[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 616 Introduced in House (IH)]

114th CONGRESS
  1st Session
                                H. R. 616

To amend the Immigration and Nationality Act to provide for reforms to 
      the EB-5 immigrant investor program, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 28, 2015

 Mr. Polis (for himself and Mr. Amodei) introduced the following bill; 
          which was referred to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
To amend the Immigration and Nationality Act to provide for reforms to 
      the EB-5 immigrant investor program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``American Entrepreneurship and 
Investment Act of 2015''.

SEC. 2. THE EB-5 EMPLOYMENT-CREATION IMMIGRANT INVESTOR PROGRAM.

    (a) Reforming the EB-5 Immigrant Investor Program.--Section 
203(b)(5) of the Immigration and Nationality Act (8 U.S.C. 1153(b)(5)) 
is amended as follows:
            (1) Type of investment.--In subparagraph (A), by inserting 
        ``or similar entity'' after ``including a limited 
        partnership''.
            (2) Targeted employment area.--In subparagraph (B)--
                    (A) by amending clause (i) to read as follows:
                            ``(i) In general.--Not fewer than 5,000 of 
                        the visas made available under this paragraph 
                        in each fiscal year shall be reserved for 
                        qualified immigrants who invest in a new 
                        commercial enterprise described in subparagraph 
                        (A), which--
                                    ``(I) is investing such capital in 
                                a targeted employment area; and
                                    ``(II) will create employment in 
                                such targeted employment area.''; and
                    (B) by inserting after clause (iii) the following:
                            ``(iv) State determinations.--In a case in 
                        which a geographic area is determined under 
                        clause (ii) to be a targeted employment area by 
                        a delegated State agency, and such a 
                        determination has been made using acceptable 
                        data sources to include U.S. Census Bureau data 
                        (including data from the American Community 
                        Survey) and data from the Bureau of Labor 
                        Statistics (including data from the Local Area 
                        Unemployment Statistics), The Secretary of 
                        Homeland Security or her designee shall defer 
                        to a state's designation as conclusive.
                            ``(v) Effect of prior determination.--In a 
                        case in which an area is determined under 
                        clause (ii) to be a targeted employment area, 
                        such determination shall remain in effect 
                        during the 2-year period beginning on the date 
                        of the determination for purposes of an alien 
                        seeking a visa reserved under this 
                        subparagraph.''.
            (3) Permanent authorization of regional center program.--By 
        adding after subparagraph (D) the following:
                    ``(E) Employment creation regional centers.--
                            ``(i) In general.--Visas under this 
                        paragraph shall be made available to qualified 
                        immigrants who participate in a program 
                        involving a regional center in the United 
                        States, which has been designated by the 
                        Secretary of Homeland Security, in consultation 
                        with the Secretary of Commerce, on the basis of 
                        a general proposal, for the promotion of 
                        economic growth, including increased exports, 
                        improved regional productivity, job creation, 
                        and increased domestic capital investment. A 
                        regional center shall have jurisdiction over a 
                        specific geographic area, which shall be 
                        described in the proposal and consistent with 
                        the purpose of concentrating pooled investment 
                        in defined economic zones. The establishment of 
                        a regional center under this subparagraph may 
                        be based on general predictions, contained in 
                        the proposal, concerning--
                                    ``(I) the kinds of new commercial 
                                enterprises that will receive capital 
                                from aliens;
                                    ``(II) the jobs that will be 
                                created directly or indirectly as a 
                                result of such investments; and
                                    ``(III) other positive economic 
                                effects such investments will have.
                            ``(ii) Methodologies.--In determining 
                        compliance with this subparagraph, and 
                        notwithstanding requirements applicable to 
                        investors not involving regional centers, the 
                        Secretary of Homeland Security, in consultation 
                        with the Secretary of Commerce, shall recognize 
                        reasonable methodologies for determining the 
                        number of jobs created by a designated regional 
                        center, including such jobs that are estimated 
                        to have been created indirectly through 
                        revenues generated from increased exports, 
                        improved regional productivity, or increased 
                        domestic capital investment resulting from the 
                        regional center.
                            ``(iii) Special procedures.--
                                    ``(I) Preapproval of new commercial 
                                enterprises.--The Secretary of Homeland 
                                Security shall establish a preapproval 
                                procedure for commercial enterprises 
                                that--
                                            ``(aa) allows a regional 
                                        center or potential regional 
                                        center to apply to the 
                                        Secretary for preapproval of a 
                                        new commercial enterprise 
                                        before any alien files a 
                                        petition for classification 
                                        under this paragraph by reason 
                                        of investment in the new 
                                        commercial enterprise;
                                            ``(bb) in considering an 
                                        application under subclause 
                                        (I)--

