The agency enters the disqualification penalty period and FAMIS calculates when the period ends based on the type of disqualification and whether it is the first, second, or third disqualification. On the first day of each month, FAMIS checks all food stamp EUs in ACT (active) and APV (active - postponed verification) status to see if any individuals in IC (included) status have a disqualification that ends in the current month or ended in the prior month. If any are found, FAMIS performs an eligibility determination. The eligibility and benefit level of the EU is recomputed and the disqualified member's role is changed to IN effective for the month after the disqualification ends (unless the individual fails for some other reason).
When the imposition of a disqualification penalty resulted in closing an EU, the case is not automatically reopened when the disqualification period expires. The EU must reapply and be found eligible for benefits.