E-Verify is the free federal system that checks a new hire’s Form I-9 against Social Security and DHS records. Federal law makes it voluntary for most private employers. State law doesn’t: twelve states now require it of private employers, and the trend in 2025 and 2026 ran one direction. Tennessee drops its threshold from 35 employees to one on January 1, 2027. Ohio put every nonresidential construction contractor under a mandate in March 2026. Indiana made it the safe harbor under a new knowing-hire law in July 2026. Montana started requiring verification of every hire in July 2025. Florida, Idaho and Texas each came within a chamber of universal mandates and will try again in 2027.

For a trades shop the question is rarely abstract. Pennsylvania’s construction-industry mandate covers a two-truck plumbing outfit. Georgia won’t renew your county business license without an E-Verify affidavit. Florida and North Carolina count your 25th employee. And on the other side, California will fine you $10,000 for running E-Verify on a job applicant before you’ve made an offer.

This guide covers every state and DC: who’s covered, since when, the penalty, and the restriction states, plus the federal I-9 rules that apply everywhere and what a shop should do in December 2026. Statutes current as of November 2026.

Quick answer: 12 states require private employers to use E-Verify: all employers in Alabama, Arizona, Mississippi, South Carolina and Louisiana (or keep document copies); 25+ employees in Florida and North Carolina; 11+ in Georgia; 150+ in Utah; 35+ in Tennessee until January 1, 2027, then every employer; all construction employers in Pennsylvania; nonresidential construction in Ohio. 12 more cover only public agencies, public contractors or incentive recipients (Indiana and Montana add verification mandates with E-Verify as the safe harbor). California and Illinois restrict how you use it. The other 25 have no state rule.

What E-Verify Is (and Isn’t)

E-Verify is run by USCIS and the Social Security Administration. After a new hire completes Form I-9, the employer enters the I-9 data into E-Verify within 3 business days and gets one of three results: Employment Authorized, a Tentative Nonconfirmation (now called a “mismatch”) that the employee has 8 federal working days to contest, or a Final Nonconfirmation, after which continued employment is knowing employment of an unauthorized worker. It is free, web-based, and enrollment takes about an hour.

Three things it isn’t. It isn’t a replacement for the I-9, which every employer must still complete and keep. It isn’t a pre-screening tool: federal rules (and California and Illinois law with teeth) bar running it on applicants before a job offer or on existing employees, except for federal contractors under the FAR clause. And it isn’t a background check; it confirms work authorization only. One side benefit for employers who do enroll: they may use the DHS alternative procedure to examine I-9 documents remotely by video, which matters for shops hiring techs in other cities.

The 12 Mandate States

StatePrivate employers coveredEffectivePenalties
AlabamaAll employersSince Apr. 1, 2012License suspension 60 days, then revocation
ArizonaAll employersSince Jan. 1, 200810-day suspension; permanent revocation on 2nd
Florida25+ employees (public contractors: all)Since July 1, 2023$1,000/day after 3 violations; license suspension
Georgia11+ employees (public contractors: all)Since July 1, 2013No local business license without affidavit
LouisianaAll employers (E-Verify or document copies)Since 2012$500–$2,500 per worker; 30–180 day suspension
MississippiAll employersSince July 1, 2011Contract cancellation; 3-year ban; 1-year license suspension
North Carolina25+ employeesSince July 1, 2013$1,000; $2,000/employee; $10,000/employee
OhioNonresidential construction employersSince Mar. 19, 2026$250–$25,000; 2-year debarment
PennsylvaniaAll construction industry employersSince Oct. 7, 2020License suspension 30 days to 3 years
South CarolinaAll employersSince Jan. 1, 201210–30 day suspension; up to 5 years
Tennessee35+ now; every employer Jan. 1, 2027Jan. 1, 2025 / Jan. 1, 2027$500–$2,500 + same per employee
Utah150+ employeesThreshold raised 2023None (loss of safe harbor)
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Public-Contractor and Partial States

Twelve states require E-Verify only of public agencies, public contractors or businesses taking state money, or (Indiana, Montana) impose a verification duty that E-Verify satisfies. If you bid municipal or state work in these states, the bid package will ask for your E-Verify MOU number.

