Non-compliance Penalties

• Employers will be informed about the open enrollment period two months before their enrollment window begins.

Period	Actions
Months 1-6	Employer is reminded about their open enrollment window.
Months 7 – 18	Written notices of noncompliance to employer.
Months 19 - 24	Contact employer and send out two certified letters explaining that penalty will be imposed after the 24-month period.
Penalty	Impose Penalty of $100/employee with a maximum penalty of $4,000
Months 25 - 36	Continue to contact employer and warn employer of upcoming penalty.
Penalty	Impose penalty of $200/employee with a maximum penalty of $6,000
Months 37 - 48	Continue to contact employer and warn employer of upcoming penalty.
Penalty	Impose penalty of $300/employee with no maximum penalty.
Each ongoing year	Continue to contact employer and warn employer of upcoming penalty.
Penalty	Impose penalty of $500/employee with no maximum penalty.