The lawsuit challenges Penn State’s policy that allows undocumented students to qualify for tuition reductions.
The U.S. Department of Justice has sued Penn State University, charging that the university violates federal law by offering in-state tuition to undocumented students while denying similar reduced tuition to all U.S. citizens.
The lawsuit, filed Thursday, alleges the university’s tuition policy discriminates against the public.
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Currently, undocumented students are eligible for in-state tuition if they meet Pennsylvania’s residency standards.
But prosecutors rejected the policy, saying it violated federal law that prohibits “preferential treatment” in higher education for undocumented immigrants unless similar benefits are available to U.S. citizens.
In the United States, public universities typically offer lower tuition fees for students who are residents of the state in which the institution is located, while students from other states pay higher tuition fees.
Proponents of such policies argue that in-state tuition helps prevent “brain drain,” where students leave the state to attend out-of-state colleges. It also rewards state residents who donate tax dollars to the education system.
Supporters say similar benefits should be extended to undocumented students, who often enter the country as minors. Making undocumented students eligible for in-state tuition also reduces the barriers they face in accessing an education.
But the Justice Department is seeking a court order to prevent Penn State from continuing to offer in-state tuition to undocumented students, including Pennsylvania residents, regardless of their immigration status.
It also seeks to prevent the university from adopting future tuition policies that give “preferential treatment” to undocumented students over U.S. citizens.
“Congress made a deliberate policy choice that states and their public agencies will not provide tuition benefits to illegal aliens unless all Americans receive the same benefits,” Assistant Attorney General Brett Shumate of the Justice Department’s Civil Division said in a statement.
The lawsuit is part of a broader campaign under President Donald Trump to challenge state policies that grant tuition reductions to undocumented students.
Since returning to office for a second term in 2025, President Trump has sought to crack down on illegal immigration, pledging to lead the largest deportation effort in U.S. history.
The Justice Department said Thursday’s filing brings the total number of lawsuits challenging these policies to 27. He said six lawsuits in Texas, Kentucky, Oklahoma, Nebraska, Illinois and Kansas have resulted in court orders permanently blocking similar tuition policies.
In Thursday’s lawsuit, prosecutors argued the policy is unconstitutional. They also argued that laws such as the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 prohibit “public benefits as an incentive” to illegal immigrants.
“Federal law prohibits illegal aliens from qualifying for postsecondary education benefits based on residence within a state if such benefits are denied to U.S. citizens residing in other states,” the complaint states.
“There are no exceptions. Yet Penn State ignored this Congressional prohibition.”
According to Pennsylvania’s current residency requirements, non-citizen applicants must attend and graduate from a Pennsylvania accredited high school for at least four years to be eligible for in-state tuition.
Penn State said it is aware of the complaint and is reviewing it.
