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The program is positioned in a very weird and non-helpful bureaucratic place for the excitement of global investment in the United States. We are giving away too much for also small of a financial investment.


The local facilities, with their half-million plans, basically undercut the a lot more practical million-dollar component of the EB-5 program. Third, such programs, if we have them in any way, as they carry out in Australia, should be concerning creating organization entities, not easy investments. It should have to do with creating genuine jobs, not clarify calculations regarding the indirect creation of jobs, which is now part of the legislation.


Maybe that is just one of the reasons that it has actually failed time after time to reach the legislative objective of 10,000 investment visas. Fifth, the Regional Center Program is naturally awkward, and the program is also full of middlemen, both public and personal. The program has greater than its share of detractions, which I will certainly obtain into later on if anyone is interested.


This is an agency that likes to claim yes to applicants, but as the table in my testimony shows, USCIS policemans have much extra problem 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 internal rejections in this program and completely reason

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Seventh, in this program visas go to people who might not get them otherwise and to people whose organized financial investment is actually much less, according to the Federal Reserve, than the ordinary mean total assets of all American families in 2007. Allow me increase on among my monitorings.


My price quote based upon the investors' permit applications filed 2 years after the very first financial investment-- these are the solid ones that remain and are approved. This is 2009-- was that they had regarding $191 million verified-- that is my price quote. USCIS does not provide the type of information that we could use on this.


So for each $100 of increased foreign financial investment that year, the EB program contributed one cent. Under a much more unsteady analytical base, the preliminary applications of prospective immigrant capitalists, USCIS is telling journalists that the level of investment in the just-concluded year was regarding $1.2 billion. Allow us accept that.

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Thank you for paying attention to me. Chairman Leahy. He is the head of the firm's migration method team.




Divine served as Chief Guidance of the United States Citizenship and Immigration Solutions from July 2004 until November 2006, the year in which he was Acting Supervisor, and after that Acting Deputy Supervisor. He has worked extensively with the EB-5 program Find Out More secretive method. He was chosen, as I recognize, vice head of state of the Association to Buy USA, the national sector association of local centers.


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


At most, if all 10,000 slots were used, it would be 1 percent of the immigration each year to the United States. It is not near that yet, yet it is growing and obtaining toward that. Specifically as USCIS, the firm that supervises the program, has been making the policies more clear and the procedures much more rational and clear for individuals who are organizing investments and for the capitalists who are investing, more people have actually wanted and able to place initiative and money right into the process to discover great projects and develop them, and after that much more investors have agreed to invest their cash and take the danger and make use of the money to create the tasks that informative post is the factor of the program.

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These projects do not linger forever, and USCIS recognizes that and are trying to speed up the program, speed up the process - EB5 Regional Center Program. That does not mean that they are relaxing their scrutiny, and, actually, they are all set to reject applications that are not qualifying. And they do so, as was discussed


The regional facility part of the program is not. It becomes part of an appropriations bill that was enacted in 1992, and ever since that program has been prolonged five times for 19 years. It is time for it to be permanent, and it requires to be done now and not nearer to the date of expiry in September.


The procedure takes a great while to function up see this here a task and afterwards to obtain the investors approved. And they do not desire their money streaming with up until they have actually been authorized. And the specter of the expiry of this Regional Facility Program in September is already discouraging the advancement of jobs.

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I want to make clear that the Regional Center Program is not the like the half-million-dollar point. The idea of half a million or a million is a feature of the regular EB-5 regulation that is component of the code. It simply is a fact that the majority of the local facilities that are pooling financial investments have actually established those instead of high unemployment or in backwoods where fifty percent- million-dollar financial investments are allowed, and that makes sense.