Permanent Extension of VWP – Includes some H1B Related Provisions
Posted Oct 30, 2000

In a previously issue of the MurthyBulletin, we announced that the Visa Waiver Program (VWP), which enabled nationals of certain countries to visit for up to 90 days without a visa, had expired. We thereafter reported on INS interim procedures to continue to facilitate travel of such visitors until such time as the program could be extended by further legislation. The latest extension of the interim procedures was effective through September 30, 2000.

Congress has now passed, and the President has signed, a law to make the VWP a permanent feature of the immigration law. The VWP is no longer a pilot program, but is now a permanent program.

Also of interest to readers of the MurthyBulletin are sections relating to H1Bs and the EB-5 immigrant investor program. Section 401 states that no H1B amended petition is required when an H1B employer experiences restructuring and a successor entity continues to employ the beneficiary as before. This change should save considerable expense and worry for companies going through corporate restructurings, such as mergers or acquisitions.  Please note, however, that the restructuring may affect green card cases. Effects vary depending upon the stage of the green card process, so companies and employees with related concerns should follow the previous limited guidance issued by INS on this issue.

Section 402 of the VWP law extends the immigrant investor pilot program. This is a special program, in addition to the regular EB-5 immigrant investor green card provisions, that has enabled investment through certain regional centers. This special program was due to expire October 1, 2000 and has now been extended for three more years. Centers under this program have had to show that they would promote growth by increasing exports. Regulations have added other measures of growth:  improvements in productivity of the area, increased job creation, or increased domestic capital investment. The VWP law now puts those three additional criteria into the statute.

Again, these changes affect only the special Immigrant Investor Pilot Program, not the overall EB-5 immigrant investor program.  They are helpful nevertheless, because they draw attention to the pilot program and may encourage more investors and more regions to participate.