Federal Judge Blocks DACA Health Coverage Rule in 19 States

A federal judge in North Dakota has blocked a Biden administration rule that allowed recipients of the Deferred Action for Childhood Arrivals (DACA) program to enroll in health insurance through the Affordable Care Act (ACA). The decision affects 19 Republican-led states that filed a lawsuit against the rule.

U.S. District Court Judge Dan Traynor, appointed by former President Donald Trump, ruled on Monday that the ACA extension violates federal laws prohibiting public benefits for individuals without legal immigration status.

Enrollment Blocked in 19 States

The Biden administration’s rule, which went into effect on November 1 during the ACA’s open enrollment period, enabled DACA recipients to sign up for government-funded health coverage for the first time. Prior to this, DACA recipients had limited options, often relying on employer-sponsored insurance, state programs, or community clinics for healthcare.

Judge Traynor’s decision halts the rule in Alabama, Arkansas, Florida, Idaho, Indiana, Iowa, Kansas, Kentucky, Missouri, Montana, Nebraska, New Hampshire, North Dakota, Ohio, South Carolina, South Dakota, Tennessee, Texas, and Virginia. It does not apply to other states, where the rule remains in effect.

Drishti Pillai, director of immigrant health policy at KFF, explained that the ruling leaves many DACA recipients in the affected states without affordable healthcare options. “This could result in thousands of uninsured individuals, particularly in states that already lack robust safety-net programs,” Pillai said.

Legal Challenge and Broader Implications

The lawsuit, led by Kansas Attorney General Kris Kobach, argued that the ACA extension undermines the “rule of law.” Kobach celebrated the ruling, stating, “Congress never intended that illegal aliens should receive Obamacare benefits.”

The Biden administration has not yet announced whether it will appeal the decision. Meanwhile, President-elect Donald Trump’s administration is unlikely to pursue an appeal, given Trump’s stance on DACA. During his first term, Trump attempted to terminate DACA and expressed opposition to expanding benefits for undocumented immigrants.

However, in a recent interview with NBC’s Kristen Welker, Trump signaled a potential willingness to negotiate with Democrats on DACA protections. “I want to be able to work something out,” he said, acknowledging the program’s complex legal and political history.

A spokesperson for the Department of Health and Human Services indicated that federal officials are reviewing the court’s decision and its implications for healthcare access under the ACA.

This ruling underscores the ongoing challenges faced by DACA recipients, often referred to as “Dreamers,” in navigating access to essential services amid shifting political and legal landscapes.

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