I-9 COMPLIANCE AUDIT PLAN & CHECKLIST
OPTIWAVE SEMICONDUCTOR CORP.
Calderwood & Harkness LLP Immigration & Compliance Practice Group
ATTORNEY-CLIENT PRIVILEGED / ATTORNEY WORK PRODUCT
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I. EXECUTIVE SUMMARY
This I-9 Compliance Audit Plan & Checklist (the "Audit Plan") establishes a structured framework for conducting a comprehensive internal audit of all Form I-9 employment eligibility verification records maintained by Optiwave Semiconductor Corp. ("OWS"). The audit is being undertaken as part of OWS's annual compliance program and, in particular, to establish a complete compliance baseline following the recent transition of immigration counsel responsibilities from Whitfield & Parekh LLP to Calderwood & Harkness LLP.
Purpose. The purpose of this Audit Plan is to provide a systematic methodology for reviewing, assessing, and remediating all I-9 records for OWS's current workforce, ensuring full compliance with the Immigration Reform and Control Act of 1986 ("IRCA"), E-Verify program requirements, and all applicable regulations promulgated by the U.S. Department of Homeland Security ("DHS") and U.S. Citizenship and Immigration Services ("USCIS"). The audit will identify any errors, omissions, or procedural deficiencies in OWS's I-9 practices, and will produce a set of actionable remediation steps and process improvement recommendations designed to minimize OWS's exposure to civil penalties and adverse enforcement action.
Scope. The audit encompasses all 340 current OWS employees distributed across four categories:
• Site A — San Jose Headquarters: 210 employees located at 4820 Veltrano Parkway, Suite 300, San Jose, CA 95134 (including 11 current H-1B visa holders);
• Site B — Austin Design Center: 65 employees located at 7600 Spectrum Drive, Building 4, Austin, TX 78729 (including 2 current H-1B visa holders);
• Site C — Portland Test Facility: 40 employees located at 1425 Northwest Couch Street, Suite 200, Portland, OR 97209 (including 1 current H-1B visa holder); and
• Remote Employees: 25 employees working from various locations, coordinated through San Jose HR operations.
OWS is a Delaware corporation qualified to do business in California, Texas, and Oregon. The company's Employer Identification Number is 82-4931076, and it operates under NAICS Code 334413 (Semiconductor and Related Device Manufacturing). OWS participates in the E-Verify program (Company ID: 1487623), obligating it to create E-Verify cases for all new hires within three (3) business days of the employee's start date and Form I-9 Section 2 completion.
Visa Holder Population. Of OWS's 340 current employees, 18 are foreign national workers holding nonimmigrant work visas, specifically 14 H-1B specialty occupation workers, 3 O-1A individuals with extraordinary ability in the sciences, and 1 O-1B individual with extraordinary achievement in the arts. These employees require particular attention during the audit with respect to employment authorization documentation, expiration date tracking, and reverification timelines. The audit will prioritize these 18 employees for early review.
Context — Counsel Transition. Calderwood & Harkness LLP recently assumed immigration counsel responsibilities for OWS from Whitfield & Parekh LLP. The engagement transition became effective as of May 20, 2025; Whitfield & Parekh concluded their engagement on April 30, 2025. Historical I-9 binder copies, maintained in electronic format through OWS's integration with Sentinel Background Verification Corp., are among the files currently being transferred from prior counsel, with a target transfer completion date of June 15, 2025. This audit represents Calderwood & Harkness's first comprehensive review of OWS's I-9 records and will serve as the foundational compliance benchmark for future annual audits.
Third-Party Systems. The audit will include review of I-9 forms, E-Verify case records, reverification records, and their integration with the electronic employment verification system maintained by Sentinel Background Verification Corp. (Account Lead: Tyler Ng). Sentinel BV provides OWS's electronic I-9 platform and E-Verify integration services.
Key OWS Contacts. The primary OWS contacts for audit coordination are Samantha Kowalski, Director of Human Resources (responsible for HR operations and I-9 compliance), and Rajesh Anand, Immigration Program Manager (responsible for day-to-day immigration coordination, visa holder tracking, and reverification scheduling). Patricia Langford, General Counsel, will receive the final audit report and provide executive sign-off on corrective actions.
Prior Government Inspections. OWS has been the subject of two prior Fraud Detection and National Security Directorate ("FDNS") site visits — on November 8, 2023, and February 12, 2025 — both of which resulted in no adverse findings. While this record reflects positively on OWS's historical compliance posture, it underscores the importance of maintaining a robust, proactively managed I-9 program that can withstand scrutiny from any government agency at any time.
Target Completion. The audit is designed to be completed by September 1, 2025, with all remediation actions finalized and a comprehensive written report delivered to OWS leadership.
II. LEGAL FRAMEWORK & REGULATORY REQUIREMENTS
This section sets forth the statutory and regulatory framework governing Form I-9 employment eligibility verification, E-Verify compliance, employer obligations, record retention, and the penalty structure for non-compliance. A thorough understanding of this framework is essential for all audit team members and OWS personnel involved in the audit process.
