Title: Immigrant Investor Program Reform Act
Policy area: Immigration

Summary:
Immigrant Investor Program Reform Act
This bill reauthorizes the EB-5 investor program through September 2025 and makes various changes to the program, such as imposing various oversight mechanisms. (EB-5 visas provide permanent resident status to qualified investors whose investments create a certain number of jobs.)


[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[S. 2778 Introduced in Senate (IS)]

<DOC>






116th CONGRESS
  1st Session
                                S. 2778

 To reform the EB-5 Immigrant Investor Program, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 5, 2019

  Mr. Rounds (for himself, Mr. Graham, and Mr. Cornyn) introduced the 
 following bill; which was read twice and referred to the Committee on 
                             the Judiciary

_______________________________________________________________________

                                 A BILL


 
 To reform the EB-5 Immigrant Investor Program, and for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Immigrant Investor 
Program Reform Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Invest in American job creation.
Sec. 3. Transparency.
Sec. 4. Treatment of period for purposes of naturalization.
Sec. 5. Concurrent filing of EB-5 petitions and applications for 
                            adjustment of status.
Sec. 6. Parole status for petitioners and dependents awaiting 
                            availability of an immigrant visa.

SEC. 2. INVEST IN AMERICAN JOB CREATION.

    (a) In General.--Section 203(b)(5) of the Immigration and 
Nationality Act (8 U.S.C. 1153(b)(5)) is amended to read as follows:
            ``(5) Employment creation.--
                    ``(A) In general.--Visas shall be made available, 
                in a number not to exceed 7.1 percent of such worldwide 
                level, to qualified immigrants seeking to enter the 
                United States for the purpose of investing in a new 
                commercial enterprise, directly or in a new commercial 
                enterprise associated with a regional center under 
                subparagraph (B)--
                            ``(i) in which such alien has invested or, 
                        is actively in the process of investing, 
                        capital in an amount not less than the amount 
                        specified in subparagraph (D); and
                            ``(ii) that will benefit the United States 
                        economy and create full-time employment for not 
                        fewer than 10 United States citizens or aliens 
                        lawfully admitted for permanent residence or 
                        other immigrants lawfully authorized to be 
                        employed in the United States (other than the 
                        immigrant and the immigrant's spouse, sons, or 
                        daughters).
                    ``(B) Regional center program.--Visas made 
                available under subparagraph (A) shall be made 
                available through September 30, 2025, to qualified 
                immigrants pooling their investments with 1 or more 
                additional qualified immigrants in a new commercial 
                enterprise associated with a regional center in the 
                United States that has been designated by the Secretary 
                of Homeland Security on the basis of a proposal for the 
                promotion of economic growth, including prospective job 
                creation and increased domestic capital investment.
                    ``(C) Reservation for targeted employment areas.--
                            ``(i) In general.--Of the number of visas 
                        allocated under subparagraph (A), 30 percent 
                        shall be reserved in each fiscal year before 
                        fiscal year 2026 for qualified immigrants who 
                        invest in a new commercial enterprise in a 
                        targeted employment area, of which 50 percent 
                        shall be reserved for rural areas.
                            ``(ii) Unused visas.--At the end of each 
                        fiscal year, any unused visa numbers that were 
                        reserved under this subparagraph shall be made 
                        generally available in the next fiscal year to 
                        immigrants who have filed applications for 
                        classification as an immigrant investor under 
                        subparagraph (A).
                    ``(D) Amount of capital required.--
                            ``(i) In general.--Except as otherwise 
                        provided in this subparagraph, the amount of 
                        capital required under subparagraph (A) shall 
                        be $1,100,000.
                            ``(ii) Minimum investment for targeted 
                        employment areas.--Subject to clause (iii), the 
                        amount of capital required under subparagraph 
                        (A) in the case of a targeted employment area 
                        shall be $1,000,000.
                            ``(iii) Program improvement fee.--Each 
                        immigrant investor shall pay, to the Treasury 
                        of the United States, a program improvement fee 
                        of $50,000 in conjunction with each I-526 
                        petition submitted under this paragraph after 
                        the date of the enactment of the Immigrant 
                        Investor Program Reform Act.
                            ``(iv) Adjustment of required capital.--
                                    ``(I) Automatic adjustment.--
                                Beginning on October 1, 2022 and every 
                                3 years thereafter, the qualifying 
                                investment amounts under clauses (i) 
                                and (ii) shall be automatically 
                                adjusted based on the cumulative annual 
                                percentage change in the unadjusted All 
                                Items Consumer Price Index for All 
                                Urban Consumers (CPI-U) for the U.S. 
                                City Average reported by the Bureau of 
                                Labor Statistics compared to such 
                                amounts in September 2019. The 
                                qualifying investment amount will be 
                                rounded down to the nearest $100,000.
                                    ``(II) Notice of adjustment.--
                                            ``(aa) In general.--
                                        Immediately after each 
                                        adjustment under subclause (I), 
                                        the Secretary of Homeland 
                                        Security shall publish a 
                                        technical amendment in the 
                                        Federal Register that includes 
                                        the amounts set forth in 
                                        clauses (i) and (ii), as 
                                        adjusted by subclause (I).
                                            ``(bb) Applicability.--Any 
                                        petition for classification of 
                                        an alien as an immigrant 
                                        investor under this paragraph 
                                        that is filed on or after 
                                        October 1 in the year an 
                                        automatic adjustment to the 
                                        minimum qualifying investment 
                                        amount occurs under subclause 
                                        (I) shall be subject to such 
                                        adjusted amount.
                    ``(E) Regional center program.--
                            ``(i) Processing.--
                                    ``(I) In general.--In processing 
                                petitions under section 204(a)(1)(H) 
                                for classification under this 
                                paragraph, the Secretary of Homeland 
                                Security--
                                            ``(aa) may process 
                                        petitions in a manner and order 
                                        established by the Secretary; 
                                        and
                                            ``(bb) shall deem such 
                                        petitions to include records 
                                        previously filed with the 
                                        Secretary under subparagraph 
                                        (F) if the alien petitioner 
                                        certifies that such records are 
                                        incorporated by reference into 
                                        the alien's petition.
                                    ``(II) Priority.--In processing 
                                applications for designation as a 
                                regional center, amendments, specific 
                                investment offerings, and annual 
                                certifications submitted under this 
                                paragraph, the Secretary may give 
                                priority, upon the payment of a $50,000 
                                premium processing fee, to such 
                                applications and certifications, 
                                notwithstanding other pending 
                                applications or petitions filed under 
                                other employment-based visa categories.
                                    ``(III) Premium processing of eb-5 
                                regional center applications.--
                                            ``(aa) In general.--An 
                                        entity seeking designation as 
                                        an EB-5 regional center or an 
                                        amendment of a previously 
                                        approved regional center may, 
                                        upon the payment of a $50,000 
                                        premium processing fee, request 
                                        that the Secretary process the 
                                        application within 120 days.
                                            ``(bb) Response to premium 
                                        processing request.--If the 
                                        Secretary cannot render a final 
                                        decision on the application or 
                                        petition for which premium 
                                        processing was requested, as 
                                        evidenced by an approval notice 
                                        or denial notice, the Secretary 
                                        shall refund the premium 
                                        processing fee.
                                    ``(IV) Expedited processing of 
                                targeted employment area petitions.--A 
                                petition relating to a project in a 
                                targeted employment area, including 
                                individual investor petitions, will be 
                                subject to expedited review without 
                                payment of an additional premium 
                                processing fee.
                            ``(ii) Establishment of regional centers.--
                        A regional center shall operate within a 
                        defined, contiguous, and limited geographic 
                        area, which shall be described in the proposal 
                        and be consistent with the purpose of 
                        concentrating pooled investment within such 
                        area. The proposal to establish a regional 
                        center shall--
                                    ``(I) demonstrate that the pooled 
                                investment will have a significant 
                                economic impact on such geographic 
                                area;
                                    ``(II) include reasonable 
                                predictions, supported by economically 
                                and statistically valid forecasting 
                                tools, concerning--
                                            ``(aa) the amount of 
                                        investment that will be pooled;
                                            ``(bb) the types of 
                                        commercial enterprises that 
                                        will receive such investments;
                                            ``(cc) the details of the 
                                        jobs that will be created 
                                        directly or indirectly as a 
                                        result of such investments; and
                                            ``(dd) other positive 
                                        economic effects such 
                                        investments will have; and
                                    ``(III) include a description of 
                                the policies and procedures that are 
                                reasonably designed to ensure program 
                                compliance; and
                                    ``(IV) include a description of the 
                                policies and procedures in place that 
                                are reasonably designed to monitor new 
                                commercial enterprises, third-party 
                                promoters (including migration agents), 
                                and any affiliated job-creating entity 
                                to ensure compliance with--
                                            ``(aa) all applicable laws, 
                                        regulations, and executive 
                                        orders of the United States, 
                                        including immigration laws, 
                                        criminal laws, and securities 
                                        laws; and
                                            ``(bb) all securities laws 
                                        of each State in which 
                                        securities offerings will be 
                                        conducted, investment advice 
                                        will be rendered, or the 
                                        offerors or offerees reside.
                            ``(iii) Job creation.--
                                    ``(I) In general.--In determining 
                                compliance with subparagraph (A)(ii), 
                                the Secretary of Homeland Security 
                                shall permit aliens seeking admission 
                                based on an investment in a new 
                                commercial enterprise associated with a 
                                regional center under this subparagraph 
                                to rely on economically and 
                                statistically valid methodologies for 
                                determining the number of jobs created 
                                by the program, including--
                                            ``(aa) jobs estimated to 
                                        have been created directly, 
                                        which may be verified using 
                                        such methodologies, provided 
                                        that the Secretary may request 
                                        additional evidence to verify 
                                        that the directly created jobs 
                                        satisfy the requirements under 
                                        subparagraph (A)(ii); and
                                            ``(bb) consistent with this 
                                        subparagraph, jobs estimated to 
                                        have been created indirectly 
                                        through revenues generated from 
                                        increased exports, improved 
                                        regional productivity, job 
                                        creation, and increased 
                                        domestic capital investment 
                                        resulting from the program.
                            ``(iv) Amendments.--The Secretary of 
                        Homeland Security shall--
                                    ``(I) require regional centers to 
                                provide 120 days advance notice to the 
                                Secretary of significant proposed 
                                changes to their organizational 
                                structure, ownership, or 
                                administration, including the sale of 
                                such centers or other arrangements in 
                                which individuals not previously 
                                subject to the requirements under 
                                subparagraph (H) become involved with 
                                the regional center, before any such 
                                proposed changes may take effect unless 
                                exigent circumstances are present in 
                                which case the regional center shall 
                                provide notice to the Secretary not 
                                later than 5 business days after such 
                                change; and
                                    ``(II) notwithstanding the pendency 
                                of a determination described in 
                                subclause (II), adjudicate business 
                                plans under subparagraph (F) and 
                                petitions under section 204(a)(1)(H).
                            ``(v) Sanctions.--
                                    ``(I) Violations.--The Secretary 
                                shall sanction a regional center, in 
                                accordance with subclause (II), if--
                                            ``(aa) the regional center 
                                        fails to submit an annual 
                                        statement, attestation, 
                                        certification, or other 
                                        information required under this 
                                        paragraph;
                                            ``(bb) the regional center 
                                        fails to pay the fee required 
                                        under subparagraph (J)(ii) 
                                        within 30 days after the date 
                                        on which such fee is due or, 
                                        after being fined, fails to pay 
                                        the fine within 90 days after 
                                        the date on which such fine is 
                                        due;
                                            ``(cc) the Secretary 
                                        determines that the regional 
                                        center knowingly submitted, or 
                                        caused to be submitted, a 
                                        statement, attestation, 
                                        certification, or any other 
                                        information under this 
                                        paragraph that contained an 
                                        untrue statement of material 
                                        fact or omitted to state a 
                                        material fact necessary in 
                                        order to make the statement, 
                                        attestation, certification or 
                                        provision of information, in 
                                        light of the circumstances 
                                        under which they were made, not 
                                        misleading;
                                            ``(dd) the Secretary 
                                        determines a person involved 
                                        with the regional center, an 
                                        associated new commercial 
                                        enterprise, or any affiliated 
                                        job-creating entity was 
                                        knowingly involved by the 
                                        regional center in violation of 
                                        subparagraph (H); or
                                            ``(ee) the Secretary 
                                        determines that the regional 
                                        center is otherwise conducting 
                                        itself in a manner inconsistent 
                                        with its designation, 
                                        including--

