Moderation Reason Notification email template not being triggered

Our email template "Moderation Reason Notification" is not getting triggered when a moderator moves or deletes a post and selects to notify the author and adds a reason/explanation. This is an important feature we wish to use in our community. When we do "Send email to self", it does get sent to us, so as I understand, that means there are not errors in the template.

Is there some sort of setting that we need to make sure is on so we can make sure this email template is triggered to the user if a moderator moves or deletes their post and adds a reason?