OTHER policy update

Federal court strikes down Illinois in-state tuition laws for undocumented immigrants

U.S. District Judge Stephen McGlynn ruled Illinois' RISE Act and DREAM Act unconstitutional as applied to undocumented immigrants. The decision bars states from providing in-state tuition and financial aid to noncitizens, affecting how you advise clients on education benefits.

A federal judge has ruled that Illinois’ in-state tuition policies, the RISE Act and the Illinois DREAM Act are unconstitutional and invalid as applied to undocumented immigrants. U.S. District Judge Stephen McGlynn, a Trump appointee serving in the Southern District of Illinois, sided with the Justice Department in striking down the state’s attempt to offer educational benefits to noncitizens.

What changed

The court ruled that Illinois’ in-state tuition policies, the RISE Act and the Illinois DREAM Act are “unconstitutional and invalid” as applied to illegal immigrants. The ruling permanently prevents Illinois from enforcing the laws, although McGlynn delayed the order from taking effect for 14 days to allow the state to ask an appeals court to intervene.

The Justice Department argued that Illinois sought to incentivize illegal immigration on the taxpayer’s dime by treating illegal aliens better than U.S. citizens living in other states, in clear violation of federal law.

Why it matters

If you have clients in Illinois seeking in-state tuition rates, financial aid, or scholarships through RISE or the DREAM Act, this ruling cuts off those pathways. The decision rests on the premise that states cannot use taxpayer funds to benefit noncitizens in ways that exceed benefits available to U.S. citizens from other states—a constitutional principle that may extend beyond Illinois.

This ruling also signals the Trump administration’s aggressive use of federal court to challenge state-level immigrant-friendly policies. Practitioners in other states offering similar tuition or financial-aid programs should anticipate copycat litigation. The 14-day stay means Illinois may seek emergency appellate relief, but the trajectory points toward sustained restriction on state-funded education benefits for undocumented immigrants.

Way forward

  • Review client file flags: If you have pending or recent applicants from Illinois relying on RISE or DREAM Act benefits, flag those cases now and contact clients about alternative funding sources.
  • Monitor state appeals: Watch for Illinois’ motion to the appellate court in the next 14 days; a stay or reversal could shift the landscape.
  • Check your state’s law: If you practice outside Illinois, research whether your state has similar in-state tuition or financial-aid programs for noncitizens and prepare for potential federal challenge.
  • Document the decision date: The judge ruled on Friday (July 25, 2026); use that date when advising on eligibility cutoffs.

Disclaimer

This article is not legal advice and does not substitute for consultation with a licensed immigration attorney. We are a software company, not a law firm. Verify all information against the primary source and the actual court order before advising clients. Immigration policy can change without notice; always confirm the current status of any ruling or regulation before relying on it in practice.

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