Houston, TX – Responding to a significant increase in the cost of the naturalization fee
imposed by the United States Citizenship and Immigration Services (USCIS) on July 30, the
NALEO Educational Fund today launched a revolving loan fund initiative called the American
Dream Fund. The program will provide zero-interest loans to legal permanent residents who
demonstrate difficulty paying the $675 naturalization fee, enabling hundreds of newcomers with limited resources in Houston, Los Angeles and New York City to continue their journey towards full civic participation and engagement in American life. The American Dream Fund is made possible through a $100,000 grant from Advance America.

The fee to become a naturalized U.S. citizen increased 69% this year. The cost has soared by
650% since 1991, when legal permanent residents paid a fee of $90 to file their applications.
The recurring increases are a result of fundamental flaws in our nation’s system of financing
immigration services, according to Arturo Vargas, Executive Director of the NALEO
Educational Fund.

“Placing the burden of the USCIS’ outdated infrastructure on the backs of legal residents who
are eager to take the step towards full incorporation into our society is unacceptable,” Mr. Vargas said. “The American Dream Fund will make it possible for hard working families to afford the $675 naturalization fee and fully participate in our nation’s democracy."

Participants in a naturalization strategy session of the NALEO Educational Fund’s 2006
Community Empowerment Program found that the previous naturalization fee of $400 was a
considerable barrier for low-income families who wanted to apply for U.S. citizenship. Advance
America, a strategy session participant and sponsor of the NALEO Educational Fund
Community Empowerment Program, has committed to assist these applicants by granting
$100,000 to establish the American Dream Fund.

“Advance America is pleased to join with the NALEO Educational Fund and assist legal
immigrants reach their dreams of U.S. citizenship,” said Ken Compton, Chief Executive Officer
of Advance America. “As a leader in the cash advance industry, we believe this is a wonderful
opportunity to help these individuals cover the high costs associated with the naturalization
process.”

“This is a perfect example of a community coming together – from the non-profit and private
sectors – to help those in need to fulfill their goals and dreams,” said Carol Alvarado, a Houston
Councilmember and NALEO Board Member. “I look forward to working with the NALEO
Educational Fund to assist families in the Houston community.”

As part of the American Dream Fund, loans will be granted in one of two set amounts. For those
who have saved for the previous fee of $400, but require a “bridge loan” to cover fees associated with the new application fee, the loan will be $275. Those who have not saved prior to the fee hike will receive a loan of $400. Borrowers will be asked to repay the zero-interest loans over a nine-month period, or at a schedule and rate that is affordable.

Borrowers will also receive a Money Smart booklet developed by the Federal Deposit Insurance Corporation (FDIC) to help them build financial knowledge and develop financial confidence and an understanding of how to use banking services effectively.

The NALEO Educational Fund and Councilmember Carol Alvarado will host a naturalization
workshop on Sunday, August 19 at the Tejano Center for Community Concerns in Southeast
Houston to begin making the loan fund available. Applicants must pre-register for the workshop
by calling the NALEO Educational Fund U.S. Citizenship and Voter Information Hotline at
(888) Ve-Y-Vota (839-8682).