Building a Stronger Nevada Economic Conference

Western Nevada Development District (WNDD) is a local non-profit organization which strives to promote and enhance collaboration towards the goal of the development of workforce and infrastructure for economic vitality. As part of their efforts, WNDD organizes an annual Nevada Economic Development Conference.

This year’s conference, Building a Stronger Nevada, will be held at the University of Nevada, Reno September 20 – 22, 2016. The conference works to gather experts who will reveal focus on Northern Nevada’s revitalizing economy and emergence as a player in the world economy.

The Conference is a multi-track format that has something for every aspect of business, industry and community leadership. Included are various Institutes exploring a variety of topics and on-site Tours of area businesses, facilities and points of interest. The Institutes will cover Agribusiness, Small Business/Entrepreneurship, Economic Development/Vitality, Energy, Infrastructure/Transportation, Manufacturing, and Work Force Development.

Additionally, guest speakers will present on topics such as sustainable transportation, regional development, urban growth and cyber security and innovations.

Guest Speakers include:
Diarmuid O’Connell –Tesla Energy in Nevada
Dr. Sam Cordes – Purdue University
Dr. Robert Lang” Megapolitan American
Brett Kelsey – Americas for Intel Security

The Conference provides phenomenal opportunities to network and glean insight into business growth, relocating to Northern Nevada and investing in area projects.

For more information, visit: WNDD.org

NVEB-5 Sponsored Project Breaks Ground in Carson City, Nevada

The Nevada State EB-5 Regional Center, Inc. (“NVEB-5”), a USCIS-designated regional center under the EB-5 Regional Center Program (the “Program”), is sponsoring a real estate development project in Carson City, Nevada structured to be an EB-5-qualifying project. As the project’s Program sponsor, the Regional Center will review and monitor the Offering to confirm that the Project is in compliance with EB-5 rules and policies. NVEB-5 will be reporting to USCIS when and as required. Each investor will be required to invest a minimum of $500,000, since the Project is located in an existing “Targeted Employment Area.” According to the project’s economic analysis, it will create 42 permanent new jobs, comprised of direct, indirect and induced jobs.

The mixed use project is located in downtown Carson City, Nevada within the geographic designation of the NVEB-5 Regional Center, and broke ground on July 6, 2016. Carson City will soon be graced by a handsome, architectural historically-inspired design staying true to the open, inviting nature that is unique to the community.

The architecture features rich exterior textures and luxurious design details that complement and embrace the style of Nevada’s capital city. Against a stunning backdrop of the Sierra Nevada Mountains, the building’s rich woods, brilliant metals, brick and stone will create a distinctive sense of place.

The complex will be a destination that amplifies the appeal of the soon-to-be-completed pedestrian-friendly Carson City Downtown, which is projected to be completed in the fall of 2017. Conveniently located near majestic Lake Tahoe, Reno and the San Francisco bay area, the project is sure to attract new businesses and residents, and existing businesses looking to expand into the region. The Curry Street Project will help promote downtown revitalization and economic growth for the entire community.

Investing in EB-5 Programs…Good Business

For foreign capital investors who are looking to invest in viable US based projects, there is no one simple benefit to participation in the EB-5 Process. Instead, the unique blend of benefits and flexibility are numerous, making the EB-5 Immigration Program an ideal option for a number of qualified applicants. Additionally, participation can be the potential gateway to obtaining permanent residence in the US along with your spouse and some family members without the traditional waiting list.

Sound promising? The basic qualification for EB-5 participation is that the person investing in the EB-5 project has access to between $500,000 and $1,000,000 US. The amount will ultimately depend on the physical location of the project. No experience within the particular industry, education or training is required. Instead, the foreign capital investor should have an interest in business management.

One option for investors would be to consider an EB-5 franchise opportunity where the investor contributes capital into the project. Successful EB-5 project investments produce job-creating businesses through regional centers approved by the United States Citizen and Immigration Services (USCIS). Per the USCIS, the regional center is an economic entity that maybe a public or private entity which works to promote economic growth, regional productivity, job creation and capital investment. Qualified projects must produce at least 10 new US based jobs.

