H.R. 10400 — SMARTER Act

This section terminates the diversity visa program by striking the allocation of up to 55,000 visas annually to nationals of countries with historically low immigration rates to the United States. It makes conforming amendments throughout the Immigration and Nationality Act and takes effect on the first day of the first fiscal year beginning after the date of enactment.

This section redefines immediate relatives to include only children and spouses of US citizens (removing parents), lowers the qualifying age for children to under 18 (from under 21) for petitions filed after enactment, and limits family-sponsored preferences to spouses and minor children of lawful permanent residents. It sets the annual worldwide level of family-sponsored immigrants at 88,000 minus the number of certain parolees who adjust status, effective the first day of the first fiscal year after enactment, and invalidates petitions filed after introduction seeking eliminated categories.

This section establishes the five-member Skilled Migration and Recruitment of Talent Board within the Department of Commerce Office of the Under Secretary for Economic Affairs. The Board sets annual aggregate numerical limits on employment-based immigrants and H-1B nonimmigrant workers beginning in the first covered fiscal year, then allocates those limits by industry beginning in the second covered fiscal year. Board members receive Level III Executive Schedule pay and serve five-year terms. The initial H-1B aggregate limit is set at 85,000.

This section establishes a points-based system for employment-based immigrant visas, ranked by education level, English proficiency test scores, and age (with U.S. degrees ranked above foreign equivalents and applicants nearest age 25 ranked highest), and requires applicants to submit attestations on points, a $160 fee, employer salary and no-displacement certifications, and proof of health insurance or a bond. It repeals per-country numerical limits on immigrant visas. It sets the annual worldwide level of such visas to a Bureau of Labor Statistics-determined number plus an additional specified amount, and provides visas for accompanying spouses and minor children.

This section replaces the H-1B nonimmigrant visa category with the SMARTER nonimmigrant category. It (1) sets the annual numerical limit based on industrial need as determined by the Bureau of Labor Statistics; (2) eliminates visas for fashion models; (3) adds portability rules allowing new employment in any industry, continued authorized stay for up to 120 days after denial, and protection against denial based solely on a prior petition denial; (4) expands job flexibility for adjustment applicants whose petitions have been approved for more than 365 days without an available visa number; (5) awards visas in oversubscribed cases to maximize long-term tax revenue, accounting for geographic differences; and (6) permits individuals present on H-1B status at enactment to remain while renewing under the new rules.

This section requires that prevailing wage levels for occupational classifications, for purposes of employment-based immigrant visas under subsection (a)(5)(A) and certain nonimmigrant visas under subsections (n) and (t), equal the median compensation received by United States workers with the same education and experience as the alien, commensurate with experience, education, and level of supervision. It eliminates the prior paragraph (4) governing such computations.

This section bars naturalization of any person whose affidavit of support sponsor has failed to reimburse the Federal Government for all means-tested public benefits the person received. It updates references throughout the prerequisite for naturalization from the Attorney General to the Secretary of Homeland Security and from the Immigration and Naturalization Service to the Department of Homeland Security, and replaces gender-specific pronouns with gender-neutral terms.

This section directs the Secretary of Homeland Security to develop and implement a process using artificial intelligence to analyze Department of Homeland Security immigration, alien travel, and related records to identify nonimmigrant visa holders who remain in the United States after their authorized periods of stay have ended.

This section establishes a gold-card immigrant visa program that makes 25,000 visas available each fiscal year from 2026 through 2035 to immigrants who pay a $1,000,000 fee plus a $15,000 processing fee, or on whose behalf a corporation pays a $2,000,000 fee plus a $15,000 processing fee. It requires background checks by the Secretary of Homeland Security, provides employment authorization, exempts the visas from worldwide numerical limits, and directs the Secretary of Commerce to adjust the fees for inflation every two years.

This section requires the Secretary of Homeland Security to submit an annual report to Congress on the number of visas issued under section 203(b) of the Immigration and Nationality Act, the state of intended residence, educational attainment, English proficiency, initial employers, and average starting salaries of recipients, and the number and nationalities of aliens admitted under the gold card visa program. It also requires a quadrennial report, prepared in consultation with the Secretaries of Labor, Commerce, and State and submitted to the Judiciary and Foreign Relations/Affairs Committees, that recommends revisions to the immigration points system to increase per capita GDP growth, improve immigrant economic outcomes, strengthen U.S. fiscal health, and protect or raise wages of U.S. workers.