II 

113TH CONGRESS 

1ST SESSION S. 202 

To expand the use of E-Verify, to hold employers accountable, and for 

other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 31, 2013 

Mr. GRASSLEY (for himself, Mr. BOOZMAN, Mr. CORKER, Mr. JOHANNS, Mr. 

LEE, Mr. SESSIONS, Mr. VITTER, Mr. WICKER, Mrs. FISCHER, Mr. 

HATCH, and Mr. ENZI) introduced the following bill; which was read 

twice and referred to the Committee on the Judiciary 

A BILL 

To expand the use of E-Verify, to hold employers 

accountable, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Accountability Through Electronic Verification Act’’. 

6 (b) TABLE OF CONTENTS.—The table of contents for 

7 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Permanent reauthorization. 

Sec. 3. Mandatory use of E-Verify. 

Sec. 4. Consequences of failure to participate. 

Sec. 5. Preemption; liability. 


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Sec. 6. Expanded use of E-Verify. 

Sec. 7. Reverification. 

Sec. 8. Holding employers accountable. 

Sec. 9. Information sharing. 

Sec. 10. Form I–9 Process. 

Sec. 11. Algorithm. 

Sec. 12. Identity theft. 

Sec. 13. Small Business Demonstration Program. 

1 SEC. 2. PERMANENT REAUTHORIZATION. 

2 Section 401(b) of the Illegal Immigration Reform and 

3 Immigrant Responsibility Act of 1996 (division C of Pub4 lic Law 104–208; 8 U.S.C. 1324a note) is amended by 

5 striking ‘‘Unless the Congress otherwise provides, the Sec6 retary of Homeland Security shall terminate a pilot pro7 gram on September 30, 2015.’’. 

8 SEC. 3. MANDATORY USE OF E-VERIFY. 

9 (a) FEDERAL GOVERNMENT.—Section 402(e)(1) of 

10 the Illegal Immigration Reform and Immigrant Responsi11 bility Act of 1996 (8 U.S.C. 1324a note) is amended— 

12 (1) by amending subparagraph (A) to read as 

13 follows: 

14 ‘‘(A) EXECUTIVE DEPARTMENTS AND

15 AGENCIES.—Each department and agency of 

16 the Federal Government shall participate in E17 Verify by complying with the terms and condi18 tions set forth in this section.’’; and 

19 (2) in subparagraph (B), by striking ‘‘, that 

20 conducts hiring in a State’’ and all that follows and 

21 inserting ‘‘shall participate in E-Verify by complying 


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1 with the terms and conditions set forth in this sec2 tion.’’. 

3 (b) FEDERAL CONTRACTORS; CRITICAL EMPLOY4 ERS.—Section 402(e) of the Illegal Immigration Reform 

5 and Immigrant Responsibility Act of 1996 (8 U.S.C. 

6 1324a note) is amended— 

7 (1) by redesignating paragraphs (2) and (3) as 

8 paragraphs (4) and (5), respectively; and 

9 (2) by inserting after paragraph (1) the fol10 lowing: 

11 ‘‘(2) UNITED STATES CONTRACTORS.—Any per12 son, employer, or other entity that enters into a con13 tract with the Federal Government shall participate 

14 in E-Verify by complying with the terms and condi15 tions set forth in this section. 

16 ‘‘(3) DESIGNATION OF CRITICAL EMPLOYERS.— 

17 Not later than 7 days after the date of the enact18 ment of this paragraph, the Secretary of Homeland 

19 Security shall— 

20 ‘‘(A) conduct an assessment of employers 

21 that are critical to the homeland security or na22 tional security needs of the United States; 

23 ‘‘(B) designate and publish a list of em24 ployers and classes of employers that are 


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1 deemed to be critical pursuant to the assess2 ment conducted under subparagraph (A); and 

3 ‘‘(C) require that critical employers des4 ignated pursuant to subparagraph (B) partici5 pate in E-Verify by complying with the terms 

6 and conditions set forth in this section not later 

7 than 30 days after the Secretary makes such 

8 designation.’’. 

