The Social Security Administration (SSA) needs to do more to prepare for the future demands of E-Verify and other data exchanges, according to an independent study conducted by the Government Accountability Office (GAO). In preparation for its September 2009 report, the GAO interviewed SSA officials and certain federal and state data exchange partners to determine the extent to which SSA’s systems effectively and efficiently support more than 800 data exchanges. While the GAO found that systems-related problems have been minimal, both the SSA and its partners admitted that data exchange programs will continue to grow both in volume and complexity, outpacing current capabilities.
One prime example cited is the E-Verify program, which has doubled in usage twice during the past two years. While SSA has been able to handle E-Verify processing demand thus far, two extended outages were recently reported where the direct line between the SSA and the DHS system failed, preventing E-Verify from completing queries in a timely fashion. According to DHS officials, SSA has addressed the problem and plans to implement enhancements intended to prevent the loss of data if the direct lines fail in the future.
The entire report and GAO recommendations can be viewed at the SSA site here.
Washington State’s Pierce County has approved a resolution which will require most private employers seeking business with the county to use E-Verify. Under the new law, the county will also participate in E-Verify and ensure that all of its new hires are run through the system.
The ordinance (2009-74s) specifies that businesses must confirm they are enrolled in E-Verify if they are seeking county public works contracts worth more than $100,000 or any other County contract in excess of $25,000. The law also exempts contracts that involve work outside of the U.S; last less than 120 days; or relate to commercially available off-the-shelf items (COTS).
One final note: the law also indicates that the County must include specific written notice in all relevant requests for bids or proposals that contractors may be required to enroll in the E-Verify program as a condition of award. Contractors are exempt from the requirement if they receive requests for bids or proposals not containing such notice.
Today, the House and Senate Appropriations Committees agreed to a three-year extension of E-Verify, effectively rejecting the Senate-passed version of the bill, which had called for a permanent reauthorization of the program. The conference agreement for the FY 2010 Homeland Security Appropriations bill (H.R. 2892) also includes $137 million to operate the system and further improve accuracy and compliance rates.
The committees also appear to have removed two provisions from the Senate version of the bill which would have permitted optional verification of an employer’s existing workforce, and mandated all federal contractors and subcontractors to use E-Verify for both new hires and existing employees, without any conditions or exemptions.
The DHS Appropriations bill will now head back to the House of Representatives and the Senate for a final vote on passage, which should occur in the next few days.
An internal memorandum from the Department of Homeland Security (DHS) has been released, which highlights the agency’s new worksite enforcement directive against employers and emphasizes the importance of the Form I-9 Audit. The memo, which is stamped April 30, 2009, had been alluded to in a Worksite Enforcement Fact Sheet posted online as well as the infamous “Bold New I-9 Inspection Program” press release issued by ICE chief, John Morton in July when 652 notices were sent to employers nationwide.
Here’s a brief summary of the four-page memo, which is provided in its entirety below.
ICE will prioritize the criminal prosecution of employers who knowingly hire undocumented workers. This includes owners, corporate managers, supervisors and others in the management structure.
ICE should use all available investigative methods including use of confidential sources and cooperating witnesses, undercover agents, intercepts, and Form I-9 audits.
The most important administrative tool is the Notice of Inspection (NOI) and the resulting Form I-9 audit. It will be used in both criminal and administrative investigations.
Civil fines will be used as a penalty when the evidence does not support a criminal prosecution or as otherwise appropriate.
ICE should use debarment (which precludes companies who have knowingly hired undocumented workers from securing work on federal contracts) to maximize the deterrent effect.
ICE will initiate audits, searches, and other enforcement operations at critical infrastructure and national security sites.
All worksite investigations must provide 14-day notice to ICE headquarters in advance of developing or executing enforcement activity.
This week’s “Ask a Question” concerns whether the E-Verify federal contractor rule applies to organizations that accept Medicare reimbursements. In general, the rule only applies to certain federal contracts awarded on or after September 8, 2009, that contain a performance period longer than 120 days and a value above $100,000. Contracts awarded after this date must include the “E-Verify clause” requiring the contractor to participate in E-Verify.
