USCIS Foreign Trader, Investor and Regional Center Program (FTIRCP) EXECUTIVE SUMMARY FUNCTIONS The U.S. Citizenship and Immigration Service s (USCIS) Foreign Trader, Investor and Regional Center Program (FTIRCP) within Service Center Operations Business and Trade Services Branch, is responsible for: 1. All policy, USCIS regulatory development and administrative and operational oversight related to the EB-5 immigrant investor program, investor pilot program regional centers, and nonimmigrant E-1/2 treaty traders/investors; 2. All issues with respect to foreign traders, investors, and Asian Pacific Economic Cooperative (APEC) related matters; 3. Form design for Investors and treaty traders; 4. Cost analysis of regional center adjudications for establishment of a filing fee commensurate with the costs of resources and staffing time to adjudicate them. 5. Training of USCIS adjudicators assigned alien investor and treaty trader case petitions and related applications; and 6. Oversight of benefit adjudications and program integrity (and fraud detection coordination) relating to immigrant investors, regional centers, and nonimmigrant treaty traders/investors. FTIRCP OPERATIONAL STRUCTURE The FTIRCP, organizationally resides within The Office of Service Center Operations Business and Trade Services Branch (SCOPS/BATS), is comprised of the following positions: One Chief Adjudications Officer, Three Senior Adjudications Officers One Economist One Clerical/administrative support SPECIFIC ACTIVITIES FTIRCP provides guidance and support to the responsible service center(s). FTIRCP interacts with HQ Office of Field Support. FTIRCP is the principal Point of Contact with CIS Office of Chief Counsel on all issues relating to alien investors and treaty traders. FTIRCP interacts with USCIS Office of International Affairs, providing guidance and support to district directors and Officers In Charge at key overseas offices dealing with EB-5 immigrant investors processing through those posts 1
(Hong Kong, Beijing, Guangzhou, Taipei-AIT, Soul, Mumbai, Jeddah, and others as needed). FTIRCP maintains a close working relationship with Department of State Consular Affairs. FTIRCP maintains liaison and works closely with the USCIS Office of Fraud Detection and National Security (FDNS) related to trader and investor cases which raise fraud or national security concerns. FTIRCP coordinates with DHS, the Commerce Department, Small Business Administration, Securities and Exchange Commission, and other Federal agencies which deal with international trade and investment. FTIRCP works directly with State and Local government entities throughout the U.S. FTIRCP provides outreach to the business community, professional associations, international business and trade groups, and others. PROGRAM AND OPERATIONAL MANAGEMENT: All immigrant investor EB-5 petitions and all nonimmigrant treaty trader/investor petitions over time will be centralized at a single service center, the California Service Center. However, for purposes of transition, in the near term EB-5 case adjudications will continue at both the CSC and TSC. (CSC and TSC will manage day to day EB-5 and E-1/2 case adjudications activities with FTIRCP providing programmatic, operational and policy guidance, as well as overall direction relating to immigrant and nonimmigrant investor and treaty trader work in coordination with SCOPS/BATS, CSC and TSC management.) All EB-5 Regional Center applications and proposals are filed with, and adjudicated by the BATS/FTIRCP at USCIS headquarters. 2
USCIS Foreign Trader, Investor and Regional Center Program (FTIRCP) This document provides an overview of a specialized program, the Foreign Trader, Investor and Regional Center Program (FTIRCP) operating within USCIS Office of Domestic Operations, Service Center Operations Business and Trade Services. The FTIRCP administers and oversees all aspects of policy, regulation, and operations relating to: 1. Immigrant Investors (EB-5); 2. Regional Centers and the Immigrant Investor Pilot Program; 3. Nonimmigrant Treaty Traders and Investors (E-1/2); and 4. USCIS immigration policies and operations in conjunction with U.S. supported initiatives and goals with respect to the Asian-Pacific Economic Community (APEC). 5. Program integrity and fraud detection/prevention relating to all foreign trader and investor immigration cases. This Investor and Regional Center Program (FTIRCP) has oversight relating to EB-5 immigrant investors (Forms I-526 and I-829); Regional Center review and adjudications, adjudication of Nonimmigrant E-1/2 Treaty Traders and Investors (Form I-129), and APEC issues regarding: all policy and regulatory development; form design; cost analysis for a new Regional Center filing fee, fraud prevention, training; and adjudications relating to foreign traders, investors and regional centers. OPERATIONAL STRUCTURE: The FTIRCP organizationally functions within the Office of Service Center Operations Business and Trade Services, and operates as a specialized program which reports through BATS to the Chief of Service Center Operations. In line with the USCIS Bi-specialization initiative, immigrant investor EB-5 petitions and nonimmigrant treaty trader/investor petitions shall all be centralized at a single service center, the California Service Center. However, for purposes of transition, in the near term EB-5 case adjudications will continue at both the CSC and TSC. (CSC and TSC will manage day to day EB-5 and E-1/2 case adjudications activities with FTIRCP providing programmatic, operational and policy guidance, as well as overall direction relating to immigrant and nonimmigrant investor and treaty trader work in coordination with SCOPS/BATS, CSC and TSC management.) 3
