89R12130 RDS-D By: Lowe H.B. No. 3681 A BILL TO BE ENTITLED AN ACT relating to requiring certain public and private employers in this state to participate in the federal electronic verification of employment authorization program, or E-verify, and notice regarding certain persons whose eligibility to work in the United States cannot be verified; creating a criminal offense. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 673, Government Code, is transferred to Subtitle A, Title 6, Government Code, redesignated as Chapter 621, Government Code, and amended to read as follows: CHAPTER 621 [673]. VERIFICATION OF EMPLOYEE INFORMATION Sec. 621.001 [673.001]. DEFINITIONS. In this chapter: (1) "Department" means the Department of Public Safety. (2) "E-verify program" means the electronic verification of employment authorization program of the federal Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (Pub. L. No. 104-208, reprinted in note, 8 U.S.C. Section 1324a), operated by the United States Department of Homeland Security, or a successor employment authorization program designated by the United States Department of Homeland Security or other federal agency authorized to verify the employment authorization status of newly hired employees under the federal Immigration Reform and Control Act of 1986 (8 U.S.C. Section 1101 et seq.). (3) "Governmental entity" means a state agency or political subdivision of this state. (4) "Person not lawfully present" has the meaning assigned by Section 53.001, Labor Code. [(2) "State agency" has the meaning assigned by Section 659.101.] Sec. 621.002 [673.002]. VERIFICATION. A governmental entity [state agency] shall register and participate in the E-verify program to verify information of all new employees. Sec. 621.003 [673.003]. RULES. The Texas Workforce Commission shall adopt rules and prescribe forms to implement this chapter. Sec. 621.004. NOTICE. (a) A governmental entity that receives notice from a federal agency authorized to operate the E-verify program that the agency attempted but was not able to verify that a person seeking employment with the entity is not a person not lawfully present shall, not later than the fifth day after the date of receiving the notice, forward the contents of the notice to the department. (b) On receipt of a notice forwarded by a governmental entity under Subsection (a), the department shall determine whether the person who is the subject of the notice may be a person not lawfully present. If the department determines that the person may be a person not lawfully present, the department shall notify the United States Immigration and Customs Enforcement of its determination. (c) The department may adopt rules necessary to implement this section. SECTION 2. Subtitle B, Title 2, Labor Code, is amended by adding Chapter 53 to read as follows: CHAPTER 53. EMPLOYMENT OF PERSONS NOT LAWFULLY PRESENT Sec. 53.001. DEFINITIONS. In this chapter: (1) "Department" means the Department of Public Safety. (2) "Employee" means an individual who is employed by an employer for compensation. The term includes an individual employed on a part-time basis. (3) "Employer" means a person, other than a governmental entity, who: (A) employs at least one employee; or (B) acts directly or indirectly in the interests of an employer in relation to an employee. (4) "E-verify program" has the meaning assigned by Section 673.001, Government Code. (5) "Person not lawfully present" means a person who, at the time of employment, is not: (A) a citizen or national of the United States; or (B) an alien who is lawfully admitted for permanent residence in the United States under the federal Immigration and Nationality Act (8 U.S.C. Section 1101 et seq.) or authorized to be employed by that Act or by the United States attorney general. Sec. 53.002. VERIFICATION. An employer shall register and participate in the E-verify program to verify information of all new employees. Sec. 53.003. NOTICE. (a) An employer that receives notice from a federal agency authorized to operate the E-verify program that the agency attempted but was not able to verify that a person seeking employment with the employer is not a person not lawfully present shall, not later than the fifth day after the date of receiving the notice, forward the contents of the notice to the department. (b) On receipt of a notice forwarded by an employer under Subsection (a), the department shall determine whether the person who is the subject of the notice may be a person not lawfully present. If the department determines that the person may be a person not lawfully present, the department shall notify the United States Immigration and Customs Enforcement of its determination. (c) The department may adopt rules necessary to implement this section. Sec. 53.004. CRIMINAL PENALTY. (a) An employer commits an offense if the employer violates this chapter. (b) An offense under this section is a Class A misdemeanor. (c) It is not a defense to prosecution under this section that the employer classified the person not lawfully present as an independent contractor if the person was not properly classified in accordance with Chapter 201. SECTION 3. This Act takes effect January 1, 2026.