John Burson  edited Friday, October 11, 2024

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The EB-5 RIA Integrity Fund Fee Due October 1

EB-5 Integrity Fund Fee for 2025 Due October 1, Regional Centers Urged to Comply

Designated EB-5 regional centers are reminded to submit their annual EB-5 Integrity Fund fees by October 1, 2024, to remain in good standing within the EB-5 Immigrant Investor Program.

The EB-5 Integrity Fund, established in 2022, plays a critical role in ensuring the compliance and integrity of the EB-5 program. Managed by U.S. Citizenship and Immigration Services (USCIS), the fund monitors investigates, and audits regional centers, thereby safeguarding the program’s objectives of attracting foreign investment and creating jobs in the United States.

Who needs to pay?

All designated regional centers are required to pay the Integrity Fund fee annually. The fee structure is tiered based on the size of the regional center’s investor pool from the previous fiscal year:

• $20,000 for centers with more than 20 investors in their new commercial enterprises.
• $10,000 for centers with 20 or fewer investors.

This differentiation ensures that smaller regional centers are not unduly burdened, promoting a diverse and vibrant EB-5 ecosystem.

What Is a Designated Regional Center?

A designated regional center is an organization approved by USCIS to facilitate the EB-5 Immigrant Investor Program. These centers aggregate investments from foreign nationals seeking U.S. green cards and direct the funds into U.S. businesses. In return, these businesses are obligated to create jobs for American workers. Regional centers simplify the EB-5 process by allowing investors to count both direct and indirect job creation, thus more effectively meeting the program’s employment requirements.

Critical Details for the 2025 Payment

1. The due date for the fee is October 1, 2024.
2. The fee amount is $20,000 for larger centers and $10,000 for smaller centers.
3. Payments must be made via pay.gov using the designated link provided by USCIS.
4. Regional centers that fail to pay within 30 days of the due date will incur a late fee. Previously, non-payment could lead to the termination of a center’s designation, but a recent court ruling now protects centers from losing their approval status due to late payments

Ensuring Compliance

USCIS emphasizes the importance of timely payments to maintain the integrity and functionality of the EB-5 program. “The Integrity Fund is essential for our ongoing efforts to monitor and regulate regional centers, ensuring that they operate transparently and effectively,” said a USCIS spokesperson. “We urge all designated regional centers to prioritize this payment to avoid any disruptions in their program participation.”

For a comprehensive overview of the recent changes, you can visit our detailed article on USCIS EB-5 Regional Centers Termination and Integrity Fees 2024.

Action Steps for Regional Centers

Regional center managers should:

1. Ensure that the October 1 deadline is noted on your calendar.
2. Assess whether the center qualifies for the $20,000 or $10,000 fee based on investor numbers.
3. Complete the payment promptly through pay.gov.
4. Stay informed about any updates or changes to the EB-5 program requirements.

Navigating the Consequences of Non-Compliance

Failing to pay the Integrity Fund fees isn't just a minor oversight—it can trigger significant repercussions, including hefty late fees or even the termination of a regional center's designation. Such outcomes can be especially detrimental for centers with post-RIA investors. Under the RIA requirements, if a regional center loses its status due to nonpayment (and no other issues are involved), any new commercial enterprises linked to it must associate with a new, approved regional center to ensure investors remain eligible for residency. This shift can delay EB-5 investor applications, adding complexity and additional costs for investors who may need to amend their I-526E petitions. On the other hand, pre-RIA investors generally aren't subject to these new requirements and might not need to take any action to maintain their benefits. It's crucial for investors to work closely with their attorneys to determine the necessary steps. For more details on retaining eligibility, refer to the USCIS Q&As.

Proactive Measures to Avoid Payment Issues

Multiple reports have highlighted payment processing challenges faced by regional centers as the December 30, 2023, deadline approaches. While the pay.gov platform aims to resolve most of these issues, regional centers should plan to submit payments early to circumvent any technical or banking glitches that could delay processing. Keeping meticulous records of all transactions is essential, as USCIS may request proof of payment in the future. Centers have the option to register for an account or pay as a guest. Registering allows you to view all payments made since account creation, store payment information, and easily replicate a form you've previously submitted for future payments. This proactive approach can help ensure confirmation of payment and maintain compliance with USCIS requirements.

Looking Forward

The timely payment of the EB-5 Integrity Fund Fee for 2025 by October 1, 2024, is essential to maintaining your center’s status and supporting the vital role you play in attracting foreign investment and creating jobs in the United States. For more information on the EB-5 Integrity Fund and payment procedures, regional centers can visit the official USCIS website or access the payment portal directly at pay.gov.