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The City is required by state law to conduct random verification of its service contractors and their subcontractors to ensure compliance with required use of the federal E-Verify employment eligibility program. Since 2010, after the state’s Legal Arizona Workers Act (LAWA) went into effect, the City Auditor’s Office has periodically audited selected City contractors’ compliance with use of the E-Verify program.
Auditors selected five City service contractors from FY 2018/19 and 11 of their subcontractors for E-Verify employment eligibility testing. From those companies, we reviewed 84 employees who had been hired after the State requirement went into effect. Our review found that the selected City contractors and subcontractors are generally using the E-Verify program for their workers on City of Scottsdale contracts. The audit made no recommendations because the Purchasing department has implemented previous audit recommendations to remind contract administrators and City contractors of the E-Verify requirement.