The SMARTER Act fundamentally restructures American immigration law by eliminating the Diversity Visa Program and significantly restricting family-based immigration, while creating a new employment-based system focused on labor market needs. The bill establishes a SMART Board within the Department of Commerce to annually set caps for employment-based and H-1B visas based on economic data like unemployment rates and job vacancies, starting with an initial nonimmigrant cap of 85,000. Employment-based immigrants will be selected through a points-based merit system rewarding education, English proficiency, age, and salary rather than country-by-country quotas, with a $160 application fee and requirements for employer attestations and health insurance. Family sponsorship is narrowed substantially, reducing annual family visas to 88,000 and eliminating parents as immediate relatives while lowering the age limit for sponsoring children from 21 to 18. The changes take effect at the start of the next fiscal year following enactment, with the Department of Homeland Security required to submit annual reports to Congress on visa issuances and demographic data.