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The program is positioned in an extremely strange and non-helpful bureaucratic place for the excitement of international investment in the United States. We are providing away as well much for also small of an investment.


The regional centers, with their half-million systems, basically undercut the more practical million-dollar component of the EB-5 program. Third, such programs, if we have them in any way, as they do in Australia, must be regarding producing company entities, not easy investments. It needs to be regarding creating actual tasks, not elaborate calculations about the indirect production of tasks, which is now part of the legislation.


Maybe that is one of the reasons that it has actually stopped working year after year to get to the legislative goal of 10,000 financial investment visas. Fifth, the Regional Facility Program is naturally awkward, and the program is too loaded with middlemen, both public and private. The program has greater than its share of rumors, which I will certainly enter later if anyone is interested.


This is an agency that likes to say yes to applicants, but as the table in my statement reveals, USCIS police officers have a lot a lot more trouble with EB-5 applications than others. I believe that is something that no one has actually discussed much. EB5 Regional Center Program. There are high rates of internal rejections in this program and completely reason

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Seventh, in this program visas go to individuals who can not get them otherwise and to people whose planned financial investment is really much less, according to the Federal Book, than the average mean total assets of all American families in 2007. Let me increase on one of my monitorings.


My quote based on the investors' eco-friendly card applications submitted 2 years after the very first financial investment-- these are the solid ones that stay and are approved. This is 2009-- was that they had about $191 million confirmed-- that is my price quote. USCIS does not provide the type of data that we can use on this.


So for every $100 of increased foreign financial investment that year, the EB program contributed one penny. Under a much a lot more wobbly statistical base, the preliminary applications of potential immigrant financiers, USCIS is telling journalists that the degree of financial investment in the just-concluded year was about $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 company's immigration practice group.




Divine worked as Chief Advise of the USA Citizenship and Immigration Providers from July 2004 until November 2006, the year in which he was Acting Supervisor, and afterwards Performing Replacement Supervisor. He has functioned thoroughly with the EB-5 program secretive technique. He was elected, as I understand, vice head of state of the Association to Invest in U.S.A., the national sector organization of regional.


Divine, we are pleased 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 HEAD OF STATE, INVEST IN THE U.S.A. (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Senator Grassley, and others. Thank you for having me.


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, however it is expanding and getting towards that. Specifically as USCIS, the agency that looks after the program, has been making the policies clearer and the processes more sensible and clear for the people who are arranging financial investments and for the financiers that are spending, more people have wanted and able to place effort and cash into the procedure to locate excellent jobs and create them, and afterwards more capitalists have been eager to invest their cash and take the threat and use the cash to develop the tasks that is the factor of the program.

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These jobs do not wait around forever, and USCIS comprehends that and are attempting to speed the program, speed up the process - EB5 Regional Center Program. That does not imply that they are unwinding their scrutiny, and, as a matter of fact, they prepare to reject applications that are not certifying. And they do so, as was stated


The regional facility component of the program is not. It is component of an appropriations costs that was established in 1992, and given that then that program has actually been extended 5 times for 19 years. It is time for it to be permanent, and it requires to be done currently and not nearer to the day of expiration in September.


The process takes a great while to function up a job and after that to obtain the financiers click here approved. And they do not desire their money moving through 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 projects.

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I would love to make clear that the Regional Center Program is not the like the half-million-dollar thing. The idea of half a million or a million is a feature of the regular EB-5 law that becomes part of the code. It simply is a truth that a lot of the regional facilities that are pooling financial investments have actually set those instead of high unemployment or in backwoods where fifty percent- million-dollar investments are allowed, and that makes good sense.