Last night, Congressional leaders finalized the text of the proposed omnibus spending bill. The EB-5 provisions in the legislation will allow the Program to continue with no lapse through September 30, 2016.
While this is good news for the EB-5 industry and communities counting on EB-5 capital to create jobs, we are disappointed that Congress did not take this opportunity to pass a long term reauthorization and reform package.
After years of under-utilization, EB-5 became an important source of investment capital following the Great Recession, funding job-creating projects across the country at no cost to taxpayers. Since 2008, the Program has generated more than $13 billion in foreign direct investment that created tens of thousands of jobs, and there currently is more than $9 billion in EB-5 capital pending federal government approval. In the last quarter alone, more than 6,500 investors submitted petitions to participate in the program – a number nearly equal to what was submitted in the first three quarters of fiscal year 2015.
IIUSA will continue to advocate for a long term reauthorization with reasonable reforms that succeed in enhancing Program integrity and effectiveness.