II 

114TH CONGRESS 

1ST SESSION S. 1501 

To promote and reform foreign capital investment and job creation in 

American communities. 

IN THE SENATE OF THE UNITED STATES 

JUNE 3, 2015 

Mr. LEAHY (for himself and Mr. GRASSLEY) introduced the following bill; 

which was read twice and referred to the Committee on the Judiciary 

A BILL 

To promote and reform foreign capital investment and job 

creation in American communities. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘American Job Creation 

5 and Investment Promotion Reform Act of 2015’’. 

6 SEC. 2. REAUTHORIZATION OF EB–5 REGIONAL CENTER 

7 PROGRAM. 

8 (a) REPEAL.—Section 610 of the Departments of 

9 Commerce, Justice, and State, the Judiciary, and Related 


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1 Agencies Appropriations Act, 1993 (8 U.S.C. 1153 note) 

2 is repealed. 

3 (b) AUTHORIZATION.—Section 203(b)(5) of the Im4 migration and Nationality Act (8 U.S.C. 1153(b)(5)) is 

5 amended by adding at the end the following: 

6 ‘‘(E) REGIONAL CENTER PROGRAM.— 

7 ‘‘(i) IN GENERAL.—Visas under this 

8 paragraph shall be made available through 

9 September 30, 2020, to qualified immi10 grants (and the eligible spouse and chil11 dren of such immigrants) participating in 

12 a program implementing this paragraph 

13 that involves a regional center in the 

14 United States, which has been designated 

15 by the Secretary of Homeland Security on 

16 the basis of a proposal for the promotion 

17 of economic growth, including prospective 

18 job creation and increased domestic capital 

19 investment. 

20 ‘‘(ii) PRIORITY.—In processing peti21 tions under section 204(a)(1)(H) for clas22 sification under this paragraph, the Sec23 retary of Homeland Security may give pri24 ority to petitions filed by aliens seeking ad25 mission under this subparagraph. NotwithVerDate Sep 11 2014 03:54 Jun 04, 2015 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1501.IS S1501

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1 standing subsection (e), immigrant visas 

2 made available under this paragraph may 

3 be issued to such aliens in an order that 

4 takes into account any priority accorded 

5 under this clause. 

6 ‘‘(iii) ESTABLISHMENT OF A RE7 GIONAL CENTER.—A regional center shall 

8 operate within a defined geographic area, 

9 which shall be described in the proposal 

10 and be consistent with the purpose of con11 centrating pooled investment within the de12 fined and limited geographic area. The 

13 proposal to establish a regional center shall 

14 demonstrate that the pooled investment 

15 will have a significant economic impact on 

16 such geographic area, and shall include— 

17 ‘‘(I) reasonable predictions, sup18 ported by economically and statis19 tically valid forecasting tools, con20 cerning the amount of investment that 

21 will be pooled, the kinds of commer22 cial enterprises that will receive such 

23 investments, verifiable details of the 

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1 ments, and other positive economic ef2 fects such investments will have; and 

3 ‘‘(II) a description of the policies 

4 and procedures in place reasonably 

5 designed to monitor associated com6 mercial enterprises to ensure compli7 ance with all laws, regulations, and 

8 Executive orders of the United States. 

9 ‘‘(iv) INDIRECT JOB CREATION.—The 

10 Secretary of Homeland Security shall per11 mit aliens seeking admission under this 

12 paragraph to satisfy up to 90 percent of 

13 the requirements under subparagraph 

14 (A)(ii) with jobs that are estimated to be 

15 created indirectly through investment 

16 under this paragraph in accordance with 

17 this subparagraph. 

18 ‘‘(v) COMPLIANCE.— 

19 ‘‘(I) IN GENERAL.—In deter20 mining compliance with subparagraph 

21 (A)(ii), the Secretary of Homeland Se22 curity shall— 

23 ‘‘(aa) permit aliens seeking 

24 admission under this paragraph 

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1 tistically valid methodologies for 

2 determining the number of jobs 

3 created by the program, includ4 ing, consistent with this subpara5 graph, jobs estimated to have 

6 been created indirectly through 

7 revenues generated from in8 creased exports, improved re9 gional productivity, job creation, 

10 and increased domestic capital 

11 investment resulting from the 

12 program; and 

13 ‘‘(bb) verify that the jobs de14 scribed in item (aa) meet the re15 quirements under this subpara16 graph by using a methodology 

17 that has been accepted by the 

18 Bureau of Economic Analysis of 

19 the Department of Commerce to 

20 be economically and statistically 

21 valid for such purposes. 

22 ‘‘(II) PROJECTS INVOLVING CAP23 ITAL CONTRIBUTION FROM NON-ALIEN

24 ENTREPRENEURS.— 


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1 ‘‘(aa) CREDIT FOR JOB CRE2 ATION.—Alien entrepreneurs may 

3 accrue credit for job creation 

4 based on capital investment pro5 vided by non-alien entrepreneurs 

6 only for the percentage of total 

7 jobs created that is equal to the 

8 percentage of total capital invest9 ment provided by such non-alien 

10 entrepreneurs in the commercial 

11 enterprise. 

12 ‘‘(bb) LIMITATION.—The 

13 percentage of jobs created for 

14 which alien entrepreneurs may 

15 accrue credit under item (aa) 

16 based on such non-alien entre17 preneur capital contribution may 

18 not exceed 30 percent of all jobs 

19 created even if such contribution 

20 exceeds 30 percent. 

21 ‘‘(III) INELIGIBLE JOBS.—In de22 termining compliance with the job cre23 ation requirements under subpara24 graph (A)(ii), the Secretary may not 

25 include jobs estimated to be created 


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1 under a tenant-occupancy method2 ology. 

3 ‘‘(vi) AMENDMENTS.—The Secretary 

4 of Homeland Security shall— 

5 ‘‘(I) require approved regional 

6 centers to give advance notice to the 

7 Secretary of significant proposed 

8 changes to their organizational struc9 ture, ownership, or administration, in10 cluding the sale or rental of such cen11 ters; 

12 ‘‘(II) approve or disapprove the 

13 changes referred to in subclause (I) 

14 before any such proposed changes 

15 take effect; and 

16 ‘‘(III) approve the changes re17 ferred to in subclause (I) only after— 

18 ‘‘(aa) notice of any such 

19 proposed changes are made pub20 licly available through a publicly 

21 accessible website of U.S. Citi22 zenship and Immigration Services 

23 for a period of not fewer than 30 

24 days; and 


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1 ‘‘(bb) the Secretary deter2 mines that the regional center 

3 would remain compliant with this 

4 subparagraph and with subpara5 graph (H). 

6 ‘‘(F) BUSINESS PLANS FOR REGIONAL

7 CENTER INVESTMENTS.— 

8 ‘‘(i) APPLICATION FOR APPROVAL OF

9 INVESTMENT IN COMMERCIAL ENTER10 PRISE.—A commercial enterprise associ11 ated with a regional center shall file an ap12 plication with, and obtain approval from, 

13 the Secretary of Homeland Security for 

14 each particular investment offering 

15 through the commercial enterprise to 

16 aliens seeking classification under this 

17 paragraph, which shall include— 

18 ‘‘(I) a comprehensive business 

19 plan for a specific capital investment 

20 project; 

21 ‘‘(II) a credible economic analysis 

22 regarding estimated job creation that 

23 is based upon economically and statis24 tically valid methodologies; 


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1 ‘‘(III) documents filed with the 

2 Securities and Exchange Commission 

3 under the Securities Act of 1933 (15 

4 U.S.C. 77a et seq.); 

5 ‘‘(IV) investment and offering 

6 documents, including subscription, in7 vestment, partnership, and operating 

8 agreements, private placement memo9 randa, term sheets, management biog10 raphies, the description of the busi11 ness plan to be provided to potential 

12 alien entrepreneurs, and any mar13 keting materials used or prepared for 

14 use in connection with the offering by 

15 the regional center or any associated 

16 commercial enterprise, which shall 

17 contain references, as appropriate, to 

18 any— 

19 ‘‘(aa) investment risks asso20 ciated with the new commercial 

21 enterprise and any other business 

22 subsequently receiving investment 

23 capital from the new commercial 

24 enterprise; 


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1 ‘‘(bb) conflicts of interest 

2 that currently exist or may arise 

3 among the regional center, new 

4 commercial enterprise, other 

5 business subsequently receiving 

6 investment capital from the new 

7 commercial enterprise, or the 

8 principals of the aforementioned 

9 entities; 

10 ‘‘(cc) the name and contact 

11 information of any person that 

12 has received or the commercial 

13 enterprise knows will receive any 

14 fees or transaction-based com15 pensation in connection with the 

16 investment, and a description of 

17 the services performed or to be 

18 performed by such person which 

19 entitle them to the fees or trans20 action-based compensation; and 

21 ‘‘(dd) any pending litigation 

22 or bankruptcy or adverse judg23 ments during the most recent 10- 

24 year period affecting the regional 

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1 prise, any other business subse2 quently receiving investment cap3 ital from the new commercial en4 terprise, or any other enterprise 

5 in which any principal of the 

6 aforementioned entities held ma7 jority ownership at the time; 

8 ‘‘(V) a description of the policies 

9 and procedures reasonably designed to 

10 ensure that the commercial enterprise, 

11 its agents, employees, and attorneys, 

12 and any persons in active concert or 

13 participation with the commercial en14 terprise, comply with the securities 

15 laws of the United States in connec16 tion with the offer, purchase, or sale 

17 of its securities; 

18 ‘‘(VI) a certification that the 

19 commercial enterprise and its agents, 

20 employees, and attorneys, and any 

21 persons in active concert or participa22 tion with the commercial enterprise, 

23 are in compliance with the securities 

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1 tion with the offer, purchase, or sale 

2 of its securities; and 

3 ‘‘(VII) for a capital investment in 

4 a targeted employment area, a cred5 ible economic analysis regarding esti6 mated job creation that is likely to 

7 occur— 

8 ‘‘(aa) if the targeted employ9 ment area is located within a 

10 combined statistical area or a 

11 metropolitan statistical area, in 

12 the combined statistical area or 

13 metropolitan statistical area; or 

14 ‘‘(bb) if the targeted employ15 ment area is located outside of 

16 an area described in item (aa), in 

17 any county that is included in the 

18 targeted employment area and 

19 counties adjacent to the targeted 

20 employment area. 

