By: Schwertner, et al. S.B. No. 23
(In the Senate - Filed December 19, 2016; January 24, 2017,
read first time and referred to Committee on Business & Commerce;
March 20, 2017, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 7, Nays 1; March 20, 2017,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 23 By: Nichols
A BILL TO BE ENTITLED
AN ACT
relating to requiring state contractors to participate in the
federal electronic verification of employment authorization
program, or E-verify.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Chapter 2264, Government Code, is
amended to read as follows:
CHAPTER 2264. CERTAIN RESTRICTIONS ON [USE OF CERTAIN] PUBLIC
SUBSIDIES AND STATE CONTRACTS
SECTION 2. 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 3. The heading to Subchapter C, Chapter 2264,
Government Code, is amended to read as follows:
SUBCHAPTER C. E-VERIFY PROGRAM [ENFORCEMENT]
SECTION 4. Subchapter C, Chapter 2264, Government Code, is
amended by adding Sections 2264.1011, 2264.102, 2264.103, and
2264.104 to read as follows:
Sec. 2264.1011. DEFINITIONS. In this subchapter:
(1) "E-verify program" has the meaning assigned by
Section 673.001.
(2) "State agency" has the meaning assigned by Section
2103.001.
Sec. 2264.102. VERIFICATION BY CONTRACTORS. (a) A state
agency may not award a contract for goods or services within this
state to a contractor unless the contractor registers with and
participates in the E-verify program to verify employee
information. The contractor must continue to participate in the
program during the term of the contract.
(b) Each contract with a state agency 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 contractor may be
barred from participating in state contracts."
(c) If a state agency determines that a contractor was
ineligible to have the contract awarded under Subsection (a) or
that a contractor has ceased participation in the E-verify program
during the term of the contract, the state agency shall refer the
matter to the comptroller for action.
(d) Each state agency shall develop procedures for the
administration of this section.
Sec. 2264.103. BARRING FROM STATE CONTRACTS. (a) Using
procedures prescribed under Section 2155.077, the comptroller
shall bar a contractor from participating in state contracts if the
comptroller determines that the contractor:
(1) was awarded a contract in violation of Section
2264.102; or
(2) has ceased participation in the E-verify program
during the term of the contract.
(b) Debarment under this section is for a period of up to
five years.
(c) A contractor who registers with and participates in the
E-verify program as provided by Section 2264.102 may not be barred
under this section if, as a result of receiving inaccurate
verification information from the E-verify program, the contractor
hires or employs a person in violation of 8 U.S.C. Section 1324a.
Sec. 2264.104. AFFIRMATIVE DEFENSE; DISCRIMINATION
PROHIBITED. (a) It is an affirmative defense to a civil action for
damages or the imposition of a civil penalty for an employer's
refusal to hire or employ a person based on the employer's
participation in the E-verify program as required by this
subchapter that the employer participated in the E-verify program
in accordance with the rules and guidelines of the program and
received inaccurate information.
(b) Nothing in this section may be construed to allow
intentional discrimination of any class protected by law.
SECTION 5. Each state agency subject to Subchapter C,
Chapter 2264, Government Code, as amended by this Act, shall
develop the procedures required under Section 2264.102(d),
Government Code, as added by this Act, not later than October 1,
2017.
SECTION 6. Sections 2264.1011, 2264.102, and 2264.103,
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 expression of interest is made public on or after the
effective date of this Act.
SECTION 7. This Act takes effect September 1, 2017.
* * * * *