Important Updates
Important Updates
October 3, 2025 | United StatesUnited States: Supreme Court Again Permits DHS to Terminate 2023 TPS Designation for Venezuela While Litigation Continues
October 3, 2025 | ArgentinaArgentina: Provisional Certificate Policy Change Extends In-Country Work Authorization Timelines
October 3, 2025 | KazakhstanKazakhstan: New Work Permit Process Rules, Including Labor Market Test and New Online Portal
October 3, 2025 | United StatesThe American Lawyer: Proposed H-1B Changes Make Foreign Lawyers More Expensive, but Also More Accessible
October 3, 2025 | United StatesUnited States: Lawsuit Filed Challenging New H-1B Restrictions and $100,000 Fee
October 3, 2025 | United StatesUnited States: Supreme Court Again Permits DHS to Terminate 2023 TPS Designation for Venezuela While Litigation Continues
October 3, 2025 | ArgentinaArgentina: Provisional Certificate Policy Change Extends In-Country Work Authorization Timelines
October 3, 2025 | KazakhstanKazakhstan: New Work Permit Process Rules, Including Labor Market Test and New Online Portal
October 3, 2025 | United StatesThe American Lawyer: Proposed H-1B Changes Make Foreign Lawyers More Expensive, but Also More Accessible
October 3, 2025 | United StatesUnited States: Lawsuit Filed Challenging New H-1B Restrictions and $100,000 Fee
October 3, 2025 | United StatesUnited States: Supreme Court Again Permits DHS to Terminate 2023 TPS Designation for Venezuela While Litigation Continues
Subscribe
Fragomen.com home
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
Search Fragomen.com
  • Our Services
    For EmployersFor IndividualsBy IndustryCase Studies
  • Our Tech & Innovation
  • Our People
  • Our Insights
    Worldwide Immigration Trends ReportsMagellan SeriesImmigration AlertsEventsMedia MentionsFragomen NewsBlogsPodcasts & Videos
  • Spotlights
    Navigating Immigration Under the Second Trump AdministrationTravel & Mobility Considerations: Situation in the Middle EastImmigration Matters: Your U.S. Compliance RoadmapCenter for Strategy and Applied InsightsVietnamese ImmigrationView More
  • About Us
    About FragomenOfficesResponsible Business PracticesFirm GovernanceRecognition

Our Services

  • For Employers
  • For Individuals
  • By Industry
  • Case Studies

Our Tech & Innovation

  • Our Approach

Our People

  • Overview / Directory

Our Insights

  • Worldwide Immigration Trends Reports
  • Magellan Series
  • Immigration Alerts
  • Events
  • Media Mentions
  • Fragomen News
  • Blogs
  • Podcasts & Videos

Spotlights

  • Navigating Immigration Under the Second Trump Administration
  • Travel & Mobility Considerations: Situation in the Middle East
  • Immigration Matters: Your U.S. Compliance Roadmap
  • Center for Strategy and Applied Insights
  • Vietnamese Immigration
  • View More

About Us

  • About Fragomen
  • Offices
  • Responsible Business Practices
  • Firm Governance
  • Recognition
Select Language
  • English
  • French
  • French - Canadian
  • German

Select Language

  • English
  • French
  • French - Canadian
  • German
ContactCareersMediaClient Portal
  • Insights

Solving the EB-5 Quota Backlog

June 2, 2016

Country / Territory

  • United StatesUnited States

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

By: Michael F. Turansick

Among all the vexing issues facing the EB-5 program these days (e.g., program integrity issues, changes to required investment amounts, proposed TEA limitations, job creation methodologies, etc.), possibly none is more critical to the future of the program than addressing the large and growing backlog in the EB-5 category for Chinese nationals. For some time, demand for EB-5 green cards in China far exceeded the statutory limit on this category and it has been projected that Chinese-born applicants who have recently filed for EB-5 immigrant classification must endure a backlog of 6-7 years before they can receive their conditional permanent resident status.  

Impact of EB-5 quota backlog

Although Chinese citizens continue to file the vast majority of EB-5 petitions, the quota backlog has already had a chilling effect on demand for the EB-5 category in China. Potential Chinese investors in the U.S. economy are undoubtedly looking at options in other countries as well as other U.S. immigrant categories to accomplish their personal and business objectives. Demand for EB-5 green cards is also increasing in other parts of the world and some have hinted that an EB-5 backlog may be needed for citizens of Vietnam at some point in the next year or so if demand from that country continues to grow. As delays and backlogs increase, investors will go elsewhere. All this adds up to lost investment and job creation opportunities for the United States.

