Tuition Lawsuits Expand Nationally
DOJ Sues Four States Over In-State Tuition Policies for Undocumented Students
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Key Points
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"This Department of Justice will not tolerate American students being treated like second-class citizens in their own country."
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New Mexico's SB 582 (2005) originally stated that a public post-secondary institution shall not deny admission on account of immigration status, and that any tuition rate or state-funded financial aid granted to NM residents must also be granted to all persons who have attended NM schools for at least one year and who have either graduated from a NM high school or earned a GED.
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Arizona argues Prop 308 ties eligibility to whether a student attended and graduated from an Arizona high school (or homeschool), not residency, and that this standard is outside the scope of 8 U.S.C. § 1623 and consistent with federal law.
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Oregon's Tuition Equity Act makes in-state tuition available to undocumented immigrants living in the state and is also accessible to military veterans and lawful permanent residents serving abroad; about 4,730 undocumented students account for roughly 2.2% of Oregon's 215,019 higher-ed students, and the act supported more than 900 students in 2019-20 and 2020-21.
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The DOJ's action in Oregon includes challenges to not only tuition and financial aid but also scholarships, seeking to enjoin state laws and regulations that provide in-state tuition, state-funded financial aid, and scholarships to undocumented students.
The U.S. Department of Justice is suing four states—Arizona, New Mexico, Oregon, and Washington—over laws that give in-state tuition and financial aid to undocumented students. DOJ officials say these policies violate federal law and discriminate against American citizens. The lawsuits bring the total number of states facing DOJ challenges on this issue to 21.
The Justice Department argues that in-state tuition breaks meant for citizens cannot legally go to people in the country illegally. "This Department of Justice will not tolerate American students being treated like second-class citizens in their own country," a senior DOJ official said, according to 12news.com. The targeted states say their laws follow federal rules and serve legitimate education goals.
New Mexico and Arizona Face Separate Legal Challenges
New Mexico's Senate Bill 582, passed in 2005, allows any student who attended a New Mexico school for at least one year and graduated from a state high school to get in-state tuition and aid—regardless of immigration status. KOB reports the DOJ claims this violates a federal law that says states must give the same rates to citizens in identical circumstances. Arizona's Prop 308 ties eligibility to graduating from an Arizona high school, not state residency.
Arizona argues its law is legal because it bases eligibility on education history, not immigration status. The state contends that 12news.com reported the law sits outside the scope of the federal statute the DOJ cited. State officials say Prop 308 is consistent with federal law and should survive the lawsuit.
Oregon's Tuition Equity Act Serves Thousands of Students
Oregon's Tuition Equity Act makes in-state tuition available to undocumented immigrants and also to military veterans and lawful permanent residents serving abroad. According to available data, roughly 4,730 undocumented students use the benefit—about 2.2% of Oregon's 215,019 higher-education students. The law has supported more than 900 students yearly in recent years.
The DOJ's lawsuit against Oregon goes further than tuition alone. King5 reports the Justice Department is challenging in-state tuition, state-funded financial aid, and scholarships provided to undocumented students. State defenders argue the program is narrow, affects a small population, and supports important education goals alongside veteran benefits.
Federal Law Creates Uncertainty for State Tuition Programs
The dispute centers on 8 U.S.C. § 1623, a federal statute that restricts states from offering benefits to people in the country illegally unless those benefits are also given to U.S. citizens in the same situation. The DOJ interprets this rule strictly: if a state gives in-state tuition to undocumented residents, it must extend the same rate to out-of-state U.S. citizens. States argue their laws use different criteria—like attending local high schools—that apply equally to all students.
The broader pattern matters. The Epoch Times notes the DOJ has now sued 21 states over in-state tuition policies. Each state claims its law complies with federal requirements, but the Justice Department's aggressive enforcement suggests the Trump administration views these programs as illegal subsidies to undocumented immigrants. The outcomes will likely reshape tuition access nationwide.
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