StateWho must use E-Verify
ArkansasState agencies and political subdivisions (Jan. 1, 2026)
IdahoState agencies and their contractors (EO 2009-10)
IndianaState agencies and public contractors; FAIRNESS Act safe harbor for everyone (July 1, 2026)
IowaState agencies (July 1, 2026)
MichiganMDOT contractors; some counties
MinnesotaState contracts over $50,000
MissouriState contracts/grants over $5,000 and incentive recipients
MontanaAll employers must verify (I-9 or E-Verify) since July 1, 2025
NebraskaPublic employers, public contractors, incentive recipients
OklahomaPublic employers and contractors
TexasState agencies and state contractors
VirginiaState agencies; contractors 50+ with contracts over $50,000

California and Illinois: The Restriction States

Two states go the other way. California (Labor Code § 2814) lets employers use E-Verify only for new hires after an offer and only as federal law requires or permits; running it on an applicant or a current employee is a civil violation of up to $10,000 each, and AB 1236 bars cities from requiring it. From January 1, 2027, AB 2495 adds E-Verify misuse and “document abuse” (demanding more or different papers than the I-9 lists) to the state’s immigration-retaliation statute. Illinois (820 ILCS 55/12, as amended by SB 508 effective January 1, 2025) permits E-Verify but requires enrolled employers to post notices, complete training, never pre-screen, and give employees detailed written notice and time to contest any mismatch, including discrepancies the employer notices on its own; penalties run $2,000 to $10,000 per violation. Multi-state shops that enroll company-wide need a California-and-Illinois-specific procedure.

Federal Rules Every Shop Follows

What Changed in 2025–2026 and What’s Coming

New since last year: Tennessee drops to every employer January 1, 2027 (Public Chapter 622). Ohio’s E-Verify Workforce Integrity Act covers nonresidential construction since March 19, 2026. Indiana’s FAIRNESS Act (SEA 76) took effect July 1, 2026 with license-suspension penalties and E-Verify as the safe harbor. Montana’s LEGAL Act (HB 226) requires verification of every hire since July 1, 2025. Arkansas (Act 948, January 1, 2026) and Iowa (SF 2218, July 1, 2026) added state-agency mandates. Illinois’s SB 508 notice rules took effect January 1, 2025. Died in 2026: Florida HB 197 (universal mandate), Idaho HB 704 (universal), Texas SB 324 (universal, 2025). All three are expected back in 2027 sessions.

State-by-State Breakdown

Red chips mark states that require private employers to use E-Verify (all, above a threshold, or by industry); amber marks public-contractor, incentive or verification-mandate states; grey means no state rule, with California and Illinois noted as restriction states. Every block links the statute or enforcing agency.

Alabama All Employers

Statute / Agency: Ala. Code § 31-13-15 (Beason-Hammon Act); Alabama Department of Labor

Who must use E-Verify: Every employer in Alabama, of any size, for every new hire since April 1, 2012. Contractors on public contracts must also certify enrollment and get the same from subs.

Penalties: Knowingly employing an unauthorized worker: probation and quarterly reporting for a first violation, a 60-day suspension of business licenses at that location for a second, permanent revocation for a third. Using E-Verify is a rebuttable presumption you didn’t knowingly hire.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Alaska No State Mandate

State requirement: None. Alaska has no E-Verify statute for private or public employers.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Arizona All Employers

Statute / Agency: A.R.S. § 23-212, 23-214 (Legal Arizona Workers Act); Attorney General

Who must use E-Verify: Every employer, for every hire since January 1, 2008. Arizona’s law was the first all-employer mandate and was upheld by the U.S. Supreme Court in Chamber of Commerce v. Whiting (2011).

Penalties: A first knowing violation brings a 3-year probation and a license suspension of up to 10 business days; a second knowing violation during probation means permanent revocation of all licenses at that location (the “business death penalty”). E-Verify use creates a rebuttable presumption of compliance. County attorneys and the AG enforce on complaint.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Arkansas Public Agencies Only

Statute / Agency: Act 948 of 2025

State requirement: State agencies and political subdivisions must use E-Verify for new hires from January 1, 2026 (Act 948). Private employers, including public contractors, have no mandate.

