On March 19, 2012, the U.S. House of Representatives, by a unanimous vote of 371-0, passed H.R. 3992, a bill that would add Israel to the list of countries whose nationals are eligible to apply for E-2 (Treaty Investor) visa status. Rep. Howard Berman (D–Calif.) originally introduced the bill on February 9, 2012, and it was subsequently passed by the House Judiciary committee on February 28, 2012.

On May 9, 2011, a similar bill was introduced in the Senate by Senators Chuck Schumer (D-N.Y.), Mark Kirk (R-Ill.) and Jon Kyl (R-Ariz.). The bill, which is currently awaiting Senate approval, would become law after being signed by President Barack Obama.

If enacted, this legislation would permit Israeli nationals to apply for E-2 visas to develop and direct the operations of an enterprise in which an Israeli investor has invested, or is actively in the process of investing, a substantial amount of capital.

The bill is significant because until now, Israelis have been excluded from applying for E-2 visa status as a result of U.S. limitations, which could only be changed as a result of legislation. The E-2 visa has several important advantages. It can be extended as long as the investment conditions exist, there is no quota to the number of visas issued, and there is no restriction on the type of business. In addition, it does not require a university degree and it allows the principal visa holder to bring his or her family to the U.S.

Rep. Berman, a ranking member of the House Foreign Affairs Committee, stated, “Israel is a trusted friend and a special ally, and this legislation expands business opportunities that will provide economic benefits for both countries.

“With passage of this bill, Israeli investors are one step closer to expanding their businesses to the United States and creating jobs for hardworking American workers.”

Orner & O’Brien will continue to monitor the status of this legislation and provide updates as they become available.