[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[S. 727 Introduced in Senate (IS)]

<DOC>






115th CONGRESS
  1st Session
                                 S. 727

 To increase the worldwide level of employment-based immigrants and to 
             reauthorize the EB-5 regional center program.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 27, 2017

   Mr. Paul introduced the following bill; which was read twice and 
               referred to the Committee on the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To increase the worldwide level of employment-based immigrants and to 
             reauthorize the EB-5 regional center program.

    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 ``Invest in Our Communities Act''.

SEC. 2. EXEMPTION OF DEPENDENTS FROM BEING COUNTED TOWARDS WORLDWIDE 
              EMPLOYMENT-BASED IMMIGRATION LEVEL.

    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:
            ``(F) Aliens who are spouses or children of an alien 
        admitted as an employment-based immigrant under section 
        203(b)(5).''.

SEC. 3. WORLDWIDE LEVEL OF EMPLOYMENT-BASED IMMIGRANTS.

    Section 201(d) of the Immigration and Nationality Act (8 U.S.C. 
1151(d)) is amended to read as follows:
    ``(d) Worldwide Level of Employment-Based Immigrants.--
            ``(1) In general.--The worldwide level of employment-based 
        immigrants under this subsection for a fiscal year is equal to 
        the sum of--
                    ``(A) 150,000; and
                    ``(B) the number computed under paragraph (2).
            ``(2) Adjustment.--The number computed under this paragraph 
        for fiscal year 2017 and each subsequent fiscal year is the 
        difference (if any) between--
                    ``(A) the maximum number of visas authorized to be 
                issued under section 203(a) during the previous fiscal 
                year; and
                    ``(B) the number of visas issued under that section 
                during that year.''.

SEC. 4. EXCLUSION OF EB-5 VISAS FROM COUNTRY CAPS.

    Section 202(a)(5) of the Immigration and Nationality Act (8 U.S.C. 
1152(a)(5)) is amended by adding at the end the following:
                    ``(C) Exclusion of eb-5 visas from per country 
                limitation.--Visas issued under section 203(b)(5) shall 
                not be counted toward the numerical limitation under 
                paragraph (2).''.

SEC. 5. PERMANENT REAUTHORIZATION OF EMPLOYMENT CREATION REGIONAL 
              CENTERS.

    Section 203(b)(5) of the Immigration and Nationality Act (8 U.S.C. 
1153(b)(5)) is amended--
            (1) by redesignating subparagraph (D) as subparagraph (H); 
        and
            (2) by inserting after subparagraph (C) the following:
                    ``(D) 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 filed with the Secretary of 
                        Homeland Security, for the promotion of 
                        economic growth, including--
                                    ``(I) increased exports;
                                    ``(II) improved regional 
                                productivity;
                                    ``(III) job creation; and
                                    ``(IV) increased domestic capital 
                                investment.
                            ``(ii) Jurisdiction.--A regional center 
                        shall have jurisdiction over a specific 
                        geographic area, which shall be--
                                    ``(I) described in the proposal 
                                filed under clause (i); and
                                    ``(II) consistent with the purpose 
                                of concentrating pooled investment in 
                                defined economic zones.
                            ``(iii) General predictions.--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.
                            ``(iv) Methodologies for determining job 
                        creation.--Notwithstanding requirements 
                        applicable to investors not involved in a 
                        regional center, in determining compliance with 
                        this subparagraph, the Secretary of Homeland 
                        Security shall recognize reasonable 
                        methodologies for determining the number of 
                        jobs created by a designated regional center, 
                        including jobs that are estimated to have been 
                        created indirectly through revenues generated 
                        from--
                                    ``(I) increased exports;
                                    ``(II) improved regional 
                                productivity; or
                                    ``(III) increased domestic capital 
                                investment resulting from the regional 
                                center.
                            ``(v) Special procedures.--
                                    ``(I) Preapproval of new commercial 
                                enterprises.--The Secretary of Homeland 
                                Security shall establish a preapproval 
                                procedure for new 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) allows the applicant 
                                        to address and cure any 
                                        deficiencies identified by the 
                                        Secretary in the application 
                                        before a final determination on 
                                        the application;
                                            ``(cc) 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
                                            ``(dd) 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.--Absent 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; and
                                            ``(bb) petitions filed by 
                                        such immigrants under section 
                                        216A for the removal of 
                                        conditional basis.
                            ``(vi) Processing times.--
                                    ``(I) In general.--The Secretary of 
                                Homeland Security shall make 
                                determinations on a proposal filed 
                                under clause (i) or an application 
                                filed under clause (v) not later than 
                                180 days after the date on which the 
                                proposal or application is filed.
                                    ``(II) Additional information.--If 
                                the Secretary determines that an 
                                initial filing under this section does 
                                not meet the standards for approval, 
                                the Secretary shall--
                                            ``(aa) not later than 30 
                                        days after the date of such 
                                        filing, notify the applicant of 
                                        the reasons such proposal or 
                                        application was not approved 
                                        and the additional information 
                                        or documentation that is 
                                        required for approval;
                                            ``(bb) permit the applicant 
                                        to promptly resubmit a modified 
                                        filing; and
                                            ``(cc) adjudicate the 
                                        modified proposal or 
                                        application not later than 30 
                                        days after it is received.''.

