82R1905 MTB-D By: Nelson S.B. No. 84 A BILL TO BE ENTITLED AN ACT relating to requiring governmental entities and contractors with governmental entities to participate in the federal electronic verification of work authorization program, or E-verify. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle A, Title 6, Government Code, is amended by adding Chapter 619 to read as follows: CHAPTER 619. VERIFICATION OF EMPLOYEE INFORMATION Sec. 619.001. DEFINITIONS. In this chapter: (1) "E-verify program" means the electronic verification of work authorization program of the federal Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (Pub. L. No. 104-208, reprinted in note, 8 U.S.C. Section 1324a), operated by the United States Department of Homeland Security, or a successor work authorization program designated by the United States Department of Homeland Security or other federal agency authorized to verify the work authorization status of newly hired employees pursuant to the federal Immigration Reform and Control Act of 1986 (8 U.S.C. Section 1101 et seq.). (2) "Governmental entity" means: (A) the state; or (B) a political subdivision of the state, including a municipality, a county, or any kind of district. Sec. 619.002. VERIFICATION. A governmental entity shall register and participate in the E-verify program to verify information of all new employees. Sec. 619.003. RULES. The Texas Workforce Commission shall adopt rules and prescribe forms to implement this chapter. Sec. 619.004. TERMINATION OF EMPLOYMENT. An employee of a governmental entity who is responsible for verifying information of new employees of the governmental entity as required by Section 619.002 is subject to immediate termination of employment if the employee fails to comply with that section. SECTION 2. The heading to Chapter 2264, Government Code, is amended to read as follows: CHAPTER 2264. CERTAIN RESTRICTIONS ON [USE OF CERTAIN] PUBLIC SUBSIDIES AND GOVERNMENTAL CONTRACTS SECTION 3. Section 2264.101, Government Code, is transferred to Subchapter B, Chapter 2264, Government Code, redesignated as Section 2264.054, Government Code, and amended to read as follows: Sec. 2264.054 [2264.101]. RECOVERY. (a) A public agency, local taxing jurisdiction, or economic development corporation, or the attorney general on behalf of the state or a state agency, may bring a civil action to recover any amounts owed to the public agency, state or local taxing jurisdiction, or economic development corporation under this subchapter [chapter]. (b) The public agency, local taxing jurisdiction, economic development corporation, or attorney general, as applicable, shall recover court costs and reasonable attorney's fees incurred in an action brought under Subsection (a). (c) A business is not liable for a violation of this subchapter [chapter] by a subsidiary, affiliate, or franchisee of the business, or by a person with whom the business contracts. SECTION 4. The heading to Subchapter C, Chapter 2264, Government Code, is amended to read as follows: SUBCHAPTER C. E-VERIFY PROGRAM [ENFORCEMENT] SECTION 5. Subchapter C, Chapter 2264, Government Code, is amended by adding Sections 2264.1011 and 2264.102 to read as follows: Sec. 2264.1011. DEFINITIONS. In this subchapter: (1) "E-verify program" means the electronic verification of work authorization program of the federal Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (Pub. L. No. 104-208, reprinted in note, 8 U.S.C. Section 1324a), operated by the United States Department of Homeland Security, or a successor work authorization program designated by the United States Department of Homeland Security or other federal agency authorized to verify the work authorization status of newly hired employees pursuant to the federal Immigration Reform and Control Act of 1986 (8 U.S.C. Section 1101 et seq.). (2) "Governmental entity" means: (A) the state; or (B) a political subdivision of the state, including a municipality, a county, or any kind of district. Sec. 2264.102. VERIFICATION. (a) A governmental entity may not award a contract for goods or services within this state to a contractor unless the contractor and any subcontractor register with and participate in the E-verify program to verify information of all new employees. The contractor and any subcontractor must continue to participate in the program during the term of the contract. (b) Each contract with a governmental entity must include the following statement: "______________ (name of contractor) certifies that __________ (name of contractor) is not ineligible to receive this contract under Subchapter C, Chapter 2264, Government Code, and acknowledges that if this certification is inaccurate or becomes inaccurate during the term of the contract, the contract may be terminated without payment." (c) The governmental entity shall terminate the contract without penalty or further obligation to the contractor if the governmental entity determines that: (1) the contractor was ineligible to have the contract awarded under Subsection (a) or has ceased participation in the E-verify program during the term of the contract; and (2) the governmental entity can re-award the contract without additional cost to the governmental entity. (d) If a contractor determines that a subcontractor has not registered with or is not participating in the E-verify program during the term of the contract, the contractor may not allow the subcontractor to participate further on work under the contract. A governmental entity may not terminate the contract because of subcontractor noncompliance if the contractor complies with this subsection. (e) Each governmental entity shall develop procedures for the administration of this section. SECTION 6. Sections 2264.1011 and 2264.102, Government Code, as added by this Act, apply only in relation to a contract for which the request for bids or proposals or other applicable expressions of interest is made public on or after the effective date of this Act. SECTION 7. This Act takes effect September 1, 2011.