Legislative Alert: E-Verify Executive Order

Click here to view the Executive Order.

On June 12th, a proposed rule was published that implements the Executive Order. The rule will amend the Federal Acquisition Regulations (FAR) to require that all covered federal contracts entered into after the effective date of the final rule contain language that the contracting party enroll in and use E-Verify for all employees working on the contract and all new hires during the life of the contract.

The comment period for the proposed rule is sixty-days. After the comment period closes, the government will consider all comments received and address them in a final rule. This requirement will not be mandatory in federal contracts for some time.

The rule requires contracting officials to include the following:

1. Enroll in the E-Verify program within 30 days of the date a contract is awarded, and within 30 days of that date use E-Verify to verify the employment authorization of all employees "assigned to the contract."
   
2. Require all subcontractors performing work under the contract that exceeds $3000 to adhere to the E-Verify requirement.
   
3. Use E-Verify for all new hires within three (3) days of the date of hire for all new employees hired after the contract is awarded as well as for all existing employees who later are "assigned" to the contract.

We will continue to monitor its progress. I would recommend that you contact your corporate attorney and contract officers concerning this Executive Order and the Proposed Rule.