                                                    ``(AA) allows the 
                                                applicant to address 
                                                and cure any 
                                                deficiencies identified 
                                                by the Secretary in the 
                                                application prior to 
                                                final determination on 
                                                the application; and

                                                    ``(BB) requires 
                                                that the Secretary make 
                                                final decisions on all 
                                                issues under this 
                                                paragraph other than 
                                                those issues unique to 
                                                each individual 
                                                investor in the new 
                                                commercial enterprise; 
                                                and

                                            ``(cc) requires that the 
                                        Secretary eliminate the need 
                                        for the repeated submission of 
                                        documentation that is common to 
                                        multiple petitions for 
                                        classification under this 
                                        paragraph through a regional 
                                        center.
                                    ``(II) Deference to prior 
                                rulings.--Except in the case of 
                                material change, fraud, or legal 
                                deficiency, the Secretary of Homeland 
                                Security shall give deference to, and 
                                not revisit, favorable determinations 
                                made pertaining to a commercial 
                                enterprise during the adjudication of--
                                            ``(aa) petitions filed by 
                                        immigrants investing in the 
                                        commercial enterprise under 
                                        this subparagraph; or
                                            ``(bb) petitions filed by 
                                        such immigrants under section 
                                        216A for removal of conditional 
                                        basis.
                            ``(iv) Processing times.--The Secretary of 
                        Homeland Security shall make determinations on 
                        a proposal under clause (i) or an application 
                        under clause (iii) not later than 180 days 
                        after the date on which the proposal or 
                        application is filed. In the event that 
                        additional information or documentation is 
                        requested by the Secretary, the Secretary shall 
                        adjudicate the proposal or application not 
                        later than 30 days after the receipt of such 
                        information or documentation. The filing party 
                        shall be notified in writing within 30 days of 
                        the date of filing if the filing does not meet 
                        the standards for approval. If the filing does 
                        not meet such standards, the notice shall 
                        include the reasons therefore and the Secretary 
                        shall provide an opportunity for the prompt 
                        resubmission of a modified filing.''.
            (4) Preventing fraud in the regional center program.--In 
        subparagraph (E) (as added by paragraph (5)), by inserting 
        after clause (iii) the following:
                            ``(v) Bona fides of regional center 
                        principals.--No person may serve as an owner, 
                        director or officer of a regional center, or 
                        hold other positions of substantive authority 
                        for the operations, management or promotion of 
                        a regional center, if the Secretary of Homeland 
                        Security determines based on substantial 
                        evidence that the person--
                                    ``(I) has been found liable within 
                                the previous 5 years for any criminal 
                                or civil violation of any law relating 
                                to fraud or deceit;
                                    ``(II) has been found liable at any 
                                time for any such criminal or civil 
                                violation if such violation involved--
                                            ``(aa) a criminal 
                                        conviction with a term of 
                                        imprisonment of at least 1 
                                        year; or
                                            ``(bb) any law or agency 
                                        regulation in connection with 
                                        the purchase or sale of a 
                                        security; or
                                    ``(III) is engaged in, has ever 
                                been engaged in, or seeks to engage in 
                                any--
                                            ``(aa) terrorist activity 
                                        (as defined in clauses (iii) 
                                        and (iv) of section 
                                        212(a)(3)(B));
                                            ``(bb) activity relating to 
                                        espionage or sabotage;
                                            ``(cc) illicit trafficking 
                                        in any controlled substance;
                                            ``(dd) activity related to 
                                        money laundering (as described 
                                        in section 1956 or 1957 of 
                                        title 18, United States Code);
                                            ``(ee) violation of any 
                                        statute, regulation or 
                                        Executive order regarding 
                                        foreign financial transactions 
                                        or foreign asset control; or
                                            ``(ff) human trafficking or 
                                        any other human rights offense.
                        The Secretary of Homeland Security shall 
                        require such attestations and information 
                        (including fingerprints) and shall perform such 
                        background checks as the Secretary in the 
                        Secretary's discretion considers appropriate to 
                        determine whether a regional center is in 
                        compliance with this clause. The Secretary may 
                        terminate any regional center from the program 
                        under this section if the Secretary determines 
                        that the regional center is in violation of 
                        this clause, the regional center fails to 
                        provide such attestations and information 
                        requested by the Secretary under this clause, 
                        or the regional center or any person described 
                        in this clause is engaged in fraud, 
                        misrepresentation, criminal misuse, or threats 
                        to national security. The Secretary shall 
                        provide for procedures for the appeal and 
                        review of such a termination, and any 
                        determinations pertaining to such termination 
                        shall be subject to review under chapter 7 of 
                        title 5, United States Code.
                            ``(vi) Fee for regional center 
                        designation.--In addition to any other fees 
                        authorized by law, the Secretary of Homeland 
                        Security shall impose--
                                    ``(I) a fee to apply for 
                                designation as a regional center under 
                                this subparagraph; and
                                    ``(II) a fee for preapproval of a 
                                new commercial enterprise as provided 
                                under clause (iii)(I).''.
            (5) EB-5 petitions.--By adding after subparagraph (E) (as 
        amended by paragraph (6)) the following:
                    ``(F) EB-5 petitions.--
                            ``(i) Processing times.--The Secretary of 
                        Homeland Security shall adjudicate a petition 
                        filed pursuant to this paragraph not later than 
                        180 days after the date on which the petition 
                        is filed. In the event that additional 
                        information or documentation is requested by 
                        the Secretary, the Secretary shall adjudicate 
                        the petition not later than 30 days after the 
                        receipt of such information or documentation. 
                        The filing party shall be notified in writing 
                        within 30 days of the date of filing if the 
                        filing does not meet the standards for 
                        approval. If the filing does not meet such 
                        standards, the notice shall include the reasons 
                        therefore and the Secretary shall provide an 
                        opportunity for the prompt resubmission of a 
                        modified filing.
                            ``(ii) Fraud.--The Secretary of Homeland 
                        Security, in consultation with the Commissioner 
                        of the Securities and Exchange Commission, 
                        shall develop a strategy to review securities-
                        related materials included in any immigration 
                        petition under this paragraph, or a petition 
                        under section 216A for removal of conditional 
                        basis, when there is evidence of fraud.''.
    (b) Conforming Amendment.--Section 610 of the Departments of 
Commerce, Justice, and State, the Judiciary, and Related Agencies 
Appropriations Act, 1993 (8 U.S.C. 1153 note) is repealed.

