Currently, Florida mandates E-Verify participation for public employers and private employers contracting with state and local governments or receiving state incentive dollars. The new law will mean that most Florida employers will have additional onboarding and reporting obligations.

The impact on employers would include the following:

1. Private employers must process each new employee hired on or after July 1, 2023 through the E-Verify system. More information on the E-Verify process and system can be found here.
2. Once processed, employers must retain a copy of the documentation used for Form I-9 completion and any official documentation generated by E-Verify (such as the E-Verify certificate) for three years.
3. Certification of participation is required on the organization's first return when making contributions to or reimbursing the state's unemployment compensation or reemployment compensation system each year.
4. While there is a rebuttable presumption of compliance, if the E-Verify system is down for some reason, employers must document the outage if it causes a delay in E-Verify case creation and processing.
5. Enforcement and Penalties are costly. While employers will have 30 days to cure after receiving a notice from the Department of Economic Opportunity (DEO), the penalties are steep.
   a.) A first violation will result in a probationary period with reporting requirements;
   b.) If the DEO determines three instances of noncompliance within a 24 month period, a $1,000 per day fine is mandatory until the employer provides proof of compliance.

• controls or processes personal data of at least 100,000 Tennessee residents; or
• controls or processes personal data of at least 25,000 Tennessee residents and derives 50 percent of gross revenue from the sale of personal data.

Exemptions include financial institutions and data governed by the Gramm-Leach-Bliley Act, the Health Insurance Portability and Accountability Act, the federal Fair Credit Reporting Act and other federal laws.

The law makes it illegal for an employer to discriminate against a potential employee for off-the-job use detected via non-psychoactive cannabis metabolites, which drug screens can detect anytime within 30 days of use. The bill aims to allow applicants further access to job opportunities unrestricted by past use of cannabis.

The bill provides a few notable exceptions. Marijuana testing is still allowed in the following situations:

• When performing testing that relies on psychoactive metabolites;
• When testing for purposes other than pre-employment screening, such as post-accident or reasonable suspicion, in the goal of maintaining a drug-free workplace;
• Testing for job positions that require a federal background check or security clearance, or jobs with federal funding or federal licensing-related benefits;
• Job positions in the airline or aerospace industries, as well as firefighters, police, and corrections officers; and
• Employers performing a DOT drug testing program subject to 49 CFR part 40.

The act will take effect on January 1, 2024.