9 (c) ALL EMPLOYERS.—Section 402 of the Illegal Im10 migration Reform and Immigrant Responsibility Act of 

11 1996 (8 U.S.C. 1324a note) is amended— 

12 (1) by redesignating subsection (f) as sub13 section (g); and 

14 (2) by inserting after subsection (e) the fol15 lowing: 

16 ‘‘(f) MANDATORY PARTICIPATION IN E-VERIFY.— 

17 ‘‘(1) IN GENERAL.—Subject to paragraphs (2) 

18 and (3), all employers in the United States shall 

19 participate in E-Verify, with respect to all employees 

20 recruited, referred, or hired by such employer on or 

21 after the date that is 1 year after the date of the 

22 enactment of this subsection. 

23 ‘‘(2) USE OF CONTRACT LABOR.—Any employer 

24 who uses a contract, subcontract, or exchange to ob25 tain the labor of an individual in the United States 


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1 shall certify in such contract, subcontract, or ex2 change that the employer uses E-Verify. If such cer3 tification is not included in a contract, subcontract, 

4 or exchange, the employer shall be deemed to have 

5 violated paragraph (1). 

6 ‘‘(3) INTERIM MANDATORY PARTICIPATION.— 

7 ‘‘(A) IN GENERAL.—Before the date set 

8 forth in paragraph (1), the Secretary of Home9 land Security shall require any employer or 

10 class of employers to participate in E-Verify, 

11 with respect to all employees recruited, referred, 

12 or hired by such employer if the Secretary has 

13 reasonable cause to believe that the employer is 

14 or has been engaged in a material violation of 

15 section 274A of the Immigration and Nation16 ality Act (8 U.S.C. 1324a). 

17 ‘‘(B) NOTIFICATION.—Not later than 14 

18 days before an employer or class of employers 

19 is required to begin participating in E-Verify 

20 pursuant to subparagraph (A), the Secretary 

21 shall provide such employer or class of employ22 ers with— 

23 ‘‘(i) written notification of such re24 quirement; and 


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1 ‘‘(ii) appropriate training materials to 

2 facilitate compliance with such require3 ment.’’. 

4 SEC. 4. CONSEQUENCES OF FAILURE TO PARTICIPATE. 

5 (a) IN GENERAL.—Section 402(e)(5) of the Illegal 

6 Immigration Reform and Immigrant Responsibility Act of 

7 1996 (8 U.S.C. 1324a note), as redesignated by section 

8 3(b)(1), is amended to read as follows: 

9 ‘‘(5) CONSEQUENCES OF FAILURE TO PARTICI10 PATE.—If a person or other entity that is required 

11 to participate in E-Verify fails to comply with the 

12 requirements under this title with respect to an indi13 vidual— 

14 ‘‘(A) such failure shall be treated as a vio15 lation of section 274A(a)(1)(B) with respect to 

16 such individual; and 

17 ‘‘(B) a rebuttable presumption is created 

18 that the person or entity has violated section 

19 274A(a)(1)(A).’’. 

20 (b) PENALTIES.—Section 274A of the Immigration 

21 and Nationality Act (8 U.S.C. 1324a) is amended— 

22 (1) in subsection (e)— 

23 (A) in paragraph (4)— 


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1 (i) in subparagraph (A), in the matter 

2 preceding clause (i), by inserting ‘‘, subject 

3 to paragraph (10),’’ after ‘‘in an amount’’; 

4 (ii) in subparagraph (A)(i), by strik5 ing ‘‘not less than $250 and not more than 

6 $2,000’’ and inserting ‘‘not less than 

7 $2,500 and not more than $5,000’’; 

8 (iii) in subparagraph (A)(ii), by strik9 ing ‘‘not less than $2,000 and not more 

10 than $5,000’’ and inserting ‘‘not less than 

11 $5,000 and not more than $10,000’’; 

12 (iv) in subparagraph (A)(iii), by strik13 ing ‘‘not less than $3,000 and not more 