A. Statutory and Regulatory Basis
The employment eligibility verification requirement originates in the Immigration Reform and Control Act of 1986 ("IRCA"), which amended the Immigration and Nationality Act ("INA") by adding Section 274A. INA § 274A makes it unlawful for any person or entity to hire, recruit, or refer for a fee any individual without complying with the employment eligibility verification system established by statute. The implementing regulations are found at 8 C.F.R. § 274a.2, which sets forth the detailed requirements for completion, retention, and production of Form I-9, Employment Eligibility Verification.
Under INA § 274A and 8 C.F.R. § 274a.2, every employer in the United States is required to verify the identity and employment authorization of each individual hired after November 6, 1986, by completing Form I-9 in accordance with the instructions published by USCIS. The current edition of Form I-9, along with its associated instructions, is maintained and periodically updated by USCIS, and employers are responsible for using the most current version of the form at the time of completion. Using an expired or superseded version of Form I-9 constitutes a violation, and auditors should verify that the correct form version was used for each employee's I-9.
Importantly, the anti-discrimination provisions of INA § 274B prohibit employers from engaging in unfair immigration-related employment practices. Specifically, employers may not over-document employees during the I-9 process (i.e., request more documents or different documents than are required), demand specific documents (e.g., insisting on a U.S. passport when the employee has presented a valid driver's license and Social Security card), or otherwise discriminate against individuals based on citizenship status or national origin in the I-9 verification process. The employer must accept any valid, unexpired document from List A, or one document from each of List B and List C, as presented by the employee, provided the documents reasonably appear genuine and relate to the individual presenting them. This anti-discrimination framework must be kept in mind throughout the audit, both in reviewing past practices and in formulating remediation procedures.
B. E-Verify Requirements
OWS is enrolled in the E-Verify program operated by USCIS in partnership with the Social Security Administration ("SSA"). OWS's E-Verify Company ID is 1487623. As an E-Verify employer, OWS has executed a Memorandum of Understanding ("MOU") with DHS that imposes additional obligations beyond the basic Form I-9 requirements.
The following E-Verify obligations are relevant to this audit:
Case Creation Timing. OWS must create an E-Verify case for each newly hired employee no later than three (3) business days after the employee's first day of work and completion of Form I-9 Section 2. The E-Verify case may not be created prior to the employee's acceptance of an offer of employment and completion of Section 1 of Form I-9. Creating an E-Verify case before an offer has been extended and accepted constitutes pre-screening and is strictly prohibited.
Tentative Nonconfirmation (TNC) Procedures. If E-Verify returns a Tentative Nonconfirmation result, OWS must follow prescribed procedures: (1) notify the employee of the TNC in private; (2) provide the employee with the Further Action Notice generated by E-Verify; (3) allow the employee the opportunity to contest the TNC by contacting the appropriate agency (SSA or DHS) within the referral period; and (4) refrain from taking any adverse employment action against the employee — including termination, suspension, reduction in hours, or change in working conditions — during the TNC resolution period. The employer must not, under any circumstances, treat a TNC as a final determination of employment ineligibility.
Photo Matching. For certain List A documents presented by employees — specifically, a U.S. Passport or Passport Card, Permanent Resident Card (Form I-551), or Employment Authorization Document (Form I-766) — E-Verify will display a photograph for the employer to compare against the document presented by the employee. OWS must complete this photo matching step as part of the E-Verify case when prompted.
Prohibition on Pre-Screening. E-Verify may not be used to pre-screen job applicants. OWS may not run an E-Verify check on any individual prior to the individual's acceptance of an offer of employment and completion of Form I-9 Section 1. Any evidence of pre-screening discovered during the audit must be flagged as a compliance violation.
C. Employer Obligations — Timing and Completion
Form I-9 is divided into three sections, each with specific timing requirements:
Section 1 — Employee Information and Attestation. The employee must complete and sign Section 1 no later than the first day of employment. For remote hires where in-person completion on the first day is not feasible, Section 1 must be completed within three (3) business days of the employee's start date. Section 1 requires the employee to provide personal information (legal name, address, date of birth, Social Security number), attest to citizenship or immigration status, and provide additional information for noncitizens (USCIS number, I-94 admission number, foreign passport information, and employment authorization expiration date, as applicable).
Section 2 — Employer Review and Verification. The employer (or an authorized representative) must physically examine the employee's identity and employment authorization documents and complete Section 2 no later than three (3) business days after the employee's first day of work. The employer must record the document title, issuing authority, document number, and expiration date for each document presented. The employer must also verify that the documents appear genuine and relate to the individual presenting them. The employer may accept any valid, unexpired document from List A (establishing both identity and employment authorization), or one document from List B (establishing identity) and one from List C (establishing employment authorization).
Section 3 — Reverification and Rehires (Supplement B). Section 3 must be completed on or before the expiration date of an employee's employment authorization document when that authorization is time-limited. It is critical to note that reverification does not apply to unexpired List B identity documents, U.S. Passports, U.S. Passport Cards, or Permanent Resident Cards (Form I-551). Reverification is required only for employment authorization documents with expiration dates. For rehires occurring within three (3) years of the original I-9 completion, the employer may complete Section 3 in lieu of preparing a new Form I-9, provided the original form is still on file and valid.
