diff --git a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationActionsContainer.tsx b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationActionsContainer.tsx
index 32885225d..c2f8d79de 100644
--- a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationActionsContainer.tsx
+++ b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationActionsContainer.tsx
@@ -44,12 +44,16 @@ const ModerationActionsContainer: FunctionComponent<Props> = ({
     }
     approve({ commentID: comment.id, commentRevisionID: comment.revision.id });
   }, [approve, comment]);
-  const onReject = useCallback(() => {
+  const onReject = useCallback(async () => {
     if (!comment.revision) {
       return;
     }
-    reject({ commentID: comment.id, commentRevisionID: comment.revision.id });
-  }, [approve, comment]);
+    await reject({
+      commentID: comment.id,
+      commentRevisionID: comment.revision.id,
+      storyID: story.id,
+    });
+  }, [approve, comment, story]);
   const onFeature = useCallback(() => {
     if (!comment.revision) {
       return;
diff --git a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationDropdownContainer.tsx b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationDropdownContainer.tsx
index e44cdd689..bcccaa9a6 100644
--- a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationDropdownContainer.tsx
+++ b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/ModerationDropdownContainer.tsx
@@ -47,7 +47,11 @@ const ModerationDropdownContainer: FunctionComponent<Props> = ({
           />
         </Dropdown>
       ) : (
-        <UserBanPopoverContainer comment={comment} onDismiss={onDismiss} />
+        <UserBanPopoverContainer
+          comment={comment}
+          story={story}
+          onDismiss={onDismiss}
+        />
       )}
     </div>
   );
@@ -76,6 +80,7 @@ const enhanced = withFragmentContainer<Props>({
     fragment ModerationDropdownContainer_story on Story {
       id
       ...ModerationActionsContainer_story
+      ...UserBanPopoverContainer_story
     }
   `,
   viewer: graphql`
diff --git a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/RejectCommentMutation.ts b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/RejectCommentMutation.ts
index d7144f99c..7c3abe602 100644
--- a/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/RejectCommentMutation.ts
+++ b/src/core/client/stream/tabs/Comments/Comment/ModerationDropdown/RejectCommentMutation.ts
@@ -13,33 +13,54 @@ let clientMutationId = 0;
 
 const RejectCommentMutation = createMutation(
   "rejectComment",
-  (environment: Environment, input: MutationInput<MutationTypes>) =>
+  (
+    environment: Environment,
+    input: MutationInput<MutationTypes> & { storyID: string }
+  ) =>
     commitMutationPromiseNormalized<MutationTypes>(environment, {
       mutation: graphql`
         mutation RejectCommentMutation($input: RejectCommentInput!) {
           rejectComment(input: $input) {
             comment {
               status
+              tags {
+                code
+              }
+              story {
+                commentCounts {
+                  tags {
+                    FEATURED
+                  }
+                }
+              }
             }
             clientMutationId
           }
         }
       `,
+      variables: {
+        input: {
+          commentID: input.commentID,
+          commentRevisionID: input.commentRevisionID,
+          clientMutationId: (clientMutationId++).toString(),
+        },
+      },
       optimisticResponse: {
         rejectComment: {
           comment: {
             id: input.commentID,
             status: GQLCOMMENT_STATUS.REJECTED,
+            story: {
+              commentCounts: {
+                tags: {
+                  FEATURED: 0,
+                },
+              },
+            },
           },
           clientMutationId: clientMutationId.toString(),
         },
       },
-      variables: {
-        input: {
-          ...input,
-          clientMutationId: (clientMutationId++).toString(),
-        },
-      },
       updater: store => {
         store.get(input.commentID)!.setValue("REJECT", "lastViewerAction");
       },
diff --git a/src/core/client/stream/tabs/Comments/Comment/UserBanPopover/UserBanPopoverContainer.tsx b/src/core/client/stream/tabs/Comments/Comment/UserBanPopover/UserBanPopoverContainer.tsx
index 8d5c40065..d34bf90cc 100644
--- a/src/core/client/stream/tabs/Comments/Comment/UserBanPopover/UserBanPopoverContainer.tsx
+++ b/src/core/client/stream/tabs/Comments/Comment/UserBanPopover/UserBanPopoverContainer.tsx
@@ -7,6 +7,7 @@ import { useCoralContext } from "coral-framework/lib/bootstrap";
 import { getMessage } from "coral-framework/lib/i18n";
 import { useMutation, withFragmentContainer } from "coral-framework/lib/relay";
 import { UserBanPopoverContainer_comment } from "coral-stream/__generated__/UserBanPopoverContainer_comment.graphql";
+import { UserBanPopoverContainer_story } from "coral-stream/__generated__/UserBanPopoverContainer_story.graphql";
 import CLASSES from "coral-stream/classes";
 import { Box, Button, Flex, Typography } from "coral-ui/components";
 