Another option is to purchase a struggling, existing business. The business must grow at least 40% and meet the standard EB-5 requirements. Additionally, the business must demonstrate distress with documented annual net loss of 20% and have been in business for at least 2 years. All funds for this option must be invested directly into the business and US based jobs must grow or remain constant with the level at time of original contribution.

Additional benefits to the investor may include:

• Retirees who are self-sufficient and want to reside in the United States
• Parents who want a child to study in the United States and obtain in-state tuition
• Foreign nationals who are reaching the 6 year limit for their H-1B visa status
• A foreign national investor in a US business who does not want to be active in the day-to-day operations of the business
• Spouses of permanent residents
• Foreign nationals with an urgent need, or desire, to become a permanent resident
• Foreign nationals who need/want to relocate to a stable region
• Many other foreign nationals who may have no other options for legal status in the United States

The many benefits of the program encourage both investors and projects to explore the various options available, and the program continues to grow and expand. In 2015, more than 8,700 I-526 petitions were approved by USCIS, accounting for over $4.378 billion in foreign direct investment. With a 77.8% increase over 2014, last year (2015) was the first year that the EB-5 Program showed its capacity to attract over $1 billion in capital investment per quarter, catalyzing local economic development across the U.S.. This equates to approximately $12 million in foreign direct investment every single day during 2015. Since the Great Recession, the program has blossomed from $3.2 million in 2008 to over $4.3 billion last year, experiencing over 1,260% growth and attracting a total of over $13.05 billion in capital investment to the U.S. in the past seven years.

To learn more about the EB-5 Immigrant Investment Program visit:

USCIS.gov or NVEB-5.org

Or call the Nevada State EB-5 Regional Center direct at: 855.498.6360

Source: Lee Li, policy analyst for IIUSA – Regional Center Business Journal IIUSA , January 2016

EB-5 Regional Center’s Granted a Stay

EB-5 Regional Center Program Extended Until September 30, 2016

House and Senate Leadership has recommended that the EB-5 Regional Center’s Program be extended until September 30, 2016. This new development allows for the program to continue without interruption or changes until the end of the third quarter of 2016.
Referred to as a “clean extension,” the revised language to the bill, which is part of the larger Omnibus appropriations bill, will mean that all policies and procedures currently in effect will remain unaltered. It is anticipated that further language will be developed within the next 10 months to create meaningful reforms to the EB-5 Program.
“The Nevada State EB-5 Regional Center will continue to work diligently to provide local business exceptional opportunities to grow their existing business or build new ventures by attracting foreign capital investment. I encourage companies considering start-up, expansion, or relocation to explore the many benefits of the EB-5 Program. Additionally, we look forward to positive reformation of the EB-5 Program in the coming months,” said Lynn Beteag, Administrator of the NVEB-5.
NVEB-5 is located in Carson City, Nevada and works to provide sound solutions for local businesses and viable opportunities for foreign investors.
For more information visit: NVEB5.org or call 855.498.6360.
Read more about the extension….

On Dec. 15, 2015, one day prior to the expiration of the EB-5 program on Dec. 16, House and Senate leadership have recommended that the EB-5 program be extended until Sept. 30, 2016. The language for extension will be included as part of the larger omnibus appropriations bill that is anticipated to be passed on Friday. This “clean extension” will mean that nothing to the program will change, such as minimum investment amounts, definitions for Targeted Employment Areas, or other reforms. All I-924, I-526, and I-829 petitions will continue to be accepted, processed, and adjudicated as normal, until a new reform bill is passed or until the program’s sunset on Sept. 30, 2016.

