New immigration, investment program hailed as boon for Franklin County

Posted Oct. 25, 2011, at 4:10 p.m.
Last modified Oct. 25, 2011, at 6:28 p.m.
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AUGUSTA, Maine — A new federal program in Franklin County that allows the state to offer green cards and permanent residency in exchange for foreign investment in Maine businesses was hailed Tuesday as a job creator.

State Department of Economic Development Commissioner George Gervais announced the creation of a regional center though the U.S. Citizenship and Immigration Services immigrant investor pilot program, known as EB-5.

The center — to be called USA Lifestyles, Inc. — includes all of Franklin County in addition to Livermore Falls in Androscoggin County.

Under the EB-5 program, which has been in place since 1990, foreign investors who commit at least $500,000 to businesses within a designated geographic area and create at least 10 jobs, directly or indirectly, are granted green cards.

Essentially, the program makes it more attractive for foreign investors because, once they have valid residency in Maine — through the green card — their investment is taxed at a much lower rate.

There are dozens of EB-5 centers designated throughout the country but this is the first in Maine.

Christopher Farmer, general manager of Saddleback Maine ski resort and the new president of USA Lifestyles, Inc., said the recent news could be huge for an economically depressed part of the state.

“Growing up in Franklin County, I watched hundreds of good quality manufacturing jobs disappear from the area,” Farmer said during Tuesday’s announcement at the State House. “This is a unique opportunity to bring investment dollars back from those areas to Franklin County and create good-paying, long-term jobs.”

The process for bringing an EB-5 center to Maine goes back to 2008 when Foster Chandler, a marketing strategist for Saddleback, explained that Jay Peak Resort in Vermont had benefited greatly from an EB-5 regional center there.

The Greater Franklin Development Corp. provided funding for a grant application to the U.S. Citizenship and Immigration Services. By 2010, Saddleback was joined in the application by Otis Ventures, a firm formed to redevelop the James River Otis Mill in Jay, which closed a year earlier.

Earlier this year, the passage of the regulatory reform bill known as LD 1 directed Maine’s DECD to collaborate with agencies and businesses to apply for an EB-5 center. Rep. Linda Valentino, D-Saco, was instrumental in pushing for that application.

Once state officials heard work already had begun on an application for Franklin County, the DECD lent its support.

“We have a group in Franklin County being the first to bring this new economic development tool to Maine, a tool for creating jobs in Maine for Maine people that doesn’t use taxpayer assistance,” DECD Commissioner Gervais said.

Under the EB-5 program approved for Franklin County, investment is targeted toward ski lodges and resorts, restaurants and retail, the wood products industry, construction and testing laboratories.

Gervais said that while no investors have stepped forward, his office has seen some interest. However, just because the EB-5 center has been established doesn’t mean investment is guaranteed.

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  • Anonymous

    The Federal EB-5 program will be a liability, and is not the right thing to do in Maine.
    American citizens can create jobs, not green carders. This is another federal boondoggle and is stupid.

  • Anonymous

    Will everyone have to pass E-Verify?

  • Anonymous

    ya gottta be kiddin me sick people with cancer would love to go to canada ya think they will reciprocate?

  • Anonymous

    Here we go !!!
    Give tax breaks and handouts to “foreign investors” , all the while Mainers
    are sitting home wishing and hoping they could get a chance at some funding for school.
    Or start something up so they can keep their homes.

    I here the Chinese have some extra cash they might like to invest.
    And then there are the Mexicans with their ready cash and highly organized “network” of
    willing workers.

  • http://pulse.yahoo.com/_CL7IBDRT3K73W6YUTS54SWEA4A David

    America, for sale.  Now that’s a great selling point.  Hey George
    Gervais, why don’t you work on something to help the businesses that are
    legally here, have been here, and would like to stay here?  Oh wait,
    you are a multiple failed business owner so it’s unlikely your decision
    making skills will be of use anyway.  Let’s see, you owned Chocolate
    Grille in Old Town and EVO Italian Restaurant in Bangor and Chocolate
    Grille in Searsport.  Their status when you ran them? CLOSED due to
    “INVESTMENT ISSUES”.  Then you moved on to Carteret Mortgage as a senior
    loan officer.  Status?  BANKRUPTCY  And now you’re peddling this
    investment.  Phew, makes me feel pretty confident!

  • Anonymous

    This adds a whole different shade, green card green, to “open for business” . 

  • Anonymous

    So who do you work  for, USDefender  ? 

     A new voice from out the blue, and outta State, who’ s not so very in tune  with the tone here ?  

    Is he  another pro from  Dover, Hawkeye  ? 

    ROTFLOL 

  • Anonymous

    YOU MUST HAVE ZEE PROPER PAPERS, UNLESS YOU WORK FOR THE PROPER POWERS. 

    Canadians in the woods… with your own national health care, benefits ? 
    Otay, y0u get the pass.   

  • Anonymous

    Not open for business, suddenly ? 

    LOL

  • Anonymous

    “Under the EB-5 program, which has been in place since 1990″ 

    So is this the work of King George the 1st ? 

    LOL 

  • Anonymous

    You obviously don’t have the capacity to understand this story.    As a
    former business owner myself, I know first hand the trials and
    tribulations that we all face.  Please stop the negativity now, you are
    by no means helping this state and Gervais is.

  • Anonymous

    Or… look at it this way:
    Foreign investors come in, create jobs for Mainers. Maine citizens are then able to keep their homes.

    There are over 35 – that is more than half of the US – states with successful EB5 programs. Do your own research. Thoroughly and thoughtfully read the article posted in the BDN.

     

  • Anonymous

    What have we come to as a country ??
    We send all our jobs overseas and turn around and bend over backwards to have
    the overseas crowd come to the USA to give us jobs ???

    Someone has been doing Bathsalts to dream that one up , and it wasnt me.

  • http://pulse.yahoo.com/_WKMXAO5JDX6BVIIBVN6ETSEBDM chuck

    how can an investor from abroad be a liability? this is fresh capital from people who want to legally live here? 

    they pass thru rigid screening and its fresh capital, no loans, no federal money just from people who has the money and wants a better life.

    I don’t understand some people who wants jobs but don’t want investors. 

  • Christopher Farmer

    I suggest those who feel this is a bad thing, take a look at http://eb5jaypeakresort.com/   that is why we pursued this option.  Good Jobs are hard to come by in Franklin County.  This is not politically motivated, it was a private initiative by 3 business entities.  Saddleback Mtn, Greater Franklin Development Corp and Otis Ventures.   Also take a look at  http://www.uscis.gov   this explains how the program works

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