                                                    ``(AA) conduct that 
                                                fails to demonstrate 
                                                that the regional 
                                                center is operating 
                                                reliably or with 
                                                integrity;

                                                    ``(BB) failure to 
                                                promote economic growth 
                                                in compliance with this 
                                                paragraph; or

                                                    ``(CC) any willful, 
                                                undisclosed, and 
                                                material deviation by 
                                                new commercial 
                                                enterprises from any 
                                                filed business plan for 
                                                such commercial 
                                                enterprises.

                                    ``(II) Authorized sanctions.--The 
                                Secretary shall establish a graduated 
                                set of sanctions based on the severity 
                                of the violations referred to in 
                                subclause (I), including 1 or more of 
                                the following:
                                            ``(aa) Fines equal to not 
                                        more than 10 percent of the 
                                        total capital invested by alien 
                                        investors in the regional 
                                        center's new commercial 
                                        enterprises or job-creating 
                                        entities, which--

                                                    ``(AA) may not be 
                                                paid from any of such 
                                                alien investor's 
                                                capital investments; 
                                                and

                                                    ``(BB) shall be 
                                                deposited into the EB-5 
                                                Integrity Fund 
                                                established under 
                                                subparagraph (J)(i).

                                            ``(bb) Temporary suspension 
                                        from participation in the 
                                        regional center program, which 
                                        may be lifted by the Secretary 
                                        if the individual or entity 
                                        cures the alleged violation 
                                        after being provided such an 
                                        opportunity by the Secretary.
                                            ``(cc) Permanent bar from 
                                        program participation for 1 or 
                                        more individuals or entities 
                                        associated with the regional 
                                        center or new commercial 
                                        enterprise or affiliated job-
                                        creating entity.
                                            ``(dd) Termination of the 
                                        regional center designation.
                    ``(F) Application for approval of an investment in 
                a commercial enterprise.--
                            ``(i) In general.--The director of a 
                        regional center shall file an application with 
                        the Secretary of Homeland Security for each 
                        investment offering through an associated 
                        commercial enterprise. An alien may not file a 
                        petition for classification under this 
                        paragraph by reason of investment in such 
                        offering until after such application has been 
                        approved.
                            ``(ii) Contents.--Each application 
                        submitted under clause (i) shall include--
                                    ``(I) a comprehensive business plan 
                                for a specific capital investment 
                                project;
                                    ``(II) a credible economic analysis 
                                regarding estimated job creation that 
                                is based upon economically and 
                                statistically valid methodologies;
                                    ``(III) any documents filed with 
                                the Securities and Exchange Commission 
                                under the Securities Act of 1933 (15 
                                U.S.C. 77a et seq.) or with the 
                                securities regulator of any State, as 
                                required by law;
                                    ``(IV) any investment and offering 
                                documents, including subscription, 
                                investment, partnership, and operating 
                                agreements, private placement 
                                memoranda, term sheets, biographies for 
                                management, officers, directors, and 
                                any person with similar 
                                responsibilities, the description of 
                                the business plan to be provided to 
                                potential alien investors, and 
                                marketing materials used or to be used 
                                in connection with the offering as of 
                                the time of the filing, which shall 
                                contain references, as appropriate, 
                                to--
                                            ``(aa) any investment risks 
                                        associated with the new 
                                        commercial enterprise and the 
                                        affiliated job-creating entity;
                                            ``(bb) any conflicts of 
                                        interest that exist or may 
                                        arise among the regional 
                                        center, new commercial 
                                        enterprise, job-creating 
                                        entity, or the principals, 
                                        attorneys, or individuals 
                                        responsible for recruitment or 
                                        promotion of such entities;
                                            ``(cc) any pending 
                                        litigation or bankruptcy, or 
                                        adverse judgments or bankruptcy 
                                        orders issued during the most 
                                        recent 10-year period, in the 
                                        United States or abroad, 
                                        affecting the regional center, 
                                        new commercial enterprise, any 
                                        affiliated job-creating entity, 
                                        or any other enterprise in 
                                        which any principal of the 
                                        aforementioned entities held 
                                        majority ownership at the time; 
                                        and
                                            ``(dd)(AA) any fees, 
                                        ongoing interest, or other 
                                        compensation paid or to be paid 
                                        by regional center or new 
                                        commercial enterprise to 
                                        agents, finders, or broker 
                                        dealers involved in the 
                                        offering;
                                            ``(BB) a description of the 
                                        services performed, or which 
                                        will be performed, by such 
                                        person to entitle the person to 
                                        such fees, interest, or 
                                        compensation; and
                                            ``(CC) the name and contact 
                                        information of any such person, 
                                        if known at the time of filing; 
                                        and
                                    ``(V) a description of the policies 
                                and procedures, including those related 
                                to internal and external due diligence, 
                                reasonably designed to cause the 
                                regional center, new commercial 
                                enterprise, and any affiliated job-
                                creating entity, their agents, 
                                employees, advisors, and attorneys, and 
                                any persons in active concert or 
                                participation with the regional center, 
                                new commercial enterprise, or any 
                                affiliated job-creating entity comply, 
                                as applicable, with the securities laws 
                                of the United States and the laws of 
                                the applicable States in connection 
                                with the offer, purchase, or sale of 
                                its securities.
                            ``(iii) Effect of approval of an 
                        application for an investment in a regional 
                        center's commercial enterprise.--The approval 
                        of an application under this subparagraph shall 
                        be binding for purposes of the adjudication of 
                        subsequent petitions seeking classification 
                        under this paragraph by immigrants investing in 
                        the same offering described in such 
                        application, and of petitions filed under 
                        section 216A by the same immigrants, except in 
                        the case of--
                                    ``(I) fraud;
                                    ``(II) misrepresentation;
                                    ``(III) criminal misuse;
                                    ``(IV) a threat to public safety or 
                                national security;
                                    ``(V) a material change that 
                                affects eligibility;
                                    ``(VI) other evidence affecting 
                                program eligibility that was not 
                                disclosed by the applicant during the 
                                adjudication process; or
                                    ``(VII) a material mistake of law 
                                or fact in the prior adjudication.
                            ``(iv) Site visits.--The Secretary shall--
                                    ``(I) perform site visits to 
                                regional centers; and
                                    ``(II) perform at least 1 site 
                                visit to each new commercial enterprise 
                                or affiliated job-creating entity, 
                                which shall include a review for 
                                evidence of direct job creation in 
                                accordance with subparagraph 
                                (E)(iii)(I).
                    ``(G) Regional center annual statements.--
                            ``(i) In general.--The director of each 
                        regional center designated under subparagraph 
                        (E) shall annually submit a statement, in a 
                        manner prescribed by the Secretary of Homeland 
                        Security, which includes--
                                    ``(I) a certification stating that 
                                the regional center, any associated new 
                                commercial enterprises, and any 
                                affiliated job-creating entity is in 
                                compliance with clauses (i) and (ii) of 
                                subparagraph (H);
                                    ``(II) a certification described in 
                                subparagraph (I)(ii)(II);
                                    ``(III) a certification stating 
                                that the regional center is in 
                                compliance with subparagraph (K);
                                    ``(IV) a description of any pending 
                                material litigation or bankruptcy 
                                proceedings, or litigation or 
                                bankruptcy proceedings resolved during 
                                the preceding fiscal year, involving 
                                the regional center, any associated new 
                                commercial enterprises, or any job-
                                creating entities;
                                    ``(V) an accounting of all foreign 
                                investor capital invested in the 
                                regional center, new commercial 
                                enterprise, or affiliated job-creating 
                                entity;
                                    ``(VI) for each new commercial 
                                enterprise associated with the regional 
                                center--
                                            ``(aa) an accounting of the 
                                        aggregate capital invested in 
                                        the new commercial enterprise 
                                        and any affiliated job-creating 
                                        entity by alien investors under 
                                        this paragraph for each capital 
                                        investment project being 
                                        undertaken by the new 
                                        commercial enterprise;
                                            ``(bb) a description of how 
                                        the capital described in item 
                                        (aa) is being used to execute 
                                        each capital investment project 
                                        in the filed business plan or 
                                        plans;
                                            ``(cc) evidence that the 
                                        account requirements under 
                                        subparagraph (D) have been met;
                                            ``(dd) evidence that 100 
                                        percent of the capital 
                                        described in item (aa) has been 
                                        committed to each capital 
                                        investment project;
                                            ``(ee) detailed evidence of 
                                        the progress made toward the 
                                        completion of each capital 
                                        investment project;
                                            ``(ff) an accounting of the 
                                        aggregate direct jobs created 
                                        or preserved;
                                            ``(gg) an accounting of all 
                                        fees, including administrative 
                                        fees, loan monitoring fees, 
                                        loan management fees, 
                                        commissions and similar 
                                        transaction-based compensation, 
                                        collected from alien investors 
                                        by the regional center, any 
                                        associated new commercial 
                                        enterprises, any job-creating 
                                        entities or any promoter, 
                                        finder, broker-dealer or other 
                                        entity engaged by any such 
                                        entity to locate individual 
                                        investors;
                                            ``(hh) any documentation 
                                        referred to in subparagraph 
                                        (F)(i)(IV) if there has been a 
                                        material change during the 
                                        preceding fiscal year; and
                                            ``(ii) a certification by 
                                        the regional center that such 
                                        statements are accurate; and
                                    ``(VII) a description of the 
                                regional center's policies and 
                                procedures that are designed to enable 
                                the regional center, any associated new 
                                commercial enterprises, and any job-
                                creating entities to comply with 
                                applicable Federal and State labor 
                                laws.
                            ``(ii) Amendment of annual statements.--The 
                        Secretary--
                                    ``(I) shall require each regional 
                                center to amend or supplement the 
                                annual statement required under clause 
                                (i) if the Secretary determines that 
                                such statement is deficient; and
                                    ``(II) may require the regional 
                                center to amend or supplement such 
                                annual statement if the Secretary 
                                determines that such an amendment or 
                                supplement is appropriate.
                            ``(iii) Record keeping.--
                                    ``(I) In general.--Each regional 
                                center shall make and preserve, during 
                                the 5-year period beginning on the last 
                                day of the Federal fiscal year in which 
                                any transactions occurred, books, 
                                ledgers, records, and other 
                                documentation from the regional center, 
                                new commercial enterprise, or 
                                affiliated job-creating entity that was 
                                used to support--
                                            ``(aa) any claims, 
                                        evidence, or certifications 
                                        contained in the regional 
                                        center's annual statements 
                                        under subparagraph (G); and
                                            ``(bb) associated petitions 
                                        by aliens seeking 
                                        classification under this 
                                        section or removal of 
                                        conditions under section 216A.
                                    ``(II) Availability.--All of the 
                                books, ledgers, records, and other 
                                documentation described in subclause 
                                (I) shall be made available to the 
                                Secretary upon request.
                            ``(iv) Verifications by securities and 
                        exchange commission.--The certifications 
                        required under clause (i) shall be verified by 
                        the Securities and Exchange Commission.
                    ``(H) Bona fides of persons involved with the eb-5 
                program.--
                            ``(i) In general.--No person may be a 
                        person involved with a regional center, new 
                        commercial enterprise, or affiliated job-
                        creating entity who--
                                    ``(I) has been found by a court of 
                                competent jurisdiction, or any final 
                                order of the Securities and Exchange 
                                Commission, or a State securities 
                                regulator to have committed--
                                            ``(aa) a criminal or civil 
                                        offense involving fraud or 
                                        deceit within the previous 10 
                                        years;
                                            ``(bb) a civil offense 
                                        involving fraud or deceit that 
                                        resulted in a liability in 
                                        excess of $1,000,000; or
                                            ``(cc) a crime for which 
                                        the person was convicted and 
                                        was sentenced to a term of 
                                        imprisonment of more than 1 
                                        year;
                                    ``(II) is subject to a final order, 
                                for the duration of any penalty imposed 
                                by such 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, the 
                                Securities and Exchange Commission, a 
                                financial self-regulatory organization 
                                recognized by the Securities and 
                                Exchange Commission, or the National 
                                Credit Union Administration, which is 
                                based on a violation of any law or 
                                regulation that--
                                            ``(aa) prohibits 
                                        fraudulent, manipulative, 
                                        deceptive, or negligent 
                                        conduct; or
                                            ``(bb) bars the person 
                                        from--

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

                                                    ``(BB) appearing 
                                                before such commission, 
                                                authority, agency, or 
                                                officer;