14 than $10,000’’ and inserting ‘‘not less 

15 than $10,000 and not more than 

16 $25,000’’; and 

17 (v) by amending subparagraph (B) to 

18 read as follows: 

19 ‘‘(B) may require the person or entity to 

20 take such other remedial action as is appro21 priate.’’; 

22 (B) in paragraph (5)— 

23 (i) by inserting ‘‘, subject to para24 graphs (10) through (12),’’ after ‘‘in an 

25 amount’’; 


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1 (ii) by striking ‘‘$100’’ and inserting 

2 ‘‘$1,000’’; 

3 (iii) by striking ‘‘$1,000’’ and insert4 ing ‘‘$25,000’’; 

5 (iv) by striking ‘‘the size of the busi6 ness of the employer being charged, the 

7 good faith of the employer’’ and inserting 

8 ‘‘the good faith of the employer being 

9 charged’’; and 

10 (v) by adding at the end the following: 

11 ‘‘Failure by a person or entity to utilize 

12 the employment eligibility verification sys13 tem as required by law, or providing infor14 mation to the system that the person or 

15 entity knows or reasonably believes to be 

16 false, shall be treated as a violation of sub17 section (a)(1)(A).’’; and 

18 (C) by adding at the end the following: 

19 ‘‘(10) EXEMPTION FROM PENALTY.—In the 

20 case of imposition of a civil penalty under paragraph 

21 (4)(A) with respect to a violation of subsection 

22 (a)(1)(A) or (a)(2) for hiring or continuation of em23 ployment or recruitment or referral by person or en24 tity and in the case of imposition of a civil penalty 

25 under paragraph (5) for a violation of subsection 


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1 (a)(1)(B) for hiring or recruitment or referral by a 

2 person or entity, the penalty otherwise imposed may 

3 be waived or reduced if the violator establishes that 

4 the violator acted in good faith. 

5 ‘‘(11) AUTHORITY TO DEBAR EMPLOYERS FOR

6 CERTAIN VIOLATIONS.— 

7 ‘‘(A) IN GENERAL.—If a person or entity 

8 is determined by the Secretary of Homeland Se9 curity to be a repeat violator of paragraph 

10 (1)(A) or (2) of subsection (a), or is convicted 

11 of a crime under this section, such person or 

12 entity may be considered for debarment from 

13 the receipt of Federal contracts, grants, or co14 operative agreements in accordance with the de15 barment standards and pursuant to the debar16 ment procedures set forth in the Federal Acqui17 sition Regulation. 

18 ‘‘(B) DOES NOT HAVE CONTRACT, GRANT, 

19 AGREEMENT.—If the Secretary of Homeland 

20 Security or the Attorney General wishes to have 

21 a person or entity considered for debarment in 

22 accordance with this paragraph, and such an 

23 person or entity does not hold a Federal con24 tract, grant or cooperative agreement, the Sec25 retary or Attorney General shall refer the matVerDate Mar 15 2010 18:37 Feb 08, 2013 Jkt 029200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S202.IS S202

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1 ter to the Administrator of General Services to 

2 determine whether to list the person or entity 

3 on the List of Parties Excluded from Federal 

4 Procurement, and if so, for what duration and 

5 under what scope. 

6 ‘‘(C) HAS CONTRACT, GRANT, AGREE7 MENT.—If the Secretary of Homeland Security 

8 or the Attorney General wishes to have a per9 son or entity considered for debarment in ac10 cordance with this paragraph, and such person 

11 or entity holds a Federal contract, grant or co12 operative agreement, the Secretary or Attorney 

13 General shall advise all agencies or departments 

14 holding a contract, grant, or cooperative agree15 ment with the person or entity of the Govern16 ment’s interest in having the person or entity 

17 considered for debarment, and after soliciting 

18 and considering the views of all such agencies 

19 and departments, the Secretary or Attorney 

20 General may waive the operation of this para21 graph or refer the matter to any appropriate 

22 lead agency to determine whether to list the 

23 person or entity on the List of Parties Excluded 

24 from Federal Procurement, and if so, for what 

25 duration and under what scope. 