SEC. 3. EB-5 VISA REFORMS.

    (a) Aliens Not Subject to Direct Numerical Limitation.--Section 
201(b)(1) of the Immigration and Nationality Act (8 U.S.C. 1151(b)(1)) 
is amended by adding at the end the following:
                    ``(P) Aliens who are the spouse or a child of an 
                alien admitted as an employment-based immigrant under 
                section 203(b)(5).''.
    (b) Age Determination for Children of Alien Investors.--Section 
203(h) of the Immigration and Nationality Act (8 U.S.C. 1153(h)) is 
amended by adding at the end the following:
            ``(5) Age determination for children of alien investors.--
        An alien admitted under subsection (d) as a lawful permanent 
        resident on a conditional basis as the child of an alien 
        lawfully admitted for permanent residence under subsection 
        (b)(5), whose lawful permanent resident status on a conditional 
        basis is terminated under section 216A, shall continue to be 
        considered a child of the principal alien for the purpose of a 
        subsequent immigrant petition by such alien under subsection 
        (b)(5) if the alien remains unmarried and the subsequent 
        petition is filed by the principal alien not later than 1 year 
        after the termination of conditional lawful permanent resident 
        status. No alien shall be considered a child under this 
        paragraph with respect to more than 1 petition filed after the 
        alien's 21st birthday.''.
    (c) Enhanced Pay Scale for Certain Federal Employees Administering 
the EB-5 Program.--The Secretary may establish, fix the compensation 
of, and appoint individuals to, designated critical administrative, 
technical, and professional positions needed to administer sections 
203(b)(5) and 216A of the Immigration and Nationality Act (8 U.S.C. 
1153(b)(5) and 1186b).
    (d) Delegation of Certain EB-5 Authority.--
            (1) In general.--The Secretary of Homeland Security may 
        delegate to the Secretary of Commerce authority and 
        responsibility for determinations under sections 203(b)(5) and 
        216A (with respect to alien entrepreneurs) of the Immigration 
        and Nationality Act (8 U.S.C. 1153(b)(5) and 1186a), including 
        determining whether an alien has met employment creation 
        requirements.
            (2) Regulations.--The Secretary of Homeland Security and 
        the Secretary of Commerce may each adopt such rules and 
        regulations as are necessary to carry out the delegation 
        authorized under paragraph (1), including regulations governing 
        the eligibility criteria for obtaining benefits pursuant to the 
        amendments made by this section.
            (3) Use of fees.--Adjudication fees described in section 
        286(m) of the Immigration and Nationality Act (8 U.S.C. 
        1356(m)) shall remain available until expended to reimburse the 
        Secretary of Commerce for the costs of any determinations made 
        by the Secretary of Commerce under paragraph (1).
    (e) Concurrent Filing of EB-5 Petitions and Applications for 
Adjustment of Status.--Section 245 (8 U.S.C. 1255) of the Immigration 
and Nationality Act is amended--
            (1) in subsection (k), in the matter preceding paragraph 
        (1), by striking ``or (3)'' and inserting ``(3), or (5)''; and
            (2) by adding at the end the following:
    ``(n) At the time a petition is filed for classification under 
section 203(b)(5), if the approval of such petition would make a visa 
immediately available to the alien beneficiary, the alien beneficiary's 
application for adjustment of status under this section shall be 
considered to be properly filed whether the application is submitted 
concurrently with, or subsequent to, the visa petition.''.
    (f) Technical Amendment.--Section 203(b)(5) of the Immigration and 
Nationality Act (8 U.S.C. 1153(b)(5)), as amended by this Act, is 
further amended by striking ``Attorney General'' each place it appears 
and inserting ``Secretary of Homeland Security''.

