H.B. 127

This document includes House Committee Amendments incorporated into the bill on Thu, Feb 22, 2007 at 9:10 AM by jeyring. --> 1

EMPLOYEE VERIFICATION, PROCUREMENT,
2 AND INCENTIVES
3 2007 GENERAL SESSION
4 STATE OF UTAH
5 Chief Sponsor: Stephen E. Sandstrom
6 Senate Sponsor: ____________
7
8 LONG TITLE
9 General Description:
10 This bill modifies provisions related to state affairs in general to condition certain
11 economic incentives and procurement agreements on participation in a federal
12 employee verification program.
13 Highlighted Provisions:
14 This bill:
15 . requires employee verification under a federal employee verification program of a
16 newly hired employee's employment eligibility as a condition for receiving certain
17 economic incentives and procurement contracts including:
18 . defining terms;
19 . requiring participation; and
20 . providing for penalties.
21 Monies Appropriated in this Bill:
22 None
23 Other Special Clauses:
24 None
25 Utah Code Sections Affected:
26 ENACTS:
27 63-38f-206, Utah Code Annotated 1953

28 63-56-427, Utah Code Annotated 1953
29
30 Be it enacted by the Legislature of the state of Utah:
31 Section 1. Section 63-38f-206 is enacted to read:
32 63-38f-206. Employment verification as a requirement for economic development
33 incentives.
34 (1) As used in this section:
35 (a) "Economic development incentive" means one or more of the following:
36 (i) a loan, grant, or other financial assistance described in Part 9, Industrial Assistance
37 Fund;
38 (ii) a partial rebate described in Part 13, Aerospace and Aviation Zone;
39 (iii) a partial rebate described in Part 17, Economic Development Incentives Act;
40 (iv) an incentive described in Part 18, Motion Picture Incentive Fund;
41 (v) monies distributed under Part 19, Economic Development on Military Installations;
42 or
43 (vi) monies or other incentives distributed under Part 21, Economic Development -
44 Government Procurement Contracts.
45 (b) "Employee" means an individual performing or applying for work or service of any
46 kind or character for hire.
47 (c) "Employer" means a person employing or seeking to employ an individual for hire.
48 (d) "Employment" means:
49 (i) the act of employing; or
50 (ii) the state of being employed, engaged, or hired.
51 (e) "Federal employment verification program" means a program to electronically
52 verify employment eligibility that is:
53 (i) operated by the United States Department of Homeland Security to verify
54 information of employees pursuant to the Illegal Immigration Reform and Immigrant
55 Responsibility Act of 1996, P.L. 104-128, 110 Stat. 3009, Title IV, Subtitle A, (as amended
56 2002, 2003); or
57 (ii) a similar program operated by the United States Department of Homeland Security.
58 (2) The office shall require as a condition for receipt of an economic development

59 incentive that an employer certify that the employer:
60 (a) participates in the federal employment verification program; and
61 (b) has not been found to violate the requirements of the federal employment
62 verification program by:
63 (i) the United States Department of Homeland Security; or
64 (ii) the office.
65 (3) (a) If the office learns that an employer does not participate in the federal
66 employment verification program or is found by the United States Department of Homeland
67 Security to violate the requirements of the federal employment verification program within one
68 year after the day on which the employer receives or otherwise claims an economic
69 development incentive, the office may require the employer to repay to the state up to the full
70 value of the economic development incentive as of the day on which the employer receives or
71 otherwise claims the economic development incentive.
72 (b) If an employer described in this Subsection (3) receives or claims an economic
73 development incentive, the employer shall notify the office of a finding described in Subsection
74 (3)(a) within H. [ five ] eight .H business days of the day on which the finding described in
74a Subsection (3)(a)
75 is final.
76 Section 2. Section 63-56-427 is enacted to read:
77 63-56-427. Participation in federal employment verification program.
78 (1) As used in this section:
79 (a) "Employee" means an individual performing or applying for work or service of any
80 kind or character for hire.
81 (b) "Employer" means a person employing or seeking to employ an individual for hire.
82 (c) "Employment" means:
83 (i) the act of employing; or
84 (ii) the state of being employed, engaged, or hired.
85 (d) "Federal employment verification program" means a program to electronically
86 verify employment eligibility that is:
87 (i) operated by the United States Department of Homeland Security to verify
88 information of employees pursuant to the Illegal Immigration Reform and Immigrant
89 Responsibility Act of 1996, P.L. 104-128, 110 Stat. 3009, Title IV, Subtitle A, (as amended

90 2002, 2003); or
91 (ii) a similar program operated by the United States Department of Homeland Security.
92 (2) H. (a) .H A state H. public .H procurement unit shall require as a condition of
92a any agreement to procure
93 supplies, services, and construction H. [ that is the subject of a request for proposals ] described in
93a Subsection (2)(b) .H that an
94 employer submit with that employer's response to a bid H. related to that agreement .H a
94a certification that the employer:
95 H. [ (a) ] (i) .H participates in the federal employment verification program; and
96 H. [ (b) ] (ii) .H has not been found to violate the requirements of the federal employment
97 verification program by:
98 H. [ (i) ] (A) .H the United States Department of Homeland Security; or
99 H. [ (ii) ] (B) .H the H. [ division ] Division of Purchasing and General Services .H .
99a H. (b) This section applies to an agreement to procure supplies, services, or
99b construction that:
99c (i) is the subject of a request for proposals; and
99d (ii) has a total dollar value equal to or greater than $25,000.
99e (c) (i) This section does not apply to a person that does not directly submit a response
99f to a bid described in Subsection (2)(a) for the right to enter into an agreement with the state
99g public procurement unit, including a person who is a subcontractor of the employer that
99h submits a response to the bid.
99i (ii) An employer who submits a response to a bid in accordance with Subsection (2)(a)
99j may not be required under this section to certify whether or not any subcontractor of that
99k employer participates in the federal employment verification program. .H
100 (3) (a) If the H. [ division ] Division of Purchasing and General Services .H learns
100a that the employer does not participate in the federal
101 employment verification program or an employer is found by the United States Department of
102 Homeland Security to violate the requirements of the federal employment verification program
102a H. [ , ] :
102b (i) the employer shall remedy the violation within 60 days of the earlier of:
102c (A) the day on which the [ division ] Division of Purchasing and General Services notifies the
102d employer that the [division] Division of Purchasing and General Services learned that the employer is

102e subject to this Subsection (3); or
102f (B) the day on which the employer notifies the [division] Division of Purchasing and

102g General Services of the finding as required by Subsection (3)(b); and
102h (ii) if the employer fails to remedy the violation within the 60-day period described in
102i Subsection (3)(a)(i):
102j (A) for an agreement entered into on or after April 30, 2007, any agreement with a state public
102k procurement unit that is in effect terminates on the day immediately following the day on which the
102l 60-day period ends;
102m (B) the state public procurement unit has any remedy available under an agreement described
102n in Subsection (3)(a)(ii)(A) for breach of that agreement; and
103 (C) .H the employer may not enter into a new agreement or renew an agreement to provide
103a supplies,
104 services, or construction to a state H. public .H procurement unit for one year after the day
104a on which the
105 finding described in H. [ this ] .H Subsection (3) H. (a)(i) .H becomes final.
106 (b) If an employer described in this Subsection (3) has an agreement to provide
107 supplies, services, or contraction to a state H. public .H procurement unit, the employer
107a shall notify the
108 H. [ division ] Division of Purchasing and General Services .H of the finding described in
108a Subsection (3)(a) within H. [ five ] eight .H business days of the day on
109 which the finding described in Subsection (3)(a) is final.




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as of 1-16-07 4:49 PM

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