Receipt Rule. When an employee presents a receipt in lieu of an actual document at the time of Section 2 completion, the receipt is acceptable as temporary evidence of employment authorization or identity for a period of ninety (90) days. The employee must present the actual document within that 90-day period. Acceptable receipts include: (i) a receipt for a replacement document (e.g., a replacement Social Security card), (ii) the arrival portion of Form I-94/I-94A with a temporary I-551 stamp or notation indicating a new Permanent Resident Card is forthcoming, and (iii) a receipt for a refugee travel document for an individual with refugee status.
D. Record Retention Requirements
The regulations at 8 C.F.R. § 274a.2(b)(2)(i) specify that employers must retain Form I-9 for each employee for the later of:
(a) three (3) years after the date of hire; or
(b) one (1) year after the date of termination.
This retention obligation applies to both current and former employees. For current employees, the I-9 must be retained for the entire duration of employment. Upon termination, the employer must calculate the applicable retention date and maintain the form until that date has passed.
Electronic storage of Form I-9 is permitted under 8 C.F.R. § 274a.2(e), provided that certain conditions are met. Specifically, electronically stored I-9 forms must be: (i) retrievable and reproducible in a legible format; (ii) indexed by employee name or other identifier that permits efficient retrieval; (iii) capable of being produced within three (3) business days of a government request; and (iv) maintained in a system that includes a complete, unalterable audit trail documenting any access, creation, modification, or deletion of records. OWS's use of the Sentinel Background Verification Corp. electronic system must comply with all of these requirements.
E. Penalties for Non-Compliance
Failure to comply with I-9 requirements can result in significant civil monetary penalties and, in cases involving knowing violations, criminal liability. The current penalty structure, as adjusted for inflation, provides the following ranges for first-offense violations:
• Substantive/Technical Violations (failure to properly complete, retain, or make available Form I-9): $252 to $2,507 per form, per violation, for a first offense. Penalties escalate for second and subsequent offenses.
• Knowing Hire or Continuing Employment of Unauthorized Workers: Significantly enhanced penalties, ranging from $627 to $5,016 per unauthorized worker for a first offense, with escalating penalties for repeat offenses and potential criminal prosecution.
• Government Contract Debarment: Employers found to have engaged in a pattern or practice of I-9 violations may face debarment from government contracts, which would be particularly significant for OWS given its operations in the semiconductor industry and potential federal procurement exposure.
It is important to note that OWS has successfully navigated two prior FDNS site visits — on November 8, 2023, and February 12, 2025 — both of which resulted in no adverse findings. While this track record is commendable, it does not insulate OWS from future enforcement action. A proactive and rigorous I-9 compliance program, as embodied in this Audit Plan, is essential to maintaining OWS's clean compliance record and minimizing exposure to penalties in the event of a future inspection.
III. AUDIT SCOPE & METHODOLOGY
A. Population Definition
The audit population encompasses the entirety of OWS's current workforce as well as former employees whose I-9 records fall within the applicable retention window. The current workforce is defined as follows:
Current Employees — 340 Total
All 18 current visa holders have been identified for priority review due to the heightened complexity of their I-9 documentation requirements, including time-limited employment authorization, reverification obligations, and the interplay between I-9 documentation and underlying visa status.
In addition to current employees, terminated employees whose I-9 records remain within the retention window must also be audited to ensure proper retention practices are being followed and that no records have been prematurely destroyed or, conversely, retained beyond the required period (which raises privacy and data minimization concerns). The list of terminated employees within the retention window will be obtained from OWS's HRIS system during the pre-audit preparation phase.
B. Audit Type
This audit will be a full internal audit, meaning that 100% of all current employee I-9 forms will be reviewed. This is not a sampling or spot-check audit. The decision to conduct a comprehensive, form-by-form review reflects the following considerations:
1. New Counsel Baseline. This is the first I-9 audit conducted under Calderwood & Harkness's engagement with OWS. Following the transition of immigration counsel responsibilities from Whitfield & Parekh LLP, it is essential to establish a complete compliance baseline that reflects the current state of OWS's I-9 records without relying on assumptions about the thoroughness of prior reviews.
2. Counsel Transition Risk. The transition period between prior counsel and current counsel creates a heightened risk of gaps in I-9 oversight, particularly for reverification deadlines, E-Verify case management, and documentation of changes in employee status. A full audit mitigates this risk.
3. Regulatory Exposure. Given OWS's prior FDNS site visits and its participation in E-Verify, a comprehensive audit demonstrates the company's good-faith commitment to compliance, which can serve as a mitigating factor in the event of future enforcement action.
C. Data Sources
The audit will draw upon the following data sources:
• Electronic I-9 Records: Maintained via the Sentinel Background Verification Corp. system, which serves as OWS's primary I-9 platform. These records include digitized copies of completed I-9 forms, associated supporting documents (where copies have been retained), and system-generated metadata including timestamps and audit trail entries.
• Historical I-9 Binder Copies: Electronic copies of historical I-9 files covering the period from 2019 through 2025, currently in the process of being transferred from Whitfield & Parekh LLP as part of the counsel transition. The target completion date for this file transfer is June 15, 2025.
• OWS HRIS Employee Roster: A complete employee roster, to be provided by Samantha Kowalski, Director of Human Resources. The roster must include each employee's full legal name, date of hire, work location, job title, department, and termination date (if applicable).
