Fifth Circuit Invalidates Texas Dream Act

The Court’s Ruling Compromises a Quarter Century of the State’s Investment in Texas’ Dreamers and Economy

The Fifth Circuit upheld a lower court ruling invalidating the Texas Dream Act, ending a 25-year policy that allowed many Texas-raised undocumented students to qualify for in-state tuition. IDRA reports the decision will reduce college access, harm Texas’ workforce and economy, and undermine longstanding bipartisan public policy.

Key Takeaways

  • The Fifth Circuit upheld a ruling invalidating the Texas Dream Act.
  • The Texas Dream Act allowed many Texas-raised undocumented students to qualify for in-state tuition since 2001.
  • IDRA says the ruling will make college less accessible for thousands of Texas students and weaken Texas’ future workforce.
  • The organization argues that the case bypassed the normal democratic process through a coordinated lawsuit and settlement.
  • IDRA previously joined a coalition amicus brief supporting the Texas Dream Act and continued access to higher education for Texas Dreamers.

Resource from the Intercultural Development Research Association (IDRA), a nonprofit advancing education equity.

Resource from the Intercultural Development Research Association (IDRA), a nonprofit advancing education equity.

The John Minor Wisdom U.S. Courthouse, home of the United States Court of Appeals for the Fifth Circuit, New Orleans, Louisiana. Photo credit: Wikipedia: Bobak Ha'Eri, May 31, 2007.

On July 9, the Fifth Circuit upheld a federal district court ruling in USA v. Students, finding the Texas Dream Act unconstitutional.

“The Texas Dream Act has long provided opportunity for Texas-raised undocumented students to access college and better contribute to the Texas workforce and economy,” said Celina Moreno, J.D., IDRA President and CEO. “Yesterday’s court ruling will make college unattainable for thousands of Texas Dreamers.

Texas was the first state to offer in-state tuition to undocumented students in 2001. The bipartisan law catalyzed 24 other states and Washington, D.C., to adopt similar policies.

Twenty-five years after its adoption, the Texas Dream Act continues to enjoy widespread support across all sectors of society. After repeated failed attempts by extremist politicians to repeal the common-sense law, they turned to the courts. And instead of defending the interests of Texans from all walks of life, Texas Attorney General Ken Paxton joined the U.S. Department of Justice in a collusive lawsuit and settlement to invalidate the Texas Dream Act outside of the democratic process.

“The Fifth Circuit’s decision to protect backdoor arrangements that deny Texas students the ability to achieve their educational dreams is a shameful abdication of the court’s responsibility to consider the clear legal facts and precedent in this case,” said Paige Duggins-Clay, J.D., IDRA Chief Legal Analyst. “The decision is a significant loss for every American who cares about democracy.”

Last year, IDRA filed a coalition amicus brief in the Fifth Circuit on behalf of business, higher education, civil rights and student leaders in support of Texas Dreamers and a stronger Texas.


Learn More about the Texas Dream Act

Student Guide to Navigating Texas Dream Act Changes (also available in Spanish)

Share Your Story: Students, families and educators: we need to hear from you. Use our story collection tool and take 5 minutes to share questions, frustrations and stories about the impact of the Texas Dream Act and how the court’s decision may affect you.

Texas Dreamers Won’t Be Silenced – IDRA and TxILC File Amicus Brief on Behalf of Business, Faith, Educator and Student Groups Urging the Fifth Circuit to Protect the Texas Dream Act, October 8, 2025

DACA Student Access to Education, IDRA webpage

The Law in Education – YCT v Smatresk at UNT – IDRA Classnotes Podcast #243

Supportive College Climates for Undocumented Students – IDRA Classnotes Podcast #242



FAQs

What did the Fifth Circuit decide about the Texas Dream Act?

The Fifth Circuit upheld a federal district court ruling declaring the Texas Dream Act unconstitutional.

What is the Texas Dream Act?

The Texas Dream Act, enacted in 2001, allowed qualifying Texas-raised undocumented students to pay in-state tuition at Texas public colleges and universities.

Why does IDRA oppose the ruling?

IDRA says the decision reduces college access for Texas Dreamers, weakens the state’s workforce and economy, and overturns a law that had broad bipartisan support for 25 years.

What was IDRA’s role in the case?

IDRA joined a coalition amicus brief representing business, higher education, civil rights and student leaders supporting the Texas Dream Act.

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