Jul 27 2019 11:28:01 PM
After two and half years of waiting, OMB (U.S. Office of Management and Budget) introduced rules for Modernization Regulation RIN-1615AC07, which was sent for production a few days prior. Everyone in the EB-5 industry considered, why it has been such a long time for the rule to become public, but no more waiting, as the final rule changes for the EB-5 program, are made public by the Department of Homeland Security (DHS). Officially, the changes will be published on 24th July 2019.
New Publication Impacts
Investors and Regional Centers should be aware of the following highlights
-Changes go live as of November 21, 2019
-It is possible to make an investment with an existing minimum amount if an investor can make a successful filling before November 21, 2019
-The minimum investment amount will rise to $900,000 for the Targeted Employment Area (TEA) and $1,800,000 for the non-targeted Employment Area (TEA).
-TEA designation can not be created by the states. USCIS can have the authority to designate an area as TEA
-TEA designation is anticipated to become a lot more restrictive, thus impacting various Regional Centers
-USCIS is to make a new determination every 5-years, starting October 2, 2024, whether the investment amount should increase further
-Amendments or supplements created to offer documents that are necessary (in order to remain compliant with securities laws or with different new regulations) won’t in themselves result in a denial or revocation of an EB-5 petition, as long as the petition meets all different requirements.
If AN investor has multiple approved I-526 petitions, that investor will retain the sooner priority date, therefore avoiding the extra processing time
Serious investors are urged to act quickly. Some Regional Centers that can not have factored in the potential changes might face problems with compliance with the new laws.
NOTE: The EB-5 program is about to expire on Sept 30, 2019. whereas Congress and stakeholders are diligently acting on reauthorization, the deadline may be extended. If such an associate extension happens, the rule published these days might never go. Only Congress will enact all of the reforms necessary to modernize EB-5. The published changes don’t address the abundant anticipated:
-Fraud and national security measures that were extremely anticipated
-the urban and rural “distressed visa†allotment
-The anticipated “Opportunity Zone†designations in urban areas
As of now, the date for the implementation of the new rules is Nov 21, 2019. Please consult XIPHIAS Immigration with any specific queries you will have.
