Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations 51001

removal proceedings must be filed

between October 1, 1994, and October 1,

1997.

* * * * *

Dated: September 24, 1997.

Janet Reno,

Attorney General.

[FR Doc. 97–25931 Filed 9–29–97; 8:45 am]

BILLING CODE 4410–30–M

DEPARTMENT OF JUSTICE

Immigration and Naturalization Service

8 CFR Part 274a

[INS NO. 1818–96]

RIN 1115–AE94

Interim Designation of Acceptable

Documents for Employment

Verification

AGENCY: Immigration and Naturalization

Service, Justice.

ACTION: Interim rule with request for

comments.

SUMMARY: The Illegal Immigration

Reform and Immigrant Responsibility

Act of 1996 (IIRIRA) amended existing

law by removing certain documents

from the list of acceptable documents

for use in the employment eligibility

verification process. By law, those

changes take effect no later than

September 30, 1997, and this rule

implements those changes. Although

the Immigration and Naturalization

Service (Service) is in the process of

developing proposed rules to revise and

streamline the employment verification

process, together with revised forms and

guidance, those rules are not yet ready

to be promulgated. Thus, in

promulgating this interim rule to

implement the changes striking certain

documents from the statutory list, the

Service is also exercising available

regulatory authority to restore many of

the existing documents, insofar as

possible, by designating them to be

retained on the list of acceptable

documents until further notice. This

notice is intended to retain the status

quo as much as possible at this time,

pending the completion of action on the

document reduction program, which

will be accomplished in a separate

rulemaking action.

DATES: This interim rule is effective

September 30, 1997.

Comment date: Written comments

must be submitted on or before

December 1, 1997.

ADDRESSES: Please submit written

comments, in triplicate, to the Director,

Policy Directives and Instructions

Branch, Immigration and Naturalization

Service, 425 I Street, NW., Room 5307,

Washington, DC 20536. To ensure

proper handling, please reference INS

No. 1818–96 on your correspondence.

Comments are available for public

inspection at the above address by

calling (202) 514–3048 to arrange for an

appointment.

FOR FURTHER INFORMATION CONTACT:

Marion Metcalf, Special Assistant,

HQIRT, 425 I Street NW., Washington,

DC, 20536; (202) 307–6596; or email at

metcalfm@justice.usdoj.gov. Please note

that the email address is for further

information only and may not be used

for the submission of comments.

SUPPLEMENTARY INFORMATION: The Illegal

Immigration Reform and Immigrant

Responsibility Act of 1996 (IIRIRA),

Pub. L. 104–208, enacted on September

30, 1996, amended the employer

sanctions provisions of section 274A of

the Immigration and Nationality Act

(Act) to require a reduction in the

number of documents acceptable for

completion of the Employment

Eligibility Verification form (Form I–9).

These amendments must be in effect no

later than September 30, 1997. This

interim rule is necessary to implement

the changes required by IIRIRA.

The Service is currently developing a

document reduction initiative which

will result in a number of changes in

this area, including eliminating various

documents from the existing lists,

revising the Form I–9, and developing

new guidance for employers and

employees regarding the employment

verification process. Those changes,

when finalized, will implement the

changes enacted by IIRIRA as well as

respond to other concerns about the

present process. However, that

initiative, which the Service intends to

publish as a proposed rule in a separate

rulemaking action within the next 6

months, is not yet ready for

promulgation.

At this time, the Service must amend

its rules to take account of the statutory

changes that take effect September 30,

1997. However, although IIRIRA deleted

certain documents from the statutory

list of acceptable documents, the Act

also retained (in amended form) the

authority of the Attorney General to

designate specific documents as

acceptable in addition to the statutory

list. Accordingly, in amending existing

regulations to take account of these

statutory changes, the Service at the

same time is also acting to restore the

use of some of those documents by

exercising available authority (as

amended by IIRIRA) to continue to

designate certain documents as

acceptable for employment verification

until completion of the separate

document reduction initiative.

By this means, as discussed in more

detail below, the Service is acting to

designate foreign passports with

specified Service work authorization

stamps in two instances as ‘‘List A’’

documents—that is, as documents

evidencing both identity and work

authorization. This rule also expands

the existing receipt rule to ensure that

certain refugees and lawful permanent

residents will still be able to meet the

employment verification requirements

even though they do not yet have a

required document. Finally, even

though IIRIRA eliminates birth

certificates as a specific statutory ‘‘List

C’’ document—this is, as a document

evidencing employment authorization—

this rule reflects a determination (as a

matter of discretionary regulatory

authority) to designate birth certificates

as an acceptable document for this

purpose. (This designation of birth

certificates will continue only until

completion of the separate rulemaking

proceeding. The Service intends to

propose elimination of the use of birth

certificates, as well as certain other

existing documents, in that proposed

rule.)

