The EB-5 Reform and Integrity Act of 2022 (“RIA”) was passed by Congress and signed by President Joseph Biden on March 15, 2022. It was a welcome Congressional update to the Employment Based Fifth Preference (“EB-5”) immigrant visa category and reauthorization of the Regional Center Program (“Program”) provisions of the original EB-5 legislation. The RIA included many changes to the EB-5 immigrant visa category.
Most importantly for past investors is that the RIA reauthorized the Regional Center Program and allowed all those investors who had previously filed an I-526 Petition before the Program lapsed at the end of June 2021 to continue with their journey to obtain Lawful Permanent Residence and green cards.
The RIA was very comprehensive and covered a wide range of changes to the Program. The primary features of the RIA include:
In this series of articles, we will explain every aspect of the RIA and how it may impact foreign nationals that are considering making an investment into the U.S. to obtain Lawful Permanent Residence for themselves and their qualifying family members via the EB-5 visa category.
The Increased Investment Amounts section of the EB-5 Reform and Integrity Act of 2022 (“RIA”) raises the minimum investment thresholds to adjust for inflation and ensure the continued effectiveness of the program in promoting economic growth and job creation in the United States.
Under the updated rules, the standard investment amount required for the EB-5 program has increased from $1 million to $1.05 million. For investments in Targeted Employment Areas (TEAs), which include rural areas or those with high unemployment, the minimum investment rises from $500,000 to $800,000. The original investment amounts had not been increased since the EB-5 program was created in 1990.
These changes are intended to maintain the program’s ability to generate substantial capital for U.S. businesses and encourage investment in areas that need economic development. The increase in the minimum investment ensures that the program continues to meet its goal of creating jobs and stimulating growth in underdeveloped regions. By raising the investment levels, the RIA aims to make the program more effective and relevant to today’s economic conditions while continuing to attract foreign investment to the United States.
The Reauthorization and Stability section of the EB-5 Reform and Integrity Act of 2022 (“RIA”) focuses on the continuation and enhancement of the EB-5 Regional Center Program, which had previously lapsed in 2021. The Regional Center Program is a part of the EB-5 Immigrant Investor Program passed by the U.S. Congress in 1990. It allows foreign investors to qualify for U.S. permanent residency by making qualifying investments in designated regional centers sponsored businesses and projects that create jobs for U.S. workers.
The Regional Center Program had always been a “pilot” or temporary program. The reauthorization extended the Regional Center Program for five years, providing stability and predictability for both investors and businesses participating in the program. In addition, the Act introduces new safeguards to enhance oversight and ensure compliance with federal regulations. This includes stricter requirements for Regional Centers, such as increased transparency through regular reporting, regular audits, and improved tracking of investments and job creation. The RIA also mandates the creation of a database to monitor Regional Center compliance and the performance of EB-5 projects.
These measures are designed to restore confidence in the program, prevent fraud, and maintain the program integrity, which is essential for attracting future foreign investment to support U.S. job growth and economic development.
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The Reauthorization and Stability section of the EB-5 Reform and Integrity Act of 2022 (“RIA”) focuses on the continuation and enhancement of the EB-5 Regional Center Program, which had previously lapsed in 2021. The Regional Center Program is a part of the EB-5 Immigrant Investor Program passed by the U.S.
The Increased Investment Amounts section of the EB-5 Reform and Integrity Act of 2022 (“RIA”) raises the minimum investment thresholds to adjust for inflation and ensure the continued effectiveness of the program in promoting economic growth and job creation in the United States. Under the updated rules, the standard investment
The EB-5 Reform and Integrity Act of 2022 (“RIA”) made significant changes to the U.S. EB-5 Immigrant Investor Program. This program enables international investors and their immediate family members to apply for U.S. Permanent Residency and obtain “green cards” by making a significant investment in a U.S. company and creating
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