Given that these types of cases do not entail nor require any face to face interviews or examination of the petitioning aliens, and that all the evidence necessary to make a sound and informed adjudicative decision is obtainable through direct mail filings, it is most prudent and efficient for USCIS to centralize such case adjudication processing at the California Service Center, where E s already are centralized. (Until such centralization is formally determined and phased in by the FTIRCP, for the interim EB-5 cases will continue at both the TSC and CSC.) CSC and TSC will continue to operationally manage day to day EB-5 case adjudication activities, with the FTIRCP (in coordination with SCOPS and TSC/CSC management) providing programmatic, policy and overall operational oversight and direction with respect to immigrant and nonimmigrant investor and treaty trader benefits processing. All EB-5 Regional Center applications are filed with, and adjudicated by the FTIRCP at CIS headquarters. There is a need to continue to apply a national view and overall policy and practice perspective to the range and scope of the disparate regional centers that continue to be proposed for varied and many parts of the U.S. As such, a more HQ-grounded national view is required to ensure consistency, comparability, and balance in the process for approval, designation, and oversight of this rapidly expanding aspect of the immigrant investor program. A cost analysis of regional center adjudications for establishment of a filing fee commensurate with the costs of resources and staffing time to adjudicate them. The FTIRCP: 1. Provides policy guidance, support and general direction to the service center(s) with jurisdiction for EB-5 and E-1/2 adjudications; 2. Interacts with HQ Office of Field Support to oversee protocols and activities related to any investor or trader cases that may be referred to a field office. 3. Interacts with HQ Office of International Affairs, providing guidance, support and coordination as appropriate to district directors and Officers-in-Charge in key USCIS overseas offices dealing with EB-5 immigrant investors processing through those posts (Hong Kong, Beijing, Guangzhou, Taipei-AIT, Soul, Mumbai, Jeddah and others as needed. 4. Is the principal Point of Contact (POC) with CIS Office of Chief Counsel on all legal matters and issues relating to immigrant and nonimmigrant investors and treaty traders. 5. Maintains a close working relationship with Department of State Consular Affairs in the administration of the investor program, especially for clarifying processing procedures and consulting with the DOS Post Liaison Division and Advisory Opinions office regarding EB-5 and E-1/2 regulations, policies, issues, and visa issuance matters related to USCIS approved cases. 6. Coordinates with DHS and DOS on all issues with respect to treaty traders, investors, and APEC related matters; 7. Maintains liaison and works closely with the USCIS Office of Fraud Detection and National Security (FDNS) related to alien investor and regional center 4
8. program integrity, oversight and fraud detection/prevention as well as trader and investor cases involving fraud or national security concerns. 9. Coordinates with DHS, the Commerce Department, the Small Business Administration, the Securities and Exchange Commission, and other Federal agencies whose programs and regulations impact the immigrant and nonimmigrant investors, APEC matters, and treaty traders. 10. Works directly with State and Local government entities to assist and facilitate foreign investor capital flow and job creation through the Federal Immigrant Investor Program. 11. Provides outreach to the business community, professional associations and represents USCIS on panels, conferences, and in public forums (including APEC) regarding the immigrant/nonimmigrant investor and nonimmigrant treaty trader program, regulations, policies and initiatives. Functions and Responsibilities The FTIRCP: Has sole adjudicative jurisdiction for Regional Center applications pursuant to the Immigrant Investor Pilot Program for purposes of approval, denial, Requests for Evidence (RFE s), re-certifications and terminations of approved regional centers. Monitors and follows up on the activities of approved Regional Centers to ensure compliance with the terms, scope, and conditions of their approval/designation relative to their approved business plans and indirect job creation methodologies, to ensure full compliance with the regulations and the terms of their approval. Carries out terminations of previously approved/designated regional centers pursuant to 8 CFR 204.6(m)(6) for failure to comply with the major factors/conditions of approval and/or failure to improve the economic conditions of the geographic area which is the focus of the regional center, Develops and recommends investor and trader program, policy, regulatory and operational changes/improvements to USCIS management. Monitors and is responsible for the policy coordination relating to agency-wide I-526 and related I-829 Immigrant Investor matters and I-129/539 nonimmigrant treaty trader and nonimmigrant investor matters. Conducts annual oversight evaluations and an annual analysis of Regional Center activities in terms of number of alien investors, aggregate investment capital, average value of investments per alien investor, aggregate total of indirect jobs per each regional center, economic impacts, the number of job creating enterprises which have received alien investor capital through the program, and 5