21 ‘‘(ii) EFFECT OF APPROVAL OF BUSI22 NESS PLAN FOR INVESTMENT IN REGIONAL

23 CENTER COMMERCIAL ENTERPRISE.—The 

24 approval of an application under this sub25 paragraph shall be binding for purposes of 


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1 the adjudication of subsequent petitions 

2 seeking classification under this paragraph 

3 by immigrants investing in the same com4 mercial enterprise concerning the same 

5 economic activity, and of petitions filed 

6 under section 216A, unless the Secretary 

7 of Homeland Security determines that 

8 there is evidence of fraud, misrepresenta9 tion, criminal misuse, a threat to public 

10 safety or national security, a material 

11 change that affects the approved economic 

12 model, other evidence affecting program 

13 eligibility that was not disclosed by the pe14 titioner during the approval process, or a 

15 material mistake of law or fact in the prior 

16 adjudication. 

17 ‘‘(iii) CONSIDERATION OF FRAUDU18 LENT OR OTHER CRIMINAL ACTIVITY IN

19 ESTABLISHING ELIGIBILITY CRITERIA.— 

20 ‘‘(I) IN GENERAL.—The Sec21 retary of Homeland Security shall 

22 consider the potential for fraud, mis23 representation, criminal misuse, and 

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1 curity in establishing eligibility cri2 teria under this subparagraph. 

3 ‘‘(II) GROUNDS FOR DENIAL OR

4 REVOCATION.—The Secretary shall 

5 deny or revoke the approval of any 

6 business plan application under this 

7 subparagraph with any particular in8 vestment or business arrangement 

9 that, in the Secretary’s unreviewable 

10 discretion— 

11 ‘‘(aa) presents a threat to 

12 public safety or national security; 

13 or 

14 ‘‘(bb) presents a significant 

15 risk of criminal misuse, fraud, or 

16 abuse, including arrangements 

17 that involve self-dealing or any 

18 other inherent conflict of interest 

19 between potential alien entre20 preneurs and the principals of a 

21 regional center or a regional cen22 ter associated commercial enter23 prise. 

24 ‘‘(iv) SITE VISITS.—The Secretary 

25 shall perform at least 1 site visit to each 


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1 regional center associated commercial en2 terprise in accordance with section 

3 216A(c)(1)(C). 

4 ‘‘(v) PREMIUM PROCESSING OP5 TION.—The Secretary shall establish a 

6 process for premium processing of business 

7 plan applications under this subparagraph 

8 related to investment in a regional center 

9 commercial enterprise, including making 

10 available the expeditious execution of a site 

11 visit described in clause (iv), which may in12 clude an opportunity for the applicant to 

13 address and cure any deficiencies identified 

14 by the Secretary in the applicant’s busi15 ness plan, investment documents, or state16 ment regarding job creation prior to a final 

17 determination. The Secretary shall impose 

18 a fee for the use of the process described 

19 in this clause sufficient to recover the costs 

20 of its administration. 

21 ‘‘(vi) APPROVAL OF BUSINESS PLAN

22 IN A TARGETED EMPLOYMENT AREA.—For 

23 a capital investment in a designated tar24 geted employment area, at least 50 percent 

25 of the estimated job creation intended to 


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1 form the basis of the job creation require2 ment under subparagraph (A)(ii) shall be 

3 expected to occur within an area specified 

4 in subparagraph (F)(i)(VII). If the esti5 mated job creation in such area is below 

6 50 percent, the total number of jobs cre7 ated by the capital investment for which 

8 alien entrepreneurs may receive credit shall 

9 be limited to the number at which 50 per10 cent of the job creation requirement occurs 

11 within an area described in clause (i)(VII). 

12 ‘‘(G) REGIONAL CENTER ANNUAL STATE13 MENTS.— 

14 ‘‘(i) IN GENERAL.—Each regional cen15 ter designated under subparagraph (E) 

16 shall annually submit, to the Director of 

17 U.S. Citizenship and Immigration Services 

18 (referred to in this subparagraph as the 

19 ‘Director’), in a manner prescribed by the 

20 Secretary of Homeland Security, a state21 ment, including— 

22 ‘‘(I) a certification by the re23 gional center that it remains in com24 pliance with clauses (i) and (ii) of 

25 subparagraph (H); 


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1 ‘‘(II) a certification by the re2 gional center described in subpara3 graph (I)(ii)(II); 

4 ‘‘(III) a certification by the re5 gional center that it is in compliance 

6 with subparagraph (K)(iii); 

7 ‘‘(IV) a description of any pend8 ing litigation or bankruptcy pro9 ceedings, or litigation or bankruptcy 

10 proceedings resolved during the pre11 ceding fiscal year, involving the re12 gional center or an associated com13 mercial enterprise; 

14 ‘‘(V) an accounting of all foreign 

15 investor money invested in the re16 gional center and its associated com17 mercial enterprises; and 

18 ‘‘(VI) for each new commercial 

19 enterprise associated with the regional 

20 center— 

21 ‘‘(aa) an accounting of the 

22 aggregate capital invested in the 

23 new commercial enterprise by 

24 alien entrepreneurs under this 

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1 ment project being undertaken by 

2 the new commercial enterprise; 

3 ‘‘(bb) a description of how 

4 such capital is being used to exe5 cute each capital investment 

6 project in the approved business 

7 plan or plans; 

8 ‘‘(cc) evidence that 100 per9 cent of such capital has been ir10 revocably committed to each cap11 ital investment project; 

12 ‘‘(dd) detailed evidence of 

13 the progress made toward the 

14 completion of each capital invest15 ment project; 

16 ‘‘(ee) an accounting of the 

17 aggregate direct jobs created or 

18 preserved; 

19 ‘‘(ff) a description of all 

20 funds, including administrative, 

21 loan monitoring, or loan manage22 ment fees, in addition to investor 

23 capital collected from alien entre24 preneurs by any party in relation 

25 to the investment or participation 


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1 in the regional center program 

2 described in subparagraph (E), 

3 the entities that received such 

4 funds, and the purpose for which 

5 such funds were collected; 

6 ‘‘(gg) any documentation re7 ferred to in subparagraph 

8 (F)(i)(IV) if there has been a 

9 material change during the pre10 ceding fiscal year; and 

11 ‘‘(hh) a certification by the 

12 regional center and associated 

13 commercial enterprise that such 

14 statements are accurate. 

15 ‘‘(ii) AMENDMENT OF ANNUAL STATE16 MENTS.—The Director— 

17 ‘‘(I) shall require the regional 

18 center to amend or supplement an an19 nual statement required under clause 

20 (i) if the Director determines that 

21 such statement is deficient; and 

22 ‘‘(II) may require the regional 

23 center to amend or supplement such 

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1 termines that such an amendment or 

2 supplement is appropriate. 

3 ‘‘(iii) SANCTIONS.— 

4 ‘‘(I) EFFECT OF VIOLATION.—If 

5 the Director determines that a re6 gional center or other individual affili7 ated with a regional center, including 

8 an individual affiliated with an associ9 ated commercial enterprise, and any 

10 legal representative of such entities, 

11 has violated any certification under 

12 clause (i) or that the regional center 

13 is conducting itself in a manner incon14 sistent with its designation, including 

15 any willful and material deviation by 

16 commercial enterprises associated 

17 with the regional center from any ap18 proved business plan for such com19 mercial enterprises, the Director shall 

20 sanction the violating entity or indi21 vidual under subclause (II). 

22 ‘‘(II) AUTHORIZED SANCTIONS.— 

23 The Director shall establish a grad24 uated set of sanctions based on the 

25 severity of the violations referred to in 


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1 subclause (I), as determined by the 

2 Director, including— 

3 ‘‘(aa) civil money penalties 

4 equal to not more than 10 per5 cent of the total capital invested 

6 by alien entrepreneurs in the re7 gional center’s associated com8 mercial enterprises, the payment 

9 of which shall not in any cir10 cumstance utilize any of such 

11 alien entrepreneurs’ capital in12 vestment; 

13 ‘‘(bb) temporary suspension 

14 from participation in the pro15 gram described in subparagraph 

16 (E), which may be lifted by the 

17 Director if the individual or enti18 ty cures the alleged violation 

19 after being provided such an op20 portunity by the Director; 

21 ‘‘(cc) permanent bar from 

22 program participation for 1 or 

23 more individuals associated with 

24 the regional center or an associ25 ated commercial enterprise; and 


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1 ‘‘(dd) termination of re2 gional center status. 

