On June 30, 2012, the Pennsylvania Legislature passed into law Senate Bill 637 which will require public works contractors and subcontractors subject to the Pennsylvania Prevailing Wage Act (essentially, construction projects where the estimated cost is at least $25,000) to use E-Verify to confirm that their employees are legally permitted to work in the United States. Violators of the new law are subject to progressive penalties including fines and debarment from working on public projects for up to three years. The law also protects employees who participate in an investigation, report, or complain about possible violations of the statute. The law is awaiting signature from Governor Corbett and, if signed, will take effect January 1, 2013.