• E-Verify Case Records: A complete export of all E-Verify cases created under OWS's Company ID 1487623, including case numbers, creation dates, results (Employment Authorized, TNC, Final Nonconfirmation, case closed), and any associated case notes.
• Payroll Records: Payroll data will be used to cross-reference hire dates, termination dates, and first day of employment against the dates recorded on I-9 forms, ensuring consistency across OWS's records systems.
D. Audit Phases and Timeline
The audit will be conducted in six sequential phases, structured to align with OWS's worksite locations and the logical progression from data gathering through remediation and reporting.
Important Note Regarding Phase 1. The commencement of Phase 1 is contingent upon completing the file transfer from Whitfield & Parekh LLP by June 15, 2025. If the file transfer is delayed, the Phase 1 start date will be adjusted accordingly, which may necessitate a corresponding compression or extension of subsequent phases. Derek Okonkwo will coordinate with Tanya Benavides and Samantha Kowalski to monitor the file transfer status and communicate any timeline adjustments to the engagement team.
IV. AUDIT TEAM & RESPONSIBILITIES
A. Calderwood & Harkness LLP Personnel
The following Calderwood & Harkness professionals are assigned to this engagement:
Derek Okonkwo — Associate ($575/hr)
Mr. Okonkwo serves as the primary auditor for this engagement. His responsibilities include conducting the form-by-form review of all 340 I-9 records, documenting findings in the audit tracking spreadsheet, identifying errors and classifying them by type and severity, coordinating with OWS personnel during on-site reviews, and drafting the final audit report. Mr. Okonkwo will also be responsible for implementing corrections during the remediation phase, in coordination with OWS's HR team.
Megan Chu — Lead Associate ($575/hr)
Ms. Chu supervises the overall audit process. She is responsible for reviewing Mr. Okonkwo's findings, validating error classifications and remediation recommendations, ensuring consistency in audit methodology across all worksites, and serving as the primary liaison with OWS's legal team, including Patricia Langford, General Counsel. Ms. Chu will also review the final audit report prior to delivery to OWS.
Dr. Lena Marchetti — Of Counsel ($750/hr)
Dr. Marchetti provides subject matter expert consultation on complex issues that arise during the audit, including reverification questions involving employees operating under the 240-day auto-extension rule (8 C.F.R. § 214.2(h)(2)(i)(H)), visa-specific I-9 documentation questions, and anti-discrimination guidance under INA § 274B. Dr. Marchetti's involvement will be on an as-needed basis, with consultation requests routed through Ms. Chu.
Tanya Benavides — Paralegal ($295/hr)
Ms. Benavides provides critical operational support for the audit. Her responsibilities include coordinating document collection from OWS and Sentinel Background Verification Corp., maintaining the audit tracking spreadsheet throughout the audit process, managing the flow of records between the electronic system and the audit team, interfacing with Tyler Ng at Sentinel BV on system access and data exports, and handling logistics for on-site visits.
B. Optiwave Semiconductor Corp. Personnel
The following OWS personnel are designated as key contacts for this audit:
Samantha Kowalski — Director of Human Resources
Ms. Kowalski is the primary OWS audit contact. She is responsible for providing the complete employee roster from OWS's HRIS system, facilitating access to I-9 records (both electronic and any physical files), coordinating on-site logistics at each worksite (including workspace, secure document storage, and personnel availability), and serving as the operational point of contact for day-to-day audit matters.
Rajesh Anand — Immigration Program Manager
Mr. Anand coordinates on visa holder-specific I-9 issues, reverification scheduling, and immigration status tracking. He maintains the current visa holder roster and is responsible for monitoring employment authorization expiration dates, coordinating with Calderwood & Harkness on extension petition filings, and ensuring that reverification is completed in a timely manner.
Patricia Langford — General Counsel
Ms. Langford receives the final audit report and remediation recommendations. She provides executive sign-off on corrective actions and serves as the ultimate decision-maker on OWS's behalf regarding compliance policy changes recommended as a result of the audit. All privileged communications related to the audit will be directed to Ms. Langford.
C. Third-Party Coordination
Sentinel Background Verification Corp.
Account Lead: Tyler Ng
Address: 9100 Centre Pointe Drive, Suite 400, West Chester, OH 45069
Sentinel BV provides OWS's electronic I-9 platform, including system access to electronic I-9 records, E-Verify case data exports, and technical support for system queries. During the audit, Calderwood & Harkness will coordinate with Tyler Ng to: (i) obtain system access credentials for the audit team; (ii) export E-Verify case records for all employees; (iii) resolve any system-level questions regarding record formatting, audit trails, or data integrity; and (iv) obtain written certification regarding the system's compliance with 8 C.F.R. § 274a.2(e) electronic storage standards.
V. PRE-AUDIT PREPARATION CHECKLIST
The following checklist items must be completed before the commencement of the substantive I-9 review in Phase 2. Tanya Benavides will maintain this checklist and track completion status, with overall supervision by Derek Okonkwo.
A. Document and Data Compilation
• [ ] Obtain complete employee roster from OWS HRIS system, encompassing all 340 current employees. The roster must include the following data fields for each employee: full legal name, date of hire, work location (Site A, Site B, Site C, or Remote), job title, department, and termination date (if applicable). Responsible party: Samantha Kowalski. Target delivery date: June 16, 2025.