Trades note: A plumbing or HVAC shop bidding city work in Arkansas is not required to enroll, though some municipal bid packages ask for it. Watch the 2027 session; all-employer bills have been filed twice.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

California Restricted

Statute / Agency: Cal. Labor Code § 2814 (AB 622); AB 1236

State requirement: None, and California restricts E-Verify. Employers may use it only for new hires after an offer, and only as federal law allows; they may not use it to check applicants pre-offer or existing employees. Each misuse carries a civil penalty of up to $10,000. Employers who use E-Verify must give employees any tentative nonconfirmation notice promptly. AB 1236 bars cities and counties from requiring E-Verify as a condition of business licenses or contracts.

2027: AB 2495 (effective January 1, 2027) widens immigration-related retaliation to include misusing E-Verify or demanding more or different documents than the I-9 requires; see new laws taking effect January 1.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Colorado No State Mandate

State requirement: None. Colorado repealed its own employment verification affirmation requirement in 2016 and has no E-Verify mandate for private or public employers.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Connecticut No State Mandate

State requirement: None. Connecticut has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Delaware No State Mandate

State requirement: None. Delaware has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

District of Columbia No State Mandate

State requirement: None. The District has no E-Verify mandate for private employers or contractors.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Florida 25+ Employees

Statute / Agency: Fla. Stat. § 448.095; Department of Commerce

Who must use E-Verify: Private employers with 25 or more employees, for every new hire since July 1, 2023, with a certification on the annual reemployment tax return. Public employers and public contractors (and their subs) have been covered since 2021. Smaller employers may use E-Verify or keep copies of I-9 documents for three years.

Penalties: Three violations in 24 months bring $1,000-a-day fines until cured; knowingly employing an unauthorized worker leads to repayment of economic incentives and license suspension or revocation. HB 197, which would have dropped the 25-employee threshold, passed the House in January 2026 and died in the Senate in March; expect it back in 2027.

Trades note: Count every employee, including part-timers and office staff. A shop with 22 techs and 4 dispatchers is covered.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Georgia 11+ Employees

Statute / Agency: O.C.G.A. § 13-10-91, 36-60-6 (Illegal Immigration Reform and Enforcement Act)

Who must use E-Verify: Private employers with more than 10 employees (11+), since July 1, 2013, and every public contractor and subcontractor regardless of size. Employers must swear an affidavit of E-Verify enrollment (with their E-Verify number) to get or renew a county or city business or occupational tax certificate.

Penalties: Denial or non-renewal of the local business license; false affidavits are felonies. Georgia also requires anyone applying for a public benefit, including a contractor license, to provide a secure and verifiable document.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Hawaii No State Mandate

State requirement: None. Hawaii has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Idaho State Agencies & Contractors

Statute / Agency: Executive Order 2009-10

State requirement: State agencies and their contractors must use E-Verify under a 2009 executive order. Private employers have no mandate; HB 704 (all private employers) passed the House in February 2026 and died in the Senate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Illinois Restricted

Statute / Agency: 820 ILCS 55/12 (Right to Privacy in the Workplace Act, as amended by SB 508)

State requirement: None, and Illinois regulates how you use E-Verify. Since January 1, 2025 (SB 508), an employer that enrolls must post E-Verify and anti-discrimination notices, complete the federal tutorial, not pre-screen applicants, and give employees specific written notice and time to contest a tentative nonconfirmation or any discrepancy the employer itself spots in their documents. Separate notice rules apply when a federal agency announces an I-9 inspection.

Penalties: Civil penalties of $2,000 to $5,000 for a first violation and $5,000 to $10,000 for repeats, plus damages and attorney fees in a private suit.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Indiana Safe Harbor (FAIRNESS Act)

Statute / Agency: SEA 76 (2026), the FAIRNESS Act; Indiana Attorney General

State requirement: Since July 1, 2026, Indiana employers may not knowingly or intentionally hire or keep employing an unauthorized worker. E-Verify isn’t mandated, but using it (or showing other “reasonable diligence”) is the defense. State agencies and public contractors have had to use E-Verify since 2011.