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1 ‘‘(D) REVIEW.—Any decision to debar a 

2 person or entity under in accordance with this 

3 paragraph shall be reviewable pursuant to part 

4 9.4 of the Federal Acquisition Regulation.’’; 

5 and 

6 (2) in subsection (f)— 

7 (A) by amending paragraph (1) to read as 

8 follows: 

9 ‘‘(1) CRIMINAL PENALTY.—Any person or enti10 ty which engages in a pattern or practice of viola11 tions of subsection (a)(1) or (2) shall be fined not 

12 more than $15,000 for each unauthorized alien with 

13 respect to which such a violation occurs, imprisoned 

14 for not less than 1 year and not more than 10 years, 

15 or both, notwithstanding the provisions of any other 

16 Federal law relating to fine levels.’’; and 

17 (B) in paragraph (2), by striking ‘‘Attor18 ney General’’ each place it appears and insert19 ing ‘‘Secretary of Homeland Security’’. 

20 SEC. 5. PREEMPTION; LIABILITY. 

21 Section 402 of the Illegal Immigration Reform and 

22 Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a 

23 note), as amended by this Act, is further amended by add24 ing at the end the following: 

25 ‘‘(h) LIMITATION ON STATE AUTHORITY.— 


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1 ‘‘(1) PREEMPTION.—A State or local govern2 ment may not prohibit a person or other entity from 

3 verifying the employment authorization of new hires 

4 or current employees through E-Verify. 

5 ‘‘(2) LIABILITY.—A person or other entity that 

6 participates in E-Verify may not be held liable under 

7 any Federal, State, or local law for any employment8 related action taken with respect to the wrongful 

9 termination of an individual in good faith reliance on 

10 information provided through E-Verify.’’. 

11 SEC. 6. EXPANDED USE OF E-VERIFY. 

12 Section 403(a)(3)(A) of the Illegal Immigration Re13 form and Immigrant Responsibility Act of 1996 (8 U.S.C. 

14 1324a note) is amended to read as follows: 

15 ‘‘(A) IN GENERAL.— 

16 ‘‘(i) BEFORE HIRING.—The person or 

17 other entity may verify the employment eli18 gibility of an individual through E-Verify 

19 before the individual is hired, recruited, or 

20 referred if the individual consents to such 

21 verification. If an employer receives a ten22 tative nonconfirmation for an individual, 

23 the employer shall comply with procedures 

24 prescribed by the Secretary, including— 


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1 ‘‘(I) providing the individual em2 ployees with private, written notifica3 tion of the finding and written refer4 ral instructions; 

5 ‘‘(II) allowing the individual to 

6 contest the finding; and 

7 ‘‘(III) not taking adverse action 

8 against the individual if the individual 

9 chooses to contest the finding. 

10 ‘‘(ii) AFTER EMPLOYMENT OFFER.— 

11 The person or other entity shall verify the 

12 employment eligibility of an individual 

13 through E-Verify not later than 3 days 

14 after the date of the hiring, recruitment, or 

15 referral, as the case may be. 

16 ‘‘(iii) EXISTING EMPLOYEES.—Not 

17 later than 3 years after the date of the en18 actment of the Accountability Through 

19 Electronic Verification Act, the Secretary 

20 shall require all employers to use E-Verify 

21 to verify the identity and employment eligi22 bility of any individual who has not been 

23 previously verified by the employer through 

24 E-Verify.’’. 


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1 SEC. 7. REVERIFICATION. 

2 Section 403(a) of the Illegal Immigration Reform and 

3 Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a 

4 note) is amended by adding at the end the following: 

5 ‘‘(5) REVERIFICATION.—Each person or other 

6 entity participating in E-Verify shall use the E7 Verify confirmation system to reverify the work au8 thorization of any individual not later than 3 days 

9 after the date on which such individual’s employ10 ment authorization is scheduled to expire (as indi11 cated by the Secretary or the documents provided to 

12 the employer pursuant to section 274A(b) of the Im13 migration and Nationality Act (8 U.S.C. 1324a(b))), 

14 in accordance with the procedures set forth in this 

15 subsection and section 402.’’. 