3 ‘‘(H) BONA FIDES OF PERSONS ASSOCI4 ATED WITH REGIONAL CENTERS OR REGIONAL

5 CENTER ASSOCIATED COMMERCIAL ENTER6 PRISES.— 

7 ‘‘(i) IN GENERAL.—No person shall be 

8 permitted by any regional center or re9 gional center associated commercial enter10 prise to be directly or indirectly involved 

11 with the regional center or commercial en12 terprise as its principal, representative, ad13 ministrator, owner, officer, board member, 

14 manager, executive, general partner, fidu15 ciary, marketer, promoter, or other similar 

16 position of substantive authority for the 

17 operations, management or promotion of 

18 the regional center or commercial enter19 prise if— 

20 ‘‘(I) the person has been found 

21 liable within the previous 10 years for 

22 any criminal or civil violation of any 

23 law relating to fraud or deceit, or at 

24 any time if such violation involved a 

25 civil liability in excess of $1,000,000, 


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1 a criminal conviction with a term of 

2 imprisonment of more than 1 year or 

3 a criminal or civil violation of any law 

4 or agency regulation in connection 

5 with the offer, purchase, or sale of a 

6 security; 

7 ‘‘(II) the person is subject to a 

8 final order of a State securities com9 mission (or an agency or officer of a 

10 State who performs similar functions), 

11 a State authority that supervises or 

12 examines banks, savings associations, 

13 or credit unions, a State insurance 

14 commission (or an agency of or officer 

15 of a State who performs similar func16 tions), an appropriate Federal bank17 ing agency, the Commodity Futures 

18 Trading Commission, or the National 

19 Credit Union Administration, which is 

20 based on a violation of any law or reg21 ulation that— 

22 ‘‘(aa) prohibits fraudulent, 

23 manipulative, or deceptive con24 duct; or 


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1 ‘‘(bb) bars the person 

2 from— 

3 ‘‘(AA) association with 

4 an entity regulated by such 

5 commission, authority, agen6 cy, or officer; 

7 ‘‘(BB) engaging in the 

8 business of securities, insur9 ance, or banking; or 

10 ‘‘(CC) engaging in sav11 ings association or credit 

12 union activities; 

13 ‘‘(III) there is reasonable cause 

14 to believe that the person is engaged 

15 in, has ever been engaged in, or seeks 

16 to engage in— 

17 ‘‘(aa) any illicit trafficking 

18 in any controlled substance or in 

19 any listed chemical (as defined in 

20 section 102 of the Controlled 

21 Substances Act); 

22 ‘‘(bb) any activity relating to 

23 espionage, sabotage, or theft of 

24 intellectual property; 


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1 ‘‘(cc) any activity related to 

2 money laundering (as described 

3 in section 1956 or 1957 of title 

4 18, United States Code); 

5 ‘‘(dd) any terrorist activity 

6 (as defined in clauses (iii) and 

7 (iv) of section 212(a)(3)(B)); 

8 ‘‘(ee) any activity related to 

9 human trafficking or a human 

10 rights offense; 

11 ‘‘(ff) any activity described 

12 in section 212(a)(3)(E); or 

13 ‘‘(gg) the violation of any 

14 statute, regulation, or Executive 

15 order regarding foreign financial 

16 transactions or foreign asset con17 trol; or 

18 ‘‘(IV) the person— 

19 ‘‘(aa) is, or during the pre20 ceding 10 years has been, in21 cluded on the Department of 

22 Justice’s List of Currently Dis23 ciplined Practitioners; or 

24 ‘‘(bb) during the preceding 

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1 rimand or otherwise been publicly 

2 disciplined by a bar association of 

3 which the person is or was a 

4 member. 

5 ‘‘(ii) STATUS OF REGIONAL CENTER

6 PRINCIPALS.— 

7 ‘‘(I) LAWFUL STATUS RE8 QUIRED.—No person may be directly 

9 or indirectly involved with a regional 

10 center as its principal, administrator, 

11 owner, officer, board member, man12 ager, executive, general partner, fidu13 ciary, or other similar position of sig14 nificant authority for the operations 

15 or management of the regional center 

16 unless the person is a national of the 

17 United States or an individual who 

18 has been lawfully admitted for perma19 nent residence. 

20 ‘‘(II) FOREIGN GOVERNMENTS.— 

21 No foreign government entity may be 

22 directly or indirectly involved with the 

23 ownership or administration of a re24 gional center. 


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1 ‘‘(iii) INFORMATION REQUIRED.—The 

2 Secretary shall require such attestations 

3 and information, including the submission 

4 of fingerprints or other biometrics to the 

5 Federal Bureau of Investigation, and shall 

6 perform such criminal record checks and 

7 other background checks with respect to a 

8 regional center or regional center associ9 ated commercial enterprise, and persons 

10 involved in a regional center or regional 

11 center associated commercial enterprise as 

12 described in clauses (i) and (ii), to deter13 mine whether such regional center or re14 gional center associated commercial enter15 prise is in compliance with clauses (i) and 

16 (ii). The Secretary may require the infor17 mation and attestations described in this 

18 clause from such regional center or re19 gional center associated commercial enter20 prise, and any person involved in the re21 gional center or regional center associated 

22 commercial enterprise, at any time on or 

23 after the date of the enactment of the 

24 American Job Creation and Investment 

25 Promotion Reform Act of 2015. 


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1 ‘‘(iv) TERMINATION.—The Secretary, 

2 in the Secretary’s unreviewable discretion, 

3 shall terminate from the program under 

4 this paragraph any regional center or re5 gional center associated commercial enter6 prise if the Secretary determines that— 

7 ‘‘(I) the regional center or re8 gional center associated commercial 

9 enterprise has violated clause (i); 

10 ‘‘(II) the regional center has vio11 lated clause (ii); 

12 ‘‘(III) the regional center, a re13 gional center associated commercial 

14 enterprise, or any person involved 

15 with the regional center or regional 

16 center associated commercial enter17 prise fails to provide an attestation or 

18 information requested by the Sec19 retary or provides any false attesta20 tion or information under clause (iii); 

21 or 

22 ‘‘(IV) the regional center, a re23 gional center associated commercial 

24 enterprise, or any person involved 

25 with the regional center or regional 


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1 center associated commercial enter2 prise has engaged in fraud, misrepre3 sentation, criminal misuse, or poses a 

4 threat to public safety or national se5 curity. 

6 ‘‘(I) COMPLIANCE WITH SECURITIES

7 LAWS.— 

8 ‘‘(i) JURISDICTION.—In view of the 

9 objective of promoting investment in the 

10 United States, in an action filed by the Se11 curities and Exchange Commission, the 

12 purchase or sale of securities offered or 

13 sold by any regional center or any party 

14 associated with a regional center shall be 

15 deemed to have occurred within the terri16 tory of the United States for purposes of 

17 the securities laws, and subject matter ju18 risdiction shall also lie within the United 

19 States. 

20 ‘‘(ii) REGIONAL CENTER CERTIFI21 CATIONS REQUIRED.— 

22 ‘‘(I) INITIAL CERTIFICATION.— 

23 The Secretary of Homeland Security 

24 shall not approve an application for 

25 regional center designation or regional 


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1 center amendment unless the regional 

2 center certifies that the regional cen3 ter is in compliance with and has poli4 cies and procedures reasonably de5 signed to ensure that all parties asso6 ciated with the regional center remain 

7 in compliance with the securities laws 

8 of the United States and of any State 

9 in which the regional center operates 

10 in connection with the offer, purchase, 

11 or sale of securities or the provision of 

12 investment advice by the regional cen13 ter or parties associated with the re14 gional center. 

15 ‘‘(II) REISSUE.—A regional cen16 ter shall annually reissue a certifi17 cation described in subclause (I) in 

18 accordance with subparagraph (G). 

19 Annual certifications under this sub20 clause shall also certify compliance 

21 with clause (iii) by stating that the 

22 certifier is in a position to have 

23 knowledge of the offers, purchases, 

24 and sales of securities or the provision 

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1 ated with the regional center and, to 

2 the best of the certifier’s knowledge, 

3 after reasonable investigation, all such 

4 offers, purchases, and sales of securi5 ties or the provision of investment ad6 vice complied with securities laws of 

7 the United States and that records, 

8 data, and information related to such 

9 offers, purchases, and sales have been 

10 maintained. 

11 ‘‘(III) EFFECT OF NONCOMPLI12 ANCE.—If a regional center, through 

13 its due diligence, discovered during 

14 the previous fiscal year that the re15 gional center or any party associated 

16 with the regional center was not in 

17 compliance with the securities laws of 

18 the United States, the certifier shall— 

19 ‘‘(aa) describe the activities 

20 that led to noncompliance; 

21 ‘‘(bb) describe the actions 

22 taken to remedy the noncompli23 ance; and 

24 ‘‘(cc) certify that the re25 gional center and all parties assoVerDate Sep 11 2014 03:54 Jun 04, 2015 Jkt 049200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\S1501.IS S1501

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1 ciated with the regional center 

2 are currently in compliance. 

3 ‘‘(iii) OVERSIGHT REQUIRED.—Each 

4 regional center shall monitor and supervise 

5 all offers, purchases, and sales of, and ad6 vice relating to, securities made by parties 

7 associated with the regional center to en8 sure compliance with the securities laws of 

9 the United States, and maintain records, 

10 data, and information relating to all such 

11 offers, purchases, sales, and advice during 

12 the 5-year period beginning on the date of 

13 their creation. Such records, data, and in14 formation shall be made available to the 

15 Securities and Exchange Commission and 

16 to the Secretary upon request. 

17 ‘‘(iv) SUSPENSION OR TERMI18 NATION.—The Secretary, in the Sec19 retary’s unreviewable discretion, shall sus20 pend or terminate the designation of any 

21 regional center that does not provide the 

22 certification described in clause (ii). In ad23 dition to any other authority provided to 

24 the Secretary under this paragraph, the 

25 Secretary, in the Secretary’s unreviewable 


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•S 1501 IS

1 discretion, may suspend or terminate the 

2 designation of any regional center or im3 pose other sanctions against the regional 

4 center if the regional center or any parties 

5 associated with the regional center— 

6 ‘‘(I) are permanently or tempo7 rarily enjoined by order, judgment, or 

8 decree of any court of competent ju9 risdiction in connection with the offer, 

10 purchase, or sale of a security or the 

11 provision of investment advice; 

12 ‘‘(II) are subject to any final 

13 order of the Securities and Exchange 

14 Commission that— 

15 ‘‘(aa) bars such person from 

16 association with an entity regu17 lated by the Securities and Ex18 change Commission; or 

19 ‘‘(bb) constitutes a final 

20 order based on violations in con21 nection with the offer, purchase, 

22 or sale of, or advice relating to, a 

23 security; or 

24 ‘‘(III) knowingly submitted or 

25 caused to be submitted a certification 


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•S 1501 IS

1 described in clause (ii) that contained 

2 an untrue statement of a material fact 

3 or omitted to state a material fact 

4 necessary in order to make the state5 ments made, in light of the cir6 cumstances under which they were 

7 made, not misleading. 

