Maryland Joins Multistate Lawsuit Against $100K H-1B Visa Fee

Maryland Attorney General Anthony G. Brown has joined a coalition of 19 other states in filing a lawsuit challenging a newly implemented $100,000 fee for H-1B visa petitions. This policy, enacted by the Trump administration and implemented by the Department of Homeland Security (DHS), is alleged to be an unlawful attempt to place a significant financial barrier on employers seeking to hire highly skilled foreign workers for critical roles. The H-1B visa program is designed to allow U.S. businesses to employ foreign nationals with specialized skills in areas such as teaching, medicine, and research, thereby addressing nationwide labor shortages.

The lawsuit contends that the substantial fee imposed by DHS exceeds the authority granted to the executive branch by Congress and bypasses necessary legal procedures, including the required rulemaking process. The states argue that this fee is not aligned with Congress’s intent for the H-1B program, which has historically been shaped to meet employer needs while safeguarding the interests of American workers. The coalition asserts that the fee is disproportionately burdensome for public sector employers, including schools and universities, which are often unable to absorb such significant costs.

The H-1B visa program allows employers to petition for foreign workers with at least a bachelor’s degree in specialized occupations. These petitions require certification from the U.S. Department of Labor, ensuring that the employment of H-1B workers will not adversely affect the wages or working conditions of U.S. workers. Congress has established an annual cap on H-1B visas for most private employers, set at 65,000, with an additional 20,000 visas available for individuals holding a master’s degree or higher. The program has been adapted over time to accommodate the needs of government and non-profit organizations, which are often exempt from this cap due to their public service missions.

According to the complaint, President Trump issued a proclamation on September 19, 2025, mandating the $100,000 fee for new H-1B visa petitions. This policy, implemented through DHS via written directives and effective for applications filed after September 21, 2025, is seen as undermining the core purpose of the H-1B program by hindering efforts to fill labor gaps in vital sectors. The policy also grants the Secretary of Homeland Security broad discretion to determine fee exemptions, raising concerns about potential selective enforcement.

The states argue that this fee policy will have devastating consequences across the country, impacting the quality of essential services. In Maryland, for instance, the state faced over 1,600 teacher vacancies at the beginning of the 2024-2025 school year. Baltimore City Public Schools, which currently employs approximately 80 H-1B visa holders, including 78 teachers in high-demand areas like math, science, and special education, is seeking to recruit new educators for the upcoming school year. The new fee would make such recruitment unaffordable, potentially leaving classrooms understaffed and students without qualified teachers.

The University System of Maryland also relies on H-1B visas, sponsoring over 530 faculty, staff, and researchers in STEM fields. The imposition of the $100,000 fee could force these institutions to scale back research projects, reduce course offerings, and impede the development of Maryland’s innovation economy and STEM workforce. Healthcare providers are also affected, as the H-1B program is crucial for hiring physicians, surgeons, and nurses, particularly in underserved communities. Nationwide, nearly 17,000 H-1B visas were allocated to healthcare professionals in fiscal year 2024, with half of those being physicians and surgeons. Projections indicate a significant physician shortage by 2036, which could be exacerbated by this new fee.

The lawsuit claims that the $100,000 fee violates the Administrative Procedure Act (APA) and the U.S. Constitution. Historically, fees associated with H-1B visas have been established through the APA’s notice-and-comment process, with fees limited to the actual costs incurred by the agency. Current fees for an initial H-1B petition typically range from $960 to $7,595. The states contend that the $100,000 fee far exceeds these processing costs and represents an arbitrary exercise of authority, rather than a fee based on agency expenses. Furthermore, the administration is accused of implementing this policy without the required public comment period and without adequately considering the broad impact on critical public services.

The coalition challenging the fee includes the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Massachusetts, Michigan, Minnesota, North Carolina, New Jersey, New York, Oregon, Rhode Island, Vermont, Washington, and Wisconsin, in addition to Maryland.

Article by Mel Anara, based upon information from the Maryland Attorney General’s Office.

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