The result of the statutory changes

and the new designations embodied in

this interim rule is that all of the

existing ‘‘List A’’ documents will be

retained, except for the following three

kinds of documents: a Certificate of U.S.

Citizenship; a Certificate of

Naturalization; and a foreign passport

not meeting the standards set forth in

this interim rule, as discussed below. As

to those three documents, there is no

statutory authority to retain them on

‘‘List A.’’ In addition, there will be no

change at all at this time with respect to

either ‘‘List B’’ documents (evidencing

identity) or ‘‘List C’’ documents

(evidencing employment authorization).

The purpose of this interim rule is to

maintain the status quo as much as

possible during this transitional period

so as to avoid confusion and disruption

in the employment verification process

at this time. Although some changes are

required by law, the Service recognizes

that these changes are necessarily being

implemented with little advance public

notice, and without any revisions to the

existing Form I–9 and the published

Handbook for Employers (Form M–274).

Accordingly, as explained below, in

order to minimize confusion and

disruption, the Service will exercise its

discretion to forgo enforcement actions

against employers who continue to act

in reliance upon and in compliance

with existing employment verification
51002 Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations

forms, guidance, and procedures. This

policy will remain in effect until the

new document reduction program,

together with a revised Form I–9 and

guidance to employers, can be

implemented in the separate rulemaking

proceeding.

The following discussion explains in

more detail the background of this

regulatory action; the specific changes

being made in this interim rule; and the

basis for the interim designations of

certain documents as implemented in

this rule.

Background on Document Reduction

The Act, as amended, currently

requires persons or entities to verify the

employment eligibility and identity of

all new hires. The Employment

Eligibility Verification form (Form I–9)

was designated for that purpose. Newly

hired individuals must attest to the

status that makes them eligible to work

and present documents that establish

their identity and eligibility to work.

Employers and recruiters and referrers

for a fee (as defined in section

274(a)(1)(B)(ii) of the Act and 9 CFR

274a.2(a)) must examine and documents

and attest that they appear to be genuine

and to relate to the individual. They

may not specify a document or

combination of documents that the

individual must present. To do so may

violate section 274B of the Act.

The statutory framework,

implemented by regulation at 8 CFR

274a.2, provides for three lists of

documents: documents that establish

both identity and employment

eligibility (List A documents);

documents that establish identity only

(List B documents); and documents that

establish employment eligibility only

(List C documents).

Scope of the Interim Rule

To implement IIRIRA, this interim

rule amends the regulations to:

(1) Remove the certificate of United

States citizenship and the certification

of naturalization as documents

acceptable under List A;

(2) Retain the designation of a foreign

passport with temporary evidence of

permanent resident status as a

document acceptable under List A, and

limit the use of a foreign passport with

a Form I–94 to those nonimmigrants

who are authorized to work for a

specific employer; and

(3) Clarify and expand the receipt rule

under which work-eligible individuals

who are unable to present a required

document may present a receipt under

certain circumstances.

This interim rule also exercises

regulatory authority to continue the

designation of birth certificates as

documents acceptable under List C.

Accordingly, no change to List C is

necessary at this time.

Enforcement Postponed for Employers

and Recruiters or Referrers for a Fee

With Respect to Changes Made to the

List of Acceptable Documents in This

Interim Rule

To minimize confusion among the

employment community and the

potential for discriminatory hiring

practices, this rule makes at this time

only those changes to the current

regulations needed to ensure that the

current regulations conform with the

statutory amendments made by IIRIRA.

Consequently, this rule reduces the list

of documents acceptable for

employment verification under List A,

and retains birth certificates (which are

currently on List C) as acceptable for

employment verification purposes. This

means that List C remains in effect

without change.

This rule does not include a revised

Form I–9. Employers and recruiters and

referrers for a fee are to continue to use

the current version of the Form I–9

(edition 11/21/91) to complete the

employment verification process until

the Form I–9 is revised. As a result, the

Service has determined in its

prosecutorial discretion not to seek a

civil money penalty, until further

notice, for any violations based upon

the changes made by this rule to the list

of acceptable documents.

