To evaluate and extend the basic pilot program for employment eligibility confirmation and to ensure the protection of Social Security beneficiaries.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Employee Verification Amendment Act 
of 2008''.

SEC. 2. EXTENSION OF PROGRAMS.

    Section 401(b) of the Illegal Immigration Reform and Immigrant 
Responsibility Act of 1996 (8 U.S.C. 1324a note) is amended by striking 
``11-year period'' and inserting ``16-year period''.

SEC. 3. PROTECTION OF SOCIAL SECURITY ADMINISTRATION PROGRAMS.

    (a) Funding Under Agreement.--Effective for fiscal years beginning 
on or after October 1, 2008, the Commissioner of Social Security and 
the Secretary of Homeland Security shall enter into and maintain an 
agreement which shall--
            (1) provide funds to the Commissioner for the full costs of 
        the responsibilities of the Commissioner under section 404 of 
        the Illegal Immigration Reform and Immigrant Responsibility Act 
        of 1996 (8 U.S.C. 1324a note), including (but not limited to)--
                    (A) acquiring, installing, and maintaining 
                technological equipment and systems necessary for the 
                fulfillment of the responsibilities of the Commissioner 
                under such section 404, but only that portion of such 
                costs that are attributable exclusively to such 
                responsibilities; and
                    (B) responding to individuals who contest a 
                tentative nonconfirmation provided by the basic pilot 
                confirmation system established under such section;
            (2) provide such funds quarterly in advance of the 
        applicable quarter based on estimating methodology agreed to by 
        the Commissioner and the Secretary (except in such instances 
        where the delayed enactment of an annual appropriation may 
        preclude such quarterly payments); and
            (3) require an annual accounting and reconciliation of the 
        actual costs incurred and the funds provided under the 
        agreement, which shall be reviewed by the Office of Inspector 
        General of the Social Security Administration and the 
        Department of Homeland Security.
    (b) Continuation of Employment Verification in Absence of Timely 
Agreement.--In any case in which the agreement required under 
subsection (a) for any fiscal year beginning on or after October 1, 
2008, has not been reached as of October 1 of such fiscal year, the 
latest agreement between the Commissioner and the Secretary of Homeland 
Security providing for funding to cover the costs of the 
responsibilities of the Commissioner under section 404 of the Illegal 
Immigration Reform and Immigrant Responsibility Act of 1996 (8 U.S.C. 
1324a note) shall be deemed in effect on an interim basis for such 
fiscal year until such time as an agreement required under subsection 
(a) is subsequently reached, except that the terms of such interim 
agreement shall be modified by the Director of the Office of Management 
and Budget to adjust for inflation and any increase or decrease in the 
volume of requests under the basic pilot confirmation system. In any 
case in which an interim agreement applies for any fiscal year under 
this subsection, the Commissioner and the Secretary shall, not later 
than October 1 of such fiscal year, notify the Committee on Ways and 
Means, the Committee on the Judiciary, and the Committee on 
Appropriations of the House of Representatives and the Committee on 
Finance, the Committee on the Judiciary, and the Committee on 
Appropriations of the Senate of the failure to reach the agreement 
required under subsection (a) for such fiscal year. Until such time as 
the agreement required under subsection (a) has been reached for such 
fiscal year, the Commissioner and the Secretary shall, not later than 
the end of each 90-day period after October 1 of such fiscal year, 
notify such Committees of the status of negotiations between the 
Commissioner and the Secretary in order to reach such an agreement.

SEC. 4. GAO STUDY OF BASIC PILOT CONFIRMATION SYSTEM.

    (a) In General.--As soon as practicable after the date of the 
enactment of this Act, the Comptroller General of the United States 
shall conduct a study regarding erroneous tentative nonconfirmations 
under the basic pilot confirmation system established under section 
404(a) of the Illegal Immigration Reform and Immigrant Responsibility 
Act of 1996 (8 U.S.C. 1324a note).
    (b) Matters To Be Studied.--In the study required under subsection 
(a), the Comptroller General shall determine and analyze--
            (1) the causes of erroneous tentative nonconfirmations 
        under the basic pilot confirmation system;
            (2) the processes by which such erroneous tentative 
        nonconfirmations are remedied; and
            (3) the effect of such erroneous tentative nonconfirmations 
        on individuals, employers, and Federal agencies.
    (c) Report.--Not later than 2 years after the date of the enactment 
of this Act, the Comptroller General shall submit the results of the 
study required under subsection (a) to the Committee on Ways and Means 
and the Committee on the Judiciary of the House of Representatives and 
the Committee on Finance and the Committee on the Judiciary of the 
Senate.

SEC. 5. GAO STUDY OF EFFECTS OF BASIC PILOT PROGRAM ON SMALL ENTITIES.

    (a) In General.--Not later than 2 years after the date of the 
enactment of this Act, the Comptroller General of the United States 
shall submit to the Committees on the Judiciary of the United States 
House of Representatives and the Senate a report containing the 
Comptroller General's analysis of the effects of the basic pilot 
program described in section 403(a) of the Illegal Immigration Reform 
and Immigrant Responsibility Act of 1996 (8 U.S.C. 1324a note) on small 
entities (as defined in section 601 of title 5, United States Code). 
The report shall detail--
            (1) the costs of compliance with such program on small 
        entities;
            (2) a description and an estimate of the number of small 
        entities enrolled and participating in such program or an 
        explanation of why no such estimate is available;
            (3) the projected reporting, recordkeeping and other 
        compliance requirements of such program on small entities;
            (4) factors that impact small entities' enrollment and 
        participation in such program, including access to appropriate 
        technology, geography, entity size, and class of entity; and
            (5) the steps, if any, the Secretary of Homeland Security 
        has taken to minimize the economic impact of participating in 
        such program on small entities.
    (b) Direct and Indirect Effects.--The report shall cover, and treat 
separately, direct effects (such as wages, time, and fees spent on 
compliance) and indirect effects (such as the effect on cash flow, 
sales, and competitiveness).
    (c) Specific Contents.--The report shall provide specific and 
separate details with respect to--
            (1) small businesses (as defined in section 601 of title 5, 
        United States Code) with fewer than 50 employees; and
            (2) small entities operating in States that have mandated 
        use of the basic pilot program.

            Passed the House of Representatives July 31, 2008.

            Attest:

                                            LORRAINE C. MILLER,

                                                                 Clerk.

Summary: Employee Verification Amendment Act of 2008 - Amends the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 to extend the employment eligibility confirmation pilot programs (which includes the E-Verify basic pilot program).

Directs the Commissioner of Social Security and the Secretary of Homeland Security to enter into a fiscal year agreement which shall: (1) provide funds to the Commissioner for such programs' full costs in quarterly advances; and (2) require an annual accounting and reconciliation of costs incurred and funds provided. Provides for funding continuation in the absence of an agreement.

Requires that the Government Accountability Office (GAO) conduct studies regarding: (1) erroneous tentative nonconfirmations under the E-Verify program; and (2) such program's effects on small entities.