New York Hospitals Seek H-1B Visa Fee Exemption Backed by American Hospital Association

New York hospitals are pressing federal officials to exempt healthcare workers from a proposed H-1B visa fee of $103,265 on petitions subject to statutory caps. The request targets capped cases.

The American Hospital Association asked the Department of Homeland Security on September 23, 2026, to exclude healthcare workers. Hospitals warn the policy could cost them hundreds of millions.

The amount in the association’s request is not the same figure as the renewed charge. A White House proclamation on September 18, 2026, renewed a $100,000 fee for one additional year.

A court order blocks the fee while litigation continues. The association said it applies to new petitions for people entering the United States.

The request covers healthcare workers in capped cases filed at home or abroad

The association asked DHS to exempt all healthcare professionals from any additional fee. It said the proposed charge would reach cap-subject petitions filed inside the United States as change-of-status cases, as well as cases processed through consular posts abroad.

Those filing routes would both be covered. The request does not itself create an exemption; DHS would need to grant the carveout for covered hospitals to receive one.

The charge applies only to cap-subject petitions, not every employer using the H-1B program. Universities, affiliated nonprofits and nonprofit research organizations are among the cap-exempt employers identified in the existing rules.

That employer distinction could leave some hospital affiliations outside the proposed charge if they qualify for cap-exempt treatment. Hospitals subject to the cap would face the fee on covered new filings unless the department approves the healthcare exemption.

Hospitals say the charge could compound hard-to-fill medical vacancies

Hospitals argue the added expense would raise staffing costs for physicians and researchers they hire through H-1B petitions. They rely on those workers to address shortages.

The association has warned that rural and underserved communities could be especially vulnerable because hospitals there already struggle to recruit. A steep added cost could narrow their ability to compete for doctors and researchers, the group says.

The warning is tied to hiring expenses as well as access to workers. The hospitals’ concern is that the proposed charge would land on capped petitions used to recruit people from abroad, including workers needed in places where recruitment is difficult.

Healthcare groups are seeking separate carveouts as the fee remains contested

The hospital request is part of a wider healthcare-sector effort. The American Medical Association has also sought an exemption for clinicians, while the White House has been weighing national-interest carveouts.

The association’s request asks DHS to treat healthcare professionals as a category deserving relief. The fee remains blocked as litigation proceeds, leaving the requested exemption unresolved.