The Service intends to propose more

comprehensive changes to the

employment verification process, a

further reduction in the number of

acceptable documents, and a revision to

the Form I–9 in a forthcoming

rulemaking. The public will be provided

an opportunity to comment on any

proposed changes at that time. Thus, the

Service will withhold enforcement of

civil money penalties for violations

associated with these changes and

committed before the effective date of a

final rule containing the revised Form I–

9, so that employers or recruiters or

referrers for a fee will not be penalized

if they accept documents that were

previously acceptable but were removed

from the list by this interim rule.

Section 412(a) of IIRIRA—Amending

the Documents Acceptable Under List A

and List C

Section 412(a) of IIRIRA amends the

Act with respect to List A and List C

documents. To implement this

provision in a way that would cause the

least confusion to the public and to

minimize the potential for

discriminatory hiring practices, this rule

amends the regulations to reduce the

current number of List A documents but

to designate certain foreign passports in

two instances. This rule does not reduce

the current number of List C documents.

Instead, this rule retains the documents

currently listed as List C documents in

the regulations as acceptable List C

documents under IIRIRA.

A. Documents Evidencing Both Identity

and Employment Eligibility (List A)

Section 412(a) of IIRIRA amends

section 274A(b)(1)(B) of the Act which

governs the documents that individuals

may present to establish both identity

and employment eligibility. Section

412(a) of IIRIRA eliminates three

documents from the statutory list: (1)

Certificate of United States citizenship;

(2) certificate of naturalization; and (3)

an unexpired foreign passport with an

endorsement that indicates eligibility

for employment. The documents

remaining on the list by statute are: a

United States passport; a resident alien

card; an alien registration card; or other

document designated by the Attorney

General. Each document designated by

the Attorney General must meet three

conditions: The document must not

only contain a photograph and personal

identifying information, and constitute

evidence of employment authorization,

but it now must also contain ‘‘security

features to make it resistant to

tampering, counterfeiting, and

fraudulent use.’’

To implement section 412(a) of

IIRIRA, this rule amends the current

regulations to limit the documents that

evidence both identity and employment

authorization to:

(1) A United States passport;

(2) An Alien Registration Receipt Card

or Permanent Resident Card (Form I–

551);

(3) A foreign passport with a

Temporary I–551 stamp;

(4) An Employment Authorization

Document (EAD) issued by the Service

which contains a photograph (Form I–

766), Form I–688, Form I–688A, or Form

I–688B); and,

(5) In the case of a nonimmigrant

alien authorized to work for a specific

employer incident to status, a foreign

passport with an Arrival-Departure

Record (Form I–94) bearing the same

name as the passport and containing an

endorsement of the alien’s

nonimmigrant status, so long as the

period of endorsement has not yet

expired and the proposed employment

is not in conflict with any restrictions or

limitations identified on the Form I–94.
Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations 51003

1. Service-Issued Employment

Authorization Document

This rule retains the Employment

Authorization Document (Forms I–766,

I–688, I–688A, and I–688B) as an

acceptable List A document. These

forms meet the three statutory

conditions that limit the Attorney

General’s authority to designate

additional List A documents. First,

these Service-issued forms all contain a

photograph and additional identifying

information of the bearer, including a

fingerprint of the bearer and the bearer’s

date of birth. Second, the forms are

evidence that the Service has granted

employment authorization to the bearer.

Third, the Service has designed each of

the forms to contain security features

that make them resistant to tampering,

counterfeiting, and fraudulent use.

2. Foreign Passports With an I–551

Stamp

This rule designates foreign passports

as acceptable evidence of identity and

employment authorization, but limited

to two instances. The first relates to

aliens lawfully admitted for permanent

residence under section 101(a)(20) of

the Act. Persons newly admitted for or

adjusted to lawful permanent residence

may receive evidence of that status

through a stamp in their passports. The

stamp serves as temporary evidence of

permanent resident status until the

individual receives Form I–551 from the

Service. If the stamped endorsement

includes an expiration date, the

document must be reverified by the

employer on the Form I–9. The newest

versions of the Form I–551 also bear an

expiration date but the actual Form I–

551 need to be reverified when the card

expires; only the stamp must be

reverified when expired.

3. Foreign Passports With Form I–94

The second instance in which a

foreign passport is designated as a List

A document is when it is presented

with Form I–94 indicating a

nonimmigrant classification that enables

the alien to work with a specific

employer incident to his or her

nonimmigrant status until the

expiration date specified on the form.