SEC. 4. NUMERICAL LIMITATIONS ON INDIVIDUAL FOREIGN STATES.

    (a) Numerical Limitation to Any Single Foreign State.--Section 
202(a)(2) of the Immigration and Nationality Act (8 U.S.C. 1152(a)(2)) 
is amended--
            (1) in the paragraph heading, by striking ``and employment- 
        based'';
            (2) by striking ``(3), (4), and (5),'' and inserting ``(3) 
        and (4),'';
            (3) by striking ``subsections (a) and (b) of section 203'' 
        and inserting ``section 203(a)'';
            (4) by striking ``7'' and inserting ``15''; and
            (5) by striking ``such subsections'' and inserting ``such 
        section''.
    (b) Conforming Amendments.--Section 202 of the Immigration and 
Nationality Act (8 U.S.C. 1152) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (3), by striking ``both 
                subsections (a) and (b) of section 203'' and inserting 
                ``section 203(a)''; and
                    (B) by striking paragraph (5); and
            (2) by amending subsection (e) to read as follows:
    ``(e) Special Rules for Countries at Ceiling.--If it is determined 
that the total number of immigrant visas made available under section 
202(a) to natives of any single foreign state or dependent area will 
exceed the numerical limitation specified in subsection (a)(2) in any 
fiscal year, in determining the allotment of immigrant visa numbers to 
natives under section 203(a), visa numbers with respect to natives of 
that state or area shall be allocated (to the extent practicable and 
otherwise consistent with this section and section 203) in a manner so 
that, except as provided in subsection (a)(4), the proportion of the 
visa numbers made available under each of paragraphs (1) through (4) of 
section 203(a) is equal to the ratio of the total number of visas made 
available under the respective paragraph to the total number of visas 
made available under section 203(a).''.
    (c) Country-Specific Offset.--Section 2 of the Chinese Student 
Protection Act of 1992 (8 U.S.C. 1255 note) is amended--
            (1) in subsection (a), by striking ``subsection (e))'' and 
        inserting ``subsection (d))''; and
            (2) by striking subsection (d) and redesignating subsection 
        (e) as subsection (d).
    (d) Effective Date.--The amendments made by this section shall take 
effect 1 year after the date of the enactment of this Act.

SEC. 5. APPLICABILITY OF FOREIGN CORRUPT PRACTICES ACT.

    The Foreign Corrupt Practices Act (15 U.S.C. 78a et seq.) shall 
apply to any petition under section 203(b)(5).

SEC. 6. REGULATIONS.

    Not later than 180 days after the effective date of this subtitle, 
the Secretary of Homeland Security shall make rules to carry out this 
Act and the amendments made by this Act.

SEC. 7. CONSULTATION WITH SECRETARY OF COMMERCE.

    The Secretary of Homeland Security may consult with the Secretary 
of Commerce in carrying out this Act and the amendments made by this 
Act.

SEC. 8. EFFECTIVE DATE.

    This Act and the amendments made by this Act shall take effect 
beginning on the date that is 6 months after the date of enactment of 
this Act.
                                 <all>