 

The EB-5 Investment Coalition, with the support of key members of the EB-5 industry, have worked tirelessly to advocate the EB-5 program and to recommend reform measures that will be beneficial to the greater EB-5 industry. Over the last year, five bills seeking to reform the EB-5 program have been introduced in both the House and the Senate, all proposing different measures for reform and improvement. When the EB-5 program was due to expire on Sept. 30, 2015, it was temporarily extended through a temporary government funding bill, a “continuing resolution,” until Dec. 11, 2015. In November 2015, a discussion draft produced by the House and Senate Judiciary Committees was widely circulated through the EB-5 industry, expanding upon S.1501, a Senate bill that was introduced in June 2015. Members of the EB-5 industry, including EB-5 IC, provided feedback and comments to the discussion draft, with the intent of making the EB-5 program workable while also advocating for strong integrity and enforcement measures. While negotiations were extensive and significant changes were agreed upon through the efforts of EB-5 IC and its partners, including the Real Estate Roundtable and the Chamber of Commerce, there were still many changes needed to make the bill workable. As it became clear that certain points of the discussion draft needed further negotiation, comment, and study, EB-5 IC and its partners, recognized the need for more time to work on different aspects of the bill, and sent a letter to the House and Senate leadership, requesting a one year extension with integrity measures.

 

As the deadline of Dec. 16 quickly approached, the House and Senate leadership recognized the need for more work on the bill as voices of the EB-5 industry were heard, and as a result, an extension of the EB-5 program until Sept. 30, 2016, will be included with the omnibus appropriations bill, along with the other expiring immigration programs (R-1 visas for religious workers, the Conrad 30 waiver program for J-1 medical workers, and the E-verify program.)

 

EB-5 IC Board Members Laura Foote Reiff and Jeff Campion recognize the equally tireless work of key Congressional leaders by stating:  “We thank our champions in Congress; House and Senate Leadership and Chairmen and Ranking Members of the House and Senate Judiciary Committees. We especially thank senators Cornyn, Flake, and Schumer, and congressman Pete Sessions – who ensured that our voices would be heard.”

 

The next 10 months will be critical in ensuring that members of the EB-5 industry work together with Congress to ensure that meaningful reforms take place that will protect all stakeholders of the industry.  EB-5 IC will continue to work tirelessly with its partners to ensure that all interests are represented.

 

 

Does the EB-5 Program Need a Facelift?

Things change. Times change. With all change comes uncertainty and angst. Such is it with the EB-5 Program approaching its “sunset” and looks to our country’s leaders to determine the program’s future.

While many proposed details of the future structure of the program are unclear, it is certain that change will indeed happen. Since its inception in 1992, Congress has failed to address adequate reforms for EB-5. With tremendous growth and over $13 Billion in direct foreign investment since 2008 alone, a program overhaul is long overdue. While largely touted a huge success for the US economy, a few bad apples have led to some short sighted negative press.

As the House and Senate move towards the December 11, 2015 spending deadline (Omnibus Spending Bill), the fate of EB-5 lies in wait. Compromised EB-5 language was included in the bill which contains substantial reform to the EB-5 Program.

Some of the specifics of the proposed legislation to reauthorize and reform the program include:

  1. Elimination of TEA areas
  2. Changes to how job creation is calculated
  3. Additional anti-fraud, securities laws and verification requirements
  4. Long term reauthorization of the program to September 2019
  5. Provide the Department of Homeland Security with better tools to guard against program abuse and promote program integrity
  6. Establish an EB-5 Integrity Fund
  7. Require Background Checks
  8. Raise the lower investment threshold to $800,000

While it is widely agreed upon that the EB-5 Program is in need of a facelift, the Program is still relevant and needed in today’s ever changing economic landscape. EB-5 is a powerful tool to the US economy and a viable instrument for US job creation.

It would be tragic to lose such an innovative and successful economic instrument.