8 ‘‘(v) SAVINGS PROVISION.—Nothing in 

9 this subparagraph may be construed to im10 pair or limit the authority of the Securities 

11 and Exchange Commission under the Fed12 eral securities laws. 

13 ‘‘(vi) DEFINED TERM.—In this sub14 paragraph, the term ‘parties associated 

15 with a regional center’ means— 

16 ‘‘(I) the regional center; 

17 ‘‘(II) any commercial enterprise 

18 associated with the regional center; 

19 ‘‘(III) the regional center’s and 

20 associated commercial enterprise’s 

21 owners, officers, directors, managers, 

22 partners, agents, employees, pro23 moters and attorneys; and 

24 ‘‘(IV) any person in active con25 cert or participation with the regional 


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•S 1501 IS

1 center or directly or indirectly control2 ling, controlled by, or under common 

3 control with the regional center. 

4 ‘‘(J) EB–5 INTEGRITY FUND.— 

5 ‘‘(i) ESTABLISHMENT.—There is es6 tablished in the United States Treasury a 

7 special fund, which shall be known as the 

8 EB–5 Integrity Fund (referred to in this 

9 subparagraph as the ‘Fund’). Amounts de10 posited into the Fund shall be available 

11 until expended to the Secretary of Home12 land Security for the purposes set forth in 

13 clause (iii). 

14 ‘‘(ii) FEES.—The Secretary of Home15 land Security shall collect an annual fee of 

16 $20,000 for the Fund from each regional 

17 center designated under subparagraph (E). 

18 The first fee under this clause shall be due 

19 not later than January 1, 2016, and subse20 quent fees due not later than January 1 of 

21 each year thereafter. Newly designated re22 gional centers shall pay their initial fee for 

23 the calendar year following the calendar 

24 year during which the regional center was 

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1 scribe regulations, as necessary, to increase 

2 the dollar amount specified under this 

3 clause to ensure the Secretary’s continued 

4 ability to carry out the activities specified 

5 in clause (iii). 

6 ‘‘(iii) PERMISSIBLE USES OF FUND.— 

7 The Secretary of Homeland Security 

8 shall— 

‘‘(I) use not less than 1 9 ⁄3 of the 

10 amounts deposited into the Fund to 

11 conduct audits and site visits (an12 nounced and unannounced); 

‘‘(II) use not less than 1 13 ⁄3 of the 

14 amounts deposited into the Fund for 

15 investigations based outside of the 

16 United States, including— 

17 ‘‘(aa) monitoring and inves18 tigating program-related events 

19 and promotional activities; and 

20 ‘‘(bb) ensuring an alien en21 trepreneur’s compliance with sub22 paragraph (L); 

23 ‘‘(III) use amounts deposited into 

24 the Fund— 


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•S 1501 IS

1 ‘‘(aa) to detect and inves2 tigate fraud or other crimes; and 

3 ‘‘(bb) to determine whether 

4 regional centers, associated com5 mercial enterprises, and alien en6 trepreneurs (and alien spouses 

7 and alien children, if any) comply 

8 with applicable immigration laws 

9 and regulations; 

10 ‘‘(IV) use amounts deposited into 

11 the Fund to conduct interviews of the 

12 owners, officers, directors, managers, 

13 partners, agents, employees, pro14 moters, and attorneys of a regional 

15 center and regional center associated 

16 commercial enterprise; and 

17 ‘‘(V) otherwise use amounts de18 posited into the Fund as the Sec19 retary determines to be necessary, in20 cluding monitoring compliance with 

21 the requirements under section 7 of 

22 the American Job Creation and In23 vestment Promotion Reform Act of 

24 2015. 


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•S 1501 IS

1 ‘‘(iv) FAILURE TO PAY FEE.—The 

2 Secretary of Homeland Security shall— 

3 ‘‘(I) impose a reasonable penalty 

4 if a regional center does not pay the 

5 fee required under clause (ii) within 

6 30 days of the date on which such fee 

7 is due under clause (ii); and 

8 ‘‘(II) terminate the designation 

9 of any regional center that does not 

10 pay the fee required under clause (ii) 

11 before 90 days after the date on 

12 which such fee is due under clause 

13 (ii). 

14 ‘‘(v) REPORT.—The Secretary shall 

15 submit an annual report to the Committee 

16 on the Judiciary of the Senate and the 

17 Committee on the Judiciary of the House 

18 of Representatives that describes how 

19 amounts in the Fund were expended dur20 ing the previous fiscal year. 

21 ‘‘(K) DIRECT AND THIRD-PARTY PRO22 MOTERS.— 

23 ‘‘(i) RULES AND STANDARDS.—Direct 

24 and third-party promoters of a regional 

25 center, parties associated with a regional 


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•S 1501 IS

1 center, or of the investment opportunities 

2 of a regional center, shall comply with the 

3 rules and standards prescribed by the Sec4 retary of Homeland Security to oversee re5 gional center promotion, including— 

6 ‘‘(I) registration with U.S. Citi7 zenship and Immigration Services, 

8 which the Secretary shall make pub9 licly available; 

10 ‘‘(II) minimum qualifications; 

11 ‘‘(III) guidelines for offering in12 vestment opportunities and rep13 resenting the visa process to foreign 

14 entrepreneurs; and 

15 ‘‘(IV) permissible fee arrange16 ments. 

17 ‘‘(ii) EFFECT OF VIOLATION.—If the 

18 Secretary determines, in the Secretary’s 

19 unreviewable discretion, that a direct or 

20 third-party promoter has violated clause 

21 (i), the Secretary shall suspend or perma22 nently bar such individual from participa23 tion in the program described in subpara24 graph (E). 


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•S 1501 IS

1 ‘‘(iii) COMPLIANCE.—Each regional 

2 center shall maintain a written agreement 

3 between the regional center or regional 

4 center associated commercial enterprise 

5 and each direct or third-party promoter 

6 operating on behalf of such regional center 

7 or commercial enterprise that outlines the 

8 rules and standards prescribed under 

9 clause (i). 

10 ‘‘(L) SOURCE OF FUNDS.— 

11 ‘‘(i) IN GENERAL.—An alien entre12 preneur shall demonstrate that the capital 

13 required under subparagraph (A) and any 

14 funds used to pay administrative costs and 

15 fees associated with the alien’s investment 

16 were obtained from a lawful source and 

17 through lawful means. 

18 ‘‘(ii) REQUIRED INFORMATION.—The 

19 Secretary of Homeland Security shall re20 quire, as applicable, that an alien entre21 preneur petition under this paragraph con22 tain— 

23 ‘‘(I) business and tax records, in24 cluding— 


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•S 1501 IS

1 ‘‘(aa) foreign business reg2 istration records; 

3 ‘‘(bb) corporate or partner4 ship tax returns (or any other en5 tity in any form that has filed in 

6 any country or subdivision there7 of any return described in this 

8 subpart), and personal tax re9 turns including income, fran10 chise, property (whether real, 

11 personal, or intangible), or any 

12 other tax returns of any kind 

13 filed within 7 years, with any 

14 taxing jurisdiction in or outside 

15 the United States by or on behalf 

16 of the alien entrepreneur; and 

17 ‘‘(cc) evidence identifying 

18 any other source of capital or ad19 ministrative fees; 

20 ‘‘(II) evidence related to mone21 tary judgments against the alien en22 trepreneur, including certified copies 

23 of any judgments or evidence of all 

24 pending governmental civil or criminal 

25 actions, governmental administrative 


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•S 1501 IS

1 proceedings, and any private civil ac2 tions (pending or otherwise) involving 

3 monetary judgments against the alien 

4 entrepreneur from any court in or 

5 outside the United States; and 

6 ‘‘(III) the identity of all persons 

7 who transfer into the United States, 

8 on behalf of the entrepreneur— 

9 ‘‘(aa) any funds that are 

10 used to meet the capital require11 ment under subparagraph (A); 

12 and 

13 ‘‘(bb) any funds that are 

14 used to pay administrative costs 

15 and fees associated with the 

16 alien’s investment. 

17 ‘‘(iii) GIFT RESTRICTIONS.—Gifted 

18 funds may be counted toward the min19 imum capital investment requirement 

20 under subparagraph (C) only if such funds 

21 were gifted to the alien entrepreneur by 

22 the alien entrepreneur’s spouse, parent, 

23 child, sibling, or grandparent and such 

24 funds were gifted in good faith and not to 

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•S 1501 IS

1 missible sources of capital under this sub2 paragraph. If a significant portion of the 

3 capital invested under subparagraph (A) 

4 was gifted to the alien entrepreneur, the 

5 Secretary shall require the alien entre6 preneur’s petition under this paragraph to 

7 include records described in subclauses (I) 

8 and (II) of clause (ii) from the donor. 