SEC. 6. SECURITY REFORMS.

    Section 203(b)(5) of the Immigration and Nationality Act (8 U.S.C. 
1153(b)(5)) is amended by inserting after subparagraph (D), as added by 
section 5, the following:
                    ``(E) Appellate rights.--
                            ``(i) In general.--Any person subject to 
                        the suspension or termination of rights under 
                        this paragraph, if such decision was under the 
                        discretion of the Secretary of Homeland 
                        Security, may appeal such decision and be 
                        entitled to a hearing before an administrative 
                        law judge.
                            ``(ii) Appellant's rights.--An appellant 
                        under this subparagraph has the right--
                                    ``(I) to access the facts and 
                                documentation underlying the 
                                allegations that are the basis of the 
                                suspension or termination referred to 
                                in clause (i); and
                                    ``(II) to cross-examine witnesses 
                                during proceedings.
                            ``(iii) Burden of proof.--In a hearing 
                        under this subparagraph, the Secretary has the 
                        burden to prove, by a preponderance of the 
                        evidence, that the suspension or termination 
                        was valid under applicable law.
                            ``(iv) Finality.--A determination of the 
                        administrative law judge in an appeal under 
                        this subparagraph shall be final and may not be 
                        subject to judicial review.''.

SEC. 7. REGIONAL CENTERS.

    (a) In General.--Section 203(b)(5) of the Immigration and 
Nationality Act (8 U.S.C. 1153(b)(5)), as amended by sections 5 and 6, 
is further amended by inserting after subparagraph (E) the following:
                    ``(F) Bona fides of persons associated with 
                regional centers or regional center associated 
                commercial enterprises.--
                            ``(i) In general.--No person shall be 
                        permitted by any regional center or regional 
                        center associated commercial enterprise to be 
                        directly or indirectly involved with the 
                        regional center or commercial enterprise as its 
                        principal, representative, administrator, 
                        owner, officer, board member, manager, 
                        executive, general partner, fiduciary, 
                        marketer, promoter, or other similar position 
                        of substantive authority for the operations, 
                        management, or promotion of the regional center 
                        or commercial enterprise if--
                                    ``(I) the person has been found 
                                liable within the previous five years 
                                for any criminal or civil violation of 
                                any law relating to fraud or deceit, or 
                                at any time if such violation involved 
                                a civil liability in excess of 
                                $1,000,000, a criminal conviction with 
                                a term of imprisonment of more than one 
                                year or a criminal or civil violation 
                                of any law or agency regulation in 
                                connection with the offer, purchase, or 
                                sale of a security;
                                    ``(II) the person is subject to a 
                                final order of a State securities 
                                commission (or an agency or officer of 
                                a State who performs similar 
                                functions), a State authority that 
                                supervises or examines banks, savings 
                                associations, or credit unions, a State 
                                insurance commission (or an agency of 
                                or officer of a State who performs 
                                similar functions), an appropriate 
                                Federal banking agency, the Commodity 
                                Futures Trading Commission, or the 
                                National Credit Union Administration, 
                                which is based on a violation of any 
                                law or regulation that--
                                            ``(aa) prohibits 
                                        fraudulent, manipulative, or 
                                        deceptive conduct; or
                                            ``(bb) bars the person 
                                        from--

