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


The regional facilities, with their half-million plans, basically damaged the a lot more reasonable million-dollar part of the EB-5 program. Third, such programs, if we have them whatsoever, as they perform in Australia, must be concerning developing service entities, not passive financial investments. It needs to have to do with creating genuine jobs, not elaborate computations about the indirect production of jobs, which is now component of the regulation.


Maybe that is one of the reasons it has failed time after time to get to the legal objective of 10,000 investment visas. Fifth, the Regional Facility Program is inherently clumsy, and the program is as well loaded with intermediaries, both public and personal. The program has more than its share of detractions, which I will certainly get involved in later if anybody is interested.


This is a company that likes to state yes to applicants, but as the table in my testament shows, USCIS police officers have a lot more difficulty with EB-5 applications than others. I assume that is something that no one has actually spoken about a lot. EB5 Regional Center Program. There are high prices of inner denials in this program and completely reason

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Seventh, in this program visas most likely to individuals that might not obtain them differently and to people whose planned investment is in fact less, according to the Federal Get, than the ordinary mean total assets of all American family members in 2007. Let me broaden on one of my observations.


My price quote based on the financiers' permit applications filed 2 years after the initial investment-- these are the solid ones that continue to be and are approved. This is 2009-- was that they had about $191 million confirmed-- that is my estimate. USCIS does not give the kind of data that we might make use of on this.


For every $100 of increased foreign financial investment that year, the EB program contributed one dime. Under a a lot more unsteady statistical base, the preliminary applications of potential immigrant capitalists, USCIS is informing journalists that the degree of investment in the just-concluded year was about $1.2 billion. Allow us approve that.

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




Divine functioned as Principal this article Guidance of the United States Citizenship and Migration Services from July 2004 until November 2006, the year in which he was Acting Director, and afterwards Performing Deputy Director. He has actually worked extensively with the EB-5 program secretive method. He was chosen, as I comprehend, vice president of the Organization to Spend in USA, the national sector organization of regional.


Divine, we are thrilled to have you right here. Please go on, sir. DECLARATION OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE PRESIDENT, INVEST IN THE USA (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Senator Grassley, and others. Thanks for having me.


At many, if all 10,000 slots were utilized, it would be 1 percent of the immigration annually to the USA. It is not near that yet, but it is expanding and getting toward that. Particularly as USCIS, the company that looks after the program, has been making the regulations more clear and the procedures more logical and clear for individuals who are arranging financial investments and for the financiers who are investing, even more people have wanted and able to place effort and money into the process to locate good jobs and establish them, and go now after that extra investors have actually wanted to invest their money and take the risk and use the cash to produce the work that is the factor of the program.

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These jobs do not linger for life, and USCIS recognizes that and are trying to speed the program, speed the procedure - EB5 Regional Center Program. That does not mean that they are relaxing their scrutiny, and, in fact, they are all set to deny applications that are not certifying. And they do so, as was stated


The local facility part of the program is not. It becomes part of an appropriations expense that was enacted in 1992, and ever since that program has actually been prolonged five times for 19 years. It is time for it to be long-term, and it requires to be done currently and not nearer to the day of expiration in September.


The procedure takes a great while to develop a job and then to get the investors authorized. And they do not want their cash flowing with until they have actually been authorized. And the specter of the expiration of this Regional Facility Program in September is already preventing the advancement of projects.

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I would love to make clear that the Regional Facility Program is not the same as the half-million-dollar thing. The idea of half a million or a million is a feature of the normal EB-5 regulation that is part of the code. It just is a reality that a lot of the regional facilities that are merging financial investments have established those in locations of high joblessness or in rural locations try this site where half- million-dollar investments are permitted, which makes feeling.