FIRST REGULAR SESSION

HOUSE BILL NO. 120 103RD GENERAL ASSEMBLY

INTRODUCED BY REPRESENTATIVE MURPHY.

0505H.01I DANA RADEMAN MILLER, Chief Clerk

AN ACT To repeal sections 67.307, 285.530, 285.535, and 650.475, RSMo, and to enact in lieu thereof six new sections relating to employment practices, with penalty provisions.

Be it enacted by the General Assembly of the state of Missouri, as follows:

Section A. Sections 67.307, 285.530, 285.535, and 650.475, RSMo, are repealed and 2 six new sections enacted in lieu thereof, to be known as sections 67.307, 285.530, 285.535, 3 285.545, 290.045, and 650.475, to read as follows: 67.307. 1. As used in this section, the following terms mean: 2 (1) "Law enforcement officer", a sheriff or peace officer of a municipality with the 3 duty and power of arrest for violation of the general criminal laws of the state or for violation 4 of ordinances of municipalities; 5 (2) "Municipality", any county, city, town, or village; 6 (3) "Municipality official", any elected or appointed official or any law enforcement 7 officer serving the municipality; 8 (4) "Sanctuary policy", any municipality's order or ordinance, enacted or followed 9 that: 10 (a) Limits or prohibits any municipality official or person employed by the 11 municipality from communicating or cooperating with federal agencies or officials to verify 12 or report the immigration status of any alien within such municipality; or 13 (b) Grants to illegal aliens the right to lawful presence or status within the 14 municipality in violation of federal law. 15 2. No municipality shall enact or adopt any sanctuary policy. Any municipality that 16 enacts or adopts a sanctuary policy shall be ineligible for any moneys provided through grants

EXPLANATION — Matter enclosed in bold-faced brackets [thus] in the above bill is not enacted and is intended to be omitted from the law. Matter in bold-face type in the above bill is proposed language. HB 120 2

17 administered by any state agency or department until the sanctuary policy is repealed or is no 18 longer in effect. Upon the complaint of any state resident regarding a specific government 19 entity, agency, or political subdivision of this state or prior to the provision of funds or 20 awarding of any grants to a government entity, agency, or political subdivision of this state, 21 any member of the general assembly may request that the attorney general of the state of 22 Missouri issue an opinion stating whether the government entity, agency, or political 23 subdivision has current policies in contravention of this section. 24 3. The governing body, sheriff, or chief of police of each municipality shall provide 25 each law enforcement officer with written notice of their duty to cooperate with state and 26 federal agencies and officials on matters pertaining to enforcement of state and federal laws 27 governing immigration. 28 4. This section shall become effective on January 1, 2009. 29 5. The provisions of this section shall not apply to qualified immigrant workers 30 registered in the Missouri department of labor and industrial relations database under 31 section 285.545. 285.530. 1. No business entity or employer shall knowingly employ, hire for 2 employment, or continue to employ an unauthorized alien to perform work within the state of 3 Missouri. 4 2. As a condition for the award of any contract or grant in excess of five thousand 5 dollars by the state or by any political subdivision of the state to a business entity, or for any 6 business entity receiving a state-administered or subsidized tax credit, tax abatement, or loan 7 from the state, the business entity shall, by sworn affidavit and provision of documentation, 8 affirm its enrollment and participation in a federal work authorization program with respect to 9 the employees working in connection with the contracted services. Every such business 10 entity shall also sign an affidavit affirming that it does not knowingly employ any person who 11 is an unauthorized alien in connection with the contracted services. Any entity contracting 12 with the state or any political subdivision of the state shall only be required to provide the 13 affidavits required in this subsection to the state and any political subdivision of the state with 14 which it contracts, on an annual basis. During or immediately after an emergency, the 15 requirements of this subsection that a business entity enroll and participate in a federal work 16 authorization program shall be suspended for fifteen working days. As used in this 17 subsection, "emergency" includes the following natural and manmade disasters: major snow 18 and ice storms, floods, tornadoes, severe weather, earthquakes, hazardous material incidents, 19 nuclear power plant accidents, other radiological hazards, and major mechanical failures of a 20 public utility facility. 21 3. All public employers, private employers, and business entities shall enroll and 22 actively participate in a federal work authorization program. HB 120 3

