Identity crisis: although leasing professionals often take the front-line role of assuring documentation compliance for non-U.S. citizens, there are widespread questions regarding what is an acceptable form of identification--and what isn't.

Knowing who is signing that lease is not only smart business, but it is a requirement under the U.S. Patriot Act. The Department of Treasury's Office of Foreign Asset Control (OFAC) publishes a list of Specially Designated Nationals and Blocked Persons, which apartment owners and managers are required to screen against; doing business with targeted foreign countries, terrorists, international narcotics traffickers and those engaged in activities related to the proliferation of weapons of mass destruction can lead to both civil and criminal penalties.

With the high rate of immigration into the United States, and the various forms of identification that are available, there is a growing concern among apartment owners and managers that they are not using the correct documentation.

According to the U.S. Census Bureau, currently more than 12 percent of U.S. residents are immigrants. Each year another 1 million are entering legally and an estimated 300,000 to 500,000 are entering illegally. In the past two decades there has been a surge of immigrants and, with globalization and ongoing historical, political and economic factors, the trend is increasing rapidly. However, the debate in the United States about immigration is not new. Historically, America has enacted numerous laws to exclude or limit the wave of immigrants.

The first immigration legislation was passed in 1862, which restricted Chinese immigrants. Then, in 1882, the Chinese Exclusion Act was passed to completely suspend immigration. In 1924, the National Origins Quota Law required a literacy test for immigrants and also limited immigration from all regions, except from northern Europe.

With the recent terrorist and drug cartel threats, immigration has once again been propelled into a national topic of discussion with complex political and economic implications. But as Congress continues the debate on this important issue, the Patriot Act has already placed a burden on apartment owners and managers who are required to screen for properly documented residents.

Although apartment operators should screen residents to confirm their identities, there is no clear obligation under federal law to screen for citizenship or legal status to reside in this country.

Unacceptable ID

Two forms of identification that recently have led to some con fusion are the Individual Taxpayer Identification Number (ITIN), commonly referred to as the Personal Taxpayer I.D., and the Matricula Consular cards, also known as Mexican ID cards. Neither form requires verification of the declared identifier information, making them of little value in establishing correct identity.

The Internal Revenue Service (IRS) issues the ITIN to individuals who are required to have a personal taxpayer identification number for filing tax returns, but who do not have, and are not eligible to obtain, a Social Security Number (SSN) from the Social Security Administration. The ITIN is a nine-digit number (like the SSN) but always begins with the number nine and has a seven or eight in the fourth digit--for example, 9XX-7X-XXXX. The ITIN does not authorize work in the United States or provide eligibility for Social Security benefits. It merely provides a means to file tax returns.

The IRS issues ITINs regardless of immigration status, and ITINs are for federal tax reporting only. The IRS does not validate the authenticity of the information provided; therefore, it is invalid for identification outside the tax system.

Another form used for identification is the Matricula Consular card (see page 65), which the government of Mexico issues through its various consulate offices in the United States. The official purpose of the card is to demonstrate that the bearer is a Mexican national living outside of Mexico.

In the past few years, the Mexican government has been marketing the use of this card aggressively, and now more than a dozen states accept it to issue a driver's license. This, in turn, is used to create a credit identity. Recently there has been a dramatic increase in the use of these cards for credit granting by banks, credit card companies and even mortgage brokers.

There are some serious concerns about the Matricula Consular card. The U.S. Department of Justice and Federal Bureau of Investigation (FBI) both have concluded that the Matricula ConSular card is not a reliable form of identification because of the non-existence of any means of verifying the true identity of the cardholder.

The Mexican government often issues Matricula Consular cards with as little as the word of the person requesting one as proof of identity. The Mexican government has no centralized database to coordinate the issuance of Matricula Consular cards and, as a result, one person can produce several cards under different names.

To demonstrate the vulnerability of these cards as a form of identification, D. A. King, a U.S. citizen, deliberately obtained three different Matricula Consular Cards under three names, including Al Qaida Gonzalez.

During congressional testimony, Steve McCraw, Assistant Director of The Office of Intelligence for the FBI, concluded that because foreign nationals legally use the U.S.-government-issued forms of identification, it is primarily illegal aliens who use Matricula Consular cards. Acceptable Forms of ID

There are many acceptable forms of identification for those who are in the United States legally and who do not have a valid SSN. These include:

* Form I-551 Permanent Resident Card (Alien Registration Receipt Card)--This form, commonly referred to as the "Green Card," includes a photo and a fingerprint.

* Form I-688 Temporary Resident Card--Includes a photo and a fingerprint.

* Form I-688A Employment Authorization Card--Includes a photo and a fingerprint.

* Form I-94 Arrival-Departure Record--Does not include a photo or a fingerprint.

Additionally, apartment managers can use a receipt from U.S. Immigration and Customs Enforcement (ICE) for the replacement of one of the above documents, with verification by ICE of the entitlement to one of the above forms.

All dated forms should not expire within the time of the proposed lease agreement term.

Apartment professionals, particularly those in states that border Canada or Mexico, are keenly aware of the additional importance of identification documents when leasing to non-U.S. citizens. However, an applicant's true identity, regardless of legal status of residency, is essential for all meaningful resident screening and for compliance with the OFAC mandate.

Jorge Baldor is President of ResidentCheck. He is an immigrant from Havana, Cuba, and is enthusiastically enjoying the American dream. He can be reached at [e-mail] or www.residentcheck.com.