9 ‘‘(iv) LOAN RESTRICTIONS.—Capital 

10 derived from indebtedness may be counted 

11 toward the minimum capital investment re12 quirement under subparagraph (C) only if 

13 such capital is— 

14 ‘‘(I) secured by assets owned by 

15 the alien entrepreneur; and 

16 ‘‘(II) issued by a reputable bank17 ing or lending institution that is prop18 erly chartered or licensed under the 

19 laws of any State, territory, country, 

20 or applicable jurisdiction, which the 

21 Secretary shall determine after con22 sulting with relevant commercial or 

23 government databases, such as those 

24 of the Department of the Treasury’s 

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•S 1501 IS

1 fice of Terrorist Financing and Fi2 nancial Crimes, and Financial Crimes 

3 Enforcement Network. 

4 ‘‘(M) TREATMENT OF ENTREPRENEURS IF

5 REGIONAL CENTER TERMINATED.— 

6 ‘‘(i) IN GENERAL.—Upon the termi7 nation of a regional center or regional cen8 ter associated commercial enterprise under 

9 this paragraph— 

10 ‘‘(I) the conditional permanent 

11 residence of an alien who has been ad12 mitted to the United States pursuant 

13 to section 216A(a)(1) based on an in14 vestment in a commercial enterprise 

15 associated with the terminated re16 gional center or regional center associ17 ated commercial enterprise shall con18 tinue to be authorized; and 

19 ‘‘(II) the alien shall not accrue 

20 any period of unlawful presence under 

21 section 212(a)(9) during the 180-day 

22 period following such termination un23 less the Secretary has reason to be24 lieve the alien was a knowing partici25 pant in the conduct that led to the 


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•S 1501 IS

1 termination of such regional center or 

2 regional center associated commercial 

3 enterprise. 

4 ‘‘(ii) NEW REGIONAL CENTER OR IN5 VESTMENT.—The conditional permanent 

6 resident status of an alien described in 

7 clause (i)(I) shall be terminated at the end 

8 of the 180-day period described in clause 

9 (i)(II) unless— 

10 ‘‘(I) in the case of the termi11 nation of a regional center— 

12 ‘‘(aa) the associated com13 mercial enterprise affiliates with 

14 an approved regional center des15 ignated to operate within the 

16 same geographic area as the 

17 commercial enterprise; or 

18 ‘‘(bb) such alien invests in 

19 another commercial enterprise 

20 associated with an approved re21 gional center; or 

22 ‘‘(II) in the case of the termi23 nation of a regional center associated 

24 commercial enterprise, such alien in25 vests in another commercial enterprise 


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•S 1501 IS

1 associated with an approved regional 

2 center. 

3 ‘‘(iii) REMOVAL OF CONDITIONS.— 

4 Aliens described in subclauses (I)(bb) and 

5 (II) of clause (ii) shall be eligible to have 

6 their conditions removed pursuant to sec7 tion 216A beginning on the date that is 2 

8 years after the date of the subsequent in9 vestment. 

10 ‘‘(N) FRAUD, CRIMINAL MISUSE, AND

11 THREATS TO NATIONAL INTERESTS.— 

12 ‘‘(i) DENIAL OR REVOCATION.—If the 

13 Secretary of Homeland Security deter14 mines, in the Secretary’s unreviewable dis15 cretion, that the approval of a petition, ap16 plication, or benefit described in this para17 graph is contrary to the national interest 

18 of the United States for reasons relating to 

19 fraud, misrepresentation, criminal misuse, 

20 or threats to public safety or national secu21 rity, the Secretary shall deny or revoke the 

22 approval of— 

23 ‘‘(I) a petition seeking classifica24 tion of an alien as an alien entre25 preneur under this paragraph; 


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•S 1501 IS

1 ‘‘(II) a petition to remove condi2 tions under section 216A before 

3 granting lawful permanent resident 

4 status or any other petition, applica5 tion, or benefit based upon the pre6 vious or concurrent filing or approval 

7 of a petition for classification of an 

8 alien under this paragraph; 

9 ‘‘(III) an application for approval 

10 of a business plan in a regional center 

11 associate commercial enterprise; or 

12 ‘‘(IV) an application for designa13 tion as a regional center. 

14 ‘‘(ii) DEBARMENT.—If a regional cen15 ter or regional center associated commer16 cial enterprise has its designation or par17 ticipation in the program under this para18 graph terminated for reasons relating to 

19 fraud, intentional material misrepresenta20 tion, criminal misuse, or threats to public 

21 safety or national security, any person as22 sociated with such regional center or re23 gional center associated commercial enter24 prise, including an alien investor, shall be 

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•S 1501 IS

1 tion in the program if the Secretary of 

2 Homeland Security, in the Secretary’s 

3 unreviewable discretion, determines that 

4 such person was a knowing participant in 

5 the conduct that led to the termination.’’. 

6 (c) EFFECTIVE DATE.—The amendments made by 

7 this section— 

8 (1) shall take effect on the date of the enact9 ment of this Act; and 

10 (2) shall apply to— 

11 (A) any application to designate a regional 

12 center, and any person involved with the re13 gional center, that is pending or approved on or 

14 after the date of the enactment of this Act; and 

15 (B) any regional center approved before 

16 the date of the enactment of this Act, on or 

17 after a delayed effective date that is 1 year 

18 after such date of enactment with respect to 

19 any person involved in the regional center on or 

20 after such delayed effective date, unless other21 wise provided in this section. 

22 (d) GAO REPORT.—Not later than December 31, 

23 2018, the Comptroller General of the United States shall 

24 submit a report to the Committee on the Judiciary of the 


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•S 1501 IS

1 Senate and the Committee on the Judiciary of the House 

2 of Representatives that describes— 

3 (1) the economic benefits of the regional center 

4 program established under section 203(b)(5) of the 

5 Immigration and Nationality Act (8 U.S.C. 

6 1153(b)(5)), including the steps taken by U.S. Citi7 zenship and Immigration Services to verify job cre8 ation; 

9 (2) the extent to which U.S. Citizenship and 

10 Immigration Services ensures compliance by regional 

11 center participants; 

12 (3) the extent to which U.S. Citizenship and 

13 Immigration Services has maintained records by re14 gional centers and associated commercial enter15 prises, including annual statements and certifi16 cations; 

17 (4) the steps taken by U.S. Citizenship and Im18 migration Services to verify the source of funds, as 

19 required under section 203(b)(5)(L) of the Immigra20 tion and Nationality Act, as added by subsection (b); 

21 (5) the extent to which U.S. Citizenship and 

22 Immigration Services collaborates with other Federal 

23 and law enforcement agencies, particularly to detect 

24 illegal activity and threats to national security; 


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•S 1501 IS

1 (6) the extent to which U.S. Citizenship and 

2 Immigration Services has prevented fraud and abuse 

3 in regional center activities, including the designa4 tion of a regional center investment in a targeted 

5 employment area; 

6 (7) the extent to which U.S. Citizenship and 

7 Immigration Services has used its authority to sanc8 tion, suspend, bar, or terminate a regional center or 

9 individuals affiliated with a regional center; 

10 (8) the steps that have been taken to oversee 

11 direct and third-party promoters under section 

12 203(b)(5)(H) of the Immigration and Nationality 

13 Act, as added by subsection (b); 

14 (9) the extent to which employees of the De15 partment of Homeland Security have complied with 

16 the ethical standards and transparency requirements 

17 under section 7; and 

18 (10) an accounting of the expenditure of 

19 amounts from the EB–5 Integrity Fund established 

20 under section 203(b)(5)(J) of the Immigration and 

21 Nationality Act, as added by subsection (b). 

22 (e) INSPECTOR GENERAL REPORT.—Not later than 

23 December 31, 2018, the Inspector General of the Intel24 ligence Community, in coordination with the Inspector 

25 General of the Department of Homeland Security and 


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•S 1501 IS

1 after consultation with relevant Federal agencies, includ2 ing U.S. Immigration and Customs Enforcement, shall 

3 submit a report to the Committee on the Judiciary of the 

4 Senate and the Committee on the Judiciary of the House 

5 of Representatives that describes— 

6 (1) vulnerabilities within the EB–5 Immigrant 

7 Investor Program that may undermine the national 

8 security of the United States; 

9 (2) actual or potential use of the EB–5 Immi10 grant Investor Program to facilitate export of sen11 sitive technology; 

12 (3) actual or potential use of the EB–5 Immi13 grant Investor Program to facilitate economic espio14 nage; 

15 (4) actual or potential use of the EB–5 Immi16 grant Investor Program by foreign government 

17 agents; and 

18 (5) actual or potential use of the EB–5 Immi19 grant Investor Program to facilitate terrorist activ20 ity, including funding terrorist activity or laundering 

21 terrorist funds. 


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•S 1501 IS

1 SEC. 3. CONDITIONAL PERMANENT RESIDENT STATUS FOR 

2 ALIEN ENTREPRENEURS, SPOUSES, AND 

3 CHILDREN. 

4 (a) IN GENERAL.—Section 216A of the Immigration 

5 and Nationality Act (8 U.S.C. 1186b) is amended— 

6 (1) by striking ‘‘Attorney General’’ each place 

7 such term appears (except in subsection (d)(2)(C)) 

8 and inserting ‘‘Secretary of Homeland Security’’; 

9 (2) in subsection (a), by amending paragraph 

10 (1) to read as follows: 

11 ‘‘(1) CONDITIONAL BASIS FOR STATUS.— 

12 ‘‘(A) IN GENERAL.—Except as provided in 

13 subparagraph (B), an alien entrepreneur, alien 

14 spouse, and alien child shall be considered, at 

15 the time of obtaining status of an alien lawfully 

16 admitted for permanent residence, to have ob17 tained such status on a conditional basis sub18 ject to the provisions of this section. 

