A federal court has halted a rule proposed by the Biden Administration that aimed to extend taxpayer-subsidized health plans to undocumented immigrants. This decision follows a lawsuit filed by Alabama Attorney General Steve Marshall and 18 other state attorneys general, who sought to prevent the implementation of this rule. The coalition, led by Kansas, presented their arguments in October, resulting in the court granting a preliminary injunction.
Attorney General Marshall expressed his opposition, stating, "Under no circumstances should American citizens be bankrolling Obamacare for illegal immigrants." He further noted concerns that subsidized healthcare could act as an incentive for illegal immigration and criticized the agency's threat to reduce funding used by states to operate exchanges mandated under the Affordable Care Act.
The proposed regulation would have allowed approximately 200,000 Deferred Action for Childhood Arrivals (DACA) recipients access to Obamacare. The coalition argued that existing laws from 1996 generally prohibit undocumented immigrants from receiving federal benefits and highlighted that the Affordable Care Act requires lawful presence in the United States for individuals to qualify for subsidized health insurance.
Besides Alabama and Kansas, attorneys general from Arkansas, Idaho, Indiana, Iowa, Florida, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, Texas, and Virginia participated in this legal action.