Texas 2023 - 88th Regular

Texas House Bill HB3846 Compare Versions

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1	1	88R8267 KSD/MTB-D
2	2	By: Toth H.B. No. 3846
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to requiring state contractors, political subdivisions of
8	8	this state, and private employers to participate in the federal
9	9	electronic verification of employment authorization program, or
10	10	E-verify.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. The heading to Chapter 2264, Government Code, is
13	13	amended to read as follows:
14	14	CHAPTER 2264. CERTAIN RESTRICTIONS ON [USE OF CERTAIN] PUBLIC
15	15	SUBSIDIES AND STATE CONTRACTS
16	16	SECTION 2. Section 2264.101, Government Code, is
17	17	transferred to Subchapter B, Chapter 2264, Government Code,
18	18	redesignated as Section 2264.054, Government Code, and amended to
19	19	read as follows:
20	20	Sec. 2264.054 [2264.101]. RECOVERY. (a) A public agency,
21	21	local taxing jurisdiction, or economic development corporation, or
22	22	the attorney general on behalf of the state or a state agency, may
23	23	bring a civil action to recover any amounts owed to the public
24	24	agency, state or local taxing jurisdiction, or economic development
25	25	corporation under this subchapter [chapter].
26	26	(b) The public agency, local taxing jurisdiction, economic
27	27	development corporation, or attorney general, as applicable, shall
28	28	recover court costs and reasonable attorney's fees incurred in an
29	29	action brought under Subsection (a).
30	30	(c) A business is not liable for a violation of this
31	31	subchapter [chapter] by a subsidiary, affiliate, or franchisee of
32	32	the business, or by a person with whom the business contracts.
33	33	SECTION 3. The heading to Subchapter C, Chapter 2264,
34	34	Government Code, is amended to read as follows:
35	35	SUBCHAPTER C. E-VERIFY PROGRAM [ENFORCEMENT]
36	36	SECTION 4. Subchapter C, Chapter 2264, Government Code, is
37	37	amended by adding Sections 2264.1011, 2264.102, and 2264.103 to
38	38	read as follows:
39	39	Sec. 2264.1011. DEFINITIONS. In this subchapter:
40	40	(1) "E-verify program" has the meaning assigned by
41	41	Section 673.001.
42	42	(2) "State agency" has the meaning assigned by Section
43	43	2103.001.
44	44	Sec. 2264.102. VERIFICATION BY CONTRACTORS. (a) A state
45	45	agency may not award a contract for goods or services within this
46	46	state to a contractor unless the contractor and any subcontractor
47	47	register with and participate in the E-verify program to verify
48	48	employee information. The contractor and any subcontractor must
49	49	continue to participate in the program during the term of the
50	50	contract.
51	51	(b) Each contract with a state agency must include the
52	52	following statement:
53	53	"______________ (name of contractor) certifies that
54	54	__________ (name of contractor) is not ineligible to receive this
55	55	contract under Subchapter C, Chapter 2264, Government Code, and
56	56	acknowledges that if this certification is inaccurate or becomes
57	57	inaccurate during the term of the contract, the contractor may be
58	58	barred from participating in state contracts."
59	59	(c) If a state agency determines that a contractor was
60	60	ineligible to have the contract awarded under Subsection (a), that
61	61	a contractor has ceased participation in the E-verify program
62	62	during the term of the contract, or that a subcontractor is not
63	63	registered with or is not participating in the E-verify program,
64	64	the state agency shall refer the matter to the comptroller for
65	65	action.
66	66	(d) Each state agency shall develop procedures for the
67	67	administration of this section.
68	68	Sec. 2264.103. BARRING FROM STATE CONTRACTS. (a) Using
69	69	procedures prescribed under Section 2155.077, the comptroller
70	70	shall bar a contractor from participating in state contracts if the
71	71	comptroller determines that the contractor:
72	72	(1) was awarded a contract in violation of Section
73	73	2264.102;
74	74	(2) has ceased participation in the E-verify program
75	75	during the term of the contract; or
76	76	(3) hired a subcontractor to perform work under the
77	77	contract who is not registered with or is not participating in the
78	78	E-verify program.
