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


The regional facilities, with their half-million systems, essentially damaged the a lot more practical million-dollar component of the EB-5 program. Third, such programs, if we have them in any way, as they carry out in Australia, must have to do with producing service entities, not passive financial investments. It must be regarding creating real jobs, not elaborate calculations concerning the indirect production of work, which is now part of the legislation.


Perhaps that is one of the reasons it has actually stopped working year after year to reach the legal goal of 10,000 investment visas. Fifth, the Regional Center Program is naturally clumsy, and the program is too full of intermediaries, both public and private. The program has more than its share of scandals, which I will get involved in later if anybody is interested.


This is a company that loves to say yes to candidates, but as the table in my testimony reveals, USCIS policemans have far more problem with EB-5 applications than others. I believe that is something that no one has actually truly spoken about a lot. EB5 Regional Center Program. There are high rates of inner denials in this program and completely factor

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Seventh, in this program visas go to people who could not obtain them differently and to people whose scheduled financial investment is actually less, according to the Federal Reserve, than the typical mean total assets of all American families in 2007. Let me expand on one of my observations.


My estimate based on the investors' eco-friendly card applications submitted 2 years after the initial financial investment-- these are the solid ones that stay and are approved. This is 2009-- was that they had concerning $191 million confirmed-- that is my quote. USCIS does not provide the sort of information that we can make use of on this.


For every $100 of increased foreign financial investment that year, the EB program contributed one penny. Under a a lot more wobbly analytical base, the preliminary applications of potential immigrant investors, USCIS is telling journalists that the level of 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 technique team.




Divine functioned as Chief Advise of the United States Citizenship and Immigration Providers from July 2004 till November 2006, the year in which he was Performing Supervisor, and afterwards Acting Replacement Supervisor. He has worked thoroughly with the EB-5 program in private technique. He was elected, as I comprehend, vice president of the Organization to Invest in United States, the national sector association of regional.


Divine, we site link are pleased to have you here. Please go in advance, sir. DECLARATION OF ROBERT C. DIVINE, LAWYER, BAKER, DONELSON, BEARMAN, CALDWELL, AND BERKOWITZ, P.C., CHATTANOOGA, TENNESSEE, AND VICE PRESIDENT, INVEST IN THE U.S.A. (IIUSA) Mr. Divine. Thanks, Mr. Chairman, Legislator Grassley, and others. Thank you for having me.


At a lot of, if all 10,000 slots were used, it would be 1 percent of the migration each year to the USA. It is not near that yet, yet it is growing and getting towards that. Especially as USCIS, the firm that manages the program, has actually been making the rules clearer and the procedures much more logical and clear for individuals who are arranging investments and for the capitalists who are redirected here spending, more people have agreed and able to place effort and money into the procedure to discover good jobs and develop them, and afterwards much more financiers have actually agreed to spend their money and take the danger and make use of the cash to develop the tasks 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 up the process - EB5 Regional Center Program. That does not indicate that they are unwinding their scrutiny, and, actually, they are all set to reject applications that are not certifying. And they do so, as was pointed out


The regional center part of the program is not. It belongs to an appropriations bill 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 needs to be done now and not nearer to the date of expiry in September.


The process takes a good while to develop a job and afterwards to obtain the capitalists approved. And they do not want their money moving with up until they have been approved. And the specter of the expiration of this Regional Center Program in September is already preventing the advancement of jobs.

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I would certainly such as to clarify that the Regional Facility Program is not the very same as the half-million-dollar thing. The concept of half a million or a million is Click This Link a feature of the regular EB-5 legislation that is component of the code. It just is a fact that many of the local facilities that are pooling financial investments have established those instead of high unemployment or in rural areas where half- million-dollar financial investments are allowed, and that makes good sense.