45 CFR 261.50 - What happens if a State fails to meet the participation rates?
(2) For each consecutive year that the State is subject to a penalty under this part, we will increase the amount of the base penalty by two percentage points over the previous year's penalty. However, the penalty can never exceed 21 percent of the State's adjusted SFAG.
(c) We impose a penalty by reducing the SFAG payable for the fiscal year that immediately follows our final determination that a State is subject to a penalty and our final determination of the penalty amount.
- 45 CFR 261.51 — Under What Circumstances Will We Reduce the Amount of the Penalty Below the Maximum?
- 45 CFR 260.70 — What Is the Purpose of This Subpart?
- 45 CFR 260.72 — What Basic Requirements Must State Demonstration Components Meet for the Purpose of Determining if Inconsistencies Exist With Respect to Work Requirements or Time Limits?