What changes are expected in EB-5 law?

The current program is extended until Sept. 30, 2016. Most likely changes will include an increased investment amount and certain program enhancement procedures.

The current EB-5 law is valid until Sept. 30, 2016, which is the end of the federal fiscal year. Until then, the current $500,000 investment level will hold for the business/project located in a TEA. When the law changes, the minimum investment amount is expected to increase to $800,000, which was one of the few items that everyone seems to support, and thus seems inevitable. When the law may change is uncertain, however, as this is a Presidential election year and 34 U.S. senators and all of the House of Representatives are up for reelection as well. With the immigration issue being a hotly focused agenda for many running for election, I think it will be highly unlikely that any substantive action will be taken before the election and during the transition/lame duck session until Jan. 2017. This usually means that the Federal government will continue to operate via what is called the "continuing resolution," which means all the existing laws and appropriation will continue from 2016 until a concrete action can be taken. It is my prediction (educated guess) that at least one or three continuing resolutions could be taken at Sept. 30, mid-November, and again before Christmas.

Most likely the investment amounts will increase and they may try to standardize the TEA methodology.

Because of the election cycle, it may be unlikely that we see any change in the law. It is very possible that another extension will occur just like the one in Dec. 2015 (at the end of the continuing resolution). The major changes that are still likely are the best practices actions for regional centers and the increase in investment amounts, but the job creation and TEA methodology changes are very much still up in the air.

The current EB-5 Regional Center Pilot Program expires in September of this year. Changes are likely at any time leading up to the renewal and beyond. If you are considering an investment you may want to act soon. You should consult with an experienced EB-5 attorney to discuss the potential changes to the program and how a possible ''sunset'' might affect pending petitions and visa cases.

My view is they will occur within the next few months. We will likely see an increase in investment amounts, another extension of hopefully five years, and certain integrity measures.

There are many changes expected to the EB-5 law that will make the visa more difficult to get. The most significant expected change is the increase of the investment amount from $500,000 to $800,000 (or $1 million to $1.2 million for non-TEA locations).