79	79	(b) Debarment under this section is for a period of one year
80	80	except that the debarment may be extended by the comptroller for
81	81	additional one-year periods if the comptroller determines that the
82	82	grounds for debarment under this section continue to exist.
83	83	SECTION 5. Subtitle B, Title 2, Labor Code, is amended by
84	84	adding Chapter 53 to read as follows:
85	85	CHAPTER 53. VERIFICATION OF EMPLOYEE INFORMATION
86	86	Sec. 53.001. DEFINITIONS. In this chapter:
87	87	(1) "Commission" means the Texas Workforce
88	88	Commission.
89	89	(2) "Employee" means an individual who is employed by
90	90	an employer for compensation. The term includes an individual
91	91	employed on a part-time basis.
92	92	(3) "Employer" means a person, other than a
93	93	governmental entity, who:
94	94	(A) employs one or more employees; or
95	95	(B) acts directly or indirectly in the interests
96	96	of an employer in relation to an employee.
97	97	(4) "Employment" means any service, including service
98	98	in interstate commerce, that is performed for wages or under a
99	99	contract of hire, whether written or oral or express or implied.
100	100	The term does not include any service performed by an individual for
101	101	wages if it is shown that the individual is free from control or
102	102	direction in the performance of the service, both under any
103	103	contract of service and in fact.
104	104	(5) "E-verify program" has the meaning assigned by
105	105	Section 673.001, Government Code.
106	106	Sec. 53.002. EMPLOYEE STATUS. An employer may not classify
107	107	an individual performing services for the employer as an
108	108	independent contractor instead of as an employee of the employer
109	109	solely for the purpose of avoiding the requirements applicable to
110	110	an employer under this chapter.
111	111	Sec. 53.003. VERIFICATION. An employer shall register and
112	112	participate in the E-verify program to verify information of all
113	113	new employees.
114	114	Sec. 53.004. ENFORCEMENT BY STATE AGENCIES.
115	115	Notwithstanding any other law, each appropriate state agency shall
116	116	ensure that employers in this state comply with Section 53.003 and
117	117	may require compliance with that section as a condition of a
118	118	license, certificate, registration, permit, or other authorization
119	119	issued by the agency that is required for a person to practice or
120	120	engage in a particular business, occupation, or profession in this
121	121	state.
122	122	Sec. 53.005. RULES. The commission shall adopt rules and
123	123	prescribe forms for the implementation of this chapter.
124	124	SECTION 6. Subtitle C, Title 5, Local Government Code, is
125	125	amended by adding Chapter 181 to read as follows:
126	126	CHAPTER 181. VERIFICATION OF EMPLOYEE INFORMATION
127	127	Sec. 181.001. DEFINITIONS. In this chapter:
128	128	(1) "E-verify program" has the meaning assigned by
129	129	Section 673.001, Government Code.
130	130	(2) "Political subdivision" means a county,
131	131	municipality, school district, junior college district, other
132	132	special district, or other subdivision of state government.
133	133	Sec. 181.002. VERIFICATION. A political subdivision shall
134	134	register and participate in the E-verify program to verify
135	135	information of all new employees.
136	136	Sec. 181.003. TERMINATION OF EMPLOYMENT. An employee of a
137	137	political subdivision who is responsible for verifying information
138	138	of new employees of the political subdivision as required by
139	139	Section 181.002 is subject to immediate termination of employment
140	140	if the employee fails to comply with that section.
141	141	SECTION 7. Each state agency subject to Subchapter C,
142	142	Chapter 2264, Government Code, as amended by this Act, shall
143	143	develop the procedures required under Section 2264.102(d),
144	144	Government Code, as added by this Act, not later than October 1,
145	145	2023.
146	146	SECTION 8. Sections 2264.1011, 2264.102, and 2264.103,
147	147	Government Code, as added by this Act, apply only in relation to a
148	148	contract for which the request for bids or proposals or other
149	149	applicable expression of interest is made public on or after the
150	150	effective date of this Act.
151	151	SECTION 9. This Act takes effect September 1, 2023.