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• For applicant noncompliance, the LSP must send the applicant a letter explaining that due to the application noncompliance, the household was actually ineligible for the program or ineligibility could not be determined. If the household was not awarded any funds, the application may be denied. If applicant had been approved and awarded benefits were disbursed, the LSP must begin the process of issuing a negative claim to the appropriate vendor. If the noncompliance is found after the deadline to submit an overpayment claim to the vendor, or if the claim cannot be recovered through the overpayment process (e.g., a bulk fuel vendor or an applicant who received a direct benefit payment), the LSP shall request that the applicant repay the benefit. • For applicant fraud, the LSP must send the applicant a letter explaining that it was determined that they intentionally submitted false information with the intention of receiving a larger benefit than they were eligible for. The applicant must repay the benefit, and shall be barred from participating in EAP for the remainder of the current program year as well as the entire next program year. The letter must inform the applicant of when they will again be eligible to participate in EAP (i.e., an applicant who is found to have engaged in fraud during PY2026 would be eligible to participate again during PY2028, so they may apply starting in the fall of 2027). o An LSP manager may submit to IHCDA a recommendation that a given household be given more severe or less severe consequences based on specific circumstances, context, or mitigating factors. The LSP manager must submit their recommendation along with their reasoning to the Community Programs Manager along with their final investigation report. The Community Programs Manager will evaluate the request and choose whether to approve it. This communication will come in writing within fourteen (14) days of the submission of the report and request. • For employee, contractor, volunteer, or board member fraud, the LSP must document and communicate to IHCDA any corrective or disciplinary actions taken. Ultimately, LSPs must ensure that all whistleblower allegations are taken seriously and investigated and documented appropriately, and that the consequences for fraud are consistent. If an LSP receives a report or has reason to suspect utility/fuel vendor fraud, waste, or abuse, the LSP must report it to IHCDA via vendors@ihcda.in.gov within forty-eight (48) hours of the initial report or suspicion. IHCDA will conduct its own investigation when the allegation involves a utility or fuel provider. 12.12 Vendor Responsibilities EAP utility vendors (vendors) may be any entity who supplies home energy commodities such as electricity, natural gas, oil, coal, propane, wood/wood pellets, or corn.