Unfortunately, the issue of whether Medicare reimbursements qualify under this definition has not been specifically addressed in the E-Verify federal contractor regulation and the DHS has declined to offer specific guidance. In a document published earlier this year, DHS wrote “[t]he question of whether a contract is subject to the Federal Acquisition Regulations (FAR) and amendments requiring use of E-Verify for federal contractors awarded qualifying federal contracts is specific to the terms of the contract.”
If we look to the rule, however, it seems clear that the E-Verify requirement was intended to apply to procurement contracts in which a federal agency is acquiring supplies or services for use by the federal government. Under the Medicare program, however, the Medicare beneficiary acquires care from a provider of his or her choice, which is then reimbursed by the federal government. Based on this reasoning, it is possible that an organization receiving such reimbursements will not be subject to the E-Verify requirement. As always, it’s best to discuss these matters with your internal contract experts or the contracting federal agency.
To pose a question for next week’s blog, visit our Ask a Question page and fill-in the form provided.
Today, E-Verify announced that the photo matching tool will be made available for Designated Agents in late 2009. The photo matching process, also known as the photo screening tool, is an automated step in the E-Verify system which prompts you to compare an employee’s DHS-issued photo document (presented during the I-9 process) with a photo displayed in E-Verify. At present, the photo screening tool will only “activate” when an employee presents a recent version of a permanent resident card (I-551) or employment authorization document (EAD) as proof of employment authorization. According to insider sources, E-Verify is looking to add photos from US passports and state driver’s licenses, but no timeline has been announced as of yet.
DHS formally launched the photo screening tool in September 2007, but has only made it available for organizations performing E-Verify checks of their own employees. Today’s announcement will affect organizations participating as a Designated Agent (DA), a role defined for companies who conduct E-Verify queries on behalf of other employers or clients. E-Verify DAs can view the official announcement on the home screen in their E-Verify account (reproduced below). They will also need to take a refresher tutorial and mastery test regarding the photo tool before resuming their use of E-Verify. More information should be forthcoming at the end of the month. Stay tuned!
Important Information for E-Verify Users
Tutorial Required
You must complete the tutorial before accessing this application. Please click the Tutorial link, located at the top-right of this page, to begin the tutorial.
10/02/2009 – Announcing Photo Matching Tool for Designated Agents!
The photo matching tool will be added to the verification process for Designated Agents in late 2009. This enhancement will help secure an authorized workforce for your clients simply by ensuring that the documents provided by their employees are valid. It works by asking the E-Verify User to match the photo on the employee’s Form I-9 document with the photo that displays in E-Verify. In order to make the photo comparison, E-Verify Users will need to have access to a copy of the employee’s document (Forms I-551 or I-766 only). Check back in this message area for more detailed information about photo matching in late October.
10/02/2009 – Announcing Photo Matching Tool for Designated Agents!
The photo matching tool will be added to the verification process for Designated Agents in late 2009. This enhancement will help secure an authorized workforce for your clients simply by ensuring that the documents provided by their employees are valid. It works by asking the E-Verify User to match the photo on the employee’s Form I-9 document with the photo that displays in E-Verify. In order to make the photo comparison, E-Verify Users will need to have access to a copy of the employee’s document (Forms I-551 or I-766 only). Check back in this message area for more detailed information about photo matching in late October.
A new state law goes into effect in Nebraska today, requiring state agencies and employers that receive state or local contracts or tax incentives to use E-Verify to check the employment eligibility of all newly hired employees. How does this law affect your business in Nebraska? Here’s a quick breakdown of the provisions, including links for more information.
State Contractors: Under the new law (LB 403), all agency contracts awarded after October 1, 2009, must contain a provision requiring the contractor (and any subcontractors) to use E-Verify for new employees physically performing services within the State of Nebraska. The Nebraska Department of Labor has included a sample contract provision which you may see in future contracts.
Employers applying for Nebraska tax incentives: Participants in certain Nebraska tax programs must utilize E-Verify for all new hires and prove their participation in order to receive the incentives. More information can be found on the Nebraska Department of Revenue web site.
Public employers (including all state agencies, boards, and commissions) must begin using E-Verify for new hires effective today. As mentioned above, agencies must also include the E-Verify provision when issuing public contracts. For more information on agency obligations, visit the Nebraska Department of Labor web site, where you can download a memo regarding LB 403 implementation.
