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The program is positioned in an extremely strange and non-helpful bureaucratic place for the excitement of global financial investment in the United States. We are offering away too much for as well little of a financial investment.


The local centers, with their half-million systems, essentially damaged the much more reasonable million-dollar component of the EB-5 program. Third, such programs, if we have them at all, as they carry out in Australia, need to have to do with creating organization entities, not easy financial investments. It ought to have to do with producing real work, not clarify calculations regarding the indirect development of work, which is now part of the regulations.


Possibly that is one of the reasons that it has failed year after year to get to the legislative objective of 10,000 investment visas. Fifth, the Regional Facility Program is inherently clumsy, and the program is too filled with middlemen, both public and exclusive. The program has greater than its share of rumors, which I will get involved in later on if anyone is interested.


This is a company that loves to claim yes to candidates, however as the table in my testament shows, USCIS policemans have a lot a lot more trouble with EB-5 applications than others. I believe that is something that no one has actually truly spoken about a lot. EB5 Regional Center Program. There are high prices of interior rejections in this program and for good reason

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Seventh, in this program visas most likely to individuals that can not get them otherwise and to people whose planned financial investment is in fact much less, according to the Federal Book, than the ordinary mean internet well worth of all American households in 2007. Allow me increase on among my observations.


My estimate based on the investors' eco-friendly card applications filed 2 years after the very first investment-- these are the solid ones that stay and are authorized. This is 2009-- was that they had about $191 million verified-- that is my estimate. USCIS does not offer the type of information that we can use on this.


So for every $100 of increased international investment that year, the EB program contributed one dime. Under a far more unsteady analytical base, the preliminary applications of would-be immigrant capitalists, USCIS is informing reporters that the level of investment in the just-concluded year was regarding $1.2 billion. more info Let us accept that.

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Thank you for listening to me. Chairman Leahy. He is the head of the firm's migration practice group.




Divine offered as Chief Advise of the USA Citizenship and Migration Solutions from July 2004 till November 2006, the year in which he was Acting Supervisor, and afterwards Performing Deputy Supervisor. He has actually functioned extensively with the EB-5 program in private technique. He was chosen, as I comprehend, vice head of state of the Association to Spend in U.S.A., the national industry association of local.


STATEMENT OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE PRESIDENT, INVEST IN THE United States (IIUSA) Mr. Divine. Thank you, Mr. Chairman, Senator Grassley, and others.


At many, if all 10,000 slots were utilized, it would certainly be 1 percent of the immigration annually to the USA. It is not near that yet, but it is expanding and getting toward that. Especially as USCIS, the agency that oversees the program, has been making the policies more clear and the processes more reasonable and clear for individuals who are organizing financial investments and for the investors that are spending, even more people have been eager and able to place effort and cash into the procedure to find great tasks and establish them, and afterwards a lot more investors have actually been willing to spend their cash and take the risk and utilize the cash to develop the jobs that is the point of the program.

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These projects do not linger permanently, and USCIS understands that and are attempting to speed up the program, speed up the procedure - EB5 Regional Center Program. That does not imply that they are unwinding their examination, and, as a matter of fact, they are prepared to reject applications that are not qualifying. And they do so, as was stated


The regional center component of the program is not. It is component of an appropriations bill that was enacted in 1992, and ever since that program has actually been prolonged 5 times for 19 years. It is time for it to be long-term, and it needs to be done currently and not nearer to the date of expiration in September.


The process takes an excellent while to develop a project and afterwards to obtain the investors accepted. And they do not want their cash flowing with till they have actually been authorized. And the specter of the expiry of this Regional Center Program in September is currently preventing the advancement of tasks.

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I would love to make clear that the Regional Center Program is not the same as the half-million-dollar thing. The concept of half a million or a million is a function of the regular EB-5 law that belongs to the code. It just is a reality that a lot of the regional centers that are pooling financial investments have set those in places of high unemployment or in country locations where half- million-dollar investments are allowed, and that makes good sense.