@@ -18,10 +19,12 @@ import styles from "./UserBanPopoverContainer.css";
 interface Props {
   onDismiss: () => void;
   comment: UserBanPopoverContainer_comment;
+  story: UserBanPopoverContainer_story;
 }
 
 const UserBanPopoverContainer: FunctionComponent<Props> = ({
   comment,
+  story,
   onDismiss,
 }) => {
   const user = comment.author!;
@@ -41,10 +44,14 @@ const UserBanPopoverContainer: FunctionComponent<Props> = ({
       ),
     });
     if (!rejected && comment.revision) {
-      reject({ commentID: comment.id, commentRevisionID: comment.revision.id });
+      reject({
+        commentID: comment.id,
+        commentRevisionID: comment.revision.id,
+        storyID: story.id,
+      });
     }
     onDismiss();
-  }, [user, banUser, onDismiss, localeBundles]);
+  }, [user, banUser, onDismiss, localeBundles, comment, story]);
   return (
     <Box className={cn(styles.root, CLASSES.banUserPopover.$root)} p={3}>
       <Localized id="comments-userBanPopover-title" $username={user.username}>
@@ -98,6 +105,11 @@ const enhanced = withFragmentContainer<Props>({
       }
     }
   `,
+  story: graphql`
+    fragment UserBanPopoverContainer_story on Story {
+      id
+    }
+  `,
 })(UserBanPopoverContainer);
 
 export default enhanced;
diff --git a/src/core/client/stream/test/comments/stream/moderation.spec.tsx b/src/core/client/stream/test/comments/stream/moderation.spec.tsx
index c7db3184f..ebe46f16a 100644
--- a/src/core/client/stream/test/comments/stream/moderation.spec.tsx
+++ b/src/core/client/stream/test/comments/stream/moderation.spec.tsx
@@ -12,7 +12,18 @@ import {
 import { featuredTag, moderators, settings, stories } from "../../fixtures";
 import create from "./create";
 
-const story = stories[0];
+function createStory() {
+  const base = stories[0];
+
+  for (const edge of base.comments.edges) {
+    const node = edge.node;
+    node.story = base;
+  }
+
+  return base;
+}
+
+const story = createStory();
 const firstComment = story.comments.edges[0].node;
 const viewer = moderators[0];
 
@@ -33,6 +44,7 @@ async function createTestRenderer(
     ),
     initLocalState: (localRecord, source, environment) => {
       localRecord.setValue(story.id, "storyID");
+
       if (params.initLocalState) {
         params.initLocalState(localRecord, source, environment);
       }
diff --git a/src/core/server/graph/tenant/mutators/Actions.ts b/src/core/server/graph/tenant/mutators/Actions.ts
index a0570fe3c..fd63c3acc 100644
--- a/src/core/server/graph/tenant/mutators/Actions.ts
+++ b/src/core/server/graph/tenant/mutators/Actions.ts
@@ -1,8 +1,11 @@
 import TenantContext from "coral-server/graph/tenant/context";
+import { hasTag } from "coral-server/models/comment";
+import { removeTag } from "coral-server/services/comments";
 import { approve, reject } from "coral-server/services/comments/moderation";
 import {
   GQLApproveCommentInput,
   GQLRejectCommentInput,
+  GQLTAG,
 } from "../schema/__generated__/types";
 
 export const Actions = (ctx: TenantContext) => ({
@@ -17,5 +20,12 @@ export const Actions = (ctx: TenantContext) => ({
       commentID: input.commentID,
       commentRevisionID: input.commentRevisionID,
       moderatorID: ctx.user!.id,
-    }),
+    }).then(comment =>
+      // if a comment was previously featured
+      // and is now rejected, we need to remove the
+      // featured tag
+      hasTag(comment, GQLTAG.FEATURED)
+        ? removeTag(ctx.mongo, ctx.tenant, comment.id, GQLTAG.FEATURED)
+        : comment
+    ),
 });
diff --git a/src/core/server/models/comment/helpers.ts b/src/core/server/models/comment/helpers.ts
index e687ee39c..46d13adba 100644
--- a/src/core/server/models/comment/helpers.ts
+++ b/src/core/server/models/comment/helpers.ts
@@ -1,4 +1,7 @@
-import { GQLCOMMENT_STATUS } from "coral-server/graph/tenant/schema/__generated__/types";
+import {
+  GQLCOMMENT_STATUS,
+  GQLTAG,
+} from "coral-server/graph/tenant/schema/__generated__/types";
 
 import { Comment } from "./comment";
 import { MODERATOR_STATUSES, PUBLISHED_STATUSES } from "./constants";
@@ -73,3 +76,7 @@ export function calculateRejectionRate(counts: CommentStatusCounts): number {
 
   return rejected / (published + rejected);
 }
+
+export function hasTag(comment: Pick<Comment, "tags">, tag: GQLTAG) {
+  return comment.tags.some(v => v.type === tag);
+}