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The program is positioned in a very strange and non-helpful governmental place for the stimulation of global investment in the United States. We are providing away also much for as well little of a financial investment.


The local 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 all, as they perform in Australia, must be about creating business entities, not easy investments. It needs to have to do with developing genuine tasks, not clarify estimations regarding the indirect development of work, which is now part of the regulation.


Maybe that is among the reasons it has failed every year to reach the legislative goal of 10,000 financial investment visas. Fifth, the Regional Center Program is naturally clumsy, and the program is also full of middlemen, both public and exclusive. The program has even more than its share of rumors, which I will enter later if anybody is interested.


This is an agency that likes to state yes to applicants, yet as the table in my statement reveals, USCIS police officers have a lot more trouble with EB-5 applications than others. I think that is something that no one has actually really spoken about a lot. EB5 Regional Center Program. There are high prices of inner denials in this program and completely factor

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Seventh, in this program visas most likely to individuals that can not get them any kind of various other method and to people whose planned financial investment is in fact much less, according to the Federal Book, than the ordinary mean net well worth of all American family members in 2007. Let me expand on among my monitorings.


My estimate based on the financiers' copyright applications filed 2 years after the first financial investment-- these are the strong 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 provide the kind of information that we might utilize on this.


For every $100 of raised foreign investment that year, the EB program added one dime. Under a far more shaky statistical base, the initial applications of potential immigrant investors, USCIS is telling reporters that the level of investment in the just-concluded year had to do with $1.2 billion. Allow us accept that.

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




Divine worked as Principal Guidance of the United States Citizenship and Migration Providers from July 2004 up until November 2006, the year in which he was Performing Supervisor, and then Acting Replacement Director. He has actually functioned extensively with the EB-5 program secretive method. He was chosen, as I comprehend, vice president of the Association to Invest in USA, the national sector organization of regional.


Divine, we are happy to have you below. Please proceed, sir. STATEMENT OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE PRESIDENT, PURCHASE THE USA (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Senator Grassley, and others. Thanks for having me.


At most, if all 10,000 ports were utilized, here it would certainly be 1 percent of the immigration every year to the United States. It is not near that yet, however it is expanding and getting towards that. Especially as USCIS, the firm that manages the program, has actually been making the rules more clear and the processes a lot more rational and clear for the people that are organizing investments and for the capitalists who are investing, even more individuals have agreed and able to place initiative and money into the procedure to discover good projects and establish them, and after that a lot more capitalists have actually wanted to spend their cash and take the risk and make use of the cash to develop the work that is the point of the program.

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These projects do not linger forever, and USCIS recognizes that and are trying to speed the program, speed up the procedure - EB5 Regional Center Program. That does not imply that they are unwinding their analysis, and, actually, they are ready to deny applications that are not qualifying. And they do so, as was mentioned


The local center component of the program is not. It belongs to an appropriations costs that was passed in 1992, and because then that program has actually been expanded 5 times for 19 years. It is time for it to be irreversible, and it requires to be done now and not nearer to the day of expiration in September.


The process takes an excellent while to develop a task and after that to get the capitalists approved. And they do not want their money flowing with up until they have actually been accepted. And the specter of the expiration of this Regional Facility Program in September is already inhibiting the development of jobs.

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I would certainly such as to clarify that the Regional Center Program is not the exact same as the half-million-dollar thing. The concept of half a million or a million is a feature of the routine EB-5 regulation that is part of the code. It simply is a fact that a lot of the local facilities that are pooling financial investments have established those in places of high unemployment or in backwoods where half- million-dollar investments are allowed, and that makes good sense.