PSJA ISD is the only district in the Rio Grande Valley to be named a finalist in this category, marking a historic milestone for the district. Image for illustration purposes
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PHARR, Texas – Pharr-San Juan-Alamo Independent School District (PSJA ISD) is proud to announce that it has been named a state finalist in the 2026 H-E-B Excellence in Education Awards in the Large School District category. PSJA ISD is the only district in the Rio Grande Valley to be named a finalist in this category, marking a historic milestone for the district.
The H-E-B Excellence in Education Awards are highly competitive and rigorous, recognizing public school educators, schools, and districts across Texas that demonstrate exceptional dedication, innovation, and leadership in serving students and their communities. Since its inception in 2002, the program has awarded nearly $15 million to educators, schools, and districts. Finalists in each category receive recognition, and winners, along with their schools, are awarded cash prizes and matching grants to further educational initiatives.
Courtesy image
“We are deeply honored and humbled to be named a State Finalist for the H-E-B Excellence in Education Award,” said PSJA Superintendent Dr. Alejandro Elias. “This reflects the dedication, passion, and care our teachers, staff, and school leaders bring to every student, every day. I am truly grateful to our entire PSJA Family and our supportive community for believing in our mission and working together to ensure that every child has the opportunity to succeed.”
PSJA ISD serves over 29,000 students across three cities and offers rigorous academic programs from pre-kindergarten through 12th grade. Known for its commitment to college readiness, the district boasts a high school completion rate exceeding 97 percent and features one of the only wall-to-wall Early College Programs in the state and nation. Each semester, more than 3,000 high school students enroll in college-level courses through dual and concurrent enrollment partnerships with South Texas College and other higher education institutions.
The district’s innovative programs—including Dual Language Enrichment, Early College, Early Childhood, and Dropout Recovery—help students earn college credits, become bilingual and biliterate, participate in top-notch athletics, and engage in fine arts programs. This state finalist recognition highlights PSJA ISD’s dedication to providing high-quality education and empowering students to achieve their full potential.
This state finalist recognition highlights the district’s ongoing efforts to provide high-quality education and innovative programs that empower students to achieve their full potential.
For more information about the H-E-B Excellence in Education Awards, visit HEBLovesTeachers.com
February 2, 2026, is the last day that the 2025 Taxes may be paid without penalties and interest. Mailed in payments are considered timely if postmarked by February 2, 2026. Business hours are weekdays from 8:00 a.m. thru 4:30 p.m. Image for illustration purposes
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EDINBURG, Texas – February 2, 2026, is the last day that the 2025 Taxes may be paid without penalties and interest. Mailed in payments are considered timely if postmarked by February 2, 2026. Business hours are weekdays from 8:00 a.m. thru 4:30 p.m. at the following locations:
Save the Line pay your 2025 Taxes online @ www.hidalgocountytax.org with Credit/Debit Card or E-Check. You can also pay with Cash or Check at all LONE STAR NATIONAL BANK locations within Hidalgo County. YOUR ORIGINAL LIGHT YELLOW STATEMENT OR ONLINE STATEMENT IS REQUIRED WHEN PAYING AT THE BANK.
For more information, please visit our website @ www.hidalgocountytax.org or call our Edinburg Main Office at (956) 318-2157.
Pictured is the DHR Health Transplant Team. This monumental achievement for DHR Health’s Transplant Institute represents 101 lives saved and 101 lives transformed for patients and their families living in the Rio Grande Valley. Photo by Roberto H. González
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Texas Border Business / Mega Doctor News
EDINBURG, Texas – DHR Health Transplant Institute announced today a historic milestone achievement for the Rio Grande Valley: 101 kidney transplants successfully performed in 2025, the highest number of kidney transplants completed in a year since the Institute opened in 2017.
This monumental achievement for DHR Health’s Transplant Institute represents 101 lives saved and 101 lives transformed for patients and their families living in the Rio Grande Valley. For these patients, kidney transplantation means they are free from regular dialysis treatments with the opportunity to regain their quality of life and live a longer life.
The accomplishment also underscores the level of high-quality, advanced medical care that is in the Rio Grande Valley. Patients do not need to leave the region for this type of advanced care nor incur significant expenses related to travel and lodging associated with frequent follow-up visits.
TxDOT is sharing its Be Safe. Drive Smart. campaign to call on all Texans to be kind, courteous and safe to protect roadway responders. Image courtesy of TxDOT
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AUSTIN – Roadside workers, law enforcement and other first responders risk their lives every day, and drivers can help keep them safe by always moving over or slowing down.
TxDOT is sharing its Be Safe. Drive Smart. campaign to call on all Texans to be kind, courteous and safe to protect roadway responders.
These individuals are often only inches away from heavy or fast-moving traffic, making them vulnerable to serious injury or death in the event of a crash. That risk to their lives is amplified when people speed or drive distracted.
Expansion of Move Over or Slow Down law
Texas law requires motorists to move over an entire lane or slow to 20 mph below the posted speed limit when approaching law enforcement, tow trucks, utility vehicles, municipal waste trucks, emergency responders and TxDOT vehicles with activated overhead lights on the side of the road.
Since Sept. 1, 2025, the law has been expanded to include vehicles driven by animal control officers and parking enforcement employees.
Tips for drivers:
• Be alert and pay attention when approaching roadside law enforcement, first responders, tow trucks, utility service vehicles and TxDOT vehicles with flashing lights on.
