On June 1, 2006, the U.S. Citizenship and Immigration Service (USCIS) issued a notice indicating that it has received sufficient cap-subject H-1B petitions to use the complete Fiscal Year 2007 numerical quota. The 2007 fiscal year starts on October 1, 2006 and filings for the FY 2007 numbers opened on April 1, 2006.

USCIS has advised that any cap-subject H-1B petitions received at the Service Center after May 26, 2006 will be rejected and returned to the employer unprocessed.  Any H-1B petitions received on or before May 25, 2006 will be processed and allocated a number from the FY 2007 quota.  All H-1B petitions received at the Service Center on Friday, May 26, 2006 will be subject to a "random selection process" and allocation of one of the remaining H-1B numbers for FY 2007 is a possibility.

The notice advises that FY 2007 H-1B numbers are still available to persons who have an advanced degree from a U.S. university under the advanced degree exception.

Employers should note that the regular H-1B cap only impacts individuals who do not qualify under the mini-cap with a U.S. advanced degree and who are not already in H-1B status or previously held H-1B status. The H-1B cap only impacts individuals already in H-1B status who are transferring to a new H-1B employer if their previous H-1B was sponsored by a cap-exempt employer (such as a university or research institute).

J&H is reviewing all impacted cases and will contact employers and foreign nationals as quickly as possible to discuss the implications of the cap being reached.

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