Penalties: The Attorney General sues after probable cause and a 15-business-day cure notice; a court can suspend the location’s business licenses for 5 business days (first violation), 10 (multiple first violations), 180 days or permanently (repeats), and permanently statewide for willful violators at three or more locations. Enrolling in E-Verify is the practical answer.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Iowa State Agencies Only

Statute / Agency: SF 2218 (2026)

State requirement: State agencies must use E-Verify for new hires from July 1, 2026 under SF 2218, which also adds a $10,000 penalty for knowingly providing a false Social Security number. Private employers have no mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Kansas No State Mandate

State requirement: None. Kansas has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Kentucky No State Mandate

State requirement: None. Kentucky has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Louisiana E-Verify or Document Retention

Statute / Agency: La. R.S. 23:995; 38:2212.10 (public contracts)

Who must use E-Verify: Every private employer must either use E-Verify or keep copies of each new hire’s picture ID and work-authorization documents (the document-retention alternative). Contractors on state or local public works must use E-Verify, and require it of subs, with a sworn affidavit in the bid.

Penalties: $500 to $2,500 per unauthorized worker, plus suspension of business licenses and permits for 30 days (second offense) to 180 days (third); public contractors face contract cancellation and a three-year debarment. Using E-Verify is a complete defense to the unauthorized-worker penalties.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Maine No State Mandate

State requirement: None. Maine has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Maryland No State Mandate

State requirement: None. Maryland has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Massachusetts No State Mandate

State requirement: None. Massachusetts has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Michigan State Transportation Contractors

Statute / Agency: MDOT contract requirements; Public Act 200 of 2012 (appropriations)

State requirement: Contractors and subcontractors on Michigan Department of Transportation projects must use E-Verify under state appropriations language and MDOT’s standard specifications; several counties (Macomb, Oakland) require it of their own contractors. No private-employer mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Minnesota State Contracts Over $50,000

Statute / Agency: Minn. Stat. § 16C.075

State requirement: Vendors with state contracts over $50,000 must certify that they and their subs use E-Verify for hires performing the contract work. No private-employer mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Mississippi All Employers

Statute / Agency: Miss. Code § 71-11-3 (Mississippi Employment Protection Act)

Who must use E-Verify: Every employer, phased in by size from 2008 and covering all employers since July 1, 2011. Public contractors certify compliance in their bids.

Penalties: Cancellation of public contracts and a three-year ban on public work; suspension of business licenses and permits for up to one year for knowingly employing an unauthorized worker. Workers who use false documents face felony charges.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Missouri Public Contractors & Incentives

Statute / Agency: RSMo § 285.530

State requirement: State agencies, and any business with a state contract or grant over $5,000 or receiving a state tax credit or incentive, must use E-Verify and swear an affidavit. Other private employers have no mandate, but knowingly employing an unauthorized worker can cost any employer its business licenses for 14 days to a year, and E-Verify enrollment is the affirmative defense.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Montana Verification Mandate (LEGAL Act)

Statute / Agency: HB 226 (2025), the LEGAL Act; Department of Labor & Industry

State requirement: Since July 1, 2025, every Montana employer must verify work authorization before a new hire starts, using either Form I-9 documentation or E-Verify, and the Department of Labor & Industry can audit employers at random or on complaint. E-Verify isn’t required, but it’s the clean way to show compliance.

Penalties: Tiered fines escalating with repeat violations and possible license suspension for repeat offenders; good-faith compliance with federal law is a defense.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Nebraska Public Contractors & Incentives

Statute / Agency: Neb. Rev. Stat. § 4-108 to 4-114

State requirement: Public employers, public contractors and any business receiving state tax incentives must use E-Verify for new hires since October 1, 2009. No general private-employer mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Nevada No State Mandate

State requirement: None. Nevada has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

New Hampshire No State Mandate

State requirement: None. New Hampshire has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

New Jersey No State Mandate

State requirement: None. New Jersey has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

New Mexico No State Mandate

State requirement: None. New Mexico has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

New York No State Mandate

State requirement: None. New York has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

North Carolina 25+ Employees

Statute / Agency: N.C.G.S. § 64-26; Department of Labor

Who must use E-Verify: Private employers with 25 or more employees, since July 1, 2013, for every new hire except seasonal temporary workers employed 90 or fewer days in a 12-month period. Counties, cities and public contractors are also covered.

