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Federal Register / Vol. 86, No. 2 / Tuesday, January 5, 2021 / Rules and Regulations
State agency offers a conciliation process as part of its E&T program, it must issue the notice of adverse action no later than the end of the conciliation period.
ii The notice of adverse action must contain the particular act of noncompliance committed and the proposed period of disqualification. The notice must also specify that the individual may, if appropriate, reapply at the end of the disqualification period.
Information must be included on or with the notice describing the action that can be taken to avoid the disqualification before the disqualification period begins. The disqualification period must begin with the first month following the expiration of the 10-day adverse notice period, unless a fair hearing is requested.
iii An E&T disqualification may be imposed after the end of a certification period. Thus, a notice of adverse action must be sent whenever the State agency becomes aware of an individuals noncompliance with SNAP work requirements, even if the disqualification begins after the certification period expires and the household has not been recertified.
2 Disqualification periods. The following disqualification periods will be imposed:
i For the first occurrence of noncompliance, the individual will be disqualified until the later of:
A The date the individual complies, as determined by the State agency;
B One month; or C Up to three months, at State agency option.
ii For the second occurrence, until the later of:
A The date the individual complies, as determined by the State agency;
B Three months; or C Up to six months, at State agency option.
iii For the third or subsequent occurrence, until the later of:
A The date the individual complies, as determined by the State agency;
B Six months;
C A date determined by the State agency; or D At the option of the State agency, permanently.
3 Record retention. In accordance with 272.1f of this chapter, State agencies are required to retain records concerning the frequency of noncompliance with FSP work requirements and the resulting disqualification actions imposed. These records must be available for inspection and audit at any reasonable time to ensure conformance with the minimum mandatory disqualification periods instituted.

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4 Disqualification plan. In accordance with 272.2d1xiii of this chapter, each State agency must prepare and submit a plan detailing its disqualification policies. The plan must include the length of disqualification to be enforced for each occurrence of noncompliance, how compliance is determined by the State agency, and the State agencys household disqualification policy.
5 Household ineligibility. i If the individual who becomes ineligible to participate under paragraph f1 of this section is the head of a household, the State agency, at its option, may disqualify the entire household from SNAP participation.
ii The State agency may disqualify the household for a period that does not exceed the lesser of:
A The duration of the ineligibility of the noncompliant individual under paragraph f2 of this section; or B 180 days.
iii A household disqualified under this provision may reestablish eligibility if:
A The head of the household leaves the household;
B A new and eligible person joins the household as the head of the household, as defined in 273.1d2;
or C The head of the household becomes exempt from work requirements during the disqualification period.
iv If the head of the household joins another household as its head, that household will be disqualified from participating in SNAP for the remaining period of ineligibility.
6 Fair hearings. Each individual or household has the right to request a fair hearing, in accordance with 273.15, to appeal a denial, reduction, or termination of benefits due to a determination of nonexempt status, or a State agency determination of failure to comply with SNAP work requirements.
Individuals or households may appeal State agency actions such as exemption status, the type of requirement imposed, or State agency refusal to make a finding of good cause if the individual or household believes that a finding of failure to comply has resulted from improper decisions on these matters.
The State agency or its designee operating the relevant component or service of the E&T program must receive sufficient advance notice to either permit the attendance of a representative or ensure that a representative will be available for questioning over the phone during the hearing. A representative of the appropriate agency must be available
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through one of these means. A
household must be allowed to examine its E&T program casefile at a reasonable time before the date of the fair hearing, except for confidential information that may include test results that the agency determines should be protected from release. Confidential information not released to a household may not be used by either party at the hearing. The results of the fair hearing are binding on the State agency.
7 Failure to comply with a work requirement under title IV of the Social Security Act, or an unemployment compensation work requirement. An individual exempt from SNAP work requirements by paragraph b1iii or v of this section because he or she is subject to work requirements under title IVA or unemployment compensation who fails to comply with a title IVA or unemployment compensation work requirement will be treated as though he or she failed to comply with SNAP work requirement.
i When a SNAP household reports the loss or denial of title IVA or unemployment compensation benefits, or if the State agency otherwise learns of a loss or denial, the State agency must determine whether the loss or denial resulted when a household member refused or failed without good cause to comply with a title IVA or unemployment compensation work requirement.
ii If the State agency determines that the loss or denial of benefits resulted from an individuals refusal or failure without good cause to comply with a title IV or unemployment compensation requirement, the individual or household if applicable under paragraph f5 of this section must be disqualified in accordance with the applicable provisions of this paragraph f. However, if the noncomplying individual meets one of the work registration exemptions provided in paragraph b1 of this section other than the exemptions provided in paragraph b1iii or v of this section the individual or household if applicable under paragraph f5 of this section will not be disqualified.
iii If the State agency determination of noncompliance with a title IVA or unemployment compensation work requirement leads to a denial or termination of the individuals or households SNAP benefits, the individual or household has a right to appeal the decision in accordance with the provisions of paragraph f6 of this section.
iv In cases where the individual is disqualified from the title IVA program for refusal or failure to comply with a
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