Sources:

  1. The EB-5 Revolution has Begun. By Mathhew Gordon http://discuss.ilw.com/showthread.php?39760-Article-The-EB-5-Revolution-has-Begun-By-Matthew-Gordon
  2. IIUSA Supports Bicameral, Bipartisan Agreement by Judiciary Committee Leaders to Reform and Reauthorize EB-5. By IIUSA https://iiusa.org/blog/government-affairs/us-congress/iiusa-supportseauthorize-eb5/
  3. Lehy Draft to Congress. http://www.leahy.senate.gov/imo/media/doc/MDM15J00.pdf

Nevada NewsMakers Interviews Lynn Beteag

On Tuesday, November 17, 2015, Lynn Beteag, Managing Director of the Nevada State EB-5 Regional Center, was interviewed by Sam Shad. Sam is a local TV personality who hosts Nevada NewsMakers, an informative show on issues effecting the Silver State.

Lynn provided viewers with an overview of the EB-5 Program as well as the benefits to local businesses seeking capital contribution which can supplement their capital stack.

See the complete show on Nevada NewsMakers.

Lynn Beteag on Nevada NewsMakers

 

For more information about the EB-5 Program, contact the Nevada State EB-5 Regional Center:

855-498-6360

or

Admin@nveb5.org

NVEB-5 Participates in the Northern Nevada Business Summit

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Lynn Beteag and Evelyn Wheeler of the Nevada State EB-5 Regional Center at Northern Nevada Business Conference

In efforts to support area businesses, the Reno-Sparks-Northern Nevada Chamber of Commerce created a new annual event which provided attendees with an educational and informative conference addressing key employer and business issues. The event, titled the “Northern Nevada Business Summit” (NNBS), was held on November 5th, 2015 at the Nugget Resort in Sparks, Nevada.

The inaugural conference attracted over 100 exhibitors showcasing the latest in products and services. Exceeding expectations, The Chamber anticipates that subsequent years’ events will grow into the regions’ largest business-to-business trade show.

“The Nevada State EB-5 Regional Center (NVEB-5) was one of the many vendors participating in the conference. Lynn Beteag, Administrator of NVEB-5, commented, “The business summit and trade show was an event that was well worth participating in and attending. Our region is experiencing unprecedented diverse business growth which is creating many opportunities and challenges for existing businesses. NNBS is an opportunity for local businesses to gain insight into the issues facing the region. The Chamber is responding to our regional needs and offering a platform for both new and existing businesses to network, introduce product, provide market service solutions and offers an environment of idea collaboration. That is why Nevada State EB-5 Regional Center felt it beneficial to participate as an exhibitor. NVEB-5 felt the conference was an ideal place to showcase the benefits of the EB-5 Program for new businesses or existing businesses looking to expand or relocate which require supplemental capital to add to their capital stack. The program enables foreign capital investors to obtain legal entry into the US in exchange for a capital loan in local, approved job creating projects. The Program is of no cost to the tax payer. “

If you are a company or project developer seeking additional capital, contact NVEB-5 to discuss an exceptional opportunity to grow your business or launch a new venture that creates US jobs.

For more information,

Call: 1.885.498.6360

Or

Email: Admin@NVEB5.org

 

The EB-5 Program: Something to Agree On

Access to various capital markets have the power to improve not only economic development but the quality of life for area residents. The EB-5 Program has been a powerful tool to new and existing ventures looking to expand. Communities across the US have experienced firsthand the benefits of the program and seen how the once underutilized program has developed in to a multifaceted economic development instrument. Through the EB-5 Program, billions of dollars have helped grow local economies.

Even in the ever changing political climate, both parties agree that greater investments in the US lead to more US based jobs that don’t add additional burden on the American taxpayer. This is the purpose of the EB-5 Program and something we can all agree on; however, the current program is set to sunset this month. The future of the program is in the hands of Congress…

Peter D. Joseph, Executive Director, IIUSA recently published an article discussing the future of the EB-5 Program.

