Illinois and 21 other states, accompanied by the District of Columbia, filed a lawsuit on September 14, 2026, challenging a new Department of Homeland Security (DHS) rule that expands criteria for denying green cards, visas, or U.S. entry based on immigrants’ use or anticipated use of public benefits. The rule is scheduled to take effect on the Friday following the filing date.
Overview of the DHS Public Charge Rule Changes
The contested DHS regulation broadens immigration officials’ authority to deny green cards or visas if applicants are deemed likely to rely on public benefits. Unlike previous versions, the rule does not delineate which safety net programs apply, enabling
immigration officers to consider any means-tested public benefits, including Medicaid, housing vouchers, and food stamps. The rule further permits consideration of benefits applied for on behalf of family members, even citizen children.
Public Charge Rule History and Regulatory Context
The public charge provision, originating from the Immigration Act of 1882, traditionally counted only cash benefits such as Temporary Assistance for Needy Families or Supplemental Security Income. In 2020, the Trump administration expanded the rule to include non-cash benefits like Medicaid and housing vouchers. The Biden administration’s 2022 rule largely reverted to counting only cash benefits. The current rule cancels the Biden-era protections, significantly expanding the scope of
benefits considered.
States and Local Governments Involved in the Lawsuit
The 22 plaintiff states include Illinois, New York, California, Colorado, Connecticut, Delaware, Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New Mexico, Nevada, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, Washington, and Wisconsin, along with the District of Columbia. New York State Attorney General Letitia James leads the legal action for New York. New York City Mayor Zohran Mamdani heads a coalition of cities, including Chicago, San Francisco, Seattle, Santa Clara County (California), and King County (Washington), which plan to file a parallel lawsuit in the Southern District of New York.
Projected Financial and Community Impact
The states forecast a collective loss of approximately
$4.05 billion annually in federal Medicaid and CHIP payments nationwide due to reduced participation in public programs stemming from fears over immigration consequences. Plaintiff states alone risk losing about $2.2 billion each year in federal funding. Advocates and officials warn that immigrant families, especially mixed-status households with U.S. citizen children, may forgo legal access to food assistance, health care, and housing support, which could intensify public health risks and strain local economies, schools, and public safety systems.
Statements from Officials
Letitia James emphasized, “Hardworking families should not be forced to go without the support they need because they fear asking for assistance will
get them deported.” She added, “This rule preys on that fear and counts on families forfeiting the food assistance, health care coverage, and other public benefits to which they are legally entitled.”
Zohran Mamdani said, “The new public charge rule seeks to push immigrant families away from the programs that have kept people fed and healthy for decades. New Yorkers will be afraid to see a doctor or ask for help they are legally entitled to.” He also warned, “That fear will not stop at the families that the federal government is targeting. Families who remain fully eligible for benefits
will feel a chilling effect, and all New Yorkers will pay for it.”
Legal Aims of the Lawsuit and Effects on Immigrant Families
The lawsuit, filed in the Southern District of New York on September 14, 2026, asserts that DHS exceeded its authority by broadening the public charge criteria without Congressional approval and acted arbitrarily and capriciously by ignoring the harmful impacts of the rule. The states seek to block, invalidate, and prevent enforcement of the rule but are not pursuing monetary damages. The regulation primarily affects immigrants with legal status; undocumented immigrants are not eligible for public benefits and remain unaffected by this rule.
