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The program is placed in a really weird and non-helpful bureaucratic area for the excitement of global financial investment in the United States. We are giving away too much for too little of an investment.


The local centers, with their half-million systems, basically damaged the much more practical million-dollar part of the EB-5 program. Third, such programs, if we have them at all, as they carry out in Australia, must be concerning developing organization entities, not easy investments. It should have to do with developing real work, not specify estimations about the indirect production of work, which is currently part of the legislation.


Maybe that is just one of the reasons it has stopped working every year to get to the legal goal of 10,000 investment visas. Fifth, the Regional Center Program is inherently awkward, and the program is also loaded with middlemen, both public and exclusive. The program has greater than its share of rumors, which I will obtain right into later if any person is interested.


This is an agency that likes to claim yes to applicants, however as the table in my testimony reveals, USCIS officers have a lot more problem with EB-5 applications than others. I think that is something that nobody has actually really spoken around much. EB5 Regional Center Program. There are high prices of internal denials in this program and completely factor

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Seventh, in this program visas go to people who might not get them differently and to people whose scheduled investment is actually much less, according to the Federal Book, than the average mean total assets of all American households in 2007. Let me expand on one of my monitorings.


My estimate based upon the investors' permit applications filed 2 years after the first investment-- these are the solid ones that continue to be and are accepted. This is 2009-- was that they had concerning $191 million verified-- that is my quote. USCIS does not supply the type of information that we might utilize on this.


So for every $100 of enhanced international investment that year, the EB program added one cent. Under a much more wobbly analytical base, the first applications of potential immigrant investors, USCIS is informing journalists that the level of financial investment in the just-concluded year was regarding $1.2 billion. Let us approve that.

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




Divine acted as Principal Advice of the United States Citizenship and Migration Solutions from July 2004 up until November 2006, the year in which he was Performing Supervisor, and after that Acting Replacement Supervisor. He has functioned thoroughly with the EB-5 program secretive technique. He was elected, as I recognize, vice president of the Association to Buy United States, the national sector organization of local centers.


Divine, we are delighted to have you below. Please go on, sir. STATEMENT OF ROBERT C. DIVINE, ATTORNEY, 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. Thanks for having me.


At a lot of, if all 10,000 ports were utilized, it would be 1 percent of the migration yearly to the USA. It is not near that yet, but it is expanding and getting toward that. Specifically as USCIS, the firm that oversees the program, has actually been making the policies more clear and the processes more logical and clear for individuals who are arranging investments and for the financiers who are investing, even more people have wanted and able to put initiative and money right into the process to locate great projects and develop them, and afterwards a lot more financiers have been willing to invest their cash and take the threat and make use of the money to produce the work that is the point of the program.

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These tasks do not linger permanently, and USCIS comprehends that and are attempting to speed the program, speed up the process - EB5 Regional Center Program. That does not indicate that they are relaxing their analysis, and, actually, they prepare to refute applications that are not qualifying. And they do so, as was stated


The regional center 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 extended five times for 19 years. It is time for it to be irreversible, and it needs to be done currently and not nearer to the date of expiration in September.


The procedure takes a great while to function up a job and then to get the investors approved. And they do not want their money moving via till they have been accepted. And the specter of the expiry of this Regional Facility Program in September is currently preventing the read more development of jobs.

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I want to clear up that the Regional Center Program is not the like the half-million-dollar point. The concept of half a million or a million is a feature of the regular EB-5 law that is component of the code. It just is a fact that most of the local centers that are merging financial investments have established those in areas of high joblessness or in backwoods where fifty percent- million-dollar financial investments are enabled, and that makes good sense.