Penalties: After a complaint and investigation, the Commissioner of Labor orders compliance; $1,000 for a first violation after failure to comply, $2,000 per unverified employee for a second, $10,000 per employee for a third. Anyone who knowingly files a false complaint is also fined.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

North Dakota No State Mandate

State requirement: None. North Dakota has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Ohio Nonresidential Construction

Statute / Agency: Ohio E-Verify Workforce Integrity Act (effective March 19, 2026); Attorney General

Who must use E-Verify: Since March 19, 2026, every contractor, subcontractor and labor broker working on a nonresidential construction or renovation project in Ohio (buildings, highways, bridges, utilities) must run E-Verify on employees hired for that work and keep the records three years from hire or one year after termination. Residential buildings, manufactured homes and agricultural structures are excluded, so a shop that only does houses is not covered.

Penalties: $250 for a first failure to create a case, $1,500 for later ones; $5,000 to $25,000 per employee for continuing to employ someone after a final nonconfirmation; and up to two years’ debarment from state contracts. The Attorney General investigates complaints; companies get 10 days to request a hearing.

Trades note: An electrical or HVAC shop that does mostly residential but takes a strip-mall or school job is covered for the employees on that job. Most Ohio commercial GCs now require E-Verify certification from every sub.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Oklahoma Public Contractors

Statute / Agency: 74 O.S. § 85.1 et seq.; Oklahoma Taxpayer and Citizen Protection Act

State requirement: Public employers and anyone contracting with them (and their subs) must use E-Verify, since 2008. Private employers have no mandate, but Oklahoma denies a business-expense deduction for wages paid to unauthorized workers if the employer didn’t use E-Verify.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Oregon No State Mandate

State requirement: None. Oregon has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Pennsylvania All Construction Employers

Statute / Agency: Act 75 of 2019 (Construction Industry Employee Verification Act); Public Works Employment Verification Act

Who must use E-Verify: Every construction industry employer in Pennsylvania, of any size, for every new hire since October 7, 2020, under the Construction Industry Employee Verification Act, plus every public works contractor and sub under the 2013 Public Works Act. “Construction” covers erection, reconstruction, demolition, alteration, modification, repair, custom fabrication, building, assembling, site preparation and maintenance work on real property, which sweeps in plumbing, HVAC, electrical, roofing and remodeling shops. Staffing agencies supplying construction labor are covered too.

Penalties: Department of Labor & Industry audits; a warning for a first violation, then a 30-day to 1-year suspension of the employer’s licenses for subsequent violations, and up to 3 years for a third. Employers must post an E-Verify notice and keep verification records for the duration of employment plus 3 years. Anti-retaliation provisions protect workers who report.

Trades note: This is the single most-missed E-Verify law in the trades. A two-truck plumbing outfit in Scranton is covered; a two-truck plumbing outfit in Ohio doing residential work is not.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Rhode Island No State Mandate

State requirement: None. Rhode Island rescinded its 2008 executive order requiring E-Verify for state agencies and contractors in 2011 and has no mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

South Carolina All Employers

Statute / Agency: S.C. Code § 41-8-10 et seq. (Illegal Immigration Reform Act); Department of Labor, Licensing and Regulation

Who must use E-Verify: Every employer, for every new hire within 3 business days, since January 1, 2012 (the earlier option to accept a South Carolina driver’s license was eliminated). LLR audits employers at random.

Penalties: Probation for a first violation; a 10- to 30-day suspension of the employer’s license to do business in South Carolina for a second within three years; up to five years’ suspension after that. E-Verify use gives a rebuttable presumption the employer didn’t knowingly hire.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

South Dakota No State Mandate

State requirement: None. South Dakota has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Tennessee 35+ Now; Every Employer Jan. 1, 2027

Statute / Agency: Tenn. Code § 50-1-703 (Lawful Employment Act); Public Chapter 622 (2026)

Who must use E-Verify: Private employers with 35 or more employees since January 1, 2025 (down from 50). On January 1, 2027, Public Chapter 622 (HB 1194, signed March 26, 2026) redefines “private employer” as anyone required to report wages for at least one employee, so every Tennessee employer with a single W-2 worker must run E-Verify on new hires from that date. Local governments were brought in July 1, 2026. The old option to copy identity documents instead is gone.

Penalties: $500 plus $500 per employee for a first offense, $1,000 plus $1,000 per employee for a second, $2,500 plus $2,500 per employee for a third, with 45 days to cure a compliance order. The Department of Labor & Workforce Development investigates on complaint.

