July 26, 2019
USCIS to Publish Final Rule on July 24, 2019 to Revise EB-5 Program
USCIS announced that it will be publishing a long-anticipated final rule to update the EB-5 program on July 24, 2019. Importantly, the rule will not be effective until November 21, 2019. According to USCIS, this will be the first significant revision of the EB-5 program since 1993.
Key changes under the final rule include:
· Raising the minimum investment amounts – Once the rule becomes effective, the minimum investment amount will increase to $1.8 million. Likewise, investments in Targeted Employment Areas (TEAs), including “Regional Centers” will increase to $900,000.
· Adjust minimum investment amount every 5 years – Another critical change is that the minimum investment amounts will be automatically adjusted for inflation every five years.
· Change the designation process for TEAs – Previously, states were responsible for designating geographic and political subdivisions as high-unemployment areas. When the final rule becomes effective, states will no longer be able to do so. Instead, the Department of Homeland Security will be tasked with designating TEAs.
· Clarify the removal of conditions process for some family members – The final rule requires that dependent family members who do not file to remove conditions with the investor must each file a separate and independent application to remove the conditions on their permanent resident status.
· Retention of priority dates for EB-5 investors – Under the final rule, EB-5 investors will be able to retain the priority date from their previously approved petition if they file a new EB-5 petition. Petitions that were approved based on fraud, misrepresentation, or error will not be eligible for priority date retention.
The final rule will be published in the Federal Register on July 24, 2019 and will go into effect on November 21, 2019. If you have questions about how the final rule could impact your petition or investment options, please contact our office today.