Federal judge blocks rule that would have given DACA recipients access to Affordable Care Act coverage

A federal judge on Monday issued a court order temporarily blocking a Biden administration rule that would have granted some people brought into the country illegally as children access to health coverage under the Affordable Care Act, a decision that could affect tens of thousands of Texans.

The decision comes after Texas and 18 other states banded together to sue the federal government following recent guidance from the Centers for Medicare and Medicaid Services establishing a pathway for some Deferred Action for Childhood Arrivals (DACA) recipients to enroll in health insurance plans.

The states argued that by allowing DACA recipients to benefit from subsidized health insurance and making them “lawfully present” in the health care system, they will want to stay in the country longer, causing states to spend more money on resources like education, health care and law enforcement. State Republican leaders in interviews and lawsuits challenging the federal government’s immigration policies often make such claims about undocumented immigrants straining state resources, despite evidence that undocumented Texans contribute more to the economy than they cost the state.

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