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

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

                                    ``(III) is engaged in, has ever 
                                been engaged in, or seeks to engage 
                                in--
                                            ``(aa) any illicit 
                                        trafficking in any controlled 
                                        substance or in any listed 
                                        chemical (as defined in section 
                                        102 of the Controlled 
                                        Substances Act (21 U.S.C. 
                                        802));
                                            ``(bb) any activity 
                                        relating to espionage, 
                                        sabotage, or theft of 
                                        intellectual property;
                                            ``(cc) any activity related 
                                        to money laundering (as 
                                        described in section 1956 or 
                                        1957 of title 18, United States 
                                        Code);
                                            ``(dd) any terrorist 
                                        activity;
                                            ``(ee) any activity 
                                        constituting or facilitating 
                                        human trafficking or a human 
                                        rights offense;
                                            ``(ff) any activity 
                                        described in section 
                                        212(a)(3)(E); or
                                            ``(gg) the violation of any 
                                        statute, regulation, or 
                                        Executive order regarding 
                                        foreign financial transactions 
                                        or foreign asset control; or
                                    ``(IV)(aa) is, or during the 
                                preceding 10 years has been, included 
                                on the Department of Justice's List of 
                                Currently Disciplined Practitioners; or
                                    ``(bb) during the preceding 10 
                                years, has received a reprimand or 
                                otherwise been publicly disciplined for 
                                conduct related to fraud or deceit by 
                                any bar association or other self-
                                regulating professional association of 
                                which the person is or was a member; or
                                    ``(V) is debarred from 
                                participation in the program under this 
                                paragraph pursuant to subparagraph (S).
                            ``(ii) Foreign involvement in the eb-5 
                        program.--
                                    ``(I) Lawful status required.--An 
                                individual may not be involved with a 
                                regional center unless the individual--
                                            ``(aa) is a national of the 
                                        United States; or
                                            ``(bb) has been lawfully 
                                        admitted for permanent 
                                        residence and is not the 
                                        subject of removal proceedings.
                                    ``(II) Foreign governments.--
                                            ``(aa) In general.--Except 
                                        as provided in item (bb), no 
                                        agency, official, or other 
                                        similar entity or 
                                        representative of a foreign 
                                        government may provide capital 
                                        to, or be directly or 
                                        indirectly involved with the 
                                        ownership or administration of, 
                                        a regional center, a new 
                                        commercial enterprise, or 
                                        affiliated job-creating entity.
                                            ``(bb) Exception.--A 
                                        foreign or domestic investment 
                                        fund or other investment 
                                        vehicle that is wholly or 
                                        partially owned, directly or 
                                        indirectly, by a bona fide 
                                        foreign sovereign wealth fund 
                                        or a foreign state-owned 
                                        enterprise otherwise permitted 
                                        to do business in the United 
                                        States may be involved with the 
                                        ownership, but not the 
                                        administration, of a job-
                                        creating entity that is not an 
                                        affiliated job-creating entity.
                                    ``(III) Review of transactions.--
                                Any transaction involving a regional 
                                center, new commercial enterprise, or 
                                affiliated job-creating entity that is 
                                a `covered transaction' (as defined in 
                                section 721(a)(4) of the Defense 
                                Production Act of 1950 (50 U.S.C. 
                                4565(a)(4))) is subject to review by 
                                the Committee on Foreign Investment in 
                                the United States.
                                    ``(IV) Rulemaking.--Not later than 
                                180 days after the date of the 
                                enactment of the Immigrant Investor 
                                Program Reform Act, the Secretary of 
                                Homeland Security, in consultation with 
                                the Secretary of the Treasury and the 
                                Secretary of Commerce, shall issue 
                                regulations implementing subclauses (I) 
                                and (II).
                            ``(iii) Information required.--
                                    ``(I) In general.--Beginning on the 
                                date of the enactment of the Immigrant 
                                Investor Program Reform Act, 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 and 
                                database checks with respect to a 
                                regional center, new commercial 
                                enterprise, and any affiliated job-
                                creating entity, and persons involved 
                                with such entities, to determine 
                                whether such entities are in compliance 
                                with clauses (i) and (ii).
                                    ``(II) Effect of noncompliance.--
                                The Secretary, after the completion of 
                                the background checks described in 
                                subclause (I), shall notify a regional 
                                center, new commercial enterprise, or 
                                affiliated job-creating entity whether 
                                any individual involved with such 
                                entities is not in compliance with 
                                clause (i) or (ii). If the regional 
                                center, new commercial enterprise, or 
                                affiliated job-creating entity fails to 
                                discontinue the prohibited individual's 
                                involvement with such entity within 30 
                                days after receiving a notification 
                                under this subclause, the regional 
                                center, new commercial enterprise, or 
                                affiliated job-creating entity shall be 
                                deemed to have knowledge that such 
                                person is in violation of clause (i) or 
                                (ii).
                    ``(I) Compliance with securities laws.--
                            ``(i) Jurisdiction.--
                                    ``(I) In general.--The United 
                                States has jurisdiction, including 
                                subject matter jurisdiction, over the 
                                purchase or sale of any security 
                                offered or sold by any regional center 
                                or any party associated with a regional 
                                center for purposes of the securities 
                                laws.
                                    ``(II) Compliance with regulation 
                                s.--For purposes of section 5 of the 
                                Securities Act of 1933 (15 U.S.C. 77e), 
                                a regional center or any party 
                                associated with a regional center is 
                                not precluded from offering or selling 
                                a security pursuant to Regulation S (17 
                                C.F.R. 230.901 et seq.) to the extent 
                                that such offering or selling otherwise 
                                complies with such regulation. 
                                Subclause (I) may not be construed to 
                                modify any existing regulations or 
                                interpretations of the Securities and 
                                Exchange Commission related to the 
                                application of section 15 of the 
                                Securities Exchange Act of 1934 (15 
                                U.S.C. 78o) to foreign broker dealers.
                            ``(ii) Regional center certifications 
                        required.--
                                    ``(I) Initial certification.--The 
                                Secretary of Homeland Security may not 
                                approve an application for regional 
                                center designation or a regional center 
                                amendment unless the regional center 
                                certifies that the regional center is 
                                in compliance with, and has policies 
                                and procedures (including those related 
                                to internal and external due diligence) 
                                reasonably designed to confirm, as 
                                applicable, that the regional center, 
                                any associated new commercial 
                                enterprises, any job-creating entities, 
                                and all persons involved with such 
                                entities are and will remain in 
                                compliance with the securities laws of 
                                the United States and of any State in 
                                which--
                                            ``(aa) the offer, purchase, 
                                        or sale of securities was 
                                        conducted;
                                            ``(bb) the issuer of 
                                        securities was located; or
                                            ``(cc) the investment 
                                        advice was provided by the 
                                        regional center, any associated 
                                        new commercial enterprises, any 
                                        job-creating entities, or 
                                        persons involved with such 
                                        entities.
                                    ``(II) Reissue.--A regional center 
                                shall annually reissue a certification 
                                described in subclause (I), in 
                                accordance with subparagraph (G), to 
                                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 the regional center, any 
                                        associated new commercial 
                                        enterprises, any job-creating 
                                        entities, and all persons 
                                        involved with such entities;
                                            ``(bb) all such offers, 
                                        purchases, and sales of 
                                        securities or the provision of 
                                        investment advice complied with 
                                        the securities laws of the 
                                        United States and the 
                                        securities laws of any State in 
                                        which the offer, purchase, or 
                                        sale of securities was 
                                        conducted, the issuer of 
                                        securities was located, or the 
                                        investment advice was provided; 
                                        and
                                            ``(cc) 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 or the securities laws of any 
                                State in which the securities 
                                activities were conducted by any party 
                                associated with the regional center, 
                                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, any associated 
                                        new commercial enterprises, any 
                                        job-creating entities, and all 
                                        persons involved with such 
                                        entities are currently in 
                                        compliance.
                                    ``(IV) Due diligence 
                                investigation.--Any certification 
                                provided by a certifier under this 
                                clause with respect to an entity in 
                                which the certifier is not in a 
                                position of substantive authority shall 
                                be made to the best of the certifier's 
                                knowledge after due diligence 
                                investigation.
                            ``(iii) Oversight required.--Each regional 
                        center shall--
                                    ``(I) monitor and supervise all 
                                offers, purchases, and sales of, and 
                                investment advice relating to 
                                securities made by the regional center, 