the total number of alien investors petitioning through each regional center per year. Works and coordinates with the HQ FDNS, to develop program and process integrity improvements and assessments for purposes of strengthening fraud detection and preventing abuses of the program by mala fide promoters, attorneys, and investors. (This process involves selective and periodic onsite compliance visits to regional center investment projects and claimed activities, as well as relating to nonimmigrant foreign trader and investor activities suspected of misrepresentation and/or fraud.) Works and coordinates with FDNS, both at headquarters and at the Service Center levels to employ methods and criteria for identifying and flagging foreign investor capital that may be from unlawful sources such as from criminal activities, money laundering activities, or associated with funding related to Terrorist organizations and activities which may threaten the national security of the U.S. Develops and updates Executive Level Review Criteria (ELRC) for purposes of direct adjudication of both audit and special handling for any and all immigrant investor or nonimmigrant treaty trader/investor cases, as well as for regional center affiliated petitions and individual investor cases to verify consistent interpretation and application of regulations and policies, and to provide oversight, guidance and support to field adjudications officers, and to ensure appropriate priority adjudication of sensitive high visibility cases. Manages, coordinates and oversees the handling and review of both individual and class action litigation investor cases, setting criteria governing such special reviews and working with Office of Chief Counsel in establishing the agency s position on any and all applicable settlement proposals to and from the litigants and their attorneys. Conducts random and focused compliance audits and quality assurance reviews of individual investor cases, regional centers, as well as groups of Regional Center affiliated investor cases in accordance ELRC procedures. Conducts Regional Center and EB-5 regulatory/policy training for field adjudications officers and supervisors involved in processing individual immigrant investor and nonimmigrant treaty trader/investor petitions as well as investor petitions affiliated with approved regional centers. Maintains and updates the USCIS web content of the EB-5 program and Pilot Program information. Prepares Information System Transaction Requests (ISTR s) for CLAIMS, MFAS, and other relevant systems relating to processing and adjudications of 6
immigrant investor and nonimmigrant treaty trader/investor adjudications (I-526, I-129, and I-829). Staffing and Structure for the FTIRCP: One Chief Adjudications Officer, reporting through BATS to the Chief of USCIS Service Center Operations, responsible for administering, managing and overseeing all aspects of the FTIRCP. (Given the agency-wide, congressional, legal, and both the national and international scope, sweep, impact of this program, and the complexities and impacts on both local economies as well as on the national economy, the level of representation of the agency in public forums and the level of counterparts in other agencies, as well as having supervision over three specialist headquarters adjudications officers, and providing direct guidance and direction to EB-5 adjudications officers at two Service Centers, an administrative assistant and economist, a Chief Adjudications Officer is required for leading this program.) Three Adjudications Officers to adjudicate regional center applications and to assist the FTIRCP Supervisory Adjudications Officer in developing policies, regulatory changes, action plans, audit plans and methodologies, and to provide support and assistance to field adjudicators at the CSC, TSC, and field offices in the ongoing operation of the program. One of these officers with expertise in fraud and security analysis will, as collateral duty, focus on checks of the principals, agents, enterprises, and aliens identified as working with or on behalf of a CIS-approved regional center. One professional economist to review and provide expert evaluation of economic analyses and to validate methodologies for direct and indirect job creation, and capital formulation and multipliers claimed by regional center applicants seeking approval to operate through the Immigrant Investor Pilot Program. Clerical/administrative support to assist with file and records maintenance, mailings to and from regional centers, and updating monitoring reports on a quarterly basis, and other duties as assigned, and to provide support for FTIRCP management of the recertification reviews for approved Regional Centers. IMPACTS: The EB-5 Immigrant Investor and Regional Center program in 2006 resulted in an aggregate total of over $250 million in immigrant investor capital inflow to the U.S. and the creation and/or preservation of 5,000 jobs in areas of high unemployment. Projections for 2007 are for an aggregate total of $500 million and 10,000 jobs principally in areas of high unemployment. The program is projected to achieve $1 billion in total aggregate immigrant investment per year by the end of calendar year 2008, and in excess of 20,000 new jobs directly and indirectly created annually in the U.S. in 2008 and beyond. 7