Trades note: If you run a one-tech shop in Nashville, Memphis or Knoxville and haven’t enrolled, do it in December. Enrollment is free and takes about an hour at e-verify.gov.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Texas State Agencies & Contractors

Statute / Agency: Tex. Gov’t Code § 673.001 (SB 374, 2015); Executive Order RP-80

State requirement: State agencies must use E-Verify for their own hires, and state contracts require contractors to verify employees performing the work. No private-employer mandate: SB 324 (all private employers) passed the Senate in April 2025 and died in the House. The 90th Legislature convenes January 12, 2027 and a universal mandate is expected to be refiled.

Trades note: Texas has no state penalty for knowingly hiring unauthorized workers beyond federal law, and Texas cities cannot impose their own E-Verify ordinances on private employers. See our Texas startup guide for the licensing side.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Utah 150+ Employees

Statute / Agency: Utah Code § 13-47-201 (Private Employer Verification Act)

Who must use E-Verify: Private employers with 150 or more employees must use E-Verify (or another federal status-verification system) for new hires; the threshold was raised from 15 in 2023. Public employers and contractors are covered under a separate act.

Penalties: None. Utah’s act has no enforcement provision beyond the loss of the safe harbor it provides against liability for hiring an unauthorized worker. Few trades shops reach 150 employees, so for most Utah contractors E-Verify is voluntary.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Vermont No State Mandate

State requirement: None. Vermont has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Virginia State Agencies & Contractors 50+

Statute / Agency: Va. Code § 40.1-11.2; 2.2-4308.2

State requirement: State agencies must use E-Verify, and any contractor with more than an average of 50 employees that holds a state contract over $50,000 must enroll and use it for employees performing the contract; violations bring a one-year debarment. No general private-employer mandate.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Washington No State Mandate

State requirement: None. Washington has no statewide mandate. Several counties (Clark, Cowlitz, Lewis, Pierce, Whatcom) and some cities require E-Verify of their own contractors; check the bid documents.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

West Virginia No State Mandate

State requirement: None. West Virginia has no E-Verify mandate. Its Employment of Unauthorized Workers law (W. Va. Code § 21-1B) requires employers to verify legal status and keep records, but doesn’t specify E-Verify; knowing violations carry fines of $100 to $1,000 and license suspension for repeats.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Wisconsin No State Mandate

State requirement: None. Wisconsin has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Wyoming No State Mandate

State requirement: None. Wyoming has no E-Verify mandate at any level.

Federal baseline still applies: complete Form I-9 for every hire within 3 business days, keep it 3 years from hire or 1 year after termination (whichever is later), and use E-Verify if you hold a federal contract with the FAR E-Verify clause. Enrolling voluntarily is allowed everywhere except as restricted in California and Illinois.

Statutes, effective dates and penalties verified against state codes, agency pages and 2026 legislative records (Tennessee Public Chapter 622, Ohio E-Verify Workforce Integrity Act, Indiana SEA 76, Montana HB 226, Arkansas Act 948, Iowa SF 2218) as of November 2026. Several legislatures meeting in early 2027 have universal-mandate bills pending; this page will be updated when they pass. Federal penalty figures are the 2025 inflation adjustments.

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FAQ

Which states require private employers to use E-Verify?

Twelve, as of January 2027: Alabama, Arizona, Mississippi and South Carolina (all employers); Louisiana (E-Verify or keep document copies); Florida and North Carolina (25 or more employees); Georgia (11 or more); Utah (150 or more); Tennessee (35 or more through December 31, 2026, every employer from January 1, 2027); Pennsylvania (every construction industry employer); and Ohio (nonresidential construction contractors, since March 19, 2026).

Is E-Verify required for small businesses?

In Alabama, Arizona, Mississippi, South Carolina and Louisiana, yes, from the first employee. In Tennessee, yes from January 1, 2027. In Pennsylvania, yes if you’re in construction (including plumbing, HVAC, electrical, roofing and remodeling). Elsewhere the thresholds (Georgia 11, Florida and North Carolina 25, Utah 150) exempt most small shops, and 25 states have no mandate at all.

What changes in Tennessee on January 1, 2027?

