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The program is positioned in a very weird and non-helpful administrative place for the excitement of international investment in the United States. We are giving away too much for too small of a financial investment.


The local centers, with their half-million plans, basically undercut the more sensible million-dollar component of the EB-5 program. Third, such programs, if we have them in any way, as they do in Australia, need to have to do with producing company entities, not easy financial investments. It ought to have to do with developing genuine jobs, not elaborate estimations regarding the indirect creation of work, which is now component of the regulations.


Possibly that is just one of the reasons why it has actually stopped working time after time to reach the legal objective of 10,000 investment visas. Fifth, the Regional Center Program is inherently awkward, and the program is as well loaded with middlemen, both public and exclusive. The program has more than its share of detractions, which I will get involved in later if anyone is interested.


This is a company that likes to state yes to applicants, but as the table in my statement reveals, USCIS officers have far more trouble with EB-5 applications than others. I believe that is something that nobody has actually really discussed much. EB5 Regional Center Program. There are high prices of inner denials in this program and forever reason

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Seventh, in this program visas most likely to people who could not get them differently and to people whose organized financial investment is actually less, according to the Federal Reserve, than the average mean net well worth of all American families in 2007. Allow me increase on one of my monitorings.


My estimate based on the capitalists' eco-friendly card applications submitted 2 years after the very first financial investment-- these are the strong ones that continue to be and are accepted. 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 can utilize on this.


For every $100 of raised foreign financial investment that year, the EB program added one cent. Under a far more wobbly statistical base, the initial applications of potential immigrant investors, USCIS is informing journalists 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 firm's immigration practice group.




Divine acted as Principal Counsel of the USA Citizenship and Immigration Services from July 2004 till November 2006, the year in which he was Performing Director, and then Performing Replacement Supervisor. He has worked thoroughly with the EB-5 program secretive technique. He was elected, as I recognize, vice president of the Association to Invest in United States, the national industry association of regional centers.


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


At many, 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, however it is growing and getting towards that. Particularly as USCIS, the agency that manages the program, has been making the policies more clear and the procedures a lot more sensible and clear for the people who are organizing investments and for the capitalists who are investing, even more people have wanted and able to place effort and cash right into the procedure to find great tasks and develop them, and afterwards extra investors have actually been eager to invest their money and take the danger and make use of the cash to create the tasks that is the factor of the program.

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These projects do not wait around for life, and USCIS recognizes that and are attempting to speed up the program, speed the process - EB5 Regional Center Program. That does not mean that they are relaxing their scrutiny, and, in truth, they prepare to refute applications that are not certifying. And they do so, as was pointed out


The regional center component of the program is not. It becomes part of an appropriations bill that was established in 1992, and ever since that program has been expanded 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 day of expiry in September.


The process takes a great while to function up a project and then to obtain the financiers accepted. And they do not want their cash streaming through till they have EB5 Regional Center Program been authorized. And the specter of the expiration of this Regional Center Program in September is currently discouraging the growth of tasks.

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I want to make clear that the Regional Facility Program is not the like the half-million-dollar thing. The idea of half a million or a million is a function of the regular EB-5 law that is component of the code. It simply is a truth that the majority of the local facilities that are pooling financial investments have established those instead of high joblessness or in backwoods where fifty percent- million-dollar investments are allowed, which makes good sense.