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15 States File Suit to Override Biden’s Health Coverage Regulation for Immigrants

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Fifteen states led by Republicans have launched a federal lawsuit against the Biden administration in an attempt to overturn a new regulation that would permit about 100,000 immigrants—also known as “Dreamers”—who were brought into the country illegally as minors to apply for health insurance through the Affordable Care Act (ACA). The complaint was filed in North Dakota on Thursday and aims to stop the regulation from going into effect on November 1st, which is also the day when enrollment for the ACA marketplace starts, and a few days before the 2024 presidential election.

Lawsuit’s Justifications

The states arguing that the Biden administration’s regulation contradicts both the 1996 welfare reform statute and the ACA itself are Alabama, Idaho, Indiana, Iowa, Kansas, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, and Virginia. Deferred Action for Childhood Arrivals (DACA) recipients are exempt from deportation, and the lawsuit claims that providing health insurance subsidies to them will encourage more illegal immigration and put further strain on state resources, especially public school systems.

Leading the opposition to the Biden administration is longtime immigration hardliner and Kansas Attorney General Kris Kobach. “Illegal aliens shouldn’t get a free pass into our country,” said Kobach. “They shouldn’t receive taxpayer benefits when they arrive, and the Biden-Harris administration shouldn’t get a free pass to violate federal law.”

Effects on “Dreamers”

The proposed regulation would drastically change the way that Dreamers receive healthcare. Previously, they were not eligible for government-subsidized insurance because they did not have “lawful presence” in the United States. By redefining their status, the Biden administration’s rule would make them eligible for ACA tax credits and other subsidies.

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Strong support for Dreamers has been shown by President Biden, who declared in May that he is “committed to providing Dreamers the support they need to succeed.” With Biden saying, “I’m proud of the contributions of Dreamers to our country,” the administration has also highlighted the contributions that Dreamers have made to American culture and the economy.

The Argument Among the States

In spite of the stance taken by the Biden administration, the states who are a part of the case contend that the new regulation is both illegal and expensive. They base their argument that more illegal immigration would drive up expenses for the states on a 2023 report from the Federation for American Immigration Reform (FAIR), an organization that promotes harsher immigration policies and sharply lower levels of legal immigration.

The states additionally argue that the regulation will put further burden on state resources by “encouraging unlawfully present alien beneficiaries to remain in the United States.” Declaring Dreamers’ lawful presence by rule is explicitly called out in the complaint as being “illogical on its face,” considering that they would be deported without the Biden administration’s involvement.

Consequences for Politics

A few days before the 2024 presidential election, the ACA marketplace will open for enrollment, making this legal challenge timely in terms of politics. The lawsuit is a component of a larger Republican campaign to cast the Biden administration’s stance on immigration, a crucial election issue, as weak. Although under Biden’s president border crossings hit all-time highs, more recent data indicates a drop, which the government has cited as proof of its effectiveness in handling the problem.

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The fate of the litigation is yet unknown, though. In past legal disputes with the Biden administration, states have occasionally found it difficult to persuade judges that they will suffer actual, direct harm as a result of new federal regulations, which is a prerequisite for establishing standing to file a lawsuit. Only Virginia and Idaho, two of the fifteen states suing, run their own health insurance markets; the other fourteen states use the federal marketplace.

The future of Dreamers’ access to healthcare is in jeopardy while the court dispute plays out. The outcome of this lawsuit might have significant effects for the United States’ healthcare system as a whole as well as immigration policy. All eyes will be on the courts as the deadline of November 1st draws near to see if the states’ legal challenge will override the Biden administration’s order or not.

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