                                                    ``(AA) association 
                                                with an entity 
                                                regulated by such 
                                                commission, authority, 
                                                agency, or officer;

                                                    ``(BB) engaging in 
                                                the business of 
                                                securities, insurance, 
                                                or banking; or

                                                    ``(CC) engaging in 
                                                savings association or 
                                                credit union 
                                                activities;

                                    ``(III) the person has been 
                                convicted of--
                                            ``(aa) any activity 
                                        relating to espionage, 
                                        sabotage, or theft of 
                                        intellectual property;
                                            ``(bb) any activity related 
                                        to money laundering (as 
                                        described in section 1956 or 
                                        1957 of title 18, United States 
                                        Code);
                                            ``(cc) any terrorist 
                                        activity (as defined in clauses 
                                        (iii) and (iv) of section 
                                        212(a)(3)(B)); or
                                            ``(dd) any activity related 
                                        to human trafficking or a human 
                                        rights offense; or
                                    ``(IV) the person--
                                            ``(aa) is, or during the 
                                        preceding 5 years has been, 
                                        included on the Department of 
                                        Justice's List of Currently 
                                        Disciplined Practitioners; or
                                            ``(bb) during the preceding 
                                        5 years, has received a 
                                        reprimand or otherwise been 
                                        publicly disciplined by a bar 
                                        association of which the person 
                                        is or was a member.
                            ``(ii) Status of regional center 
                        principals.--
                                    ``(I) Lawful status required.--No 
                                person may be directly or indirectly 
                                involved with a regional center as its 
                                principal, administrator, owner, 
                                officer, board member, manager, 
                                executive, general partner, fiduciary, 
                                or other similar position of 
                                significant authority for the 
                                operations or management of the 
                                regional center unless the person is a 
                                national of the United States or an 
                                individual who has been lawfully 
                                admitted for permanent residence.
                                    ``(II) Foreign governments.--No 
                                foreign government entity may be 
                                directly or indirectly involved with 
                                the ownership or administration of a 
                                regional center.
                            ``(iii) Information required.--The 
                        Secretary of Homeland Security shall require 
                        such attestations and information, including 
                        the submission of fingerprints or other 
                        biometrics to the Federal Bureau of 
                        Investigation, and shall perform such criminal 
                        record checks and other background checks with 
                        respect to a regional center or regional center 
                        associated commercial enterprise, and persons 
                        involved in a regional center or regional 
                        center associated commercial enterprise, to 
                        determine whether such regional center or 
                        regional center associated commercial 
                        enterprise is in compliance with clauses (i) 
                        and (ii).
                            ``(iv) Termination.--The Secretary shall 
                        terminate any regional center or regional 
                        center associated commercial enterprise from 
                        the regional center program if the Secretary 
                        determines that--
                                    ``(I) the regional center or 
                                regional center associated commercial 
                                enterprise has violated clause (i);
                                    ``(II) the regional center has 
                                violated clause (ii); or
                                    ``(III) the regional center, a 
                                regional center associated commercial 
                                enterprise, or any person involved with 
                                the regional center or regional center 
                                associated commercial enterprise--
                                            ``(aa) fails to provide an 
                                        attestation or information 
                                        requested by the Secretary;
                                            ``(bb) provides any false 
                                        attestation or information 
                                        under clause (iii);
                                            ``(cc) has engaged in 
                                        fraud, misrepresentation, or 
                                        criminal misuse; or
                                            ``(dd) poses a threat to 
                                        public safety or national 
                                        security.
                    ``(G) Compliance with securities laws.--
                            ``(i) Jurisdiction.--In view of the 
                        objective of promoting investment in the United 
                        States, in an action filed by the Securities 
                        and Exchange Commission, the purchase or sale 
                        of securities offered or sold by any regional 
                        center or any party associated with a regional 
                        center shall be deemed to have occurred within 
                        the territory of the United States for purposes 
                        of the securities laws, and subject matter 
                        jurisdiction shall also lie within the United 
                        States.
                            ``(ii) Regional center certifications 
                        required.--
                                    ``(I) Initial certification.--The 
                                Secretary of Homeland Security may not 
                                approve an application for regional 
                                center designation or regional center 
                                amendment unless the regional center 
                                certifies that the regional center is 
                                in compliance with and has policies and 
                                procedures reasonably designed to 
                                ensure that all parties associated with 
                                the regional center remain in 
                                compliance with the securities laws of 
                                the United States and of any State in 
                                which the regional center operates in 
                                connection with the offer, purchase, or 
                                sale of securities or the provision of 
                                investment advice by the regional 
                                center or parties associated with the 
                                regional center.
                                    ``(II) Reissue.--A regional center 
                                shall annually reissue a certification 
                                described in subclause (I). Annual 
                                certifications under this subclause 
                                shall certify compliance with clause 
                                (iii) by stating that--
                                            ``(aa) the certifier is in 
                                        a position to have knowledge of 
                                        the offers, purchases, and 
                                        sales of securities or the 
                                        provision of investment advice 
                                        by parties associated with the 
                                        regional center; and
                                            ``(bb) to the best of the 
                                        certifier's knowledge, after 
                                        reasonable investigation--

