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States now must report undocumented immigrants to DHS or risk federal funding, DOJ says

The opinion broadens reporting duties for states that take Temporary Assistance for Needy Families funding and says noncompliance could cost them billions.

  • On Tuesday, the Department of Justice issued a legal opinion requiring states accepting federal Temporary Assistance for Needy Families or Supplemental Security Income funds to report undocumented immigrants to the Department of Homeland Security or risk losing that federal funding.
  • The mandate revises 1998 guidance by reinterpreting the 1996 Work Opportunity Reconciliation Act. Deputy Assistant Attorney General Joshua Craddock stated the opinion "simply restores the original meaning" of the statute to ensure DHS receives required information.
  • Applying to all 50 states, the District of Columbia, and territories, the order mandates every state agency accepting federal aid share data. Assistant Attorney General Elliot Gaiser noted, "Congress wrote this requirement plainly," regarding states' obligations to report undocumented immigrants.
  • Federal TANF grants exceed $16.4 billion annually, creating significant stakes for jurisdictions accepting the funding. The DOJ clarified this requirement applies only prospectively, excluding past program enrollments from the new reporting mandate.
  • Because these programs encompass the entire administrative apparatus of state governments, the compliance burden extends across every jurisdiction participating in federal programs. Noncompliance could trigger loss of crucial federal support, according to the Department.
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Politico broke the news in Arlington County, United States on Wednesday, September 2, 2026.
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