19 ‘‘(B) EXCEPTION.—Alien entrepreneurs 

20 who meet the requirements under subsection 

21 (d)(2)(A)(ii) shall obtain the status of an alien 

22 lawfully admitted for permanent residence with23 out a conditional basis upon approval of the pe24 tition required under such subsection.’’; 

25 (3) in subsection (c)— 


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•S 1501 IS

1 (A) in the heading, by striking ‘‘OF TIME2 LY PETITION AND INTERVIEW’’; 

3 (B) in paragraph (1)— 

4 (i) in the matter preceding subpara5 graph (A), by striking ‘‘In order’’ and in6 serting ‘‘Except as provided in paragraph 

7 (3)(D), in order’’; 

8 (ii) in subparagraph (A), by striking 

9 ‘‘, and’’ and inserting a semicolon; 

10 (iii) in subparagraph (B), by striking 

11 ‘‘Service respecting the facts and informa12 tion described in subsection (d)(1).’’ and 

13 inserting ‘‘Department of Homeland Secu14 rity respecting the facts and information 

15 described in subsection (d)(1); and’’; and 

16 (iv) by adding at the end the fol17 lowing: 

18 ‘‘(C) the Secretary shall perform a site 

19 visit to the job creating entity in which the 

20 alien entrepreneur invested capital under sec21 tion 203(b)(5)(A), which visit may take place at 

22 any time after an application for approval of in23 vestment in a commercial enterprise is filed 

24 under section 203(b)(5)(F).’’; and 


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•S 1501 IS

1 (C) in paragraph (3)(A), by striking ‘‘the’’ 

2 before ‘‘such filing’’; 

3 (4) in subsection (d)— 

4 (A) in paragraph (1)(A)(ii), by inserting 

5 ‘‘except for alien entrepreneurs described in 

6 subsection (d)(2)(A)(ii),’’ before ‘‘sustained’’; 

7 (B) in paragraph (2), by amending sub8 paragraph (A) to read as follows: 

9 ‘‘(A) 90-DAY PERIOD BEFORE SECOND AN10 NIVERSARY.—(i) Except as provided in clause 

11 (ii) and subparagraph (B), the petition under 

12 subsection (c)(1)(A) shall be filed during the 

13 90-day period before the second anniversary of 

14 the alien entrepreneur’s lawful admission for 

15 permanent residence. 

16 ‘‘(ii) If the alien entrepreneur has sus17 tained the actions described in paragraph 

18 (1)(A)(i) for at least a 24-month period before 

19 admission, the alien entrepreneur may file the 

20 petition under subsection (c)(1)(A) any time 

21 after such period and before admission for per22 manent residence.’’; and 

23 (C) in paragraph (3), by striking ‘‘Service’’ 

24 and inserting ‘‘Department of Homeland Secu25 rity’’; 


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•S 1501 IS

1 (5) by redesignating subsection (f) as sub2 section (g); and 

3 (6) by inserting after subsection (e) the fol4 lowing: 

5 ‘‘(f) FRAUD, MISREPRESENTATION, CRIMINAL MIS6 USE, OR THREATS TO THE PUBLIC SAFETY OR NATIONAL

7 SECURITY.—If the Secretary of Homeland Security deter8 mines, in the Secretary’s sole and unreviewable discretion, 

9 that the approval of any petition under this section or the 

10 conditional permanent resident status granted to an alien 

11 entrepreneur under subsection (a) is contrary to the na12 tional interest of the United States for reasons relating 

13 to fraud, misrepresentation, criminal misuse, or threats to 

14 public safety or national security, the Secretary shall— 

15 ‘‘(1) notify the alien involved of such deter16 mination without being required to disclose the basis 

17 for such determination to the extent such disclosure 

18 would be contrary to the national interest of the 

19 United States; and 

20 ‘‘(2) deny such petition or terminate the perma21 nent resident status of the alien involved (and the 

22 alien spouse and alien children of such immigrant) 

23 as of the date of such determination.’’. 

24 (b) EFFECTIVE DATE.— 


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•S 1501 IS

1 (1) IN GENERAL.—Except as provided under 

2 paragraph (2), the amendments made by this section 

3 shall take effect on the date of the enactment of this 

4 Act. 

5 (2) EXCEPTION.—The amendment made by 

6 subsection (a)(3)(B)(iv) shall take effect on the date 

7 that is 2 years after the date of the enactment of 

8 this Act. 

9 SEC. 4. EB–5 VISA REFORMS. 

10 (a) TARGETED EMPLOYMENT AREAS.— 

11 (1) IN GENERAL.—Section 203(b)(5)(B) of the 

12 Immigration and Nationality Act (8 U.S.C. 

13 1153(b)(5)(B)) is amended to read as follows: 

14 ‘‘(B) SET-ASIDE FOR TARGETED EMPLOY15 MENT AREAS.— 

16 ‘‘(i) IN GENERAL.—Not fewer than 

17 5,000 of the visas made available under 

18 this paragraph in each fiscal year shall be 

19 reserved for qualified immigrants who in20 vest in a new commercial enterprise de21 scribed in subparagraph (A), which— 

22 ‘‘(I) is investing such capital in a 

23 targeted employment area; and 

24 ‘‘(II) will create employment in 

25 such targeted employment area. 


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1 ‘‘(ii) DURATION OF HIGH UNEMPLOY2 MENT AREA DESIGNATION.—A designation 

3 of a high unemployment area as a targeted 

4 employment area shall be valid for the 2- 

5 year period beginning on the date of ap6 proval of an application filed under sub7 paragraph (F) or at the time of the invest8 ment for aliens not subject to the require9 ments of subparagraph (F). Such designa10 tion may be renewed for additional 2-year 

11 periods if the area continues to meet the 

12 definition of a high unemployment area. 

13 An entrepreneur who has made the re14 quired amount of investment in such a tar15 geted employment area during its period of 

16 designation shall not be required to in17 crease the amount of investment based 

18 upon expiration of the designation.’’. 

19 (b) ADJUSTMENT OF MINIMUM EB–5 INVESTMENT

20 AMOUNT.—Section 203(b)(5)(C) of such Act (8 U.S.C. 

21 1153(b)(5)(C)) is amended— 

22 (1) by striking clauses (i) and (ii) and inserting 

23 the following: 

24 ‘‘(i) MINIMUM INVESTMENT

25 AMOUNTS.—Except as otherwise provided 


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•S 1501 IS

1 in this subparagraph, the amount of cap2 ital required under subparagraph (A) shall 

3 be $1,200,000. In the case of an invest4 ment in a targeted employment area, the 

5 amount of capital required under subpara6 graph (A) shall be $800,000. 

7 ‘‘(ii) ADJUSTMENT OF MINIMUM IN8 VESTMENT AMOUNTS.— 

9 ‘‘(I) IN GENERAL.—The Sec10 retary of Homeland Security, in con11 sultation with the Secretary of Labor 

12 and the Secretary of Commerce, may 

13 from time to time prescribe regula14 tions increasing the dollar amounts 

15 specified under clause (i). 

16 ‘‘(II) AUTOMATIC ADJUST17 MENTS.—Beginning on January 1, 

18 2020, and on every fifth subsequent 

19 January 1— 

20 ‘‘(aa) if the Secretary did 

21 not increase the minimum 

22 amount during the previous 5 fis23 cal years, the amounts specified 

24 in clause (i) shall automatically 

25 be adjusted by the amount of the 


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1 cumulative percentage change in 

2 the Consumer Price Index (CPI– 

3 U) for the previous 5 fiscal years; 

4 ‘‘(bb) if the Secretary in5 creased the minimum amount 

6 during the previous 5 fiscal years 

7 by an amount that is less than 

8 the cumulative percentage change 

9 in the CPI–U during the previous 

10 5 fiscal years, the amounts speci11 fied in clause (i) shall automati12 cally be adjusted by the amount 

13 of such cumulative percentage 

14 change for such period minus any 

15 increase prescribed by the Sec16 retary by regulations; or 

17 ‘‘(cc) if the Secretary in18 creased the minimum amount 

19 during the previous 5 fiscal years 

20 by an amount that is greater 

21 than the cumulative percentage 

22 change in the CPI–U during the 

23 previous 5 fiscal years, the 

24 amounts specified in clause (i) 

25 shall not be increased. 


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1 ‘‘(iii) MINIMUM INVESTMENT AMOUNT

2 IN A TARGETED EMPLOYMENT AREA.—The 

3 minimum investment amount in a targeted 

employment area shall be not less than 1 4 ⁄2

and not more than 3 5 ⁄4 of the investment in 

6 a non-targeted area of employment.’’; and 

7 (2) in clause (iii) by striking ‘‘the Attorney 

8 General’’ and inserting ‘‘the Secretary’’. 

9 (c) DEFINITIONS.— 

10 (1) IN GENERAL.—Section 203(b)(5) of such 

11 Act (8 U.S.C. 1153(b)(5)), as amended by sub12 sections (a) and (b) and by section 2, is further 

13 amended by amending subparagraph (D) to read as 

14 follows: 

15 ‘‘(D) DEFINITIONS.—In this paragraph: 

16 ‘‘(i) CAPITAL.—The term ‘capital’— 

17 ‘‘(I) means all real, personal, or 

18 mixed tangible assets owned and con19 trolled by the alien entrepreneur, or 

20 held in trust for the benefit of the 

21 alien and to which the alien has unre22 stricted access; 

23 ‘‘(II) shall be valued at fair mar24 ket value in United States dollars, in 

25 accordance with Generally Accepted 


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•S 1501 IS

1 Accounting Principles or other stand2 ard accounting practice adopted by 

3 the Securities and Exchange Commis4 sion, at the time it is invested under 

5 this paragraph; and 

6 ‘‘(III) shall not include assets ac7 quired, directly or indirectly, by un8 lawful means, including any cash pro9 ceeds of indebtedness secured by such 

10 assets. 

11 ‘‘(ii) COMMERCIAL ENTERPRISE ASSO12 CIATED WITH A REGIONAL CENTER.—The 

13 terms ‘commercial enterprise associated 

14 with a regional center’ and ‘regional center 

15 associated commercial enterprise’ mean 

16 any for-profit activity formed for the ongo17 ing conduct of lawful business, including a 

18 sole proprietorship, partnership (whether 

19 limited or general), holding company, joint 

20 venture, corporation, business trust, or 

21 other entity, that associates with a regional 

22 center and receives, or is established to re23 ceive, capital investment under the regional 

24 center program described in subparagraph 

25 (E). 


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•S 1501 IS

1 ‘‘(iii) FULL-TIME EMPLOYMENT.—The 

2 term ‘full-time employment’ means employ3 ment in a position that requires at least 35 

4 hours of service per week for at least a 24- 

5 month period. 

