Overview
- California Attorney General Rob Bonta filed the case with 18 other attorneys general in Massachusetts federal court, marking at least the third lawsuit challenging the fee announced in September.
- The suit argues the policy exceeds congressional limits on agency fees, violates the Administrative Procedure Act’s notice‑and‑comment requirements, and contravenes the Constitution’s assignment of revenue‑raising to Congress.
- Trump’s proclamation set the $100,000 charge for new petitions filed after September 21, 2025, with federal guidance describing exemptions as extraordinarily rare and clarifying that existing holders and earlier applicants are not subject to it.
- Public schools, universities, hospitals and rural providers report severe cost pressures and likely vacancies, with examples ranging from California districts that rely on H‑1B teachers to a North Dakota rural hospital now facing a $100,000 cost per hire.
- Separate challenges by the U.S. Chamber of Commerce and by unions, employers and religious groups are pending, including a hearing next week in Washington, D.C., as the White House defends the fee as a lawful step to deter program abuse and prioritize U.S. workers.