Aliens in classes identified in

§ 274a.12(b) are authorized employment

with a specific employer incident to

status. The Service does not currently

require aliens in these classes to obtain

an employment authorization

document—i.e., a Form I–688B or Form

I–766—and does not plan to implement

such a requirement at this time. The

documentation that a nonimmigrant

alien is issued to demonstrate that he or

she is authorized to work incident to

status with a specific employer is the

Form I–94 with an endorsement that

specifies the alien’s nonimmigrant

status. In addition to the regulations at

§ 274a.12(b), the current version of the

Handbook for Employers (M–274)

enumerates for employers and recruiters

or referrers for a fee the applicable

nonimmigrant classifications. These

classifications include: foreign

government officials and their

employees (A–1, A–2, A–3); foreign

government officials in transit (C–2, C–

3); nonimmigrant treaty traders or

investors (E–1, E–2); nonimmigrant

students engaged in on-campus

employment or curricular practical

training (F–1); representatives of

international organizations and their

employees (G–1, G–2, G–3, G–4, G–5);

temporary workers or trainees (H–1, H–

2A, H–2B, H–3); information media

representatives (I); exchange visitors (J–

1); intra-company transferees (L–1);

aliens having extraordinary ability in

the sciences, arts, education, business,

or athletics and accompanying aliens

(O–1, O–2); athletes, artists or

entertainers (P–1, P–2, P–3);

international cultural exchange visitors

(Q); aliens having a religious occupation

(R); officers and personnel of the armed

services of nations of the North Atlantic

Treaty Organization and representatives,

officials, and staff employees of NATO

(NATO–1, NATO–2, NATO–3, NATO–

4, NATO–5, NATO–6); and citizens of

Canada or Mexico pursuant to the

provisions of the North American Free

Trade Agreement (TN).

The IIRIRA provides that the Attorney

General ‘‘may prohibit or place

conditions on ‘‘specific document if the

Attorney General finds that the

document ‘‘does not reliably establish

[employment] authorization or identity

or is being used fraudulently to an

unacceptable degree.’’ The Service finds

that documentation issued to or used by

nonimmigrants does not reliably

establish employment eligibility except

for documentation indicating a

nonimmigrant classification that

authorizes employment with a specific

employer incident to status. The interim

rule, therefore, places the following

condition on the foreign passport with

a Form I–94: that the foreign passport

with the Form I–94 is only acceptable

where the individual is authorized to

work incident to status with a particular

employer, and the Form I-94 indicates

an employer-specific nonimmigrant

classification. Such documentation may

be used only for purposes of

establishing eligibility to work for the

approved employer. This restriction

does not relieve employers of the

requirement to abide by any terms or

conditions specified on any

documentation issued by the Service.

Similarly, the restriction does not

permit employers to require individuals

to present a specific document. The

restriction does mean that a Form I–94

endorsed to permit employment

incident to status with a specific

employer may not be accepted as

evidence of eligibility to work for other

employers.

4. Conditions Qualifying Foreign

Passports With the I–551 Stamp or Form

I–94 as a Proper Designation

The Service finds that, in the above

instances, foreign passports meet the

three conditions that authorize the

Attorney General to add documents to

List A. First, foreign passports bear a

photograph and identifying information

(such as the birth date and physical

characteristics of the bearer). Second,

they are evidence of employment

authorization when they bear a

temporary I–551 stamp or are presented

together with Form I–94 endorsed with

a nonimmigrant classification that

authorizes employment with a specific

employer incident to status. Finally,

foreign passports contain security

features to make them resistant to

tampering, counterfeiting, and

fraudulent use. Temporary I–551 stamps

are made with secure ink and meet

internal Service standards. Form I–94 is

only acceptable with a foreign passport

in employer-specific situations in which

the employer examining the Form I–94

for employment verification purposes is

the same employer who petitioned for

the alien to receive his or her

nonimmigrant status or is otherwise

approved to accept the alien for

employment. Note that employers are

required to reverify the individual’s

eligibility to work when the stamped

authorization expires.

B. Documents Evidencing Employment

Authorization (List C)

Section 412(a) of IIRIRA amends

section 274A(b)(l)(C) of the Act by

removing the certificate of birth in the

United States (or other certificate found

acceptable by the Attorney General as

establishing United States nationality at

birth) from the statutory list of

acceptable documents that may be used

to establish employment authorization

for compliance with the employment

verification requirements.

