Transcript Immigration Proposals and Foreign Investment

Immigration Proposals
and Foreign Investment
Zuzana Jerabek
Background
 Foreign direct investment in the US dropped
sharply in 2012
 In 2013 foreign direct investment in the US could
fall by 10% below the amount recorded in 2012
 Foreigners invested $166 billion in US businesses
and real estate, down 28% from the $230 billion
invested in 2011
 October 2013 - the Obama administration
launches the “Select USA” initiative
 Offers a number of tools for foreign investors looking
to invest in the US
 Rebound in foreign direct investment will likely
not materialize until 2014
US Immigration Law
 Issues:
 Visa system too complicated
 Illegal work
 Students leaving the country
 Decrease in foreign investment
 Two proposals:
 Bipartisan plan X President Obama’s plan
 Border control
 Hiring illegal migrants
 Earning citizenship by migrants living in the US
 Promoting legal migration policy
=> economic growth -> opportunities for foreign investors
Bipartisan Proposal
 S. 744 - “Border Security, Economic Opportunity,
and Immigration Modernization Act”
 Bipartisan “Group of Eight”
 Senators Charles Schumer (D-NY), John McCain (RAZ), Richard Durbin (D-IL), Lindsey Graham (R-SC),
Robert Mendez (D-NJ), Marco Rubio (R-FL), Michael
Bennet (D-CO), Jeff Flake (R-AZ)
 US GDP would grow by 3.3% ($700 billion) in 2023 and
5.4% ($1.4 trillion) in 2033
 Introduced in Senate on April 16, 2013
 Passed the Senate on June 27, 2013 by a vote of 68-32
 Waiting for House approval
Foreign Investment
 Current Legislation:
 E-2 Treaty Investor Visa
 Intention to return after expiration
 EB-5 Investor Visa
 High investment requirement
 The proposal:
 X Visa
 At least $100,000 in investment OR at least 3 jobs
and $250,000 in annual revenue
 Temporary nonimmigrant visa
 EB-6 Immigrant Visa
 Leads to Lawful Permanent Residence
 Significant ownership in US business and its start-up
 At least 5 jobs and $500,000 in venture capital or
investment OR 5 jobs and $750,000 in annual
revenues
Proposal
 Make the system less complicated
 New system replacing the current one
 Fewer types of visa
 Move away from family-based immigration to a
system tied to ECO necessity
 Merit-based point system
 Award points to immigrants with educational
credentials, work experience and other
qualifications
 Additional requirements for specific types of
visa -> potentially boosting the score
 Implementation of a monitoring mechanism
Sources
 http://www.cnn.com/interactive/2013/04/politics/i
mmigration-bill/
 http://www.immigrationpolicy.org/specialreports/guide-s744-understanding-2013-senateimmigration-bill
 http://www.uscis.gov/working-unitedstates/temporary-workers/temporary-nonimmigrantworkers
 http://www.whitehouse.gov/issues/immigration/eco
nomy
 http://legalservicesincorporated.com/what-is-theimpact-of-immigration-reform-proposals-onbusinesses-employees/
 http://www.workpermit.com/news.htm
 https://www.fas.org/sgp/crs/misc/RS21857.pdf