Section 1. Short title
This Act may be cited as the American Dream Protection Act of 2025.
Section 2. Findings
Congress finds the following:
(1) Federal taxpayer dollars should prioritize the education of United States citizens and lawful residents.
(2) Some States and institutions currently offer in-State tuition or other postsecondary benefits to aliens who are not lawfully present.
(3) The practices described in paragraph (2) create inequities for citizens of other States and undermine uniform Federal immigration policy.
(4) To avoid such inequalities and maintain uniform Federal immigration policy, it is necessary to condition the receipt of Federal funds for higher education on compliance with Federal immigration and eligibility laws.
Section 3. Restricting higher education benefits for aliens not lawfully present
Section 505 of the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 (8 U.S.C. 1623) is amended—
(1) in subsection (b), by striking This section and inserting Subsection (a); and
(2) by adding at the end the following:
(A) In general
A public institution of higher education in a State may not receive any Federal financial assistance for the fiscal year following any fiscal year in which the Secretary of Education determines that the institution is an ineligible institution under subparagraph (B).
(B) Ineligibility
A public institution of higher education in a State is an ineligible institution for purposes of this paragraph if the institution—
(i) charges an alien who is not lawfully present in the United States tuition for attendance at the institution at a rate that is less than or equal to the rate charged for residents of the State who are citizens of the United States; or
(ii) provides State-based financial aid to an alien who is not lawfully present in the United States.
(A) In general
A State may not receive any Federal financial assistance for the fiscal year following any fiscal year in which the Secretary of Education determines that the State is an ineligible State under subparagraph (B).
(B) Ineligibility
A State is an ineligible State for purposes of this paragraph if the State charges an alien who is not lawfully present in the United States tuition for attendance at a public institution of higher education in the State at a rate that is equal to or less than the rate charged for residents of the State who are citizens of the United States.
(3) Definitions
In this subsection:
(A) The term Federal financial assistance has the meaning given such term in section 7501(a)(5) of title 31, United States Code.
(B) The term institution of higher education has the meaning given such term in section 101 of the Higher Education Act of 1965 (20 U.S.C. 1001).
(C) The term State has the meaning given such term in section 103 of the Higher Education Act of 1964 (20 U.S.C. 1003).
Section 4. Codification of Executive Order 14287
Section 4 (relating to preventing Federal benefits for aliens in sanctuary jurisdictions) of Executive Order 14287 (90 Fed. Reg. 18761; relating to protecting American communities from criminal aliens) shall have the force and effect of law.