HOUSE BILL NO. 2217 Offered January 10, 2007 Prefiled January 9, 2007 A BILL to amend the Code of Virginia by adding in Article 1 of Chapter 3 of Title 40.1 a section numbered 40.1-28.7:2, relating to reporting the misclassification of employees as independent contractors, workers' compensation fraud, and unemployment tax fraud. ---------- Patron-- Amundson ---------- Committee Referral Pending ----------

Be it enacted by the General Assembly of Virginia:

1. That the Code of Virginia is amended by adding in Article 1 of Chapter 3 of Title 40.1 a section numbered 40.1-28.7:2, as follows:

§ 40.1-28.7:2. Reporting suspected instances of misclassification of employees as independent contractors; workers' compensation fraud; unemployment tax fraud.

A. The Commissioner shall establish and maintain a toll-free telephone number and make available paper forms and on-line electronic forms through the Department's Internet web site that may be used by persons to report suspected instances of (i) misclassification of employees as independent contractors, (ii) workers' compensation insurance fraud, and (iii) unemployment tax fraud. The Commissioner or his designee promptly shall forward reports of suspected instances of such misclassification or fraud to the Insurance Fraud Investigation Unit of the Virginia State Police, the Virginia Employment Commission, or both, as appropriate, for their investigation.

B. The toll-free telephone number and the Uniform Resource Locator (world wide web address) for the on-line electronic forms shall be displayed on the Internet web site for the government of the Commonwealth and for the Department, and may be displayed on such other publications of the Department that the Commissioner deems appropriate. The paper forms shall be available at offices of the Department.

C. The toll-free telephone number and the paper and on-line electronic forms shall accommodate persons who are literate in English, Spanish, and any other languages that the Commissioner deems appropriate.