WASHINGTON, DC — The US Department of Justice Office of Legal Counsel issued a legal opinion on September 2, 2026. The opinion states that states participating in Temporary Assistance for Needy Families and Supplemental Security Income must report individuals unlawfully present in the US to the Department of Homeland Security.

Deputy Assistant Attorney General Joshua Craddock signed the document. "Failure to comply may lead to serious consequences, including loss of program funding," Craddock said in a statement.

The legal opinion expands the reporting requirement to all state agencies, including universities and departments of motor vehicles, rather than only those directly administering federal welfare programs. This interpretation applies to future funding only.

All 50 states, Washington, DC, and numerous US territories receive funding through Temporary Assistance for Needy Families and Supplemental Security Income. Federal Temporary Assistance for Needy Families grants total more than $16.5 billion annually. Federal Supplemental Security Income benefits exceed $60 billion each year.

Assistant Attorney General T. Elliot Gaiser provided further explanation in a statement. "Congress wrote this requirement plainly," Gaiser said in a statement. He added that participation creates a binding duty.

"When a state chooses to participate in TANF, it accepts the obligation to report illegal aliens in the United States," Gaiser said. He stated that public funds should support enforcement efforts.

The mandate intersects with existing state policies regarding identification and education. At least 19 states and Washington, DC, allow immigrants without lawful status to obtain driver's licenses. Many state universities admit students without legal status.

States have sued to prevent the Department of Homeland Security from accessing personal information belonging to recipients of Temporary Assistance for Needy Families. These legal challenges occurred prior to the issuance of the September opinion.

Why It Matters

The opinion affects all jurisdictions that accept federal welfare assistance, which includes every state and numerous territories. The financial stakes involve billions of dollars in annual grants for Temporary Assistance for Needy Families and Supplemental Security Income. Non-compliance threatens the loss of these funds according to the Department of Justice.

The requirement extends beyond traditional welfare offices to include entities such as universities and motor vehicle departments. This expansion occurs while at least 19 states and Washington, DC, issue driver's licenses to individuals without lawful status. Many state universities also enroll students without legal status, creating potential reporting obligations for these institutions.

Timeline

Agriculture Secretary Brooke Rollins threatened to withhold funding from states that did not comply with the US Department of Agriculture's request for food stamp enrollee records on 2025-01-01. The US Department of Agriculture requested last year that states provide food stamp enrollee records on 2025-01-01. A federal judge issued a preliminary injunction earlier in 2026 blocking the US Department of Agriculture from imposing new conditions on funding for food stamps and other nutrition programs on 2026-01-01.

Homeland Security Department published proposed rule titled "Fee for Certain H-1B Petitions" on 2026-08-25. The legal opinion states that states participating in Temporary Assistance for Needy Families and Supplemental Security Income must report individuals unlawfully present in the US to the Department of Homeland Security on 2026-09-02.

The legal opinion expands the reporting requirement to all state agencies, including universities and departments of motor vehicles, rather than only those directly administering federal welfare programs on 2026-09-02. The legal opinion argues that a 1998 rule incorrectly interpreted the 1996 Personal Responsibility and Work Opportunity Reconciliation Act by treating the word "State" as referring only to particular state agencies rather than state governments as a whole on 2026-09-02.

What's New

A federal judge issued a preliminary injunction earlier in 2026 blocking the US Department of Agriculture from imposing new conditions on funding for food stamps and other nutrition programs. Assistant Attorney General T. Elliot Gaiser stated that when a state chooses to participate in TANF, it accepts the obligation to report illegal aliens in the United States. "Congress wrote this requirement plainly," he said in a statement.

Agriculture Secretary Brooke Rollins threatened to withhold funding from states that did not comply with the US Department of Agriculture's request for food stamp enrollee records. The legal opinion states that some federal housing programs are subject to the same reporting requirements.