15 States Sue Government to Block DACA Participants from Obtaining Federal Healthcare

Fifteen Republican-led states in the United States jointly filed a lawsuit on Thursday (August 8) to seek a court injunction against the Biden administration’s decision to allow up to 200,000 illegal immigrants protected under the Deferred Action for Childhood Arrivals (DACA) program the opportunity to obtain federal health insurance.

Kansas Attorney General Kris Kobach, representing the 15 Republican-led states, filed this collective lawsuit. These states believe that a new rule approved by the Department of Health and Human Services (HHS) in May violates the Welfare Reform Act of 1996, which prohibits providing public benefits to individuals without legal immigration status.

The new rule, scheduled to take effect on November 1st, classifies DACA program participants, also known as “Dreamers,” as “lawfully present” in the United States, allowing them to enroll in the basic health care plan established under the 2010 Affordable Care Act, commonly known as “Obamacare.”

DACA, or the Deferred Action for Childhood Arrivals program, was an executive order signed by former President Obama in 2012. The program allows undocumented immigrants under the age of 31 who entered the U.S. before turning 16 and have lived in the country for at least five years to stay and work legally in the U.S. for two years without the threat of deportation.

Since then, this program has been extended multiple times, sparking significant controversy among both political parties in the United States.

The 15 states, including Kansas, argued in the lawsuit that the Biden administration’s new rule contradicts existing laws. Given that a prerequisite for joining the DACA program is lacking legal status, Dreamers are not, by definition, “lawfully present” in the U.S.

Under the newly issued rule by HHS, DACA program participants would qualify for Obamacare and related financial assistance, such as tax credits and reduced out-of-pocket costs.

The lawsuit contends that granting DACA program participants eligibility for federal health insurance could incentivize undocumented immigrants to remain illegally in the U.S. rather than returning to their home countries. This would compel states to spend millions of dollars providing public services to Dreamers and their children, placing a financial burden on state governments and public school systems.

The lawsuit urges the court to postpone the effective date of the new rule until the case is resolved. The plaintiffs also seek the rule’s repeal, arguing that it is both illegal and unreasonable, arbitrary, and capricious.

When announcing the final rule in May, Health and Human Services Secretary Xavier Becerra stated that as Dreamers are more likely than the average American to go without health insurance, they might delay necessary medical care, leading to higher medical costs when seeking care later and, in some cases, even death. Therefore, allowing Dreamers eligibility for health insurance will improve their health and well-being, strengthening the health and well-being of our nation and economy.