• [ ] Obtain list of all terminated employees whose I-9 records remain within the retention window (i.e., terminated employees for whom the later of three years from hire date or one year from termination date has not yet passed). Responsible party: Samantha Kowalski. Target delivery date: June 16, 2025.
• [ ] Obtain access to all electronic I-9 records maintained via the Sentinel Background Verification Corp. system. Responsible party: Tyler Ng (Sentinel BV) / Tanya Benavides. Target access confirmation: June 18, 2025.
• [ ] Confirm receipt of all historical I-9 binder copies from the Whitfield & Parekh LLP file transfer, covering the period from 2019 through April 2025. Target completion of file transfer: June 15, 2025. Responsible party: Tanya Benavides (to coordinate with Whitfield & Parekh's file transfer contact and Samantha Kowalski).
• [ ] Obtain complete E-Verify case records export for all cases created under OWS Company ID 1487623. The export should include: case number, employee name, case creation date, case result, case closure date, and any TNC/Further Action Notice records. Responsible party: Tyler Ng (Sentinel BV) / Tanya Benavides. Target delivery: June 20, 2025.
• [ ] Obtain updated list of all 18 current visa holders, including: employee name, visa classification (H-1B, O-1A, O-1B), I-797 approval validity period, I-94 expiration date, employment authorization expiration date, and any pending extension or change-of-status petition filings (including receipt numbers and filing dates). Responsible party: Rajesh Anand. Target delivery: June 18, 2025.
• [ ] Obtain list of 12 FY2026 pipeline candidates, including: candidate name, target visa classification, expected start date, current immigration status, and any relevant filing dates or deadlines. Responsible party: Rajesh Anand. Target delivery: June 20, 2025.
• [ ] Obtain payroll records for all current and recently terminated employees, to be used for cross-referencing hire dates, termination dates, and first day of employment against I-9 records. Responsible party: Samantha Kowalski. Target delivery: June 20, 2025.
B. System Access and Logistics
• [ ] Confirm that all Calderwood & Harkness team members (Derek Okonkwo, Megan Chu, and Tanya Benavides) have been granted appropriate system access credentials for the Sentinel Background Verification Corp. electronic I-9 system. Access should be read-only for audit purposes, with write access limited to authorized corrections during the remediation phase. Responsible party: Tyler Ng / Tanya Benavides.
• [ ] Schedule on-site visits at each OWS worksite:
• Site A (San Jose): June 30 – July 18, 2025
• Site B (Austin): July 21 – July 31, 2025
• Site C (Portland): August 1 – August 8, 2025
Responsible party: Tanya Benavides, in coordination with Samantha Kowalski.
• [ ] Arrange secure workspace at each site for document review, including access to a computer workstation, printer, and secure storage for any physical documents or notes generated during the audit. The workspace must be in a private area to protect the confidentiality of employee information and the privileged nature of the audit work product. Responsible party: Samantha Kowalski.
• [ ] Confirm Samantha Kowalski's availability (or that of a designated OWS HR representative) during each site visit phase to answer questions, facilitate access to records, and coordinate with employees if in-person corrections are required.
• [ ] Prepare the audit tracking spreadsheet in final format. The spreadsheet shall contain the following column headers: Employee ID, Employee Full Legal Name, Hire Date, Work Location (Site A/B/C/Remote), Job Title, Visa Status (USC/LPR/H-1B/O-1A/O-1B/EAD/Other), I-9 Form Version, Section 1 Completion Date, Section 1 Errors (Y/N), Section 1 Error Detail, Section 2 Completion Date, Section 2 Errors (Y/N), Section 2 Error Detail, List A Document (Title/Number/Exp), List B Document (Title/Number/Exp), List C Document (Title/Number/Exp), Section 3 Needed (Y/N), Section 3 Completion Date, Section 3 Errors (Y/N), Section 3 Error Detail, E-Verify Case Number, E-Verify Case Creation Date, E-Verify Result, E-Verify Errors (Y/N), Remediation Action, Remediation Date, Auditor Initials, Notes. Responsible party: Tanya Benavides.
C. Training.
• [ ] Brief OWS HR team on the audit process. This briefing should cover the purpose and scope of the audit, the timeline and phases, what will be examined, the role of HR personnel during the audit (including availability for questions and assistance with corrections), and the privileged nature of the audit and the importance of not disclosing audit findings outside the designated distribution list. Responsible party: Megan Chu / Derek Okonkwo.
• [ ] Provide Samantha Kowalski with advance notice of any records that may need to be pulled from physical files (if any I-9 records are maintained in hard copy rather than, or in addition to, the electronic system). Responsible party: Tanya Benavides.
VI. FORM I-9 REVIEW CRITERIA — SECTION-BY-SECTION CHECKLIST
This section provides the detailed review criteria that Derek Okonkwo will apply to each Form I-9 during the substantive audit phases. For each I-9 reviewed, every item on this checklist must be assessed and the result recorded in the audit tracking spreadsheet. Any discrepancy, omission, or error must be documented with specificity, including a description of the error, the applicable error category code, and a preliminary remediation recommendation.
