Texas Halts In-State Tuition for Undocumented College Students

 Posted on June 10, 2025 in Immigration

Mere hours after a federal lawsuit targeted Texas for allowing undocumented students to qualify for in-state tuition, the 24-year-old law was overturned. The state of Texas agreed with the federal government’s demand that it halt the practice that had been in place for over two decades after the DOJ announced it would sue the state for the policy. The Texas Attorney General took credit for the outcome, calling the policy "discriminatory and un-American."

The DOJ argued that universities cannot provide benefits to undocumented individuals that they do not provide to every U.S. citizen. This argument generally makes little sense, as all states offer in-state tuition to those who live in the state. In-state tuition in Texas is not afforded to students in California, and vice versa.

Texas was, surprisingly, the first state to offer in-state tuition to undocumented immigrants. Recently, Senate Bill 1798 also sought to repeal the law but stalled before reaching the floor for a vote. The bill would have allowed universities to withhold the diplomas of undocumented immigrants until they paid the difference between in-state and out-of-state tuition. If you have questions regarding this latest decision, speak to an experienced Plano, TX immigration lawyer.

Other Legislation Considered

Another House Bill was introduced that would have required undocumented students to provide proof of application to become a permanent U.S. resident to become eligible for in-state tuition. This bill also died before it reached a vote.

The law that was just struck down by the DOJ required undocumented students to live in Texas for three years before graduating from high school and for a year before enrolling in college. Undocumented students were also required to sign an affidavit agreeing to seek legal residency status as soon as possible.

How Many Students Will This Affect?

Texas universities estimate that the in-state tuition for undocumented immigrant students that just ended will affect more than 19,000 students. In addition to being the first state to offer in-state tuition to undocumented students, Texas was one of only 24 states that provided this benefit. Since undocumented students are unable to access federal grants and loans, this DOJ action could prevent many from completing or enrolling in college.  

Hundreds of Texas students who were awarded a Dream.US scholarship entered education and nursing, two professions that struggle with shortages. More than 11,000 scholarships have been provided to Dreamers under this program. Many believe that taking away in-state tuition for undocumented students will hurt the workforce in Texas, which in turn hurts the state’s economy.

The loss of thousands of students will also have an immediate adverse financial impact on Texas universities. If you assume 20,000 students used the law that granted them in-state tuition to enroll in Texas universities, that tuition amounted to more than $81 million in 2021 alone. While it is likely that the end of the in-state tuition law for undocumented students will be challenged, for now, students who were planning to attend college in the fall may now be unable to do so.

Contact a Dallas, TX Immigration Lawyer

If you are an undocumented student in Texas or the parent of an undocumented student, the end of this law may have far-reaching effects. Speak to an experienced Plano, TX immigration attorney from Law Office of Jae Lee who can look at your specific situation and help you determine whether you qualify to become a permanent resident of the United States.

Attorney Lee works with clients one-on-one and can meet remotely when necessary. Since his own parents went through the immigration process, Attorney Lee’s work is very personal for him. To schedule a free consultation, call 214-295-3014.