services. See 17.61 (Sanctions).

Participants may claim good cause reasons for not complying. See 19.9 (Good Cause).

To impose a sanction:

Follow the directions about the steps to take before a sanction is imposed in the Family Stabilization Services. See 17.61 (Sanctions).

· This step is not necessary for participants extended because of employment.

· Send a MFIP Notice of Intent to Sanction (DHS-3175) (PDF).

· Notify the eligibility worker if either of the following occur:

· The participant does not respond within 10 days.

· The participant does not follow through with the steps necessary to comply as outlined in the Notice of Intent to Sanction.

For participants using banked months, apply the sanction policies for pre-60 months MFIP.
Sanction Sequence: For participants extended as Employed or in a Hard to Employ category, see 18.18 (Extension Categories):

1st Occurrence,	· The eligibility worker issues a notice of adverse action. · A 10% reduction to the grant is imposed if the participant still does not reply or take the steps necessary to comply.
2nd Occurrence.	A case review must occur. 19.36 (Sanction Reviews and Outreach). · The eligibility worker sends a notice of adverse action. · A 30% sanction with vendoring is imposed. See 19.15 (Vendoring Benefits).
3rd Occurrence.	A 30% sanction with vendoring is imposed. See 19.12 (Sanction Types).
4th Occurrence.	· The participant’s case is closed. · The participant must apply to reopen MFIP. · To reopen the case, the participant must meet 1 of the following conditions: Comply with employment services for up to 1 month. Meet the criteria for another extension category.
5th Occurrence.	The eligibility worker issues a notice of adverse action. A 10% reduction to the grant is imposed if the participant still does not reply or take the steps necessary to comply.
6th Occurrence.	· The County or tribe responsible for administering MFIP must review the participant’s employment plan to determine if it is still appropriate. · The County or tribe responsible for administering MFIP must make a good faith effort to meet with the participant face-to-face. · The face-to-face meeting must include the information outlined at 19.18 (Steps Before Imposing a Sanction). · The eligibility worker must send a notice of adverse action, if the first 2 steps do not resolve the non-compliance. · The notice must inform the participant that the participant will be permanently disqualified. · The participant’s case is closed. · The participant is permanently disqualified from MFIP.