                                any associated new commercial 
                                enterprises, any job-creating entities, 
                                and all persons involved with such 
                                entities to confirm compliance with the 
                                securities laws of the United States;
                                    ``(II) maintain records, data, and 
                                information relating to all such 
                                offers, purchases, sales, and 
                                investment advice during the 5-year 
                                period beginning on the date of 
                                creation of such records, data, or 
                                information, which shall be made 
                                available to the Secretary upon 
                                request; and
                                    ``(III) make the records, data, and 
                                information described in subclause (II) 
                                available to the Secretary upon 
                                request.
                            ``(iv) 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 or any State securities 
                        regulator under State securities laws.
                    ``(J) EB-5 integrity fund.--
                            ``(i) Establishment.--There is established 
                        in the United States Treasury a special fund, 
                        which shall be known as the EB-5 Integrity Fund 
                        (referred to in this subparagraph as the 
                        `Fund'). Amounts deposited into the Fund shall 
                        be available to the Secretary of Homeland 
                        Security until expended for the purposes set 
                        forth in clause (iii).
                            ``(ii) Fees.--
                                    ``(I) Annual fee.--On April 1, 
                                2020, and on January 1 of each year 
                                thereafter, the Secretary of Homeland 
                                Security shall--
                                            ``(aa) except as provided 
                                        in item (bb), collect a fee of 
                                        $20,000 from each regional 
                                        center designated under 
                                        subparagraph (E);
                                            ``(bb) collect a fee of 
                                        $10,000 from each regional 
                                        center designated under 
                                        subparagraph (E) that is a not-
                                        for-profit regional center, or 
                                        has 20 or fewer total investors 
                                        in the preceding fiscal year in 
                                        its new commercial enterprises; 
                                        and
                                            ``(cc) deposit the fees 
                                        collected pursuant to items 
                                        (aa) and (bb) into the Fund.
                                    ``(II) Petition fee.--Beginning on 
                                April 1, 2020, the Secretary shall 
                                collect a fee of $1,000 with each 
                                petition filed under section 
                                204(a)(1)(H) for classification under 
                                subparagraph (E) and deposit each fee 
                                collected under this subclause into the 
                                Fund.
                                    ``(III) Increases.--The Secretary 
                                may prescribe such regulations as may 
                                be necessary to increase the dollar 
                                amounts under this clause to ensure 
                                that the Fund is sufficient to carry 
                                out the purposes set forth in clause 
                                (iii). Increases under this subclause 
                                may not exceed 100 percent in any 12-
                                month period.
                            ``(iii) Permissible uses of fund.--The 
                        Secretary of Homeland Security shall--
                                    ``(I) use not less than \1/3\ of 
                                the amounts deposited into the Fund to 
                                conduct audits and site visits (with or 
                                without notice);
                                    ``(II) use not less than \1/3\ of 
                                the amounts deposited into the Fund for 
                                investigations based outside of the 
                                United States, including--
                                            ``(aa) monitoring and 
                                        investigating program-related 
                                        events and promotional 
                                        activities; and
                                            ``(bb) ensuring the 
                                        compliance of alien investors 
                                        with subparagraph (L);
                                    ``(III) use amounts deposited into 
                                the Fund as the Secretary determines to 
                                be necessary, including to monitor 
                                compliance with the requirements under 
                                this paragraph;
                                    ``(IV) use amounts deposited into 
                                the Fund to conduct interviews of the 
                                owners, officers, directors, managers, 
                                partners, agents, employees, promoters, 
                                and attorneys of regional centers, new 
                                commercial enterprises, and job-
                                creating entities; and
                                    ``(V) use amounts deposited into 
                                the Fund--
                                            ``(aa) to detect and 
                                        investigate fraud or other 
                                        crimes; and
                                            ``(bb) to determine whether 
                                        regional centers, new 
                                        commercial enterprises, any 
                                        job-creating entities, and 
                                        alien investors (and their 
                                        alien spouses and alien 
                                        children) comply with the 
                                        immigration laws.
                            ``(iv) Report.--The Secretary of Homeland 
                        Security shall submit an annual report to the 
                        Committee on the Judiciary of the Senate and 
                        the Committee on the Judiciary of the House of 
                        Representatives that describes how amounts in 
                        the Fund were expended during the previous 
                        fiscal year.
                    ``(K) Direct and third-party promoters.--
                            ``(i) Rules and standards.--Direct and 
                        third-party promoters of a regional center, any 
                        new commercial enterprise, or any affiliated 
                        job-creating entity shall comply with the rules 
                        and standards prescribed by the Secretary of 
                        Homeland Security and any applicable Federal or 
                        State securities laws, to oversee promotion of 
                        any offering of securities related to the 
                        immigrant investor program under this 
                        paragraph, including--
                                    ``(I) registration with U.S. 
                                Citizenship and Immigration Services, 
                                which--
                                            ``(aa) may be limited to 
                                        identifying and contact 
                                        information of such promoter 
                                        and confirmation of the 
                                        existence of the written 
                                        agreement required under clause 
                                        (iii);
                                            ``(bb) may not include any 
                                        requirement that U.S. 
                                        Citizenship and Immigration 
                                        Services approve the 
                                        registration of such promoter; 
                                        and
                                            ``(cc) may permit the list 
                                        of such registered promoters to 
                                        be made publicly available;
                                    ``(II) certification by each 
                                promoter that such promoter is not 
                                ineligible under subparagraph (H)(i);
                                    ``(III) guidelines for accurately 
                                representing the visa process to 
                                foreign investors; and
                                    ``(IV) permissible fee 
                                arrangements, if applicable.
                            ``(ii) Compliance.--Each regional center, 
                        new commercial enterprise, and affiliated job-
                        creating entity shall maintain a written 
                        agreement between or among such entities and 
                        each direct or third-party promoter operating 
                        on behalf of such entities or associated issuer 
                        that outlines the rules and standards 
                        prescribed under clause (i).
                            ``(iii) Disclosure.--Each petition filed 
                        under section 204(a)(1)(H) shall include a 
                        disclosure by the regional center, new 
                        commercial enterprise, or affiliated job-
                        creating entity, as applicable, acknowledged by 
                        the investor, that reflects all fees, ongoing 
                        interest, and other compensation paid or to be 
                        paid to any person in connection with the 
                        investment, including compensation to agents, 
                        finders, or broker dealers involved in the 
                        offering, to the extent not already 
                        specifically identified in the business plan 
                        filed under subparagraph (F).
                    ``(L) Source of funds.--
                            ``(i) In general.--An alien investor shall 
                        demonstrate that the capital required under 
                        subparagraph (A) and any amounts used to pay 
                        administrative costs and fees associated with 
                        the alien's investment were obtained from a 
                        lawful source and through lawful means.
                            ``(ii) Required information.--The Secretary 
                        of Homeland Security shall require that an 
                        alien investor's petition under this paragraph 
                        contain, as applicable--
                                    ``(I) business and tax records, 
                                including--
                                            ``(aa) foreign business 
                                        registration records, if 
                                        applicable;
                                            ``(bb) corporate or 
                                        partnership tax returns (or tax 
                                        returns of any other entity in 
                                        any form filed in any country 
                                        or subdivision of such 
                                        country), and personal tax 
                                        returns including income, 
                                        franchise, property (whether 
                                        real, personal, or intangible), 
                                        or any other tax returns of any 
                                        kind, filed during the past 7 
                                        years, or another period to be 
                                        determined by the Secretary to 
                                        ensure that the investment is 
                                        obtained from a lawful source 
                                        of funds, with any taxing 
                                        jurisdiction in or outside the 
                                        United States by or on behalf 
                                        of the alien investor, if 
                                        applicable; and
                                            ``(cc) evidence identifying 
                                        any other source of capital or 
                                        administrative fees;
                                    ``(II) evidence related to monetary 
                                judgments against the alien investor, 
                                including certified copies of any 
                                judgments, and evidence of all pending 
                                governmental civil or criminal actions, 
                                governmental administrative 
                                proceedings, and any private civil 
                                actions involving possible monetary 
                                judgments against the alien investor 
                                from any court in or outside the United 
                                States; and
                                    ``(III) the identity of all persons 
                                who transfer into the United States, on 
                                behalf of the investor--
                                            ``(aa) any funds that are 
                                        used to meet the capital 
                                        requirement under subparagraph 
                                        (A); and
                                            ``(bb) any funds that are 
                                        used to pay administrative 
                                        costs and fees associated with 
                                        the alien's investment.
                            ``(iii) Gift and loan restrictions.--
                                    ``(I) In general.--Gifted and 
                                borrowed funds may not be counted 
                                toward the minimum capital investment 
                                requirement under subparagraph (C) 
                                unless such funds--
                                            ``(aa) were gifted or 
                                        loaned to the alien investor in 
                                        good faith; and
                                            ``(bb) were not gifted or 
                                        loaned to circumvent any 
                                        limitations imposed on 
                                        permissible sources of capital 
