GREAT NEWS!!!
EB-5 Regional Center Program Reauthorized for Five Years!
U.S. Congress has voted to approve the legislation, The EB-5 Reform and Integrity Act of 2022, and now waiting for President Biden’s signature before March 14, 2022. (Full Bill)
For EB-5 investors and EB-5 Regional Center Projects, as well as Direct Projects, please note the following important aspects:
EB-5 Regional Center Program was reauthorized for five years through September 30, 2027.
Most importantly, the Regional Center Program Reauthorization will become Effective 60 days after enactment (possibly March 14, 2022).
Concurrent filing of I-526 and I-485 Application for Residency – Wonderful News
Open now to interpretation is the ability of the EB-5 investor filing a new I-526 petition and concurrently, at the same time, if they are maintaining legal nonimmigrant status in the US, to be able to file their own I-485 Application for Adjustment of Status to Conditional Permanent Residency (CPR), as well as allowing their spouse and minor children under 21 to also file their Applications for Conditional Permanent Residency, Employment Authorization, and Permission to Travel in and out of the US until a decision is made by USCIS on the I-526 petition and their Applications for Conditional Permanent Residency.
As of the date of this notice or announcement, we are not sure as to whether this proposed new concurrent process will apply to the existing investors who have already filed their I-526 petitions.
As soon as we receive clarification, we will provide notice and advise accordingly.
Grandfathering of existing I-526 Petitions and Applications for CPR
There is a relief for past investors who had filed their I-526 Petitions and Applications for Conditional Permanent Residency, before the lapse of the EB-5 Regional Center Program on June 30, 2021. Their Petitions and Applications will now be able to be processed, hopefully without delay.
The new EB-5 Regional Center Program includes languages to protect new EB-5 investors by grandfathering those Petitions filed before September 30, 2026.
New Investment Amounts
TEA and Rural and Infrastructure projects will be USD $800,000.00
The NON-TEA investment will be USD $1,050,000.00
TEA designations are active for two years and can be renewed for two-year periods.
Employment Creation
EB-5 Regional Center Projects can now count indirect and direct positions for the required job creation.
Exemplar Approval
For the EB-5 Regional Center Projects, the requirement is that they must file an I-924 Project Exemplar before the first I-526 petition is filed.
Interpretation: To date, the I-924 exemplar does not need to be approved before the I-526 Petition is filed.
Protection for Investors
Integrity provisions to protect EB-5 investors will now include mandatory site visits, audits, fund administration, and stricter regulations as to who may participate in the ownership and/or management of a Regional Center.
Advantages for EB-5 Regional Center Projects and Investors
The new legislation clarifies redeployment requirements and provides flexibility as to the location of the redeployment investments.
Lawful Source of Funds – NEW
For the EB-5 investors, the new legislation now requires the authentication of the lawful source of funds not only to cover the actual capital investment but also administrative fees, other fees, USCIS government filing fees, associated with the investment.
Moving Forward
NOW is the time for EB-5 investors to confirm their intent to move forward, invest, and obtain US Permanent Residency.
NOW is the time for potential EB-5 projects to confirm that they intend to move forward and have their projects become EB-5 Regional Center Projects or EB-5 Direct Projects.
Existing and potential investors and existing Direct and EB-5 Regional Center Projects should contact our law office immediately for consultation, direction, and clarification.
The Future: POSITIVE
The EB-5 reauthorization for Regional Centers and new requirements for the EB-5 Program as a whole provides predictability and viability for the investors and EB-5 projects as a whole and is welcomed by the EB-5 industry.