On June 6, 2008, President George Bush amended Executive Order 12989 and directed all federal departments and agencies to require their certain contractors use an electronic employment eligibility verification system designated by the Department of Homeland Security (DHS). On June 9, the DHS designated E-Verify as the verification system that federal contractors must use.

A final rule was published in the Federal Register on Nov. 14, 2008. The final rule directs all federal agencies to require that certain federal contractors and subcontractors begin using the U.S. Citizenship and Immigration Services’ (USCIS) E-Verify electronic employment eligibility verification system beginning Jan. 15, 2009.

After the US Chamber of Commerce, SHRM, and two other organizations filed suit in federal court to set aside the regulation, alleging that it was illegal, the US Department of Justice delayed the effective date of E-Verify for Federal Contractors until Feb. 20, 2009. A second extension, to May 21, 2009, occurred after a memo issued by the Obama Administration asked federal agencies and departments to consider extending the effective date of any regulations which had not yet taken effect so the new administration had time to review them. A third extension to June 30, 2009, was announced on April 17, 2009. A fourth extension, to Sept. 8, 2009, was announced in early June.

Executive Order 12989

DHS press release

USCIS FAQ

USCIS Press Release

Federal Register Final Rule

USCIS: E-Verify for Federal Contractors Extended to May 21, 2009.

Federal Register Notice Announcing Delay to Sept. 8, 2009

USCIS Press Release Announcing that E-Verify Rule for Federal Contractors is Effective

The new law establishes a safe harbor from sanctions for Arizona employers who participate in the US Department of Homeland Security's E-Verify program. All Arizona employers must participate in E-Verify after December 31, 2007.

*Though it became effective on Jan. 1, 2008, Arizona officials have agreed not to impose penalties for non-compliance prior to March 1.

An initial lawsuit was dismissed on procedural grounds and was re-filed. A federal district court judge dismissed the second lawsuit in February, rejecting claims that the law is pre-empted by federal law and that it denies employers procedural due process. The plaintiffs have appealed the first decision to the U.S. Court of Appeals for the Ninth Circuit and it is expected that the plaintiffs will also appeal the second decision.

Governor’s Press Release

Federal judge denies injunction against Arizona immigration law

Requires that employers who have contracts with a Colorado state agency or political subdivision use the Department of Homeland Security's E-Verify program for I-9 employment eligibility verification to verify the status of its newly hired employees.

City ordinance requires that the city and employers with city contracts verify the eligibility of new employees through E-Verify.

Requires public employers and any contractors and subcontractors to a public employer use E-Verify. Employers with 500+ employees must register by July 1, 2007, those with 100+ by July 1, 2008, and all public employers must be registered by July 1, 2009.

Illinois has taken a unique approach with Public Act 95-0138. The act states “Employers are prohibited from enrolling in any Employment Eligibility Verification System, including the E-Verify (formerly Basic Pilot) program, until the Social Security Administration and Department of Homeland Security databases are able to make a determination on 99% of the tentative non-confirmation notices issued to employers within 3 days, unless otherwise required by federal law.”

*The law was scheduled to take effect on January 1, 2008, but was not enforced after a lawsuit was filed against the state by the DHS. On March 11, 2009, United States District Court Judge Jeanne E. Scott permanently enjoined the state of Illinois from enforcing the law.

Governor Tim Pawlenty issued an executive order stating that all hiring authorities within the executive branch of state government as well as any employer seeking to enter into a state contract worth in excess of $50,000 must participate in the E-Verify program.

Businesses and individuals applying for state economic incentives will not be required to participate in E-Verify but will have to certify that they do not employ unauthorized workers.

Governor’s Press Release

Executive Order in the State Register

Governor’s Press release

The bill requires:

1. All public employers must confirm the employment eligibility of their new hires using the E-Verify system.
2. All contracts between a public employer and a contractor include a provision requiring the contractor to use E-Verify to confirm the work eligibility of their new employees.
3. Businesses seeking certain Nebraska business tax incentives to use E-Verify to check the employment eligibility status of new hires. The above requirements are not retroactive in application, therefore current employees and existing contracts are not affected.

The above requirements are not retroactive in application, therefore current employees and existing contracts are not affected.

All state agencies, offices, and universities must use E-Verify to ensure that every employee is legally eligible to work. This statute applies to employees hired on or after January 1, 2007, except for employees of local education agencies hired on or after March 1, 2007.

Requires state and local government agencies and private employers with government contracts to check the immigration status of newly hired employees. Public employers must use the E-Verify beginning Nov. 1, 2007. Contractors have until July 1, 2008 to begin screening newly hired employees.

*On June 4, 2008, the U.S. District Court for the Western District of Oklahoma issued an injunction barring the state from enforcing the state's E-Verify law. The injunction will prevent Oklahoma from enforcing the law until a final decision is reached on whether the Oklahoma law should be invalidated because it is preempted by federal law. Oklahoma has appealed the district court’s decision.

Bill Text

Text from the Injunction Barring the State from Enforcing the E-Verify law

On March 27, 2008, Governor Donald Carcieri signed Executive Order 08-01, requiring:

• The Rhode Island Department of Administration must use E-Verify for all new hires of the Executive Branch and,

• The Department of Administration shall require all persons and businesses, including grantees, contractors, sub-contractors and vendors doing business with the state of Rhode Island to register and use E-Verify.

South Carolina requires that employers use E-Verify or other federal work authorization program to verify the employment eligibility of new hires or, only employ workers who possess a valid driver’s license or identification card issued by South Carolina or other state approved by the South Carolina Department of Motor Vehicles.

The law is implemented in three phases:

• Effective Jan. 1, 2009: All public employers and public contractors with 500 or more employees

Employers who "knowingly employ, recruit or refer for a fee for employment an illegal alien" are subject to a temporary suspension of their business license; repeat offenders are subject to a one-year suspension. Employers who comply with the requirements of the current I-9 process or who verify new hires through the E-Verify within 14 days of employment are shielded from sanctions.