The inclusion of the unrestricted

social security account number card on

List C remains undisturbed by section

412(a) of IIRIRA. Thus, this rule does

not amend the current regulations with
51004 Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations

respect to the social security account

numbered card; it remains on the list of

acceptable documents as before.

Under section 274A(b)(1)(C)(ii), as

amended, it is within the Attorney

General’s authority to designate ‘‘other

documentation evidencing

authorization of employment in the

United States which the Attorney

General finds, by regulation, to be

acceptable for purposes of this section.’’

Exercising that authority, the Attorney

General finds that the remaining

documents listed in the current

regulations are acceptable List C

documents. These documents are:

(1) A Certification of Birth Abroad

issued by the Department of State, Form

FS–545;

(2) A Certification of Birth Abroad

issued by the Department of State, Form

DS–1350;

(3) An original or certified copy of a

birth certificate issued by a State,

county, municipal authority, or outlying

possession of the United States bearing

an official seal;

(4) A Native American tribal

document;

(5) A United States Citizen

Identification Card, INS Form I–197;

(6) An identification card for use of a

resident citizen in the United States,

INS Form I–179; and

(7) An unexpired employment

authorization document issued by the

Service.

The finding to retain all the List C

documents currently listed in the

regulations for this rule is necessary to

minimize confusion and the potential

for discriminatory hiring practices that

otherwise might result if this rule

removed documents from the current

list without first providing an

opportunity for public comment or an

education period. This rule enables

employers and recruiters or referrers for

a fee to continue to rely upon the List

C documents that are stated on the

current version of the Form I–9.

The Service is aware of the

congressional intent expressed by

section 412(a) of IIRIRA to remove the

birth certificate from the statutory list of

acceptable documents. The designation

of birth certificates for purposes of this

interim rule is an exercise of the

Attorney General’s regulatory authority

only during this transitional period

until the document reduction initiative

is complete. The Service will propose

removal of the birth certificate as well

as certain other List C documents in a

future proposed rule that will follow

this interim rule. The Service will

consider public comments before

implementing such a change. The

Service, therefore, retains the birth

certificate in this interim rule because

its abrupt removal potentially would

cause much confusion to the public.

Receipts

As a result of this rule’s amendments

to the regulations governing List A

documents, this rule must concurrently

amend the regulations governing the use

of receipts, § 274a.2(b)(1)(vi). This

amendment is necessary to ensure that

certain refugees and lawful permanent

residents will be equipped to meet the

employment verification requirements if

they are unable to present a required

document as a result of the reduction to

the list of acceptable List A documents

required by IIRIRA. In so doing, this

amendment restructures the current rule

relating to receipts.

1. Current Regulations

Current regulations permit

individuals to present a receipt showing

that they have applied for a replacement

document if the individual is unable to

provide a required document or

documents at the time of hire. The

individual must then present the

required document or documents within

90 days of the hire. This provision

provides flexibility in situations where,

for example, an individual has lost a

document.

2. Interim Rule

The interim rule provides that an

employer or recruiter or referrer for a fee

must accept a receipt that appears to be

genuine on its face and appears to relate

to the individual presenting it in lieu of

the required document, unless the

individual indicates or the employer or

recruiter or referrer for a fee has actual

or constructive knowledge that the

individual is not authorized to work. It

reinforces that a receipt for an

application for initial work

authorization or an extension of

expiring work authorization is not

acceptable. It also extends that receipt

rule to reverification.

(1) Three instances in which receipts

are acceptable.

(a) Application for a replacement

document. The rule permits the use of

receipts in three instances. The first

instance is when the individual presents

a receipt for the application for a

replacement document. An application

for initial work authorization or an

extension of expiring work

authorization, however, its not

acceptable.

(b) Form I–94 indicating temporary

evidence of permanent resident status.

The second instance is when the

individual presents the arrival portion

of the Form I–94 that the Service has

marked with a temporary I–551 stamp

and has affixed with the alien’s picture.

The Service may issue this document if

an alien is not in possession of his or

her passport and requires evidence of

lawful permanent resident status.

Although this document provides

temporary evidence of permanent

resident status, it does not contain

sufficient security features.

Consequently, it does not meet the

statutory requirements provided by

IIRIRA for inclusion on List A. This

rule, therefore, extends the receipt rule

to include the Form I-94 with a

temporary I–551 stamp and the alien’s

picture. This document serves as a

receipt for Form I–551 for 180 days.