23 4. (1) Beginning January 1, 2026, an employer [may enroll and participate in a 24 federal work authorization program and] or business entity shall verify the employment 25 eligibility of every employee in the employer's or business entity's hire whose employment 26 commences after the employer or business entity enrolls in a federal work authorization 27 program. The employer or business entity shall retain a copy of the dated verification report 28 received from the federal government. [Any] An employer or business entity [that 29 participates] enrolled and participating in such program shall have an affirmative defense 30 that such business entity has not violated subsection 1 of this section. 31 (2) (a) If a private employer or business entity fails to comply with this 32 subsection, the department shall require the private employer or business entity to 33 provide an affidavit to the department stating that the private employer or business 34 entity: 35 a. Will comply with this subsection; 36 b. Has terminated the employment of all unauthorized aliens in this state; and 37 c. Will not knowingly employ an unauthorized alien in this state. 38 (b) If the private employer or business entity does not provide the required 39 affidavit and fails to comply with this subsection within fifteen days of the date of the 40 department's notice, the attorney general shall direct the appropriate licensing agency 41 or applicable municipal or county governing body to suspend all applicable licenses, 42 permits, or exemptions of the private employer or business entity until the private 43 employer or business entity provides the department with the required affidavit that 44 demonstrates compliance with this subsection. 45 5. (1) A general contractor or subcontractor of any tier shall not be liable under 46 sections 285.525 to 285.550 when such general contractor or subcontractor contracts with its 47 direct subcontractor who violates subsection 1 of this section, if the contract binding the 48 contractor and subcontractor affirmatively states that the direct subcontractor is not 49 knowingly in violation of subsection 1 of this section and shall not henceforth be in such 50 violation and the contractor or subcontractor receives a sworn affidavit under the penalty of 51 perjury attesting to the fact that the direct subcontractor's employees are lawfully present in 52 the United States. 53 (2) If a general contractor or subcontractor of any tier knows or discovers that 54 the direct subcontractor of such general contractor or subcontractor is in violation of 55 subsection 1 of this section, the general contractor or subcontractor shall report such 56 violation to the department. If the general contractor or subcontractor fails to report 57 such violation upon learning of the violation, the general contractor or subcontractor 58 shall be subject to the same penalty for the violation as the direct subcontractor. HB 120 4

285.535. 1. The attorney general shall enforce the requirements of sections 285.525 2 to 285.550. 3 2. An enforcement action shall be initiated by means of a written, signed complaint 4 under penalty of perjury as defined in section 575.040 to the attorney general submitted by 5 any state official, business entity, or state resident. A valid complaint shall include an 6 allegation which describes the alleged violator as well as the actions constituting the 7 violation, and the date and location where such actions occurred. A complaint which alleges 8 a violation solely or primarily on the basis of national origin, ethnicity, or race shall be 9 deemed invalid and shall not be enforced. 10 3. Upon receipt of a valid complaint, the attorney general shall, within fifteen 11 business days, request identity information from the business entity regarding any persons 12 alleged to be unauthorized aliens. Such request shall be made by certified mail. The attorney 13 general shall direct the applicable municipal or county governing body to suspend any 14 applicable license, permit, or exemptions of any business entity which fails, within fifteen 15 business days after receipt of the request, to provide such information. 16 4. The attorney general, after receiving the requested identity information from the 17 business entity, shall submit identity data required by the federal government to verify, under 18 8 U.S.C. 1373, the immigration status of such persons, and shall provide the business entity 19 with written notice of the results of the verification request: 20 (1) If the federal government notifies the attorney general that an employee is 21 authorized to work in the United States, the attorney general shall take no further action on 22 the complaint; 23 (2) If the federal government notifies the attorney general that an employee is not 24 authorized to work in the United States, the attorney general shall proceed on the complaint as 25 provided in subsection 5 of this section; 26 (3) If the federal government notifies the attorney general that it is unable to verify 27 whether an employee is authorized to work in the United States, the attorney general shall 28 take no further action on the complaint until a verification from the federal government 29 concerning the status of the individual is received. At no point shall any state official attempt 30 to make an independent determination of any alien's legal status without verification from the 31 federal government. 32 5. (1) If the federal government notifies the attorney general that an employee is not 33 authorized to work in the United States, and the employer of the unauthorized alien 34 participates in a federal work authorization program, there shall be a rebuttable presumption 35 that the employer has met the requirements for an affirmative defense under subsection 4 of 36 section 285.530, and the employer shall comply with subsection 6 of this section. HB 120 5

