The Trump administration has sued Oregon, Washington, New Mexico and Arizona over state policies that allow undocumented students to access benefits typically reserved for residents, including in-state university fees, grants and state-backed loans. The Justice Department says the policies conflict with federal law unless equivalent benefits are available to all US students, widening its campaign against such state measures to 21 states.

The cases highlight large differences between resident and non-resident fees: at the University of Washington, the stated gap for 2026–27 is $31,054, while Arizona State University’s largest gap is $24,448. The Arizona lawsuit says 432 undocumented students received reduced fees there in autumn 2025, valued at $10.5 million; state university officials said they were reviewing the case and follow state law. The article also notes pending challenges in 12 other states and previous Justice Department victories in five.