The core issue behind the EB-5 quota backlog

The essence of the problem is that the visa allocation for the EB-5 category, like other employment-based immigration categories, has remained constant for the past quarter of a century. During the past six years, demand has grown to unprecedented and unanticipated levels and, despite all of the uncertainties facing the program, demand for EB-5 visas remains strong. To remain viable and to ensure the EB-5 program accomplishes its dual goals of encouraging foreign investment and job creation, the issue must be addressed in a manner that provides potential investors and their families with confidence that their green cards can be issued in a reasonable time period.

Potential solutions to resolve the EB-5 quota backlog

The potential solutions to the problem are not inherently complex but by no means are they simple. The following are some of the more likely scenarios, all of which may require Congress to take legislative action:

Recapture. It is important to remember that the EB-5 category was largely if not almost completely under-utilized for most of its history. There are statistical projections indicating that as many as 190,000 EB-5 immigrant visas have gone unused throughout the history of the program. Recapturing these visas would eradicate the existing visa backlog for Chinese citizens and eliminate the prospect of backlogs for the foreseeable future. Recapturing previously allocated but unused visas would seemingly be less controversial than increasing the quota as it could be argued that there would be no real increase in the size of the visa category. Unfortunately, this option (like the option of counting only the investor and not accompanying family members in the allocation) has been tried for other visa categories in other legislative contexts in the past and has not gained much traction.

Increase the Quota. One would naturally assume that if demand exceeds supply and if satisfying this additional demand would be beneficial to the U.S., that increasing the supply is in the national interest and is the best path forward. Despite the inherent logic of this argument, increasing any immigration quotas is likely to be extremely controversial in the current political environment and may only be accomplished if combined with other legislative provisions that could prove unpalatable.

Carve-outs. While not truly a solution in a pure sense, creating EB-5 quota carve-outs for certain types of EB-5 investments could enable backlogged investors to circumvent the standard EB-5 backlog. The public policy goal of the carve-out is to give investors an incentive to invest in a particular sector and/or attract additional capital to a particular region. Examples would include investing in infrastructure projects as well as projects located in rural areas or in urban redevelopment zones.

During the April 13, 2016, Senate Judiciary Committee hearing on the EB-5 program, the leadership of both the House and Senate Judiciary Committees [Reps. Robert Goodlatte (R-Va.) and John Conyers (D-Mich) and Senators Chuck Grassley (R-Iowa), and Pat Leahy (D-Vt.)] all voiced continued support for an EB-5 program that contained new methods to enhance accountability and transparency. This is a critical juncture for the future of the EB-5 program and if the program is to remain viable to potential investors, this transparency must also extend to users of the EB-5 category.  Investors will continue to participate in the EB-5 program only to the extent they have clarity as to the reasonable time period during which their green cards will be issued.  The status quo is not a realistic option.

 

Country / Territory

  • United StatesUnited States

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Related contacts

Michael F. Turansick

Michael Turansick

Senior Counsel

Chicago, IL, United States

Email

[email protected]

T:+1 312 499 2804

Related offices

  • Atlanta, GA
  • Boston, MA
  • Miami, FL
  • Dallas, TX
  • Houston, TX
  • Irvine, CA
  • Los Angeles, CA
  • Matawan, NJ
  • New York, NY
  • Phoenix, AZ
  • San Diego, CA
  • San Francisco, CA
  • San Jose
  • Silicon Valley, CA
  • Detroit, MI
  • Washington, DC

Share

  • Twitter
  • Facebook
  • LinkedIn

Share

  • Twitter
  • Facebook
  • LinkedIn

Explore more at Fragomen

Video

Bangladesh: Security Clearances and Challenges

Senior Manager Corrine Tan and Assistant Business Immigration Manager Joycelyn Ang discuss Bangladesh’s work permit security clearance process.

Learn more

Media mentions

The American Lawyer: Proposed H-1B Changes Make Foreign Lawyers More Expensive, but Also More Accessible

Partner Bo Cooper outlines how the proposed H-1B changes could affect Big Law hiring for foreign lawyers.

Learn more

Fragomen news

2025年9月 アメリカ移民法ダイジェストLearn more

Media mentions

Computer Weekly: How UK Immigration Must Evolve to Attract the Best Global Talent

Senior Manager Kinka Tonchev highlights how UK immigration must adapt to attract, retain and support the world’s top talent.

Learn more

Media mentions

Construction Management: Immigration Compliance: Is Your Firm Violating Visa Rules?

Manager Kirsty Moore and Trainee Solicitor Amanda Ong highlight rising UK construction sponsor licence risks and how businesses can stay compliant.

Learn more

Awards

Partner Abeer Al Husseini Recognised at the Gulf Business Awards 2025

Partner Abeer Al Husseini is recognised on the shortlist for "Women Leader of the Year" at the Gulf Business Awards 2025.

Learn more

Media mentions

The Washington Post: How Companies Might Avoid Trump’s New $100K Visa

Co-Chair Enrique Gonzalez highlights approaches for companies navigating changes to the H-1B visa process.