                                                    ``(AA) all such 
                                                offers, purchases, and 
                                                sales of securities or 
                                                the provision of 
                                                investment advice 
                                                complied with 
                                                securities laws of the 
                                                United States; and

                                                    ``(BB) records, 
                                                data, and information 
                                                related to such offers, 
                                                purchases, and sales 
                                                have been maintained.

                                    ``(III) Effect of noncompliance.--
                                If a regional center, through its due 
                                diligence, discovered during the 
                                previous fiscal year that the regional 
                                center or any party associated with the 
                                regional center was not in compliance 
                                with the securities laws of the United 
                                States, the certifier shall--
                                            ``(aa) describe the 
                                        activities that led to 
                                        noncompliance;
                                            ``(bb) describe the actions 
                                        taken to remedy the 
                                        noncompliance; and
                                            ``(cc) certify that the 
                                        regional center and all parties 
                                        associated with the regional 
                                        center are currently in 
                                        compliance.
                            ``(iii) Oversight required.--Each regional 
                        center shall--
                                    ``(I) monitor and supervise all 
                                offers, purchases, and sales of, and 
                                advice relating to, securities made by 
                                parties associated with the regional 
                                center to ensure compliance with the 
                                securities laws of the United States;
                                    ``(II) maintain records, data, and 
                                information relating to all such 
                                offers, purchases, sales, and advice 
                                during the 5-year period beginning on 
                                the date of their creation; and
                                    ``(III) make such records, data, 
                                and information available to the 
                                Securities and Exchange Commission and 
                                to the Secretary upon the receipt of a 
                                subpoena from the Securities and 
                                Exchange Commission.
                            ``(iv) Suspension or termination.--The 
                        Secretary, in the Secretary's unreviewable 
                        discretion, shall suspend or terminate the 
                        designation of any regional center that does 
                        not provide the certification described in 
                        clause (ii). The Secretary, in the Secretary's 
                        unreviewable discretion, may suspend or 
                        terminate the designation of any regional 
                        center or impose other sanctions against the 
                        regional center if the regional center or any 
                        parties associated with the regional center--
                                    ``(I) are permanently or 
                                temporarily enjoined by order, 
                                judgment, or decree of any court of 
                                competent jurisdiction in connection 
                                with the offer, purchase, or sale of a 
                                security or the provision of investment 
                                advice;
                                    ``(II) are subject to any final 
                                order of the Securities and Exchange 
                                Commission that--
                                            ``(aa) bars such person 
                                        from association with an entity 
                                        regulated by the Securities and 
                                        Exchange Commission; or