The growth in the program has been exponential in the last few years and continues at an impressive clip. According to Invest in the USA’s (IIUSA) analysis, $1.815 billion in investment was generated in the first two quarters of FY2015 alone — a $400 million increase compared to the first two quarters of FY2014 and a $1.1 billion increase over the same period in FY2013. There are over 13,000 immigrant petitions waiting on approval by the U.S. Citizenship and Immigration Services (USCIS), representing more than $6.5 billion in potential incoming capital. Read more.

 

 

The 4th Annual California EB-5 Conference

The 4th Annual California EB-5 Conference in Los Angeles was held August 2nd thru 3rd, 2015 with some 500 in attendance. Hosted by EB5 Investors Magazine, the event gathered EB-5 stakeholders and attorneys for educational and networking opportunities. With the sunset of the EB-5 Program in September, attention was focused on the continued efforts of the House to reach a legislative solution to sustain and reform the EB-5 Program.

Keynote speaker, House Judiciary Chairman Bob Goodlatte (R-VA-6) emphasized his support for the program and provided updates to the proposed legislation. As House Judiciary Chairman, Congressman Goodlatte has legislative oversight of the EB-5 Program; the Congressman shared his account of the proceedings progress with attendees. Goodlatte stressed the need to reauthorize and reform the EB-5 program which contributes to the US economy through vital economic stimulus and job creation.

Lynn Beteag, Administrator of the Nevada State EB-5 Regional Center (NVEB-5) attended the conference to better understand the proposed reform. Changes within the EB-5 Program will be both beneficial and limiting for the future operations of all regional centers including NVEB-5, located in Carson City.

Beteag stated, “The EB-5 Investor Conference attracts the very best from the EB-5 industry. It is a great opportunity to discuss the latest market issues and trends as well as network with esteemed colleagues and other business professionals.”

Additionally, guest speaker former Governor of Pennsylvania, Edward G. Rendell gave a special address voicing his support of the EB-5 Program. A longtime advocate, Rendell was an especially ardent supporter of the use of the EB-5 program for the financing of the Pennsylvania Convention Center. Rendell has stressed that the EB-5 program is currently underutilized by individual states to assist in obtaining additional capital to finance infrastructure. Ms. Beteag commented, “The former Governor’s comments are particularly fitting for the growing Silver State. The NVEB-5 Regional Center could attract capital needed to grow and refurbish Nevada’s roads, bridges and highways.”

Congressman Amodei Comments About the EB-5 Program

With the EB-5 Program set to expire in September of this year, Congressman Mark Amodei (R-Nevada) recognizes the tremendous economic benefit and opportunity that the EB-5 program (or immigrant investor category) has to our nation’s future. Amodei and Colorado Congressman, Jared Polis introduced legislation earlier this year to make the EB-5 Program permanent and allow for job creation though foreign capital investment. The bill titled American Entrepreneurship and Investment Act of 2015, would address Target Employment Areas, transparency and streamline the program’s processing times.

These changes within the EB-5 Program directly impact the future operation of the Nevada State EB-5 (NVEB-5), located in Carson City, which depends on the specifics of the bill’s architecture as well as its successful passage.

Lynn Beteag, Administrator for NVEB-5 had this to say about the proposed changes to the EB-5 Program, ”Our main concern is how the proposed changes to the EB-5 program will hinder or assist companies who are requiring additional capital to build or expand their businesses into Northern Nevada. Like other Regional Centers in the U.S. we are waiting for Congress to support legislation to improve and continue the EB-5 Program”.

Las Vegas Business Press recently published the following article highlighting Congressman Amodei’s comments on the issue.

The SLS hotel-casino is the largest local project to benefit from EB-5 financing, according to Michael Vannozzi. The SLS employs 2,700. (David Becker/Las Vegas Review-Journal)

The front entrance to the SLS hotel-casino is seen on Tuesday, June 23, 2015, in Las Vegas. According to an SEC filing, the hotel-casino lost $35.3 million in the first quarter of this year. (David Becker/Las Vegas Review-Journal)

 

Curated from Amodei leading push to update EB-5 policy | Las Vegas Business Press