Public Chapter 622 (HB 1194), signed March 26, 2026, redefines ’private employer’ under the Tennessee Lawful Employment Act as any employer required to report wages for at least one employee. That makes E-Verify mandatory for every Tennessee employer, replacing the 35-employee threshold that applied since January 1, 2025. Penalties are $500 plus $500 per employee for a first violation, rising to $2,500 plus $2,500 per employee.

Does Pennsylvania really require E-Verify for every construction employer?

Yes. The Construction Industry Employee Verification Act (Act 75 of 2019) has required every construction industry employer in Pennsylvania, regardless of size, to use E-Verify for new hires since October 7, 2020. ’Construction’ is defined broadly to include repair, alteration, maintenance and custom fabrication on real property, so trade contractors are covered. Penalties escalate from a warning to license suspensions of 30 days to 3 years.

What does Ohio’s 2026 E-Verify law cover?

The E-Verify Workforce Integrity Act, effective March 19, 2026, requires contractors, subcontractors and labor brokers on nonresidential construction or renovation projects in Ohio (buildings, highways, bridges, utilities) to run E-Verify on employees hired for that work. Residential buildings, manufactured homes and agricultural structures are excluded. Penalties run from $250 per missing case to $5,000 to $25,000 per employee kept on after a final nonconfirmation, plus up to two years of state-contract debarment.

Can I use E-Verify on job applicants or current employees?

No. Federal E-Verify rules allow it only for new hires after acceptance of an offer, and only prospectively (federal contractors with the FAR clause may verify existing employees on the contract). California enforces this with a civil penalty of up to $10,000 per misuse, and Illinois with penalties of $2,000 to $10,000 plus notice and training requirements. Running E-Verify on an applicant before the offer is also evidence of discrimination under federal law.

What’s the penalty for not using E-Verify where it’s required?

It varies: license suspension and eventual revocation in Alabama, Arizona, Mississippi and South Carolina; $1,000 a day in Florida after repeated violations; $1,000 to $10,000 per employee in North Carolina; $500 to $2,500 plus the same per employee in Tennessee; license suspensions up to 3 years in Pennsylvania; $250 to $25,000 in Ohio; denial of the local business license in Georgia; nothing in Utah beyond losing the safe harbor. Separately, federal I-9 penalties apply everywhere.

Do I still need Form I-9 if I use E-Verify?

Yes. E-Verify supplements the I-9; it doesn’t replace it. Complete Section 1 by the employee’s first day and Section 2 within 3 business days, then create the E-Verify case from the I-9 data within the same 3 days. Keep I-9s for 3 years from hire or 1 year after termination, whichever is later. E-Verify employers may examine I-9 documents remotely by live video under the DHS alternative procedure.

Which states tried and failed to pass universal E-Verify in 2025 or 2026?

Florida (HB 197 passed the House in January 2026 and died in the Senate in March; HB 955 died in 2025), Idaho (HB 704 passed the House in February 2026 and died in the Senate) and Texas (SB 324 passed the Senate in April 2025 and died in the House). All three legislatures meet in 2027 and sponsors have said they’ll refile. Indiana chose a different path with the FAIRNESS Act, which makes E-Verify the safe harbor rather than a mandate.

Does E-Verify apply to 1099 subcontractors?

No. E-Verify and the I-9 apply to employees. But a ’contractor’ who works your schedule, drives your van and uses your tools is an employee under federal and most state tests, and misclassifying him doesn’t avoid the I-9 or E-Verify duty; it adds a misclassification problem to an immigration one. Louisiana, Georgia and the public-contractor states also require you to get E-Verify certifications from genuine subcontractors on covered work.

Bottom Line

If you employ anyone in Alabama, Arizona, Mississippi, South Carolina, Louisiana or Pennsylvania (construction), you should already be enrolled. If you’re in Tennessee with fewer than 35 employees, enroll before January 1. If you’re in Florida or North Carolina, know your headcount, because employee 25 triggers it. If you do commercial work in Ohio, the mandate reached you in March. If you bid public work anywhere in the amber states, the MOU number goes in the bid. And if you’re in California or Illinois, enrolling is allowed but the procedure matters: offer first, verify second, notice in writing.

Everywhere else, the I-9 is still the law, ICE audits are up, and E-Verify is a free way to prove you did it right. The states that mandated it mostly did so because contractors asked for the safe harbor.