16 SEC. 8. HOLDING EMPLOYERS ACCOUNTABLE. 

17 (a) CONSEQUENCES OF NONCONFIRMATION.—Sec18 tion 403(a)(4)(C) of the Illegal Immigration Reform and 

19 Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a 

20 note) is amended to read as follows: 

21 ‘‘(C) CONSEQUENCES OF NONCONFIRMA22 TION.— 

23 ‘‘(i) TERMINATION AND NOTIFICA24 TION.—If the person or other entity re25 ceives a final nonconfirmation regarding an 


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1 individual, the employer shall imme2 diately— 

3 ‘‘(I) terminate the employment, 

4 recruitment, or referral of the indi5 vidual; and 

6 ‘‘(II) submit to the Secretary any 

7 information relating to the individual 

8 that the Secretary determines would 

9 assist the Secretary in enforcing or 

10 administering United States immigra11 tion laws. 

12 ‘‘(ii) CONSEQUENCE OF CONTINUED

13 EMPLOYMENT.—If the person or other en14 tity continues to employ, recruit, or refer 

15 the individual after receiving final noncon16 firmation, a rebuttable presumption is cre17 ated that the employer has violated section 

18 274A of the Immigration and Nationality 

19 Act (8 U.S.C. 1324a).’’. 

20 (b) INTERAGENCY NONCONFIRMATION REPORT.— 

21 Section 405 of the Illegal Immigration Reform and Immi22 grant Responsibility Act of 1996 (8 U.S.C. 1324a note) 

23 is amended by adding at the end the following: 

24 ‘‘(c) INTERAGENCY NONCONFIRMATION REPORT.— 


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1 ‘‘(1) IN GENERAL.—The Director of U.S. Citi2 zenship and Immigration Services shall submit a 

3 weekly report to the Assistant Secretary of Immigra4 tion and Customs Enforcement that includes, for 

5 each individual who receives final nonconfirmation 

6 through E-Verify— 

7 ‘‘(A) the name of such individual; 

8 ‘‘(B) his or her Social Security number or 

9 alien file number; 

10 ‘‘(C) the name and contact information for 

11 his or her current employer; and 

12 ‘‘(D) any other critical information that 

13 the Assistant Secretary determines to be appro14 priate. 

15 ‘‘(2) USE OF WEEKLY REPORT.—The Secretary 

16 of Homeland Security shall use information provided 

17 under paragraph (1) to enforce compliance of the 

18 United States immigration laws.’’. 

19 SEC. 9. INFORMATION SHARING. 

20 The Commissioner of Social Security, the Secretary 

21 of Homeland Security, and the Secretary of the Treasury 

22 shall jointly establish a program to share information 

23 among such agencies that may or could lead to the identi24 fication of unauthorized aliens (as defined under section 

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1 cluding any no-match letter and any information in the 

2 earnings suspense file. 

3 SEC. 10. FORM I–9 PROCESS. 

4 Not later than 9 months after date of the enactment 

5 of this Act, the Secretary of Homeland Security shall sub6 mit a report to Congress that contains recommendations 

7 for— 

8 (1) modifying and simplifying the process by 

9 which employers are required to complete and retain 

10 a Form I–9 for each employee pursuant to section 

11 274A of the Immigration and Nationality Act (8 

12 U.S.C. 1324a); and 

13 (2) eliminating the process described in para14 graph (1). 

