I
103D CONGRESS
2D SESSION
H. R. 4557
To amend the Social Security Act to require the Secretary of Health and
Human Services to establish a program to verify employee social security
information, and to require employers to use the program.
IN THE HOUSE OF REPRESENTATIVES
JUNE 9, 1994
Mr. CALVERT (for himself, Mr. HALL of Texas, Mr. MCCOLLUM, Mr. TRAFI-
CANT, Mr. BILBRAY, Mr. HOLDEN, Mr. SMITH of Texas, Mr. COLLINS
of Georgia, Mr. LEVY, Mr. HUNTER, Mr. MCKEON, Mr. GALLEGLY, Mr.
ARCHER, Mr. CUNNINGHAM, Mr. LEHMAN, Mr. SMITH of Oregon, Mr.
EMERSON, Mr. ROHRABACHER, Mr. SHAYS, Mr. CANADY, Mr. KIM, Mr.
GOSS, Ms. MOLINARI, Mr. GALLO, Mrs. VUCANOVICH, Mr. LEWIS of
Florida, Mrs. ROUKEMA, and Mr. MOORHEAD) introduced the following
bill; which was referred to the Committee on Ways and Means
A BILL
To amend the Social Security Act to require the Secretary
of Health and Human Services to establish a program
to verify employee social security information, and to
require employers to use the program.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Social Security Ac-
count Number Anti-Fraud Act’’.
SEC. 2. STATEMENT OF PURPOSE.
The purpose of this Act is to reduce the use of fraud-
ulent social security documents for employment purposes.
SEC. 3. SOCIAL SECURITY ACCOUNT NUMBER ANTI-FRAUD
PROGRAM.
Section 205 of the Social Security Act (42 U.S.C.
405) is amended by adding at the end the following new
subsection:
‘‘Verification of Employee Social Security Account
Numbers
‘‘(u)(1)(A) Not later than 10 years after the date of
the enactment of the Social Security Account Number
Anti-Fraud Act, the Secretary, in consultation with the
Commissioner of Immigration and Naturalization and the
Secretary of Labor, shall establish a program under
which—
‘‘(i) each American employer, either by tele-
phone through use of a toll-free telephone number or
by other electronic device—
‘‘(I) shall transmit the social security ac-
count number and name of each new employee
of the employer, and any other information con-
cerning the employee that the Secretary re-
quires by regulation, to the Secretary within 30
days after the commencement of employment of
the employee; and
‘‘(II) may transmit the social security ac-
count number and name of any employee of the
employer to whom subclause (I) does not apply,
and any other information concerning the em-
ployee that the Secretary requires by regula-
tion, to the Secretary; and
‘‘(ii) notwithstanding any provision of section
552a of title 5, United States Code, the Secretary
shall, upon receiving the information transmitted
under clause (i), instantaneously notify the employer
that there is or is not a discrepancy concerning the
information, by sending a communication to the
same electronic device through which the informa-
tion was transmitted to the Secretary.
‘‘(B)(i) The Secretary shall give each employer a ver-
ification number for each employee social security account
number that the employer transmits under the program
established under this paragraph.
‘‘(ii) The Secretary shall maintain, for at least the
amount of time during which prosecution for crimes relat-
ing to fraudulent use of a social security account number
would be allowable under applicable statutes of limita-
tions, records of all contacts that occur under subpara-
graph (A) or (D) between the Secretary and an employer.
‘‘(C) The Secretary shall establish guidelines to de-
scribe the characteristics that constitute a discrepancy
concerning a social security account number transmitted
to the Secretary under the program established under this
paragraph. Under the guidelines, a discrepancy concerning
a social security account number shall be indicated if any
of the following factors is present regarding the number:
‘‘(i) An invalid social security account number.
‘‘(ii) A social security account number submit-
ted for verification under the program with a name
that does not belong to the correct holder of the so-
cial security account number.
‘‘(iii) Unusually frequent use of a social security
account number.
‘‘(iv) Use of a social security account number in
geographically distant locations within a relatively
short period of time.
‘‘(v) Any other factor that the Secretary deter-
mines to be appropriate.
‘‘(D) If a discrepancy concerning the social security
account number of an employee is indicated under the pro-
gram established under this paragraph—
‘‘(i) the Secretary shall notify the Commissioner
of Immigration and Naturalization, within 24 hours
after the discrepancy is indicated, of—