                                            ``(bb) constitutes a final 
                                        order based on violations in 
                                        connection with the offer, 
                                        purchase, or sale of, or advice 
                                        relating to, a security; or
                                    ``(III) knowingly submitted or 
                                caused to be submitted a certification 
                                described in clause (ii) that contained 
                                an untrue statement of a material fact 
                                or omitted to state a material fact 
                                necessary in order to make the 
                                statements made, in light of the 
                                circumstances under which they were 
                                made, not misleading.
                            ``(v) Savings provision.--Nothing in this 
                        subparagraph may be construed to impair or 
                        limit the authority of the Securities and 
                        Exchange Commission under the Federal 
                        securities laws.
                            ``(vi) Defined term.--In this subparagraph, 
                        the term `parties associated with a regional 
                        center' means--
                                    ``(I) the regional center;
                                    ``(II) any commercial enterprise 
                                associated with the regional center;
                                    ``(III) the regional center's and 
                                associated commercial enterprise's 
                                owners, officers, directors, managers, 
                                partners, broker-dealers, employees, 
                                and attorneys; and
                                    ``(IV) any person in active concert 
                                or participation with the regional 
                                center or directly or indirectly 
                                controlling, controlled by, or under 
                                common control with the regional 
                                center.''.
    (b) Study and Report.--
            (1) In general.--Not later than two years after the date of 
        the enactment of this Act, the Secretary of Homeland Security, 
        in coordination with the Secretary of Commerce and after 
        consultation with relevant Federal agencies, shall submit a 
        report to the Committee on the Judiciary of the Senate and the 
        Committee on the Judiciary of the House of Representatives that 
        describes--
                    (A) the percentage of completed and pending capital 
                investment projects, within the scope of business plans 
                approved or awaiting approval--
                            (i) in targeted rural employment areas;
                            (ii) in targeted high unemployment areas;
                            (iii) in high poverty areas;
                            (iv) for infrastructure projects; and
                            (v) not included in the areas described in 
                        clauses (i) through (iii);
                    (B) whether other Federal financial assistance 
                programs, such as economic development programs 
                administered by the Department of Agriculture, the 
                Department of Housing and Urban Development, or the 
                Community Development Financial Institutions Fund, are 
                also used or intended to support projects described in 
                subparagraph (A); and
                    (C) whether market demands to approve projects 
                described in subparagraph (A) exceed the number of 
                visas allowed under section 203(b)(5)(F) of the 
                Immigration and Nationality Act, as added by subsection 
                (a).
            (2) Public input.--Not later than 60 days before the 
        submission of the report required under paragraph (1), the 
        public shall receive notice and an opportunity to comment.

SEC. 8. 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.--
                    ``(A) In general.--Subject to subparagraph (B), 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--
                            ``(i) the alien remains unmarried; and
                            ``(ii) the subsequent petition is filed by 
                        the principal alien not later than one year 
                        after the termination of conditional lawful 
                        permanent resident status.
                    ``(B) Exception.--An alien shall not be considered 
                a child under this paragraph with respect to more than 
                one petition filed after the alien reaches 21 years of 
                age.''.
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