A federal district court in Rhode Island vacated notices issued by several federal agencies, including the Department of Health and Human Services (HHS), that expanded the definition of “federal public benefit” under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA). The HHS Notice would have restricted the ability of certain federal grantees, including Section 330 grant-funded community health centers, to serve immigrants without legal status.
The lawsuit was brought by 21 states, and the court previously issued a preliminary injunction preventing the agencies, including HHS, from implementing the notices while the litigation was pending. In making that determination, the court indicated that the notices likely had substantive defects.
In its September 21 decision, the court vacated the notices on procedural grounds holding that the agencies violated the Administrative Procedure Act (APA) by adopting legislative rules without first engaging in notice and comment rulemaking. The decision prohibits HHS from implementing or enforcing its notice against plaintiff states by any other means.
Eyman Partners is continuing to monitor the progression of this case, including whether the federal agencies appeal the court’s decision to the First Circuit Court of Appeals. If you have any questions about how this decision might impact you, please reach out to any Eyman Partners attorney to discuss.