Some 15 states have filed a federal lawsuit against the Biden administration, aiming to block a new rule that would allow approximately 100,000 immigrants brought to the U.S. illegally as children, known as “Dreamers,” to access health coverage under the Affordable Care Act (ACA) starting Nov. 1.
The lawsuit, filed in North Dakota, seeks to prevent the rule from taking effect just days before the ACA marketplace enrollment begins on November 1, coinciding with the lead-up to the presidential election.
The plaintiffs in the case, all Republican-led states, argue that the new rule infringes upon the 1996 welfare reform law and the ACA by extending tax benefits to immigrants who were previously ineligible for such coverage.
They contend that the rule could incentivize further illegal immigration and impose additional burdens on state resources, particularly public schools.
The lawsuit highlights a broader GOP effort to challenge Biden administration policies perceived as advancing Democratic priorities.
Kansas Attorney General Kris Kobach, a prominent immigration hardliner, has criticized the rule as a violation of federal law, asserting that illegal immigrants should not receive taxpayer-funded benefits. Kobach, known for his role in drafting Arizona’s controversial “show your papers” law, is among those spearheading the legal action.
The 15 states involved in the lawsuit include Alabama, Idaho, Indiana, Iowa, Missouri, Montana, Nebraska, New Hampshire, Ohio, South Carolina, South Dakota, Tennessee, and Virginia, in addition to North Dakota and Kansas.
They argue that the rule is an illogical attempt to grant lawful presence status to individuals who could face deportation without the Biden administration’s protections.
U.S. Department of Health and Human Services officials have yet to respond to the lawsuit. However, President Biden, in a May announcement, expressed his commitment to supporting Dreamers, acknowledging their contributions to the country and emphasizing their integration into American communities.
Biden’s administration has been actively shielding Dreamers from deportation, and many states, including Kansas, Nebraska, and Virginia, offer them in-state tuition rates.
The ACA health coverage rule is intended to extend benefits to Dreamers who previously did not meet the criteria for government-subsidized health insurance due to their immigration status.
The states challenging the rule assert that subsidized health insurance serves as a public benefit that might encourage unlawfully present individuals to remain in the U.S.
In past legal disputes with the Biden administration, states have often faced challenges proving that new rules impose direct, specific harm sufficient to justify a lawsuit.
Of the 15 states filing the current lawsuit, only Idaho and Virginia operate their own health insurance marketplaces, while the others rely on the federal system.
The states base their claims on a 2023 report from the Federation for American Immigration Reform, which advocates for stricter immigration laws and limitations on legal immigration.
