PRINTER'S NO. 2399

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

2076

Session of

2021

INTRODUCED BY R. MACKENZIE, BERNSTINE, DeLUCA, HAMM, JOZWIAK,

KAUFFMAN, KEEFER, M. MACKENZIE, MENTZER, ROWE, RYAN, SAYLOR,

SMITH AND ZIMMERMAN, NOVEMBER 12, 2021

sanctions; and establishing good faith immunity under certain

circumstances," further providing for title of act, for short

title, for definitions, for duty of public works contractors

and subcontractors, for verification form, for violations,

for enforcement and sanctions, for protection from

retaliation, for good faith immunity and for public works

contractor and subcontractor liability.

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. The title of the act of July 5, 2012 (P.L.1086,

sanctions; and establishing good faith immunity under certain

circumstances.

Section 2. Sections 1, 2, 3, 4, 5, 6, 7(a), 8 and 9 of the

act are amended to read:

Section 1. Short title.

This act shall be known and may be cited as the Public

[Works] Contractor Employment Verification Act.

Section 2. Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

"Department." The Department of General Services of the

Commonwealth.

"Employee." An individual hired by a public [works]

contractor or subcontractor for whom a public [works] contractor

or subcontractor is required by law to file a Form W-2 with the

Internal Revenue Service.

"EVP." The E-Verify Program operated by the Department of

Homeland Security that electronically verifies employment

eligibility for employees.

"Public body." The Commonwealth of Pennsylvania, any of its

"Public [works] contractor." A contractor that provides work

under a contract [involving a public work] with a public body.

"Secretary." The Secretary of General Services of the

Commonwealth.

"Subcontractor." A person, other than a natural person,

regardless of its tier, including, but not limited to, a

staffing agency that performs work for a public [works]

contractor under a contract [for a public work]. [The term shall

not include persons that are material suppliers for a project.]

subcontractor shall participate in EVP and shall, subject to the

requirements of Federal law governing the use of EVP, use EVP to

verify employment eligibility of each new employee. The

department shall post on its publicly accessible Internet

website information regarding the requirements of Federal law

governing the use of EVP.

(b) Discrimination prohibited.--In conducting the

verification required by this section, a public [works]

contractor or subcontractor shall not discriminate against an

employee on the basis of race, ethnicity, color or national

effective date of this subsection but has not yet been executed,

prior to the execution of the contract, a public [works]

contractor shall provide the public body with a verification

form described in subsection (c), acknowledging its

responsibilities under and its compliance with section 3. The

verification form shall be accompanied by proof of registration

in EVP. Public contractors with no employees may submit an

affidavit swearing that the public contractor does not have

employees in lieu of proof of registration in EVP. Contracts

responsibilities and its compliance with section 3. The

verification form shall be accompanied by proof of registration

in EVP. Public contractors with no employees may submit an

affidavit swearing that the public contractor does not have

employees in lieu of proof of registration in EVP. Contracts

between a subcontractor and its subcontractors shall contain

information about the requirements of this act.

(c) Form.--The verification form required by this section

shall be on a form prescribed by the secretary and posted on the

Internet and shall comply with the following additional

with the verification shall subject the individual and the

public [works] contractor or subcontractor, as the case may

be, to sanctions provided by law.

(2) The statement shall be signed by a representative of

the public [works] contractor or subcontractor, as

applicable, who has sufficient knowledge and authority to

make the representations and certifications contained in the

statement.

Section 5. Violations.

affidavit stating that the public contractor or subcontractor

does not have employees, or to make a false statement or

misrepresentation with respect to completing the form.

Section 6. Enforcement and sanctions.

(a) General rule.--The department shall enforce this act.

(b) Investigation of complaints.--The department shall

accept, review and investigate in a timely manner any credible

complaint that a public [works] contractor or subcontractor has

violated a provision of this act. The department shall provide

confirmation of receipt of a complaint to the person making a

(b.1) Verification.--Prior to the execution of a contract

with a public contractor and prior to the commencement of work

by a subcontractor, the public body shall certify that the

public contractor or subcontractor has provided the verification

form and proof of enrollment in EVP.

(c) Audits.--To ensure compliance with the requirements of

this act, the department shall conduct complaint-based and

random audits of public [works] contractors and subcontractors

in this Commonwealth.

(d) Sanctions.--The following sanctions shall apply only to

a violation under section 5(1):

(1) For a first violation, a public [works] contractor

or subcontractor shall receive a warning letter from the

department detailing the violation. The letter shall be

posted on the department's Internet website.

(2) For a second violation, a public [works] contractor

or subcontractor shall be debarred from [public] work under a

contract for [30] 60 days.

(3) For a third violation and subsequent violations, a

to have the court issue a rule to show cause why a public

[works] contractor or subcontractor did not engage in the

willful violation. If the court finds that the public [works]

contractor or subcontractor engaged in a willful violation,

the court shall order that the public [works] contractor or

subcontractor be debarred from [public] work under a contract

for a period of [three] five years.

(5) Notwithstanding the provisions of paragraph (1), (2)

or (3), a violation by a public [works] contractor or

that are the subject of the violations.

(e) Civil penalty.--A public [works] contractor or

subcontractor that violates section 5(2) shall be subject to a

civil penalty of [not less than $250 and not more than $1,000

for each] two and a half percent of the amount the public

contractor or subcontractor will be paid under the contract for

a first violation, and five percent of the amount the public

contractor or subcontractor will be paid under the contract for

a second or subsequent violation, to be imposed by the

department.

(a) General rule.--It shall be unlawful for a public [works]

contractor or subcontractor to discharge, threaten or otherwise

retaliate or discriminate against an employee regarding

compensation or other terms or conditions of employment because

the employee:

(1) participates in an investigation, hearing or inquiry

held by the secretary or any other governmental authority

under this act; or

(2) reports or makes a complaint regarding the violation

new employees under this act shall be immune from the sanctions

authorized under section 6 and shall have no liability to an

individual who is not hired or who is discharged from employment

in the event that incorrect information has been provided to the

public [works] contractor or subcontractor. A public [works]

contractor or subcontractor that can produce written

acknowledgment provided by an applicable Federal agency of use

of EVP is considered to have acted in good faith.

Section 9. Public [works] contractor and subcontractor