(c) Form I–94 indicating refugee

status. The third instance is when the

individual presents the departure

portion of Form I–94 containing a

refugee admission stamp. The Service

recognizes the importance of newly

admitted refugees being able to seek

employment promptly upon arrival in

the United States. The Service has been

working with the Social Security

Administration (SSA) to ensure prompt

issuance of social security cards which

carry no employment restrictions to

refugees. In most instances, the Service

believes that refugees will receive social

security cards timely and will be able to

present them to employers. The Service

also intends to give refugees the option

of obtaining a Form I–766 EAD, but

recognizes that in most instances

refugees will be able to obtain a social

security card faster. Refugees may wish

to obtain the Form I–766 EAD so that

they will have a Service-issued

document with a photograph. In order

to ensure that refugees are still able to

work if they encounter delays in

obtaining cards from either the SSA or

the Service, the Service introduces a

special receipt rule. Under this rule, a

Form I–94 with a refugee admission

stamp constitutes a receipt evidencing

eligibility to work. It is not, however, a

receipt for a specific document. The

refugee is permitted to present either an

unrestricted social security card or a

Form I–766 EAD at the end of the 90-

day receipt period. If the refugee

presents a social security card, the

refugee will also need to present a List

B document. If the refugee presents a

Form I–766 EAD, he or she does not

need to present another document.

(2) Receipts are not acceptable where

the individual is hired for less than

three business days.

To correspond to this interim rule’s

expansion in the use of receipts, this

rule amends 8 CFR 274a.2(b)(1)(iii) in

which a reference to receipts is made.

This paragraph of the regulations
Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations 51005

governs the employment verification

requirements in the case of an

individual whose employment is less

than three business days. Currently, the

regulations preclude an individual hired

for less than three business days from

presenting a receipt for the application

of a replacement document in lieu of a

required document. This rule extends

this prohibition to any type of receipt.

Good Cause Exception

This interim rule is effective on

September 30, 1997, although the

Service invites post-promulgation

comments and will address any such

comments in a final rule. For the

following reasons, the Service finds that

good cause exists for adopting this rule

without the prior notice and comment

period ordinarily required by 5 U.S.C.

553.

Pursuant to section 412(e)(1) of

IIRIRA, the document reduction

provisions of section 412(a) of IIRIRA

are effective on September 30, 1997,

unless the Attorney General designates

an earlier date. If the Attorney General

does not designate a date through this

interim rule, the provisions will go into

effect without regulations, and a gap

will be left wherein certain individuals

who are authorized to work will not be

in possession of an acceptable

document under the Act as amended by

IIRIRA for employment verification

purposes. In addition, the Form I–9 will

not be revised at this time. The Service

is concerned that mass confusion among

the employment community would

result over which documents currently

listed in the regulations and on the

Form I–9 would remain acceptable to

meet the employment verification

requirements. This confusion would

heighten the potential for

discriminatory hiring practices.

To prevent the potential for confusion

of the public and discriminatory hiring

practices, and to ensure that documents

acceptable for employment verification

are designated to correspond to all

classes of individuals authorized to

work in the United States, the Service

is issuing this rule. In order to respond

to these concerns, this rule designates

additional documents as acceptable,

beyond those documents specifically

enumerated in the Act as revised. In the

absence of this action by the Service, the

changes made by IIRIRA would result in

an immediate further narrowing of the

list of acceptable documents. Because of

the imminent effective date of the

statutory changes made by IIRIRA, this

rule is being made effective as of

September 30, 1997, without prior

comments from the public. For these

reasons, the Service finds that it would

be unnecessary and contrary to the

public interest to delay the effective

date of this rule.

Regulatory Flexibility Act

The Commissioner of the Immigration

and Naturalization Service, in

accordance with 5 U.S.C. 605(b), has

reviewed this interim rule and, by

approving it, certifies that this rule does

not have a significant economic impact

on a substantial number of small

entities. This rule is a short-term

measure and very limited in scope, only

modifying a small portion of the entire

employment verification process. It also

does not introduce new forms. As a

result, this rule would not require small

entities to significantly change

established practices. In addition, until

further notice, the Service will not

penalize persons or entities that commit

violations based upon the changes to the

list of acceptable documents made by

this rule.

Executive Order 12866

This rule is considered by the

Department of Justice, Immigration and

Naturalization service, to be a

‘‘significant regulatory action’’ under

Executive Order 12866, section 3(f),

Regulatory Planning and Review.

Accordingly, it has been submitted and

approved by the Office of Management

and Budget.