37 (2) If the federal government notifies the attorney general that an employee is not 38 authorized to work in the United States, the attorney general shall bring a civil action in Cole 39 County if the attorney general reasonably believes the business entity knowingly violated 40 subsection 1 of section 285.530: 41 (a) If the court finds that a business entity did not knowingly violate subsection 1 of 42 section 285.530, the employer shall have fifteen business days to comply with subdivision (1) 43 and paragraph (a) of subdivision (2) of subsection 6 of this section. If the entity fails to do so, 44 the court shall direct the applicable municipal or county governing body to suspend the 45 business permit, if such exists, and any applicable licenses or exemptions of the entity until 46 the entity complies with subsection 6 of this section; 47 (b) If the court finds that a business entity knowingly violated subsection 1 of section 48 285.530, the court shall direct the applicable municipal or county governing body to suspend 49 the business permit, if such exists, and any applicable licenses or exemptions of such business 50 entity for [fourteen] one hundred twenty days. Permits, licenses, and exemptions shall be 51 reinstated for entities who comply with subsection 6 of this section at the end of the [fourteen- 52 day] one-hundred-twenty-day period. 53 6. The correction of a violation with respect to the employment of an unauthorized 54 alien shall include the following actions: 55 (1) (a) The business entity terminates the unauthorized alien's employment. If the 56 business entity attempts to terminate the unauthorized alien's employment and such 57 termination is challenged in a court of the state of Missouri, the fifteen-business-day period 58 for providing information to the attorney general referenced in subsection 3 of this section 59 shall be tolled while the business entity pursues the termination of the unauthorized alien's 60 employment in such forum; or 61 (b) The business entity, after acquiring additional information from the employee, 62 requests a secondary or additional verification by the federal government of the employee's 63 authorization, under the procedures of a federal work authorization program. While this 64 verification is pending, the fifteen-business-day period for providing information to the 65 attorney general referenced in subsection 3 of this section shall be tolled; and 66 (2) A legal representative of the business entity submits, at an office designated by 67 the attorney general, the following: 68 (a) A sworn affidavit stating that the violation has ended that shall include a 69 description of the specific measures and actions taken by the business entity to end the 70 violation, and the name, address, and other adequate identifying information for any 71 unauthorized aliens related to the complaint; and 72 (b) Documentation acceptable to the attorney general which confirms that the 73 business entity has enrolled in and is participating in a federal work authorization program. HB 120 6

74 7. The suspension of a business license or licenses under subsection 5 of this section 75 shall terminate one business day after a legal representative of the business entity submits the 76 affidavit and other documentation required under subsection 6 of this section following any 77 period of restriction required under subsection 5 of this section. 78 8. For an entity that violates subsection 1 of section 285.530 for a second time, the 79 court shall direct the applicable municipal or county governing body to suspend, for one year, 80 the business permit, if such exists, and any applicable license or exemptions of the business 81 entity. For a subsequent violation, the court shall direct the applicable municipal or county 82 governing body to forever suspend the business permit, if such exists, and any applicable 83 license or exemptions of the business entity. A second or subsequent violation of 84 subsection 1 of section 285.530 by any business entity shall be deemed a class D felony. 85 9. In addition to the penalties in subsections 5 and 8 of this section: 86 (1) Upon the first violation of subsection 1 of section 285.530 by any business entity 87 awarded a state contract or grant or receiving a state-administered tax credit, tax abatement, 88 or loan from the state, the business entity shall be deemed in breach of contract and the state 89 may terminate the contract and suspend or debar the business entity from doing business with 90 the state for a period of three years. Upon such termination, the state may withhold up to 91 twenty-five percent of the total amount due to the business entity; 92 (2) Upon a second or subsequent violation of subsection 1 of section 285.530 by any 93 business entity awarded a state contract or grant or receiving a state-administered tax credit, 94 tax abatement, or loan from the state, the business entity shall be deemed in breach of contract 95 and the state may terminate the contract and permanently suspend or debar the business entity 96 from doing business with the state. Upon such termination, the state may withhold up to 97 twenty-five percent of the total amount due to the business entity. A second or subsequent 98 violation of subsection 1 of section 285.530 by any business entity shall be deemed a class 99 D felony. 100 10. Sections 285.525 to 285.550 shall not be construed to deny any procedural 101 mechanisms or legal defenses included in a federal work authorization program. 102 11. Any business entity subject to a complaint and subsequent enforcement under 103 sections 285.525 to 285.540, or any employee of such a business entity, may challenge the 104 enforcement of this section with respect to such entity or employee in the courts of the state of 105 Missouri. 106 12. If the court finds that any complaint is frivolous in nature or finds no probable 107 cause to believe that there has been a violation, the court shall dismiss the case. For purposes 108 of this subsection, "frivolous" shall mean a complaint not shown by clear and convincing 109 evidence to be valid. Any person who submits a frivolous complaint shall be liable for actual, 110 compensatory, and punitive damages to the alleged violator for holding the alleged violator HB 120 7

111 before the public in a false light. If the court finds that a complaint is frivolous or that there is 112 not probable cause to believe there has been a violation, the attorney general shall issue a 113 public report to the complainant and the alleged violator stating with particularity its reasons 114 for dismissal of the complaint. Upon such issuance, the complaint and all materials relating 115 to the complaint shall be a public record as defined in chapter 610. 116 13. The determination of whether a worker is an unauthorized alien shall be made by 117 the federal government. A determination of such status of an individual by the federal 118 government shall create a rebuttable presumption as to that individual's status in any judicial 119 proceedings brought under this section or section 285.530. The court may take judicial notice 120 of any verification of an individual's status previously provided by the federal government 121 and may request the federal government to provide automated or testimonial verification. 122 14. Compensation, whether in money or in kind or in services, knowingly provided to 123 any unauthorized alien shall not be allowed as a business e