6 ‘‘(iv) HIGH UNEMPLOYMENT AREA.— 

7 The term ‘high unemployment area’ means 

8 an area, using the most recent census data 

9 available, consisting of a census tract that 

10 has an unemployment rate that is at least 

11 150 percent of the national average unem12 ployment rate. 

13 ‘‘(v) RURAL AREA.—The term ‘rural 

14 area’ means any area other than an area 

15 within a metropolitan statistical area or 

16 within the outer boundary of any city or 

17 town having a population of 20,000 or 

18 more (based on the most recent decennial 

19 census of the United States). 

20 ‘‘(vi) TARGETED EMPLOYMENT

21 AREA.— 

22 ‘‘(I) IN GENERAL.—The term 

23 ‘targeted employment area’ means a 

24 high unemployment area, a rural area, 

25 or any area within the geographic 


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•S 1501 IS

1 boundaries of any military installation 

2 closed, during the 20-year period im3 mediately preceding the filing of an 

4 application under subparagraph (F), 

5 based upon a recommendation by the 

6 Defense Base Closure and Realign7 ment Commission. 

8 ‘‘(II) ELIGIBILITY.—Eligibility 

9 for designation as a targeted employ10 ment area shall be determined by the 

11 Secretary of Homeland Security, who 

12 shall not be bound by the determina13 tion of any other Federal or State 

14 governmental or nongovernmental en15 tity.’’. 

16 (2) RULEMAKING.—The Secretary of Homeland 

17 Security, in consultation with the Secretary of De18 fense, shall issue appropriate regulations to account 

19 for the modified definition of targeted employment 

20 area in section 203(b)(5)(D)(vi) of the Immigration 

21 and Nationality Act, as added by paragraph (1). 

22 (d) AGE DETERMINATION FOR CHILDREN OF ALIEN

23 ENTREPRENEURS.—Section 203(h) of the Immigration 

24 and Nationality Act (8 U.S.C. 1153(h)) is amended by 

25 adding at the end the following: 


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1 ‘‘(5) AGE DETERMINATION FOR CHILDREN OF

2 ALIEN ENTREPRENEURS.—An alien admitted under 

3 subsection (d) as a lawful permanent resident on a 

4 conditional basis as the child of an alien lawfully ad5 mitted for permanent residence under subsection 

6 (b)(5), whose lawful permanent resident status on a 

7 conditional basis is terminated under section 216A, 

8 shall continue to be considered a child of the prin9 cipal alien for the purpose of a subsequent immi10 grant petition by such alien under subsection (b)(5) 

11 if the alien remains unmarried and the subsequent 

12 petition is filed by the principal alien not later than 

13 1 year after the termination of conditional lawful 

14 permanent resident status. No alien shall be consid15 ered a child under this paragraph with respect to 

16 more than 1 petition filed after the alien reaches 21 

17 years of age.’’. 

18 (e) ENHANCED PAY SCALE FOR CERTAIN FEDERAL

19 EMPLOYEES ADMINISTERING THE EB–5 PROGRAM.—The 

20 Secretary of Homeland Security may establish, fix the 

21 compensation of, and appoint individuals to, designated 

22 critical, technical, and professional positions needed to ad23 minister sections 203(b)(5) and 216A of the Immigration 

24 and Nationality Act (8 U.S.C. 1153(b)(5) and 1186b). 


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1 (f) CONCURRENT FILING OF EB–5 PETITIONS AND

2 APPLICATIONS FOR ADJUSTMENT OF STATUS.—Section 

3 245 of the Immigration and Nationality Act (8 U.S.C. 

4 1255) is amended— 

5 (1) in subsection (k), in the matter preceding 

6 paragraph (1), by striking ‘‘or (3)’’ and inserting 

7 ‘‘(3), or (5)’’; and 

8 (2) by adding at the end the following: 

9 ‘‘(n) If the approval of a petition for classification 

10 under section 203(b)(5) would make a visa immediately 

11 available to the alien beneficiary, the alien beneficiary’s 

12 application for adjustment of status under this section 

13 shall be considered to be properly filed whether the appli14 cation is submitted concurrently with, or subsequent to, 

15 the visa petition.’’. 

16 (g) EFFECTIVE DATES.— 

17 (1) IN GENERAL.—Except as provided under 

18 paragraph (2), the amendments made by this section 

19 shall be effective upon the date of the enactment of 

20 this Act. 

21 (2) EXCEPTIONS.—The amendments made by 

22 subsections (b)(1) and (c)(1) shall not apply to— 

23 (A) applications for business plan approval 

24 for regional center investments in actual 

25 projects that were filed with, or approved by, 


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•S 1501 IS

1 the Secretary of Homeland Security before the 

2 date of the enactment of this Act; and 

3 (B) petitions seeking classification under 

4 section 203(b)(5) of the Immigration and Na5 tionality Act (8 U.S.C. 1153(b)(5)) and peti6 tions filed under section 216A of such Act (8 

7 U.S.C. 1186b) by immigrants investing in the 

8 same commercial enterprise concerning the 

9 same economic activity as contained in an appli10 cation for business plan approval described in 

11 subparagraph (A). 

12 SEC. 5. PROCEDURE FOR GRANTING IMMIGRANT STATUS. 

13 (a) FILING ORDER.—Section 204(a)(1)(H) of the 

14 Immigration and Nationality Act (8 U.S.C. 

15 1154(a)(1)(H)) is amended to read as follows: 

16 ‘‘(H) An alien desiring to be classified under section 

17 203(b)(5) may file a petition with the Secretary of Home18 land Security. An alien petitioning for classification pursu19 ant to section 203(b)(5)(E) may file a petition with the 

20 Secretary only after approval of investment in a commer21 cial enterprise under section 203(b)(5)(F).’’. 

22 (b) EFFECTIVE DATE.—The amendment made by 

23 subsection (a)— 

24 (1) shall take effect on the date of the enact25 ment of this Act; and 


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•S 1501 IS

1 (2) shall apply to any petition for classification 

2 pursuant to section 203(b)(5)(E) of the Immigration 

3 and Nationality Act (8 U.S.C. 1153(b)(5)(E)) that 

4 is filed with the Secretary of Homeland Security on 

5 or after the date of the enactment of this Act. 

6 SEC. 6. ADJUSTMENT OF FEES TO ACHIEVE EFFICIENT 

7 PROCESSING. 

8 (a) FEE STUDY.—Not later than 30 days after the 

9 date of the enactment of this Act, the Director of U.S. 

10 Citizenship and Immigration Service shall initiate a study 

11 of fees charged in the administration of the program de12 scribed in section 203(b)(5)(E) of the Immigration and 

13 Nationality Act (8 U.S.C. 1153(b)(5)(E)). 

14 (b) FEE LEVELS.—Notwithstanding section 286(m) 

15 of the Immigration and Nationality Act (8 U.S.C. 

16 1356(m)), and except as provided under subsection (c), 

17 the Director shall set fees for services provided pursuant 

18 to section 203(b)(5) of such Act at a level sufficient to 

19 ensure the full recovery only of the costs of providing such 

20 services, including the cost of ensuring that adjudication 

21 is completed, on average, not later than— 

22 (1) 120 days after receiving a proposal for the 

23 establishment of a regional center described in sec24 tion 203(b)(5)(E); 


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•S 1501 IS

1 (2) 120 days after receiving an application for 

2 approval of investment in a commercial enterprise 

3 described in section 203(b)(5)(F); 

4 (3) 150 days after receiving a petition from an 

5 alien desiring to be classified under section 

6 203(b)(5)(E); and 

7 (4) 180 days after receiving a petition from an 

8 alien for removal of conditions described in section 

9 216A(c). 

10 (c) ADDITIONAL FEES.—Additional fees in excess of 

11 the fee levels described in subsection (b) may be charged 

12 only to contribute— 

13 (1) in an amount that is equal to the amount 

14 paid by all other classes of fee-paying applicants for 

15 immigration related benefits, to the coverage or re16 duction of the costs of processing or adjudicating 

17 classes of immigration benefit applications that Con18 gress or, in the case of asylum applications, the Sec19 retary has authorized to be processed or adjudicated 

20 at no cost or at a reduced cost to the applicant; and 

21 (2) in an amount that is not greater than 1 

22 percent of the fee for filing a petition under section 

23 203(b)(5) of the Immigration and Nationality Act (8 

24 U.S.C. 1153(b)(5)), to improvements to the informa25 tion technological systems used by the Secretary to 


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•S 1501 IS

1 process, adjudicate, and archive applications and pe2 titions under such section, including the conversion 

3 to electronic format of documents filed by petitioners 

4 and applicants for benefits under such section. 

5 (d) RULE OF CONSTRUCTION.—Nothing in this sec6 tion may be construed to require any modification of fees 

7 before the completion of— 

8 (1) the fee study described in subsection (a); 

9 and 

10 (2) regulations promulgated by the Secretary of 

11 Homeland Security, in accordance with subchapter 

12 II of chapter 5 and chapter 7 of title 5, United 

13 States Code (commonly known as the ‘‘Administra14 tive Procedures Act’’), to carry out subsection (b). 

15 SEC. 7. TRANSPARENCY. 

16 (a) IN GENERAL.—Employees of the Department of 

17 Homeland Security, including the Secretary of Homeland 

18 Security, the Secretary’s counselors, the Assistant Sec19 retary for the Private Sector, the Director of U.S. Citizen20 ship and Immigration Services, counselors to such Direc21 tor, and the Chief of Immigrant Investor Programs at 

22 U.S. Citizenship and Immigration Services, shall act im23 partially and may not give preferential treatment to any 

24 organization or individual in connection with any aspect 

25 of the immigrant visa program described in section 


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•S 1501 IS

1 203(b)(5)(E) of the Immigration and Nationality Act, as 

2 added by section 2(b). 