A. Section 1 — Employee Information and Attestation
The following elements must be verified for each employee's Section 1:
• [ ] Full legal name is present, legible, and matches the name on file in OWS's HRIS system and payroll records. Any discrepancies (e.g., name changes, transliterations, use of shortened names) should be noted and investigated.
• [ ] Other last names used (maiden name, aliases, etc.) are recorded, if applicable. If the employee has not used other names, the field should be marked "N/A."
• [ ] Address (street address, apartment number if applicable, city, state, and ZIP code) is complete. A P.O. Box alone is not acceptable as a street address.
• [ ] Date of birth is present and recorded in the correct format (mm/dd/yyyy).
• [ ] Social Security Number is present and consists of a valid 9-digit number. For E-Verify employers such as OWS, the Social Security Number is mandatory, not optional. A missing SSN for any employee hired after OWS's E-Verify enrollment constitutes a compliance deficiency.
• [ ] E-mail address and telephone number fields: These are optional fields. The auditor should note whether they are blank but should not flag an omission as an error. However, if the fields contain obviously incorrect or nonsensical entries, this should be noted.
• [ ] Citizenship/immigration status attestation: Exactly one of the four attestation categories must be checked:
(1) A citizen of the United States; (2) A noncitizen national of the United States; (3) A lawful permanent resident (USCIS Number or A-Number must be provided); or (4) An alien authorized to work (employment authorization expiration date must be provided, along with USCIS Number, I-94 Admission Number, or Foreign Passport Number and Country of Issuance).
If no box is checked, or if more than one box is checked, this constitutes a Section 1 error requiring remediation.
• [ ] For noncitizens (categories 3 and 4): USCIS Number (A-Number), I-94 Admission Number, or Foreign Passport Number and Country of Issuance must be properly recorded, as applicable. For H-1B and O-1 visa holders, this typically includes the A-Number (if assigned) and/or the I-94 number. Verify that the information recorded is consistent with the employee's known immigration status and documentation.
• [ ] Employment authorization expiration date is recorded where applicable. This is critical for all H-1B and O-1 visa holders, as the expiration date drives the reverification obligation under Section 3. The date recorded should match the I-94 expiration date or the employment authorization expiration date on the applicable EAD or I-797 approval notice.
• [ ] Employee signature is present. An unsigned Section 1 is a substantive violation.
• [ ] Date of employee signature is present and is no later than the employee's first day of employment. If the date of signature is after the first day of employment, this constitutes a late completion error. Note the date differential in the audit tracking spreadsheet.
• [ ] Preparer/Translator Certification (Supplement A): If the employee did not complete Section 1 independently (e.g., due to a language barrier or disability), the preparer or translator must have completed Supplement A, including the preparer/translator's name, address, and signature. If the employee completed Section 1 without assistance, the preparer/translator section should indicate that no preparer or translator was used.
B. Section 2 — Employer or Authorized Representative Review and Verification
The following elements must be verified for each employee's Section 2:
• [ ] Document presentation: The employee presented either (i) one document from List A (establishing both identity and employment authorization), OR (ii) one document from List B (establishing identity) AND one document from List C (establishing employment authorization). Recording documents from both List A and List B+C (over-documentation) is an error that may suggest discriminatory practices in violation of INA § 274B.
• [ ] Document information recorded: For each document presented, the following fields must be completed: document title, issuing authority, document number, and expiration date (if any). If any of these fields are blank or incomplete, this constitutes a Section 2 error.
• [ ] Document genuineness and relatedness: While the auditor cannot retroactively assess the physical examination of documents, the auditor should verify that the documents recorded are valid for I-9 purposes (i.e., appear on List A, B, or C), that the document descriptions are plausible and consistent, and that there is no indication that the employer specified which documents the employee should present. Any notes in the file suggesting document preferences by the employer should be flagged as a potential anti-discrimination concern under INA § 274B.
• [ ] Employer representative name, title, and signature are present. The individual who signed Section 2 must have been an authorized representative of OWS at the time of signing. An unsigned Section 2 is a substantive violation.
• [ ] Business name is recorded as "Optiwave Semiconductor Corp." (or an acceptable abbreviation thereof). Any other business name (e.g., a staffing agency name for a direct OWS hire) should be flagged for investigation.
• [ ] Business address matches the applicable worksite. For Site A employees, the address should reflect 4820 Veltrano Parkway, Suite 300, San Jose, CA 95134. For Site B employees, the address should reflect 7600 Spectrum Drive, Building 4, Austin, TX 78729. For Site C employees, the address should reflect 1425 Northwest Couch Street, Suite 200, Portland, OR 97209. For remote employees, the address should reflect the worksite address through which their I-9 was coordinated (typically San Jose).
• [ ] Date of Section 2 completion is present and is no later than three (3) business days after the employee's first day of work. Calculate the permissible completion window for each employee based on the first day of employment recorded in Section 2, cross-referenced with payroll records.
• [ ] First day of employment is recorded in the designated field. This date is essential for calculating both the Section 2 completion deadline and the I-9 retention period. If the field is blank, this constitutes a Section 2 error.
