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The program is positioned in a really odd and non-helpful bureaucratic location for the excitement of global investment in the United States. We are giving away as well much for also tiny of a financial investment.


The local facilities, with their half-million systems, basically damaged the much more sensible million-dollar component of the EB-5 program. Third, such programs, if we have them at all, as they do in Australia, need to have to do with producing organization entities, not passive financial investments. It must be about developing actual work, not specify computations concerning the indirect production of jobs, which is currently component of the regulations.


Probably that is among the factors why it has stopped working time after time to reach the legal objective of 10,000 investment visas. Fifth, the Regional Facility Program is naturally awkward, and the program is too loaded with middlemen, both public and exclusive. The program has more than its share of rumors, which I will enter later on if anybody is interested.


This is a firm that enjoys to state yes to applicants, however as the table in my statement shows, USCIS police officers have far more problem with EB-5 applications than others. I think that is something that nobody has actually really discussed much. EB5 Regional Center Program. There are high rates of inner denials in this program and for excellent reason

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Seventh, in this program visas most likely to individuals who can not get them any kind of various other means and to individuals whose scheduled investment is actually much less, according to the Federal Get, than the average mean net well worth of all American households in 2007. Allow me increase on one of my observations.


My estimate based upon the capitalists' environment-friendly card applications filed 2 years after the first investment-- these are the solid ones that remain and are authorized. This is 2009-- was that they had regarding $191 million validated-- that is my estimate. USCIS does not provide the kind of information that we might make use of on this.


For every $100 of enhanced international financial investment that year, the EB program added one dime. Under a a lot more wobbly statistical base, the preliminary applications of would-be immigrant financiers, USCIS is informing reporters that the level of financial investment in the just-concluded year was about $1.2 billion. Let us accept that.

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




Divine served as Principal Advise of the USA Citizenship and Migration Solutions from July 2004 till November 2006, the year in which he was Performing Supervisor, and after that Performing Replacement Supervisor. He has worked extensively with the EB-5 program secretive method. He was elected, as I recognize, vice president of the Organization to click here Invest in USA, the nationwide market organization of regional.


Divine, we are pleased to have you right here. Please proceed, sir. DECLARATION OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE HEAD OF STATE, BUY THE United States (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Legislator Grassley, and others. Thanks for having me.


At many, if all 10,000 slots were used, it would be 1 percent of the migration every year to the United States. It is not near that yet, yet it is growing and obtaining towards that. Particularly as USCIS, the firm that manages the program, has been making the regulations more clear and the processes more sensible and clear for individuals that are organizing investments and for the financiers that are investing, more people have agreed and able to put initiative and money right into the procedure to discover great tasks and establish them, and then a lot more financiers have actually been willing to spend their money and take the threat and use the money to produce the jobs that is the factor of the program.

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These projects do not wait around forever, and USCIS comprehends that and are attempting to speed up the program, speed up the procedure - EB5 Regional Center Program. That does not mean that they are relaxing their examination, and, actually, they prepare to deny applications that are not qualifying. And they do so, as was pointed out


The regional facility part of the program is not. It belongs to an appropriations bill that was passed in 1992, and because then that program has actually been extended 5 times for 19 years. It is time for it to be long-term, and it requires to be done now and not nearer to the day of expiration in September.


The procedure takes a great while to work up a task and after that to obtain the investors authorized. And they do not want their money streaming via until they have actually been accepted. And the specter of the expiration of this Regional Center Program in September is already discouraging the growth of jobs.

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I would love to make clear that the Regional Center Program is not the same as the half-million-dollar point. The concept of half a million or a million is a feature of the normal EB-5 law that becomes part of the code. It simply is a fact that most of the local facilities that are pooling financial investments have established those in locations of high unemployment or in backwoods where half- million-dollar investments are allowed, and that makes good sense.