                                        under this subparagraph.
                                    ``(II) Records requirement.--If a 
                                significant portion of the capital 
                                invested under subparagraph (A) was 
                                gifted or loaned to the alien investor, 
                                the Secretary shall require that the 
                                alien investor's petition under this 
                                paragraph includes the records 
                                described in subclauses (I) and (II) of 
                                clause (ii) from the donor or, if other 
                                than a bank, the lender.
                    ``(M) Petition for classification as an immigrant 
                investor.--
                            ``(i) Filing.--An alien seeking 
                        classification as an immigrant investor under 
                        this paragraph shall file a petition with the 
                        Secretary of Homeland Security, with the 
                        appropriate filing fees (including the EB-5 
                        Fraud Prevention and Detection Fee required 
                        under section 286(w)(3)), and with such 
                        evidence as the Secretary shall prescribe. The 
                        approval of a petition for classification as an 
                        immigrant investor under this paragraph does 
                        not, by itself, establish that the alien is 
                        entitled to immigrant status.
                            ``(ii) Treatment of children.--A child of 
                        an alien investor on the date on which a 
                        petition is filed under clause (i) shall 
                        continue to be considered a child until the 
                        removal of the conditional basis of the child's 
                        lawful permanent resident status unless--
                                    ``(I) the petition on which the 
                                child's status is based is revoked; or
                                    ``(II) the child's lawful permanent 
                                resident status is otherwise 
                                terminated.
                            ``(iii) Decisions.--
                                    ``(I) Withholding adjudication.--
                                The Secretary of Homeland Security may 
                                suspend adjudication of any petition 
                                for classification under this paragraph 
                                until all background and security 
                                checks and any national security or law 
                                enforcement investigation relating to 
                                such application or the alien seeking 
                                classification is completed.
                                    ``(II) Denials and revocations.--
                                            ``(aa) Notice of denial or 
                                        revocation.--The Secretary 
                                        shall provide an alien investor 
                                        with a notice of the 
                                        Secretary's denial of a 
                                        petition or revocation of an 
                                        approved petition under this 
                                        subparagraph.
                                            ``(bb) Denial for fraud, 
                                        misrepresentation, and criminal 
                                        misuse.--The Secretary shall 
                                        deny a petition for 
                                        classification of an alien as 
                                        an immigrant investor under 
                                        this paragraph if the Secretary 
                                        determines that the petition 
                                        was predicated on or involved 
                                        fraud, deceit, intentional 
                                        material misrepresentation, or 
                                        criminal misuse.
                                            ``(cc) National security or 
                                        public safety.--The Secretary 
                                        may deny a petition or revoke 
                                        an approved petition under this 
                                        section if the Secretary 
                                        determines that approval of 
                                        such a petition would be 
                                        contrary to the national 
                                        interests of the United States 
                                        for reasons relating to 
                                        national security or public 
                                        safety.
                                    ``(III) Judicial review.--
                                Notwithstanding any other provision of 
                                law (statutory or nonstatutory), 
                                including section 2241 of title 28, 
                                United States Code, or any other habeas 
                                corpus provision, and sections 1361 and 
                                1651 of such title, no court shall have 
                                jurisdiction to review a denial or 
                                revocation under this subparagraph. 
                                Nothing in this clause may be construed 
                                as precluding review of constitutional 
                                claims or questions of law raised upon 
                                a petition for review filed with an 
                                appropriate court of appeals in 
                                accordance with section 242.
                    ``(N) Threats to the national interest.--The 
                Secretary of Homeland Security shall deny or revoke the 
                approval of a petition, application, certification, or 
                benefit under this paragraph, including the documents 
                described in subclause (II), if the Secretary 
                determines, in the Secretary's unreviewable discretion, 
                that the approval of such petition, application, or 
                benefit is contrary to the national interest of the 
                United States for reasons relating to threats to public 
                safety or national security.
                    ``(O) Administrative appellate review.--
                            ``(i) In general.--The Director of U.S. 
                        Citizenship and Immigration Services shall 
                        provide an opportunity for an administrative 
                        appellate review by the Administrative Appeals 
                        Office of U.S. Citizenship and Immigration 
                        Services of any determination made under this 
                        paragraph, including--
                                    ``(I) an application for regional 
                                center designation or regional center 
                                amendment;
                                    ``(II) an application for approval 
                                of a business plan under subparagraph 
                                (F);
                                    ``(III) a petition by an alien 
                                investor for status as an immigrant 
                                under this paragraph;
                                    ``(IV) the termination or 
                                suspension of any benefit accorded 
                                under this paragraph; and
                                    ``(V) any sanction imposed by the 
                                Secretary of Homeland Security under 
                                this paragraph.
                            ``(ii) Judicial review.--Subject to section 
                        242(a)(2), and notwithstanding any other 
                        provision of law (statutory or nonstatutory), 
                        including section 2241 of title 28, United 
                        States Code, any other habeas corpus provision, 
                        and sections 1361 and 1651 of such title, no 
                        court shall have jurisdiction to review a 
                        determination under this subparagraph 
                        (O)(i)(III) until the regional center, its 
                        associated entities, or the alien investor has 
                        exhausted all administrative appeals.
                    ``(P) Treatment of investors if a regional center 
                has been terminated.--
                            ``(i) In general.--Upon termination or 
                        debarment, as applicable, from the program 
                        under this paragraph of a regional center, new 
                        commercial enterprise, or affiliated job-
                        creating entity under this paragraph, and 
                        except as provided in clauses (iii) and (vi) of 
                        subparagraph (S), the conditional permanent 
                        residence of an alien who has been admitted to 
                        the United States pursuant to section 
                        216A(a)(1) based on an investment in a 
                        terminated regional center, new commercial 
                        enterprise, or affiliated job-creating entity 
                        shall remain valid or continue to be 
                        authorized, as applicable, in accordance with 
                        this subparagraph.
                            ``(ii) New regional center or investment.--
                        The conditional permanent resident status of an 
                        alien described in clause (i) shall be 
                        terminated on the date that is 180 days after 
                        the termination from the program under this 
                        paragraph of a regional center, a new 
                        commercial enterprise, or a job-creating entity 
                        unless--
                                    ``(I) if a regional center was 
                                terminated--
                                            ``(aa) the new commercial 
                                        enterprise is associated with 
                                        an approved regional center;
                                            ``(bb) the alien makes a 
                                        qualifying investment in 
                                        another commercial enterprise 
                                        associated with an approved 
                                        regional center; or
                                            ``(cc) the alien makes a 
                                        qualifying investment in 
                                        another commercial enterprise 
                                        under this paragraph not 
                                        associated with a regional 
                                        center; or
                                    ``(II) if a new commercial 
                                enterprise or affiliated job-creating 
                                entity was debarred, the alien invests 
                                in another commercial enterprise 
                                associated with an approved regional 
                                center.
                            ``(iii) Removal of conditions.--Aliens 
                        described in subclause (I)(bb), (I)(cc), or 
                        (II) of clause (ii) who have obtained 
                        conditional permanent residence before making 
                        the subsequent investment shall be eligible to 
                        have their conditions removed pursuant to 
                        section 216A beginning on the date that is 2 
                        years after the date of the subsequent 
                        investment.
                    ``(Q) Fraud, misrepresentation, and criminal 
                misuse.--
                            ``(i) Denial or revocation.--The Secretary 
                        of Homeland Security shall deny or revoke the 
                        approval of a petition, application, or benefit 
                        described in this paragraph, including the 
                        documents described in subparagraph 
                        (M)(iv)(II), if the Secretary determines that 
                        such petition, application, or benefit was 
                        predicated on or involved fraud, deceit, 
                        intentional material misrepresentation, or 
                        other criminal activity.
                            ``(ii) Notice.--If the Secretary determines 
                        that the approval of a petition, application, 
                        or benefit described in this paragraph should 
                        be denied or revoked pursuant to clause (i), 
                        the Secretary shall--
                                    ``(I) notify the relevant 
                                individual, regional center, or 
                                commercial entity of such 
                                determination; and
                                    ``(II) deny or revoke such 
                                petition, application, or benefit or 
                                terminate the permanent resident status 
                                of the alien (and the alien spouse and 
                                alien children of such immigrant) as of 
                                the date of such determination.
                    ``(R) Debarment.--
                            ``(i) Suspension or termination.--A 
                        regional center, new commercial enterprise, 
                        affiliated job-creating entity or any person 
                        involved with any such entity may be suspended 
                        or terminated from participating in the program 
                        under this paragraph--
                                    ``(I) for failing to comply with 
                                subparagraphs (G), (H), (I), or (J);
                                    ``(II) for fraud, intentional 
                                material misrepresentation, or criminal 
                                misuse;
                                    ``(III) for reasons related to 
                                public safety or national security; or
                                    ``(IV) for engaging in any activity 
                                described in paragraph (2) or (3) of 
                                section 212(a).
                            ``(ii) Direct or third-party promoters.--If 
                        the Secretary determines that a direct or 
                        third-party promoter has violated subparagraph 
                        (K)(i), the Secretary shall suspend or 
                        permanently bar such individual from 
                        participation in the immigrant investor program 
                        under this paragraph.
                            ``(iii) Temporary or permanent bars.--Any 
                        person, including an immigrant investor, who 
                        the Secretary determines, by a preponderance of 
                        the evidence, was a knowing or negligent 
                        participant in the conduct that led to the 
                        suspension or termination under clause (i) or 