Learn more

Video

How to Get Your French Work Visa After Graduation: Job Seeker / Company Creation Permit

Learn how international graduates can stay in France for one year to find work or start a business. Discover eligibility requirements, application steps and transition options for the Job Seeker/New Business Creator permit. 

Learn more

Awards

Partner Priscilla Muhlenkamp Named 2025 National Law Journal Awards Finalist for "DC Managing Partner of the Year"

Partner Priscilla Muhlenkamp is a finalist for the 2025 National Law Journal Awards category, "DC Managing Partner of the Year."

Learn more

Media mentions

Post Bulletin: Trump’s New $100K Fee on Certain Work Visas Could Impact Rochester’s Medical Staff

Partner Bo Cooper highlights that new $100K H-1B fees could affect US employers, with possible exemptions for critical roles.

Learn more

Media mentions

The Caterer: Businesses Need to Be Ready for Government Crackdown on Sponsor Licences

Partner Louise Senior highlights the impact of record-breaking UK sponsor licence revocations and the steps hospitality businesses can take to manage compliance.

Learn more

Media mentions

Folha de São Paulo: Taxa de US$ 100 mil para visto dos EUA muda planosde brasileiros; veja opções

Partner Bo Cooper explores the impact of H-1B visa changes on companies and their talent strategies.

Learn more

Video

Bangladesh: Security Clearances and Challenges

Senior Manager Corrine Tan and Assistant Business Immigration Manager Joycelyn Ang discuss Bangladesh’s work permit security clearance process.

Learn more

Media mentions

The American Lawyer: Proposed H-1B Changes Make Foreign Lawyers More Expensive, but Also More Accessible

Partner Bo Cooper outlines how the proposed H-1B changes could affect Big Law hiring for foreign lawyers.

Learn more

Fragomen news

2025年9月 アメリカ移民法ダイジェストLearn more

Media mentions

Computer Weekly: How UK Immigration Must Evolve to Attract the Best Global Talent

Senior Manager Kinka Tonchev highlights how UK immigration must adapt to attract, retain and support the world’s top talent.

Learn more

Media mentions

Construction Management: Immigration Compliance: Is Your Firm Violating Visa Rules?

Manager Kirsty Moore and Trainee Solicitor Amanda Ong highlight rising UK construction sponsor licence risks and how businesses can stay compliant.

Learn more

Awards

Partner Abeer Al Husseini Recognised at the Gulf Business Awards 2025

Partner Abeer Al Husseini is recognised on the shortlist for "Women Leader of the Year" at the Gulf Business Awards 2025.

Learn more

Media mentions

The Washington Post: How Companies Might Avoid Trump’s New $100K Visa

Co-Chair Enrique Gonzalez highlights approaches for companies navigating changes to the H-1B visa process.

Learn more

Video

How to Get Your French Work Visa After Graduation: Job Seeker / Company Creation Permit

Learn how international graduates can stay in France for one year to find work or start a business. Discover eligibility requirements, application steps and transition options for the Job Seeker/New Business Creator permit. 

Learn more

Awards

Partner Priscilla Muhlenkamp Named 2025 National Law Journal Awards Finalist for "DC Managing Partner of the Year"

Partner Priscilla Muhlenkamp is a finalist for the 2025 National Law Journal Awards category, "DC Managing Partner of the Year."

Learn more

Media mentions

Post Bulletin: Trump’s New $100K Fee on Certain Work Visas Could Impact Rochester’s Medical Staff

Partner Bo Cooper highlights that new $100K H-1B fees could affect US employers, with possible exemptions for critical roles.

Learn more

Media mentions

The Caterer: Businesses Need to Be Ready for Government Crackdown on Sponsor Licences

Partner Louise Senior highlights the impact of record-breaking UK sponsor licence revocations and the steps hospitality businesses can take to manage compliance.

Learn more

Media mentions

Folha de São Paulo: Taxa de US$ 100 mil para visto dos EUA muda planosde brasileiros; veja opções

Partner Bo Cooper explores the impact of H-1B visa changes on companies and their talent strategies.

Learn more

Stay in touch

Subscribe to receive our latest immigration alerts

Subscribe

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Our firm

  • About
  • Careers
  • Firm Governance
  • Media Inquiries
  • Recognition

Information

  • Attorney Advertising
  • Legal Notices
  • Privacy Policies
  • UK Regulatory Requirements

Have a question?

Contact Us
  • LinkedIn
  • Youtube
  • Instagram
  • Facebook
  • Twitter

© 2025 Fragomen, Del Rey, Bernsen & Loewy, LLP, Fragomen Global LLP and affiliates. All Rights Reserved.

Please note that the content made available on this site is not intended for visitors / customers located in the province of Quebec, and the information provided is not applicable to the Quebec market. To access relevant information that applies to the Quebec market, please click here.