Executive Order 12612

The regulation adopted herein will

not have substantial direct effects on the

States, on the relationship between the

National Government and the States, or

on the distribution of power and

responsibilities among the various

levels of government. Therefore, in

accordance with Executive Order 12612,

it is determined that this rule does not

have sufficient federalism implications

to warrant the preparation of a

Federalism Assessment.

Executive order 12988 Civil Justice

Reform

This interim rule meets the applicable

standards set forth in sections 3(a) and

3(b)(2) of E.O. 12988.

Unfunded Mandates Reform Act of

1995

This rule will not result in the

expenditure by State, local and tribal

governments, in the aggregate, or by the

private sector, of $100 million or more

in any one year, and it will not

significantly or uniquely affect small

governments. Therefore, no actions were

deemed necessary under the provisions

of the Unfunded Mandates Reform Act

of 1995.

Small Business Regulatory Enforcement

Fairness Act of 1996

This rule is not a major rule as

defined by section 804 of the Small

Business Regulatory Enforcement Act of

1996. This rule will not result in an

annual effect on the economy of $100

million or more; a major increase in

costs or prices; or significant adverse

effects on competition, employment,

investment, productivity, innovation, or

on the ability of United States-based

companies to compete with foreignbased companies in domestic and

export markets.

Paperwork Reduction Act

This interim rule does not impose any

new reporting or recordkeeping

requirements. The information

collection requirements pertaining to

the employment verification process

have been approved for use by the

Office of Management and Budget under

the Paperwork Reduction Act of 1995

(Pub. L. 104–13). The OMB control

number for this collection is contained

in 8 CFR 299.5, Display of control

numbers.

List of Subjects in 8 CFR Part 274a

Administrative practice and

procedure, aliens, employment,

penalties, reporting and recordkeeping

requirements.

Accordingly, part 274a of chapter I of

title 8 of the Code of Federal

Regulations is amended as follows:

PART 274a—CONTROL OF

EMPLOYMENT OF ALIENS

1. The authority citation for part 274a

continues to read as follows:

Authority: 8 U.S.C 1101, 1103, 1324a; 8

CFR part 2.

2. Section 274a.2 is amended by:

a. Revising paragraph (b)(1)(iii);

b. Revising paragraph (b)(1)(v)(A); and

by

c. Revising paragraph (b)(11)(vi), to

read as follows:

§ 274a.2 Verification of employment

eligibility.

* * * * *

(b) * * *

(1) * * *

(iii) An employer who hires an

individual for employment for a

duration of less than three business days

must comply with paragraphs

(b)(1)(ii)(A) and (b)(1)(ii)(B) of this

section at the time of the hire. An

employer may not accept a receipt, as

described in paragraph (b)(1)(vi) of this

section, in lieu of the required
51006 Federal Register / Vol. 62, No. 189 / Tuesday, September 30, 1997 / Rules and Regulations

document if the employment is for less

than three business days.

* * * * *

(v) * * *

(A) The following documents, so long

as they appear to relate to the individual

presenting the document, are acceptable

to evidence both identity and

employment eligibility:

(1) United States passport (unexpired

or expired);

(2) Alien Registration Receipt Card or

Permanent Resident Card, Form I–551;

(3) An unexpired foreign passport that

contains a temporary I–551 stamp;

(4) An unexpired Employment

Authorization Document issued by the

Immigration And Naturalization Service

which contains a photograph, Form I–

766; Form I–688, Form I–688A, or Form

I–688B;

(5) In the case of a nonimmigrant

alien authorized to work for a specific

employer incident to status, an

unexpired foreign passport with an

Arrival-Departure Record, Form I–94,

bearing the same name as the passport

and containing an endorsement of the

alien’s nonimmigrant status, so long as

the period of endorsement has not yet

expired and the proposed employment

is not in conflict with any restrictions or

limitations identified on the Form I–94.

* * * * *

(vi) Special rules for receipts. Except

as provided in paragraph (b)(1)(iii) of

this section, unless the individual

indicates or the employer or recruiter or

referrer for a fee has actual or

constructive knowledge that the

individual is not authorized to work, an

employer or recruiter or referrer for a fee

must accept a receipt for the application

for a replacement document or a

document described in paragraphs

(b)(1)(vi)(B)((1) and (b)(1)(vi)(C)((1) of

this section in lieu of the required

document in order to comply with any

requirement to examine documentation

imposed by this section, in the

following circumstances:

(A) Application for a replacement

document. The individual:

(1) Is unable to provide the required

document within the time specified in

this section because the document was

lost, stolen, or damaged;

(2) Presents a receipt for the

application for the replacement

document within the time specified in

this section; and

(3) Presents the replacement

document within 90 days of the hire or,

in the case of reverification, the date

employment authorization expires; or

(B) Form I–94 indicating temporary

evidence of permanent resident status.