                        (ii) may be temporarily or permanently barred 
                        from future participation in the immigrant 
                        investor program under this paragraph.
                            ``(iv) Effect of debarment.--A person who 
                        is suspended, terminated, or barred under this 
                        subparagraph--
                                    ``(I) may not serve as a basis for 
                                eligibility for any application, 
                                petition, or other benefit request 
                                under this paragraph;
                                    ``(II) may not file an application, 
                                petition, or other benefit request 
                                under this paragraph;
                                    ``(III) may not be involved with 
                                any regional center, new commercial 
                                enterprise or any affiliated job-
                                creating entity; and
                                    ``(IV) may not have any authority, 
                                connection, or other form of 
                                association with the offer, sale, 
                                purchase or promotion of any securities 
                                offered by an entity described in 
                                subclause (III) in connection with the 
                                immigrant investor program under this 
                                paragraph.
                            ``(v) Denial or revocation.--Subject to 
                        subparagraph (P), the Secretary may deny or 
                        revoke any pending or approved application, 
                        petition, or other benefit request under this 
                        paragraph in connection with the suspension, 
                        termination, or bar of any person under this 
                        subparagraph that was filed by the suspended, 
                        terminated, or barred person or relies on such 
                        person for eligibility.
                            ``(vi) Termination of status.--If the 
                        Secretary has reason to believe an alien was a 
                        knowing participant in the conduct that led to 
                        a suspension or termination under this 
                        subparagraph, the Secretary shall--
                                    ``(I) notify the alien of such 
                                belief; and
                                    ``(II) subject to section 
                                216A(b)(2), terminate the permanent 
                                resident status of the alien (and the 
                                alien's spouse and child) as of the 
                                date of such determination.
                    ``(S) Conflict of interest.--An individual may not 
                contract to provide services as a loan monitor for a 
                business or project with which the individual was 
                associated while employed by a regional center.
                    ``(T) Definitions.--In this paragraph:
                            ``(i) Affiliated job-creating entity.--The 
                        term `affiliated job-creating entity' means any 
                        organization that--
                                    ``(I) is formed in the United 
                                States for the ongoing conduct of 
                                lawful business, including a 
                                partnership (whether limited or 
                                general), corporation, limited 
                                liability company, or other entity that 
                                receives, or is established to receive, 
                                capital investment from alien investors 
                                or a new commercial enterprise under 
                                the regional center program described 
                                in subparagraph (E); and
                                    ``(II) is responsible for the 
                                creation of jobs to satisfy the 
                                requirement under subparagraph (A)(ii).
                            ``(ii) Capital.--The term `capital'--
                                    ``(I) means cash (including the 
                                cash proceeds of indebtedness that are 
                                fully secured by the petitioner's 
                                assets) and all real, personal, or 
                                mixed tangible assets owned and 
                                controlled by the alien investor, or 
                                held in trust for the benefit of the 
                                alien and to which the alien has 
                                unrestricted access;
                                    ``(II) shall be valued at fair 
                                market value in United States dollars, 
                                in accordance with Generally Accepted 
                                Accounting Principles or other standard 
                                accounting practice adopted by the 
                                Securities and Exchange Commission, at 
                                the time such capital is invested under 
                                this paragraph; and
                                    ``(III) does not include assets 
                                directly or indirectly acquired by 
                                unlawful means, including any cash 
                                proceeds of indebtedness secured by 
                                such assets.
                            ``(iii) Certifier.--The term `certifier' 
                        means a person providing a certification for 
                        any entity under this paragraph who is in a 
                        position of substantive authority for the 
                        management or operations of the entity, 
                        including a principal executive officer or a 
                        principal financial officer, with knowledge of 
                        such entity's policies and procedures related 
                        to compliance with the requirements under this 
                        paragraph.
                            ``(iv) Full-time employment.--The term 
                        `full-time employment' means employment in a 
                        position that requires at least 35 hours of 
                        service per week at any time, regardless of who 
                        fills the position.
                            ``(v) New commercial enterprise.--The term 
                        `new commercial enterprise' means any for-
                        profit organization formed in the United States 
                        within 5 years after the earlier of the 
                        application for approval of an investment or 
                        the submission of a petition under this 
                        paragraph, for the ongoing conduct of lawful 
                        business, including a partnership (whether 
                        limited or general), corporation, limited 
                        liability company, or other entity that 
                        receives, or is established to receive, capital 
                        investment from investors under this paragraph.
                            ``(vi) Persons involved with a regional 
                        center, new commercial enterprise, or 
                        affiliated job-creating entity.--The term 
                        `persons involved' with respect to a regional 
                        center, a new commercial enterprise, or any 
                        affiliated job-creating entity means a person 
                        directly or indirectly in a position of 
                        substantive authority to make operational or 
                        managerial decisions over or to legally bind 
                        such entities. A person may be in a position of 
                        substantive authority if the person serves as 
                        the principal, representative, administrator, 
                        owner, officer, board member, manager, 
                        executive, or general partner of the regional 
                        center, new commercial enterprise, or 
                        affiliated job-creating entity, respectively.
                            ``(vii) Rural area.--The term `rural area' 
                        means any area that, based on the most recent 
                        decennial census of the United States--
                                    ``(I) is outside of the boundary of 
                                any city or town with a population of 
                                20,000 or more people; and
                                    ``(II)(aa) is outside of a 
                                metropolitan statistical area; or
                                    ``(bb) is within any census tract 
                                that is greater than 100 square miles 
                                in area and has a population density of 
                                fewer than 100 people per square mile.
                            ``(viii) Targeted employment area.--The 
                        term `targeted employment area' means--
                                    ``(I) a qualified opportunity zone 
                                (as designated under section 1400Z-1 of 
                                the Internal Revenue Code of 1986;
                                    ``(II) a rural area; or
                                    ``(III) an area within the 
                                geographic boundaries of any military 
                                installation that was closed before the 
                                filing of an application for 
                                classification as an immigrant investor 
                                under this paragraph, based upon a 
                                recommendation by a Defense Base 
                                Closure and Realignment Commission.''.
    (b) Effective Dates.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendment made by subsection (a), shall take effect on the date 
        that is 90 days after the date of the enactment of this Act.
            (2) Exceptions.--Subparagraphs (E)(iv) and (L) of section 
        203(b)(5) of the Immigration and Nationality Act (8 U.S.C. 
        1153(b)(5)) shall not apply to a petition that--
                    (A) was filed by an alien investor under such 
                section 203(b)(5) before the date of the enactment of 
                this Act; or
                    (B) is filed under section 216A of such Act (8 
                U.S.C. 1186b) if the underlying petition filed under 
                section 203(b)(5) of such Act was filed before the date 
                of the enactment of this Act.
    (c) GAO Report.--Not later than December 31, 2021, the Comptroller 
General of the United States 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--
            (1) the economic benefits of the regional center program 
        established under section 203(b)(5) of the Immigration and 
        Nationality Act (8 U.S.C. 1153(b)(5)), including the steps 
        taken by U.S. Citizenship and Immigration Services to verify 
        job creation;
            (2) the extent to which U.S. Citizenship and Immigration 
        Services ensures compliance by regional center participants 
        with their obligations under the immigrant investor program;
            (3) the extent to which U.S. Citizenship and Immigration 
        Services has maintained records of regional centers and 
        associated commercial enterprises, including annual statements 
        and certifications;
            (4) the steps taken by U.S. Citizenship and Immigration 
        Services to verify the source of funds, as required under 
        section 203(b)(5)(L) of the Immigration and Nationality Act, as 
        added by subsection (a);
            (5) the extent to which U.S. Citizenship and Immigration 
        Services collaborates with other Federal and law enforcement 
        agencies, particularly to detect illegal activity and threats 
        to national security related to the regional center program;
            (6) the extent to which U.S. Citizenship and Immigration 
        Services has prevented fraud and abuse in regional center 
        activities, including the designation of targeted employment 
        areas in areas that otherwise have high employment;
            (7) the extent to which U.S. Citizenship and Immigration 
        Services has used its authority to sanction, suspend, bar, or 
        terminate regional centers or individuals affiliated with 
        regional centers;
            (8) the steps taken to oversee direct and third-party 
        promoters under section 203(b)(5)(K) of the Immigration and 
        Nationality Act, as added by subsection (a);
            (9) the extent to which employees of the Department of 
        Homeland Security have complied with the ethical standards and 
        transparency requirements set forth in section 3; and
            (10) the amounts expended from the EB-5 Integrity Fund 
        established under section 203(b)(5)(J) of the Immigration and 
        Nationality Act, as added by subsection (a).
    (d) Inspector General Report.--Not later than December 31, 2021, 
the Inspector General of the Intelligence Community, in coordination 
with the Inspector General of the Department of Homeland Security and 
after consultation with relevant Federal agencies, including U.S. 
Immigration and Customs Enforcement, shall submit a report to the 
Committee on the Judiciary of the Senate and the Committee on the 
Judiciary of the House of Representatives regarding the immigrant visa 
program set forth in section 203(b)(5) of the Immigration and 
Nationality Act, as amended by subsection (a) that describes--
            (1) the vulnerabilities within the program that may 
        undermine the national security of the United States;
            (2) the actual or potential use of the program to 
        facilitate export of sensitive technology;
            (3) the actual or potential use of the program to 
        facilitate economic espionage;
            (4) the actual or potential use of the program by foreign 
        government agents; and
            (5) the actual or potential use of the program to 
        facilitate terrorist activity, including funding terrorist 
        activity or laundering terrorist funds.
    (e) Review of Job Creation Methodologies.--Not later than 1 year 
after the date of the enactment of this Act, the Secretary of Homeland 
Security, in consultation with the Bureau of Economic Analysis of the 
Department of Commerce, or another component within the Department of 
Commerce, as determined by the Secretary of Commerce, shall issue 
regulations to determine economically and statistically valid general 
economic methodologies that comply with section 203(b)(5)(A)(ii) of the 
Immigration and Nationality Act, as amended by subsection (a).
    (f) Department of Homeland Security Report.--Not later than 18 
months after the date of the enactment of this Act, and annually 
thereafter, the Secretary of Homeland Security shall submit a report to 
Congress regarding--
            (1) the geographic location and types of completed and 
        pending capital investment projects within the scope of 
        business plans (whether approved or waiting approval) submitted 
        pursuant to section 203(b)(5)(F) of the Immigration and 
        Nationality Act, as added by subsection (a); and
            (2) the amount of foreign investments raised and expected 
        to be raised to finance projects referred to in paragraph (1).