15 SEC. 11. ALGORITHM. 

16 Section 404(d) of the Illegal Immigration Reform and 

17 Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a 

18 note) is amended to read as follows: 

19 ‘‘(d) DESIGN AND OPERATION OF SYSTEM.—E20 Verify shall be designed and operated— 

21 ‘‘(1) to maximize its reliability and ease of use 

22 by employers; 

23 ‘‘(2) to insulate and protect the privacy and se24 curity of the underlying information; 


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1 ‘‘(3) to maintain appropriate administrative, 

2 technical, and physical safeguards to prevent unau3 thorized disclosure of personal information; 

4 ‘‘(4) to respond accurately to all inquiries made 

5 by employers on whether individuals are authorized 

6 to be employed; 

7 ‘‘(5) to register any times when E-Verify is un8 able to receive inquiries; 

9 ‘‘(6) to allow for auditing use of the system to 

10 detect fraud and identify theft; 

11 ‘‘(7) to preserve the security of the information 

12 in all of the system by— 

13 ‘‘(A) developing and using algorithms to 

14 detect potential identity theft, such as multiple 

15 uses of the same identifying information or doc16 uments; 

17 ‘‘(B) developing and using algorithms to 

18 detect misuse of the system by employers and 

19 employees; 

20 ‘‘(C) developing capabilities to detect 

21 anomalies in the use of the system that may in22 dicate potential fraud or misuse of the system; 

23 and 

24 ‘‘(D) auditing documents and information 

25 submitted by potential employees to employers, 


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1 including authority to conduct interviews with 

2 employers and employees; 

3 ‘‘(8) to confirm identity and work authorization 

4 through verification of records maintained by the 

5 Secretary, other Federal departments, States, the 

6 Commonwealth of the Northern Mariana Islands, or 

7 an outlying possession of the United States, as de8 termined necessary by the Secretary, including— 

9 ‘‘(A) records maintained by the Social Se10 curity Administration; 

11 ‘‘(B) birth and death records maintained 

12 by vital statistics agencies of any State or other 

13 jurisdiction in the United States; 

14 ‘‘(C) passport and visa records (including 

15 photographs) maintained by the Department of 

16 State; and 

17 ‘‘(D) State driver’s license or identity card 

18 information (including photographs) maintained 

19 by State department of motor vehicles; 

20 ‘‘(9) to electronically confirm the issuance of 

21 the employment authorization or identity document; 

22 and 

23 ‘‘(10) to display the digital photograph that the 

24 issuer placed on the document so that the employer 

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1 graph on the document presented by the employee 

2 or, in exceptional cases, if a photograph is not avail3 able from the issuer, to provide for a temporary al4 ternative procedure, specified by the Secretary, for 

5 confirming the authenticity of the document.’’. 

6 SEC. 12. IDENTITY THEFT. 

7 Section 1028 of title 18, United States Code, is 

8 amended— 

9 (1) in subsection (a)(7), by striking ‘‘of another 

10 person’’ and inserting ‘‘that is not his or her own’’; 

11 and 

12 (2) in subsection (b)(3)— 

13 (A) in subparagraph (B), by striking ‘‘or’’ 

14 at the end; 

15 (B) in subparagraph (C), by adding ‘‘or’’ 

16 at the end; and 

17 (C) by adding at the end the following: 

18 ‘‘(D) to facilitate or assist in harboring or 

19 hiring unauthorized workers in violation of sec20 tion 274, 274A, or 274C of the Immigration 

21 and Nationality Act (8 U.S.C. 1324, 1324a, 

22 and 1324c).’’. 


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1 SEC. 13. SMALL BUSINESS DEMONSTRATION PROGRAM. 

2 Section 403 of the Illegal Immigration Reform and 

3 Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a 

4 note) is amended— 

5 (1) by redesignating subsection (d) as sub6 section (e); and 

7 (2) by inserting after subsection (c) the fol8 lowing: 

9 ‘‘(d) SMALL BUSINESS DEMONSTRATION PRO10 GRAM.—Not later than 9 months after the date of the en11 actment of the Accountability Through Electronic 

12 Verification Act, the Director of U.S. Citizenship and Im13 migration Services shall establish a demonstration pro14 gram that assists small businesses in rural areas or areas 

15 without internet capabilities to verify the employment eli16 gibility of newly hired employees solely through the use 

17 of publicly accessible internet terminals.’’. 

Æ 


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