; and (ii) does not engage in individual student contact or other covered activities. (D) Individual with multiple adjustments to compensation An employee of an institution, a third party servicer that contracts with such institution, or a third party contractor, who receives multiple adjustments to compensation in a calendar year and is engaged in a covered activity shall be considered to be engaged in prohibited incentive compensation if the adjustments create compensation that is based in any part, directly or indirectly, upon meeting certain quotas or numerical targets, or avoiding penalties for a benchmark set in Federal law, regarding those covered activities. (3) Notice of incentive compensation ban (A) Notice to servicer and contractor The institution shall provide notice of the ban on prohibited incentive compensation under this subsection at least once a year to each third party servicer and third party contractor that contracts with the institution. (B) Notice to employees The institution, and any third party contractor or third party servicer that contracts with such institution, shall— (i) provide notice of the ban on prohibited incentive compensation under this subsection at least once a year to employees; and (ii) publish a clear statement in all internal recruitment materials, including guides or manuals, acknowledging the ban on prohibited incentive compensation under this subsection. (4) Consequences for incentive compensation violation (A) In general The Secretary, in coordination with the Office of the Inspector General of the Department of Education, shall develop a written policy for the enforcement of the ban on prohibited incentive compensation under this subsection, and shall update that policy as needed. (B) Contents of policy The policy developed under subparagraph (A)— (i) shall require that compliance review occur on an annual basis