SEC. 3. TRANSPARENCY.

    (a) In General.--Employees of the Department of Homeland Security, 
including the Secretary of Homeland Security, the Secretary's 
counselors, the Assistant Secretary for the Private Sector, the 
Director of U.S. Citizenship and Immigration Services, counselors to 
such Director, and the Chief of Immigrant Investor Programs at U.S. 
Citizenship and Immigration Services, shall act impartially and may not 
give preferential treatment to any entity, organization, or individual 
in connection with any aspect of the immigrant visa program described 
in section 203(b)(5) of the Immigration and Nationality Act, as amended 
by section 2.
    (b) Improper Activities.--Activities that constitute preferential 
treatment under subsection (a) shall include--
            (1) working on, or in any way attempting to influence, in a 
        manner not available to or accorded to all other petitioners, 
        applicants, and seekers of benefits under the immigrant visa 
        program described in section 203(b)(5) of the Immigration and 
        Nationality Act, as amended by section 2, the standard 
        processing of an application, petition, or benefit for--
                    (A) a regional center;
                    (B) a new commercial enterprise;
                    (C) an affiliated job-creating entity; or
                    (D) any person or entity associated with such 
                regional center, new commercial enterprise, or 
                affiliated job-creating entity; and
            (2) meeting or communicating with persons associated with 
        the entities described in paragraph (1), at the request of such 
        persons, in a manner not available to or accorded to all other 
        petitioners, applicants, and seekers of benefits under such 
        immigrant visa program.
    (c) Reporting of Communications.--
            (1) Written communication.--Employees of the Department of 
        Homeland Security, including the officials listed in subsection 
        (a), shall include, in the record of proceeding for a case 
        under section 203(b)(5) of the Immigration and Nationality Act, 
        as amended by section 2, actual or electronic copies of all 
        case-specific written communication, including emails from 
        government and private accounts, with non-Department persons or 
        entities advocating for regional center applications or 
        individual petitions under such section that are pending on or 
        after the date of the enactment of this Act (other than routine 
        communications with other agencies of the Federal Government 
        regarding the case, including communications involving 
        background checks and litigation defense).
            (2) Oral communication.--If substantive oral communication, 
        including telephonic communication, virtual communication, and 
        in-person meetings, takes place between officials of the 
        Department of Homeland Security and non-Department persons or 
        entities advocating for regional center applications or 
        individual petitions under section 203(b)(5) of the Immigration 
        and Nationality Act, as amended by section 2, that are pending 
        on or after the date of the enactment of this Act (other than 
        routine communications with other agencies of the Federal 
        Government regarding the case, including communications 
        involving background checks and litigation defense)--
                    (A) the conversation shall be recorded; or
                    (B) detailed minutes of the session shall be taken 
                and included in the record of proceeding.
            (3) Notification.--
                    (A) In general.--If the Secretary of Homeland 
                Security, in the course of written or oral 
                communication described in this subsection, receives 
                evidence about a specific case from anyone other than 
                an affected party or his or her representative 
                (excluding Federal Government or law enforcement 
                sources), such information may not be made part of the 
                record of proceeding and may not be considered in 
                adjudicative proceedings unless--
                            (i) the affected party has been given 
                        notice of such evidence; and
                            (ii) if such evidence is derogatory, the 
                        affected party has been given an opportunity to 
                        respond to the evidence.
                    (B) Information from law enforcement, intelligence 
                agencies, or confidential sources.--
                            (i) Law enforcement or intelligence 
                        agencies.--Evidence received from law 
                        enforcement or intelligence agencies may not be 
                        made part of the record of proceeding without 
                        the consent of the relevant agency or law 
                        enforcement entity.
                            (ii) Whistleblowers, confidential sources, 
                        or intelligence agencies.--Evidence received 
                        from whistleblowers, other confidential 
                        sources, or the intelligence community that is 
                        included in the record of proceeding and 
                        considered in adjudicative proceedings shall be 
                        handled in a manner that does not reveal the 
                        identity of the whistleblower or confidential 
                        source, or reveal classified information.
    (d) Consideration of Evidence.--
            (1) In general.--Case-specific communication with persons 
        or entities that are not part of the Department of Homeland 
        Security may not be considered in the adjudication of an 
        application or petition under section 203(b)(5) of the 
        Immigration and Nationality Act, as amended by section 2, 
        unless the communication is included in the record of 
        proceeding of the case.
            (2) Waiver.--The Secretary of Homeland Security may waive 
        the application of paragraph (1) only in the interests of 
        national security or for investigative or law enforcement 
        purposes.
    (e) Channels of Communication.--
            (1) Email address or equivalent.--The Director of U.S. 
        Citizenship and Immigration Services shall maintain an email 
        account (or equivalent means of communication) for persons or 
        entities--
                    (A) with inquiries regarding specific petitions or 
                applications under the immigrant visa program described 
                in section 203(b)(5) of the Immigration and Nationality 
                Act, as amended by section 2; or
                    (B) seeking non-case-specific information about the 
                immigrant visa program described in such section 
                203(b)(5).
            (2) Communication only through appropriate channels or 
        offices.--
                    (A) Announcement of appropriate channels of 
                communication.--Not later than 40 days after the date 
                of the enactment of this Act, the Director of U.S. 
                Citizenship and Immigration Services shall announce 
                that the only channels or offices by which industry 
                stakeholders, petitioners, applicants, and seekers of 
                benefits under the immigrant visa program described in 
                section 203(b)(5) of the Immigration and Nationality 
                Act, as amended by section 2, may communicate with the 
                Department of Homeland Security regarding specific 
                cases under such section (except for communication made 
                by applicants and petitioners pursuant to regular 
                adjudicatory procedures), or non-case-specific 
                information about the visa program applicable to 
                certain cases under such section, are through--
                            (i) the email address or equivalent channel 
                        described in paragraph (1);
                            (ii) the National Customer Service Center 
                        of U.S. Citizenship and Immigration Services, 
                        or any successor to that Center; or
                            (iii) the Customer Service and Public 
                        Engagement Directorate, the Immigrant Investor 
                        Program Office, or any successor agencies.
                    (B) Direction of incoming communications.--
                            (i) In general.--Employees of the 
                        Department of Homeland Security shall direct 
                        communications described in subparagraph (A) to 
                        the channels of communication or offices listed 
                        in subparagraph (A).
                            (ii) Rule of construction.--Nothing in this 
                        subparagraph may be construed to prevent--
                                    (I) any person from communicating 
                                with the Ombudsman of U.S. Citizenship 
                                and Immigration Services regarding the 
                                immigrant investor program under 
                                section 203(b)(5) of the Immigration 
                                and Nationality Act, as amended by 
                                section 2; or
                                    (II) the Ombudsman from resolving 
                                problems regarding such immigrant 
                                investor program under section 452 of 
                                the Homeland Security Act of 2002 (6 
                                U.S.C. 272).
                    (C) Log.--
                            (i) In general.--The Director of U.S. 
                        Citizenship and Immigration Services shall 
                        maintain a written or electronic log of--
                                    (I) all communications described in 
                                subparagraph (A) and communications 
                                from Members of Congress, which shall 
                                reference--
                                            (aa) the date, time, and 
                                        subject of the communication; 
                                        and
                                            (bb) the identity of the 
                                        Department of Homeland Security 
                                        official, if any, to whom the 
                                        inquiry was forwarded;
                                    (II) with respect to written 
                                communications described in subsection 
                                (c)(1)--
                                            (aa) the date on which such 
                                        communication was received;
                                            (bb) the identities of the 
                                        sender and addressee; and
                                            (cc) the subject of such 
                                        communication; and
                                    (III) with respect to oral 
                                communications described in subsection 
                                (c)(2)--
                                            (aa) the date on which such 
                                        communication occurred;
                                            (bb) the participants in 
                                        the conversation or meeting; 
                                        and
                                            (cc) the subject of such 
                                        communication.
                            (ii) Transparency.--The log of 
                        communications described in clause (i) shall be 
                        made publicly available in accordance with 
                        section 552 of title 5, United States Code 
                        (commonly known as the ``Freedom of Information 
                        Act'').
            (3) Publication of information.--If, as a result of a 
        communication with an official of the Department of Homeland 
        Security, a person or entity inquiring about a specific case or 
        about the immigrant visa program described in section 203(b)(5) 
        of the Immigration and Nationality Act (8 U.S.C. 1153(b)(5)) 
        received generally applicable and non-case-specific information 
        about program requirements or administration that has not been 
        made publicly available by the Department, the Director of U.S. 
        Citizenship and Immigration Services shall publish such 
        information on the U.S. Citizenship and Immigration Services 
        website, not later than 30 days after the communication of such 
        information to such person or entity, as an update to the 
        relevant Frequently Asked Questions page or by some other 
        comparable mechanism.
    (f) Penalty.--
            (1) In general.--Any person who intentionally violates the 
        prohibition on preferential treatment under this section or 
        intentionally violates the reporting requirements under 
        subsection (c) shall be disciplined in accordance with 
        paragraph (2).
            (2) Sanctions.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of Homeland Security 
        shall establish, in addition to any criminal or civil penalties 
        that may be imposed, a graduated set of sanctions based on the 
        severity of the violation referred to in paragraph (1), which 
        may include written reprimand, suspension, demotion, or 
        removal.
    (g) Rule of Construction.--Nothing in this section may be construed 
to modify any law, regulation, or policy regarding the handling or 
disclosure of classified information.
    (h) No Creation of Private Right of Action.--Nothing in this 
section may be construed to create or authorize a private right of 
action to challenge a decision of an employee of the Department of 
Homeland Security.
    (i) Effective Date.--This section, and the amendments made by this 
section, shall take effect on the date of the enactment of this Act.