3 (b) IMPROPER ACTIVITIES.—Activities that con4 stitute preferential treatment under subsection (a) shall 

5 include— 

6 (1) working on, or in any way attempting to ex7 pedite or otherwise influence, in a manner not avail8 able to or accorded to all other petitioners, appli9 cants, and seekers of benefits under the immigrant 

10 visa program described in section 203(b)(5)(E) of 

11 the Immigration and Nationality Act, as added by 

12 section 2(b), the processing of, an application, peti13 tion, or benefit for— 

14 (A) a regional center; 

15 (B) a commercial enterprise associated 

16 with a regional center; 

17 (C) a job-creating entity associated with a 

18 regional center; or 

19 (D) any person or entity associated with 

20 such regional center, commercial enterprise, or 

21 job-creating entity; and 

22 (2) meeting or communicating with persons as23 sociated with the entities described in paragraph (1), 

24 at the request of such persons, in a manner not 

25 available to or accorded to all other petitioners, apVerDate Sep 11 2014 03:54 Jun 04, 2015 Jkt 049200 PO 00000 Frm 00070 Fmt 6652 Sfmt 6201 E:\BILLS\S1501.IS S1501

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1 plicants, and seekers of benefits under the immi2 grant visa program described in section 

3 203(b)(5)(E) of the Immigration and Nationality 

4 Act, as added by section 2(b). 

5 (c) REPORTING OF COMMUNICATIONS.— 

6 (1) WRITTEN COMMUNICATION.—Employees of 

7 the Department of Homeland Security, including the 

8 officials listed in subsection (a), shall include, in the 

9 record of proceeding for a case under section 

10 203(b)(5)(E) of the Immigration and Nationality 

11 Act, as added by section 2(b), actual or electronic 

12 copies of all case-specific written communication, in13 cluding e-mails from government and private ac14 counts, with non-Department persons or entities ad15 vocating for regional center proposals or individual 

16 petitions pending on or after the date of enactment 

17 of this Act. 

18 (2) ORAL COMMUNICATION.—If substantive oral 

19 communication, including telephonic communication, 

20 virtual communication, and in-person meetings, 

21 takes place between officials of the Department of 

22 Homeland Security and non-Department persons or 

23 entities regarding specific cases under section 

24 203(b)(5)(E) of the Immigration and Nationality 

25 Act (other than routine communications with other 


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•S 1501 IS

1 agencies of the Federal Government regarding the 

2 case, including communications involving back3 ground checks and litigation defense)— 

4 (A) the conversation shall be recorded; or 

5 (B) detailed minutes of the session shall be 

6 taken and included in the record of proceeding. 

7 (3) NOTIFICATION.— 

8 (A) IN GENERAL.—If the Secretary, in the 

9 course of written or oral communication de10 scribed in this subsection, receives evidence 

11 about a specific case from anyone other than an 

12 affected party or his or her representative (ex13 cluding Federal Government or law enforcement 

14 sources), such information may not be made 

15 part of the record of proceeding and may not 

16 be considered in adjudicative proceedings un17 less— 

18 (i) the affected party has been given 

19 notice of such evidence; and 

20 (ii) if such evidence is derogatory, the 

21 affected party has been given an oppor22 tunity to respond to the evidence. 

23 (B) INFORMATION FROM LAW ENFORCE24 MENT, INTELLIGENCE AGENCIES, OR CON25 FIDENTIAL SOURCES.— 


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1 (i) LAW ENFORCEMENT OR INTEL2 LIGENCE AGENCIES.—Evidence received 

3 from law enforcement or intelligence agen4 cies may not be made part of the record of 

5 proceeding without the consent of the rel6 evant agency or law enforcement entity. 

7 (ii) WHISTLEBLOWERS OR OTHER

8 CONFIDENTIAL SOURCES.—Evidence re9 ceived from whistleblowers or other con10 fidential sources that is included in the 

11 record of proceeding and considered in ad12 judicative proceedings shall be handled in a 

13 manner that does not reveal the identity of 

14 the whistleblower or confidential source. 

15 (d) CONSIDERATION OF EVIDENCE.— 

16 (1) IN GENERAL.—No case-specific communica17 tion with persons or entities that are not part of the 

18 Department of Homeland Security may be consid19 ered in the adjudication of an application or petition 

20 under section 203(b)(5)(E) of the Immigration and 

21 Nationality Act, as added by section 2(b), unless the 

22 communication is included in the record of pro23 ceeding of the case. 

24 (2) WAIVER.—The Secretary of Homeland Se25 curity may waive the requirement under paragraph 


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1 (1) only in the interests of national security or for 

2 investigative or law enforcement purposes. 

3 (e) CHANNELS OF COMMUNICATION.— 

4 (1) E-MAIL ADDRESS OR EQUIVALENT.—The 

5 Director of U.S. Citizenship and Immigration Serv6 ices shall maintain an e-mail account (or equivalent 

7 means of communication) for persons or entities— 

8 (A) with inquiries regarding specific cases 

9 under section 203(b)(5)(E) of the Immigration 

10 and Nationality Act, as added by section 2(b); 

11 or 

12 (B) seeking non-case-specific information 

13 about the regional center program described in 

14 such section. 

15 (2) COMMUNICATION ONLY THROUGH APPRO16 PRIATE CHANNELS OR OFFICES.— 

17 (A) ANNOUNCEMENT OF APPROPRIATE

18 CHANNELS OF COMMUNICATION.—Not later 

19 than 40 days after the date of the enactment of 

20 this Act, the Director of U.S. Citizenship and 

21 Immigration Services shall announce that the 

22 only channels or offices by which petitioners, 

23 applicants, and seekers of benefits under the 

24 immigrant visa program described in section 

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1 ality Act, or such persons’ representatives, may 

2 communicate with the Department of Home3 land Security regarding specific cases under 

4 such section, or non-case-specific information 

5 about the regional center program applicable to 

6 certain cases under such section, are through— 

7 (i) the e-mail address or equivalent 

8 channel described in paragraph (1); 

9 (ii) the U.S. Citizenship and Immigra10 tion Services National Customer Service 

11 Center, or any successor to that Center; or 

12 (iii) the U.S. Citizenship and Immi13 gration Services Office of Public Engage14 ment, Immigrant Investor Program Office, 

15 Stakeholder Engagement Branch, or any 

16 successors to those Offices or Branch. 

17 (B) DIRECTION OF INCOMING COMMUNICA18 TIONS.— 

19 (i) IN GENERAL.—Employees of the 

20 Department of Homeland Security shall di21 rect all persons making inquiries regarding 

22 the regional center program applicable to 

23 certain cases under section 203(b)(5)(E) of 

24 the Immigration and Nationality Act, as 

25 added by section 2(b) to the channels of 


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•S 1501 IS

1 communication or offices listed in subpara2 graph (A). 

3 (ii) SAVINGS PROVISION.—Nothing in 

4 this subparagraph may be construed to 

5 prevent Department employees from di6 recting inquiries to the U.S. Citizenship 

7 and Immigration Services Ombudsman. 

8 (C) LOG.— 

9 (i) IN GENERAL.—The Director of 

10 U.S. Citizenship and Immigration Services 

11 shall maintain a written or electronic log 

12 of— 

13 (I) all communications described 

14 in subparagraph (A), which shall ref15 erence the date, time, and subject of 

16 the communication, and the identity 

17 of the Department official, if any, to 

18 whom the inquiry was forwarded; 

19 (II) with respect to written com20 munications described in subsection 

21 (c)(1), the date the communication 

22 was received, the identities of the 

23 sender and addressee, and the subject 

24 of the communication; and 


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1 (III) with respect to oral commu2 nications described in subsection 

3 (c)(2), the date on which the commu4 nication occurred, the participants in 

5 the conversation or meeting, and the 

6 subject of the communication. 

7 (ii) TRANSPARENCY.—The log of com8 munications described in clause (i) shall be 

9 made publicly available in accordance with 

10 section 552 of title 5, United States Code 

11 (commonly known as the ‘‘Freedom of In12 formation Act’’). 

13 (3) PUBLICATION OF INFORMATION.—If, as a 

14 result of a communication with an official of the De15 partment of Homeland Security, a person or entity 

16 inquiring about a specific case or generally about the 

17 regional center program described in section 

18 203(b)(5)(E) of the Immigration and Nationality 

19 Act received generally applicable and non-case spe20 cific information about program requirements or ad21 ministration that has not been made publicly avail22 able by the Department, the Director of U.S. Citi23 zenship and Immigration Services, not later than 30 

24 days after the communication of such information to 

25 such person or entity, shall publish such information 


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•S 1501 IS

1 on the U.S. Citizenship and Immigration Services 

2 website as an update to the relevant Frequently 

3 Asked Questions page or by some other comparable 

4 mechanism. 

5 (f) PENALTY.— 

6 (1) IN GENERAL.—Any person who violates the 

7 prohibition on preferential treatment under this sec8 tion or intentionally violates the reporting require9 ments under subsection (c) shall be disciplined in ac10 cordance with paragraph (2). 

11 (2) SANCTIONS.—Not later than 90 days after 

12 the date of the enactment of this Act, the Secretary 

13 of Homeland Security shall establish a graduated set 

14 of sanctions based on the severity of the violation re15 ferred to in paragraph (1), which may include, in 

16 addition to any criminal or civil penalties that may 

17 be imposed— 

18 (A) written reprimand; 

19 (B) suspension; 

20 (C) demotion; or 

21 (D) removal. 

22 (g) RULE OF CONSTRUCTION.—Nothing in this sec23 tion may be construed to modify any law, regulation, or 

24 policy regarding the handling or disclosure of classified in25 formation. 


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1 (h) EFFECTIVE DATE.—The amendments made by 

2 this section shall take effect on the date of the enactment 

3 of this Act. 

Æ 


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