- The DOJ filed lawsuits against three states challenging in-state tuition benefits for undocumented students.
- Federal law allegedly prohibits residency-based benefits for noncitizens unless all U.S. citizens receive equal terms.
- The legal campaign now targets seventeen states total including New York, Connecticut, and Vermont.
The DOJ sued New York, Connecticut and Vermont over laws that let undocumented students receive in-state tuition and related financial assistance at public colleges. The Justice Department filed the complaints Monday, August 10, 2026, and announced the cases the next day.
The lawsuits argue that the state policies violate federal law and the Constitution. They focus on benefits that out-of-state U.S. citizens may not receive under the same terms.
The central claim relies on 8 U.S.C. § 1623(a). The provision bars states from awarding postsecondary education benefits based on residency to undocumented immigrants unless U.S. citizens can receive the same benefits regardless of their state residence.
The New York complaint was filed in the Northern District of New York. The Connecticut case is pending in the U.S. District Court for the District of Connecticut as Civil No. 3:26-cv-1278. The three cases put state tuition rules and financial-aid programs under one federal challenge.
“This is a simple matter of federal law: colleges cannot provide benefits to illegal aliens that they do not provide to U.S. citizens,” Brett A. Shumate, the Assistant Attorney General for the Civil Division, said.
Each state faces a different challenge to tuition or aid
New York’s case targets the Senator José Peralta New York State DREAM Act, enacted in 2019. The law allows qualifying students without legal status to obtain state-administered financial aid through the Tuition Assistance Program, along with scholarships.
Students who completed high school in New York pay $7,700 annually at SUNY campuses. Out-of-state citizens pay about $17,730. Another estimate puts typical SUNY resident tuition at $7,070, with nonresident tuition at $17,730 or more at university centers.
Connecticut’s case reaches back to 2011. The challenged measures include House Bill 6390 and Conn. Gen. Stat. § 10a-29(9), which make certain students eligible for resident tuition regardless of immigration status.
The complaint also challenges a statute providing student loan reimbursement to certain noncitizens. Another provision covers students “without legal immigration status” who file an affidavit showing they have applied to legalize their status. Institutional financial-aid programs, including AACTUS, also fall within the dispute.
Vermont’s policies include a law passed in 2022 allowing refugees to pay resident tuition at every school in the Vermont State College System. The broader challenge identifies Senate Bill 191, also known as Act No. 136, as a 2024 law extending resident tuition and state-funded financial aid to noncitizens.
| Institution or system | In-state tuition | Out-of-state tuition | Difference or comparison |
|---|---|---|---|
| SUNY campuses | $7,700 annually, or typically $7,070 | About $17,730, or $17,730 or more at university centers | Applies to New York high-school graduates covered by the policy |
| University of Connecticut | $17,010 | $39,678 | $22,668 |
| University of Vermont | Approximately $17,000 | Nearly $47,000 | Nearly three times the resident rate |
The figures show the financial gap at issue. At UConn, estimated 2026-2027 tuition differs by $22,668 between residents and nonresidents. At the University of Vermont, the nonresident figure is nearly three times the resident amount.
State officials defend access to public colleges
New York officials said they were reviewing the lawsuit and expected the state’s policy to survive. Gordon Tepper, a spokesperson for Gov. Kathy Hochul, said the state believes its statute complies with the law.
“We are confident New York's statute is lawful and will be upheld. In keeping with the law, the Governor believes all New York high school students deserve the opportunity to pursue higher education in the state.”
Connecticut Attorney General William Tong rejected the federal challenge in a statement directed at President Trump.
“Note to Trump — stay out of Connecticut. How we run our schools and teach our kids is none of your business and you have no authority to force the sovereign State of Connecticut to deny our kids a future.”
Gov. Ned Lamont tied the policy to education access and the state economy.
“Connecticut is proud to have one of the best education systems in the nation. our economy works best for everyone when more people have access to education opportunities.”
State Sen. Derek Slap and State Rep. Gregg Haddad warned that the lawsuit could worsen “brain drain” and make it harder for Connecticut to meet workforce needs.
The financial stakes extend beyond the named campuses. Under the policies at issue, out-of-state rates are often 2 to 3 times higher than resident rates, which could make higher education unaffordable for many affected students.
The Justice Department says 17 states have faced similar suits
Stanley Woodward, the associate attorney general, said the department has now sued 17 states over policies of this kind. He described the three cases as part of an effort to prevent states from giving noncitizens benefits that are unavailable to citizens from elsewhere in the country.
“Congress long ago made clear that States cannot put illegal aliens over our Nation's own citizens. By granting illegal aliens in-state tuition, New York, Vermont, and Connecticut are doing just that. No more. . Our efforts will not cease until President Trump's promise is fulfilled: illegal aliens will not receive benefits denied to our Nation's own citizens.”
Shumate said the department also objects to treatment that places American students at a disadvantage.
“This Department of Justice will not tolerate American students being treated like second-class citizens in their own country.”
The department cited earlier victories involving Texas, Kentucky, Oklahoma, Nebraska and Illinois. Similar state policies in those cases were permanently blocked or declared unconstitutional.
Active litigation also includes California, Maryland, New Jersey, Minnesota, Virginia, Kansas, Massachusetts, Rhode Island and Colorado. With the three new complaints, the campaign covers 17 states.
Nationally, students without legal status account for approximately 2.4% of all college students. Nearly 28% are DACA-eligible or DACA recipients.
The lawsuits now ask federal courts to decide how far states may use residency rules when distributing college tuition and financial aid. The decisions could determine whether New York’s 2019 aid law, Connecticut’s 2011 measures and Vermont’s 2022 and 2024 policies remain in effect.
The cases also place the federal restriction against residency-based education benefits alongside state decisions about schools, aid and workforce preparation. The Connecticut complaint carries Civil No. 3:26-cv-1278, while the New York case proceeds in the Northern District of New York.