• [ ] Cross-check: The date of hire recorded on the I-9 (first day of employment) must match the date of hire in OWS's payroll records and HRIS system. Any discrepancy should be documented and investigated, as it may indicate either an I-9 error or a payroll records error.
C. Section 3 — Reverification and Rehires (Supplement B)
Section 3 review is applicable only where reverification or rehire documentation is required. The auditor should first determine whether Section 3 is needed for each employee and, if so, whether it has been properly completed.
• [ ] Reverification completed on time: For employees with time-limited employment authorization, reverification must be completed on or before the expiration date of the employment authorization. A late reverification (or a missing reverification where one was required) is a substantive violation. The auditor should calculate whether reverification was timely by comparing the employment authorization expiration date in Section 1 (or the most recent Section 3 entry) with the date of the Section 3 reverification.
• [ ] New document information: The reverification entry must include the new document title, document number, and expiration date (if any). If any of these fields are blank, this constitutes a Section 3 error.
• [ ] Employer signature and date are present on the reverification entry. An unsigned or undated reverification is a substantive error.
• [ ] Rehires: For employees who were rehired within three years of the original I-9 completion, the rehire date must be recorded in Section 3. The employer may choose to complete Section 3 of the original I-9 rather than preparing a new form, provided the original form is still on file and within the retention period. If the rehire occurred more than three years after the original I-9, a new I-9 is required.
• [ ] Special attention — H-1B and O-1 visa holders: Each of the 18 current visa holders must be reviewed with heightened scrutiny for reverification compliance. The following employees require particular attention based on their known employment authorization expiration dates and pending extension filings:
• Takeshi Nakamura (H-1B): Employment authorization expired May 31, 2025. Extension petition was filed on March 15, 2025 (before expiration), and Mr. Nakamura is currently authorized to continue employment under the 240-day auto-extension rule per 8 C.F.R. § 214.2(h)(2)(i)(H). The I-94 has expired, and reverification must be handled with care. The I-797C receipt notice for the extension filing may serve as the basis for completing Section 3 reverification. Consult with Dr. Lena Marchetti regarding the proper documentation approach.
• Jae-Won Park (H-1B): Employment authorization valid through March 31, 2026. Reverification must be calendared for on or before that date.
• Arjun Krishnamurthy (H-1B): Employment authorization valid through November 30, 2025. This is an upcoming reverification deadline that falls within the audit period. Ensure reverification is calendared and that extension petition filing is coordinated with Rajesh Anand.
• Chen Xiaoming (H-1B): Employment authorization valid through August 14, 2026. Extension filing is anticipated by June 15, 2025. Verify that the extension filing is timely and that reverification planning is in place.
• Dr. Seo-Yeon Cho (O-1A): Employment authorization valid through February 28, 2027 (per updated records; original summary indicated February 28, 2026 — verify against I-797).
• Dr. Vikram Iyer (O-1A): Employment authorization valid through May 14, 2026.
• All remaining visa holders per the complete roster of 18 must likewise be reviewed for reverification compliance and future reverification calendaring.
D. Receipt Rule Compliance
• [ ] If an employee presented a receipt in lieu of an actual document at the time of Section 2 completion, verify that the actual replacement document was presented and recorded within ninety (90) days of the date the receipt was accepted.
• [ ] Verify that receipts were only accepted for permissible purposes: (i) receipts for replacement documents (e.g., a lost, stolen, or damaged document for which a replacement has been applied for); (ii) the arrival portion of Form I-94/I-94A with a temporary I-551 stamp or notation indicating that a new Permanent Resident Card has been issued; or (iii) a receipt for a refugee travel document.
• [ ] Document any instances where a receipt was accepted but the actual document was never presented, or where the 90-day period was exceeded.
VII. E-VERIFY COMPLIANCE REVIEW
The E-Verify compliance review will be conducted in parallel with the Form I-9 review, using the E-Verify case records export obtained from the Sentinel Background Verification Corp. system. Each employee's E-Verify case will be cross-referenced with their I-9 to ensure consistency and compliance.
A. Case Creation Timeliness
• [ ] For each employee hired after OWS's enrollment in E-Verify, confirm that an E-Verify case was created no later than three (3) business days after the completion of Form I-9 Section 2. The case creation date recorded in the E-Verify system should fall within this window.
• [ ] Document any late case creations. For each late case, record the following: employee name, hire date, Section 2 completion date, E-Verify case creation date, date differential (number of business days between Section 2 completion and case creation), and reason for late creation (if available from the case notes or OWS records).
• [ ] Flag any cases where the case creation was significantly late (more than 10 business days after Section 2 completion), as these represent a heightened compliance risk and may require separate documentation in the audit report.
B. Case Resolution
• [ ] Confirm that all E-Verify cases have been resolved to a final status. The expected final status is "Employment Authorized." Cases resolved as "Case Closed" or "Final Nonconfirmation" should be investigated to confirm that appropriate follow-up action was taken.
• [ ] For any cases that resulted in a Tentative Nonconfirmation (TNC): verify that the employee was notified of the TNC in a timely and private manner; confirm that the Further Action Notice was provided to the employee; verify that the employee was given the opportunity to contest the TNC by contacting the relevant agency (SSA or DHS); and confirm that OWS did not take any adverse employment action against the employee during the TNC resolution period. Document any procedural deficiencies in TNC handling.