The individual indicates in section 1 of

the Form I–9 that he or she is a lawful

permanent resident and the individual:

(1) Presents the arrival portion of

Form I–94 containing an unexpired

‘‘Temporary I–551’’ stamp and

photograph of the individual, which is

designated for purposes of this section

as a receipt for Form I–551; and

(2) Presents the Form I–551 within

180 days of the hire or, in the case of

reverification, the date employment

authorization expires; or

(C) Form I–94 indicating refugee

status. The individual indicates in

section 1 of the Form I–9 that he or she

is an alien authorized to work and the

individual:

(1) Presents the departure portion of

Form I–94 containing an unexpired

refugee admission stamp, which is

designated for purposes of this section

as a receipt for either the Form I–766 or

a social security account number card

that contains no employment

restrictions; and

(2) Presents, within 90 days of the

hire or, in the case of reverification, the

date employment authorization expires,

either an unexpired Form I–766; or a

social security account number card that

contains no employment restrictions

together with a document described

under paragraph (b)(1)(v)(B) of this

section.

* * * * *

Dated: September 25, 1997.

Doris Meissner,

Commissioner, Immigration and

Naturalization Service.

[FR Doc. 97–25920 Filed 9–29–97; 8:45 am]

BILLING CODE 4410–10–M

FEDERAL RESERVE SYSTEM

12 CFR Part 213

[Regulation M; Docket No. R–0892]

Consumer Leading; Delay of

Compliance Date

AGENCY: Board of Governors of the

Federal Reserve System.

ACTION: Final rule; delay of compliance

date.

SUMMARY: Following a review under the

Board’s Regulatory Planning and

Review Program, the Board published a

revised Regulation M, which

implements the Consumer Leasing Act

on October 7, 1996. The final rule

contains a significant number of

substantive revisions to the regulation.

It essentially establishes a new

disclosure scheme that should

substantially improve consumer

understanding of automobile

transactions. The new disclosure

scheme required the preparation of new

forms and the reprogramming of

computer software. Mandatory

compliance with the revised rule was to

begin on October 1, 1997. The Board is

delaying that compliance date until

January 1, 1998, to facilitate compliance

with the regulation and to ensure that

consumers receive accurate and

meaningful disclosures.

DATES: The mandatory compliance date

for the final rule published at 61 FR

52246 (Oct. 7, 1996) is delayed until

January 1, 1998.

FOR FURTHER INFORMATION CONTACT:

Kyung H. Cho-Miller or Obrea O.

Poindexter, Staff Attorneys, Division of

Consumer and Community Affairs,

Board of Governors of the Federal

Reserve System, Washington, DC 20551,

at (202) 452–2412 or 452–3667. For

users of Telecommunications Device for

the Deaf (TDD), please contact Dorothea

Thompson at (202) 452–3544.

SUPPLEMENTARY INFORMATION: The

Consumer Leasing Act (CLA), 15 U.S.C.

1667–1667e, was enacted into law in

1976 as an amendment to the Truth in

Lending Act (TILA), 15 U.S.C. 1601 et

seq. The Board was given rulewriting

authority, and its Regulation M (12 CFR

part 213) implements the CLA.

The CLA generally governs consumer

leases of personal property involving

$25,000 or less and a term of more than

four months. An automobile lease is the

most common type of consumer lease

covered by the CLA. Like the credit

provisions of the TILA, the CLA

requires lessors to provide uniform cost

and other disclosures in consumer lease

transactions and in lease advertising.

Prior to entering into a lease agreement,

lessors must give consumers fifteen to

twenty disclosures, including the

amount of initial charges to be paid, an

identification of leased property, a

payment schedule, the responsibilities

for maintaining the leased property, and

the liability for terminating a lease early.

Following a review under the Board’s

Regulatory Planning and Review

Program, the Board published a revised

Regulation M on October 7, 1996 (61 FR

52246), and a new staff commentary on

April 4, 1997 (62 FR 16053). The final

rule, which contains a significant

number of substantive revisions to the

regulation, essentially establishes a new

disclosure scheme that should

substantially improve consumer

understanding of automobile lease

transactions. The new disclosure

scheme required the preparation of new

forms and the reprogramming of

computer software.