DHS Issues Proposal to Revamp EB-5 Fees and Codify Integrity Act Measures - VisaHQ

Key Takeaways

What DHS proposed

The Department of Homeland Security (DHS) has released a Notice of Proposed Rulemaking (NPRM) aimed at overhauling fees and hardwiring integrity provisions in the EB‑5 immigrant investor program. EB‑5 allows qualifying investors (typically $800,000 in targeted employment areas or $1,050,000 elsewhere) to seek permanent residence based on job-creating investment. The rule would align agency regulations with the EB‑5 Reform and Integrity Act of 2022 (RIA), which Congress enacted to tighten oversight of regional centers—entities that pool EB‑5 capital—and protect investors. It has been reported that DHS intends to move statutory and policy directives into clear, enforceable regulations.

Fee changes and compliance impact

USCIS (U.S. Citizenship and Immigration Services) already reset many EB‑5 fees in 2024; this new proposal would further “right-size” charges to reflect the true cost of adjudications and program oversight. Expect notable impacts on filings such as Form I‑526E (regional center investor petition), Form I‑829 (to remove conditions on permanent residence), and the Form I‑956 suite used by regional centers and project sponsors (applications, project approvals, annual statements, and disclosures). DHS also appears poised to formalize ongoing integrity costs, such as the Integrity Fund contributions mandated by the RIA, and to clarify how and when fees are assessed across the EB‑5 lifecycle. For stakeholders, that likely means higher upfront and maintenance costs and a premium on meticulous documentation.

Codifying Integrity Act measures—and what it means now

Beyond fees, the NPRM would codify key RIA safeguards: background checks for owners and operators, third‑party promoter registration and disclosure, use of independent fund administrators or audited financials, project‑level transparency, audits and site visits, and clear suspension/termination authorities for noncompliance. For investors, stronger guardrails can reduce fraud risk and improve visibility into where funds go, but they may also lengthen preparation times and increase vendor costs. For regional centers and developers, the proposal signals more predictable—but more intensive—compliance, with potential penalties for lapses. Processing times at USCIS remain lengthy in many EB‑5 categories; timing a filing before any fee increase takes effect could matter, while ensuring projects and marketing partners meet the proposed standards will be essential.

What applicants and regional centers should do

Source: Original Article

Read Original Article →