ABSTRACT

EB-5 Immigrant Investor Regional Center Program [June 8, 2021]   [open pdf - 550KB]

From the Document: "The EB-5 Regional Center Program (RCP) allows foreign national investors to qualify for lawful permanent resident (LPR) status in exchange for foreign capital investment and job creation in specified geographic areas in the United States. The RCP is part of the EB-5 (fifth employment-based preference category) Immigrant Investor Program, established by Congress in 1990. [...] Since 2015, the RCP has been re-authorized on short-term bases of less than one year. Those reauthorizations typically had been included in consolidated appropriations bills. Most recently, P.L. [Public Law] 116-260, enacted in December 2020, extended the program through June 30, 2021. If Congress seeks to reauthorize the RCP prior to its June 30, 2021, sunset date, it would apparently do so separately from the annual appropriations process. A lapse in funding would likely put a pause on application processing for RCP investors and on regional center designations. [...] Since their establishment, EB-5 and the RCP have been subject to controversy. Some Members of Congress have expressed concerns over instances of fraud and abuse in the RCP and the EB-5 program--some have sought to reform the program, and others to eliminate it. The RCP has been scrutinized for TEA [targeted employment area] investments funding projects, such as luxury real estate, in affluent urban areas. The previously mentioned 2019 federal regulation implemented changes that addressed some concerns, including changes to the TEA designation process intended to avoid gerrymandering. In recent years, bipartisan measures have been introduced that would pair RCP extensions with reforms to address fraud and security concerns."

Report Number:
CRS In Focus, IF11848
Author:
Publisher:
Date:
2021-06-08
Copyright:
Public Domain
Retrieved From:
Congressional Research Service: https://crsreports.congress.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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