SEC. 4. TREATMENT OF PERIOD FOR PURPOSES OF NATURALIZATION.

    Section 216A(e) of the Immigration and Nationality Act (8 U.S.C. 
1186b(e)) is amended to read as follows:
    ``(e) Treatment of Period for Purposes of Naturalization.--For 
purposes of title III, an alien who is in the United States as a lawful 
permanent resident on a conditional basis under this section, upon 
favorable determination and removal of the conditional basis of the 
alien's lawful permanent resident status under subsection (c)(3)(B), 
shall be considered to have been admitted as an alien lawfully admitted 
to the United States for permanent residence.''.

SEC. 5. CONCURRENT FILING OF EB-5 PETITIONS AND APPLICATIONS FOR 
              ADJUSTMENT OF STATUS.

    Section 245 of the Immigration and Nationality Act (8 U.S.C. 1255) 
is amended--
            (1) in subsection (k)--
                    (A) in the matter preceding paragraph (1), by 
                striking ``or (3)'' and inserting ``(3), or (5)''; and
                    (B) in paragraph (1), by adding ``and'' at the end; 
                and
            (2) by adding at the end the following:
    ``(n) If the approval of a petition for classification under 
section 203(b)(5) would make a visa immediately available to the alien 
beneficiary, the alien beneficiary's application for adjustment of 
status under this section shall be considered to be properly filed 
whether the application is submitted concurrently with, or subsequent 
to, the visa petition.''.

SEC. 6. PAROLE STATUS FOR PETITIONERS AND DEPENDENTS AWAITING 
              AVAILABILITY OF AN IMMIGRANT VISA.

    (a) Authorization.--Section 212(d)(5) of the Immigration and 
Nationality Act (8 U.S.C. 1182(d)(5)) is amended--
            (1) in subparagraph (A), by striking ``The Attorney General 
        may, except as provided in subparagraph (B) or in section 
        214(f), in his discretion parole into the United States 
        temporarily under such conditions as he may prescribe only on a 
        case-by-case basis'' and inserting ``Except as provided in 
        subparagraph (C) and section 214(f), the Secretary of Homeland 
        Security may temporarily parole into the United States, under 
        such conditions as the Secretary may prescribe, on a case-by-
        case basis,'';
            (2) by redesignating subparagraph (B) as subparagraph (C); 
        and
            (3) by inserting after subparagraph (A) the following:
    ``(B) The Secretary of Homeland Security, in the Secretary's 
discretion, may temporarily parole into the United States, under such 
conditions as the Secretary may prescribe, any alien who is the 
beneficiary of a petition for immigrant status under section 203(b)(5) 
(including the spouse or child of such principal alien, if eligible to 
receive a visa under section 203(d)) if--
            ``(i) such petition has been pending for at least 3 years; 
        or
            ``(ii)(I) such petition has been approved;
            ``(II) 3 years or more have elapsed since the petition was 
        filed; and
            ``(III) an immigrant visa is not immediately available to 
        the alien because the total number of visas issued under 
        section 203(b)(5) has reached the maximum number of visas that 
        may be made available to immigrants of the State or area under 
        section 203(b).''.
    (b) Employment Authorization for Alien Investors.--
            (1) In general.--The Secretary of Homeland Security may--
                    (A) authorize any alien described in section 
                212(d)(5)(B) of the Immigration and Nationality Act, as 
                added by subsection (a), to engage in employment in the 
                United States; and
                    (B) provide the alien referred to in subparagraph 
                (A) with appropriate endorsement of the authorization 
                under such subparagraph.
            (2) Fees.--
                    (A) In general.--The Secretary may assess a fee for 
                providing an employment authorization endorsement under 
                paragraph (1) in an amount equal to not more than the 
                average cost incurred by the Secretary in adjudicating 
                applications for such endorsement. The Secretary may 
                provide for the payment of such fees by installments.
                    (B) Savings provision.--Nothing in this paragraph 
                may be construed--
                            (i) to require the Secretary to charge fees 
                        for adjudication services provided to alien 
                        investors; or
                            (ii) to limit the authority of the 
                        Secretary to set adjudication and 
                        naturalization fees.
                                 <all>