• [ ] Confirm that photo matching was performed where required by the E-Verify system (i.e., where the employee presented a U.S. Passport, Permanent Resident Card, or Employment Authorization Document). If photo matching was required but not documented, flag this as an E-Verify compliance error.
• [ ] Identify any cases currently in "open" or unresolved status. Cases that have remained open beyond the permissible resolution timeframe must be investigated and, if possible, resolved or properly closed. Open cases create ongoing compliance exposure.
C. Pre-Screening Prohibition
• [ ] Review the E-Verify case creation dates in relation to the employees' hire dates and offer acceptance dates. Confirm that no E-Verify case was created before the employee accepted an offer of employment.
• [ ] Review the Form I-9 Section 1 completion dates to confirm that no I-9 was completed before the employee accepted an offer of employment. While this is technically an I-9 issue rather than an E-Verify issue, it is closely related to the pre-screening prohibition and should be assessed concurrently.
• [ ] If any evidence of pre-screening is identified, flag this as a serious compliance violation and escalate to Megan Chu for review and potential consultation with Dr. Marchetti.
D. Record Correlation
• [ ] Confirm that each E-Verify case number in the E-Verify system corresponds to a valid I-9 on file in the Sentinel BV system. An E-Verify case without a corresponding I-9 (or vice versa) indicates a records management deficiency.
• [ ] Verify that the employee name recorded in the E-Verify case matches the name in Section 1 of the corresponding I-9. Name discrepancies should be noted and investigated, as they may indicate data entry errors, name changes, or more serious documentation issues.
• [ ] Identify any post-enrollment employees for whom no E-Verify case exists. A missing E-Verify case for a post-enrollment hire is a compliance violation. Document each instance with the employee's name, hire date, and a note regarding whether retroactive case creation may be feasible.
VIII. SPECIAL POPULATIONS — VISA HOLDER I-9 REVIEW
The 18 current visa holders in OWS's workforce present unique I-9 compliance considerations that warrant dedicated attention during the audit. This section provides specific guidance for reviewing the I-9 records of each visa holder subgroup.
A. Current H-1B Holders (14 Employees)
Each of OWS's 14 current H-1B holders must have an I-9 that reflects proper List A documentation. For H-1B workers, the typical List A document combination is the employee's unexpired foreign passport together with the Form I-94 Arrival/Departure Record (or electronic I-94 printout) showing H-1B classification and a validity period consistent with the I-797 Approval Notice. Alternatively, some H-1B holders may present an I-797 Approval Notice in combination with other documentation. The auditor must verify that the documents recorded in Section 2 are consistent with the employee's H-1B status and that the employment authorization expiration dates recorded in Section 1 match the I-797 validity periods.
Reverification must be calendared for each H-1B holder based on the expiration date of their employment authorization. The following is the complete roster of current H-1B holders with their applicable employment authorization expiration dates:
Priority Case — Takeshi Nakamura. Mr. Nakamura's H-1B status expired on May 31, 2025. An extension petition was timely filed on March 15, 2025, before the expiration of his current status. Under the 240-day automatic extension rule (8 C.F.R. § 214.2(h)(2)(i)(H)), Mr. Nakamura is authorized to continue employment with OWS for up to 240 days while the extension petition is pending, provided the petition was timely filed, involves the same employer and the same classification, and the employee's status has not been otherwise terminated. The I-9 reverification for Mr. Nakamura must be handled carefully. The I-797C receipt notice for the pending extension petition may serve as the basis for Section 3 reverification. This matter should be referred to Dr. Lena Marchetti for guidance on the specific documents to be recorded in Section 3 and the appropriate expiration date (if any) to be entered.
B. Current O-1 Holders (4 Employees)
OWS's four O-1 visa holders require a similar List A documentation review. The applicable List A documents for O-1 holders are the same as for H-1B holders — typically an unexpired foreign passport with Form I-94 reflecting O-1A or O-1B classification. Employment authorization expiration dates must match the I-797 validity periods.
All four O-1 holders should be confirmed to have properly completed I-9 forms with accurate employment authorization expiration dates, and reverification should be calendared at the dates indicated above.
C. Former Granville Staffing Solutions Employees
Certain H-1B employees in OWS's current workforce were initially placed at OWS through Granville Staffing Solutions, Inc. (CEO: Dennis Faulkner; 780 Technology Drive, Suite 110, San Jose, CA 95110) before converting to direct OWS employment. These employees present a specific I-9 compliance concern: the employer of record on the original I-9 would have been Granville Staffing Solutions, not OWS. Upon conversion to direct OWS hire, a new I-9 should have been completed with OWS as the employer, or (if the employee was rehired within three years of the original I-9 and the original form was available) proper Section 3 rehire documentation should have been completed.
The auditor must verify the following for each former Granville employee:
• [ ] A new Form I-9 was completed upon direct hire by OWS, with OWS identified as the employer in Section 2 and the correct OWS worksite address recorded.
• [ ] If Section 3 rehire procedures were used instead of a new I-9, verify that the original I-9 (completed by Granville) was still within the three-year window from the original hire date, and that Section 3 was properly completed with the new rehire date and current employment authorization documentation.