• When possible, move out of the lane closest to these vehicles.
• Slow down to 20 mph below the posted speed limit if safely switching lanes is not possibleor the road doesn’t offer multiple lanes.
• Reduce speed to 5 mph on roadways with a posted speed limit of 25 mph or less.
Failure to follow the Move Over or Slow Down law can result in a fine of up to $1,250 for a first offense. Drivers who cause serious injuries may face jail time and a fine of up to $4,000.
The Be Safe. Drive Smart. campaign is an important part of TxDOT’s Drive like a Texan: Kind. Courteous. Safe.initiative. Drive like a Texan is about embracing the pride, camaraderie and responsibility of being a Texan on the road. By making thoughtful choices, we can all help keep each other safe. Learn more at DriveLikeATexan.com.
In recognition of National AMBER Alert Day, the Texas Department of Public Safety (DPS) reminds Texans of the importance of this lifesaving tool — and the entire Statewide Alert Program — as a critical resource to public safety efforts in the state. Photo: Texas DPS
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AUSTIN – In recognition of National AMBER Alert Day, the Texas Department of Public Safety (DPS) reminds Texans of the importance of this lifesaving tool — and the entire Statewide Alert Program — as a critical resource to public safety efforts in the state.
“When an AMBER Alert is issued, it sets an immediate and unified response into motion,” said Homeland Security Division Chief Gerald Brown. “The coordination between local, state and federal partners is critical and DPS works closely with each of them to share information quickly, mobilize resources and ensure every effort is aligned towards bringing your loved one home safely.”
When an alert has been activated, DPS asks all Texans to pay attention to alert messages and to be observant of their surroundings. If an alert is posted either on a highway sign or information is shared in other formats such as mobile phones, broadcasts or social media, take time to read and digest the information. Once the description of the child, suspect or vehicle is shared, be aware of possible matches. Texans should immediately call 911 if they have information to share with law enforcement.
AMBER Alerts
America’s Missing: Broadcast Emergency Response or AMBER Alerts inform the public of serious child abductions to generate tips and leads for law enforcement agencies. The name AMBER Alerts was given in honor of Amber Hagerman, a nine-year-old girl who was abducted while riding her bicycle in Arlington, Texas, in 1996. Four days later, she was found brutally murdered in a creek just a few miles from her home. This year marks 30 years since Amber’s abduction and murder.
Following Amber’s death, local media and law enforcement created the nation’s first AMBER Alert program in the Dallas/Fort Worth area. In 2002, Governor Rick Perry created Texas’ AMBER Alert network per Executive Order RP-16, later codified through legislation in 2003. In 2023, Governor Greg Abbott signed legislation authorizing local area activation of the AMBER Alert system in certain circumstances in honor of seven-year-old Athena Strand who was kidnapped and murdered in Wise County the year prior.
Texas’ Statewide Alert Program
DPS is responsible for administering multiple alerts as part of the Statewide Alert Program. Each of these alerts — and the criteria needed to activate them — is established by laws passed by the Texas Legislature. The Statewide Alert Program issues urgent public safety warnings meant to warn the public of possible danger for themselves or a missing person. Each is designed to speed up the apprehension of a violent criminal and/or locate missing persons and children by generating tips and leads for the investigating agencies, therefore giving those agencies the best opportunity to apprehend a criminal or rescue someone who is at-risk. In addition to AMBER Alerts, the Statewide Alert Program includes Silver, Blue, Endangered Missing Persons, CLEAR, Power Outage and Active Shooter alerts.
Alert Activation
DPS activates an alert when an authorized requester declares in writing that the required activation criteria has been met. DPS continues the activation until the requester asks that it be discontinued. Agencies typically request discontinuation after the missing or wanted person has been found alive, if the investigating agency has reason to believe that the missing or wanted person is deceased or if the investigating agency determines that the alert is no longer needed, even though the person may still be wanted or missing.
An archive of all alerts activated by DPS, including AMBER Alerts, can be found on the department’s website, here. It is important to note that alerts that are no longer active are labeled as Found or Discontinued, though this status should be considered preliminary and unofficial. DPS does not maintain a comprehensive or official record of the outcome of each activated alert. Instead, confirming the outcome of a particular alert should be obtained from the investigating agency.
The NFIB Small Business Optimism Index rose 0.5 points in December to 99.5 and remained above its 52-year average of 98. Of the 10 Optimism Index components, two increased, three decreased, and five were unchanged. Image for illustration purposes
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AUSTIN – The NFIB Small Business Optimism Index rose 0.5 points in December to 99.5 and remained above its 52-year average of 98. Of the 10 Optimism Index components, two increased, three decreased, and five were unchanged. An increase in those expecting better business conditions primarily drove the rise in the Optimism Index. The Uncertainty Index fell 7 points from November to 84, the lowest reading since June 2024.
“2025 ended with a further increase in small business optimism,” said NFIB Chief Economist Bill Dunkelberg. “While Main Street business owners remain concerned about taxes, they anticipate favorable economic conditions in 2026 due to waning cost pressures, easing labor challenges, and an increase in capital investments.”
“With the voters’ approval of Prop 9, delivering more than $500 million in tax savings for small business owners across the state, Texas small business owners closed out 2025 optimistic and hopeful for better business conditions in 2026,” NFIB State Director Jeff Burdett said. “NFIB will continue to work with lawmakers to ensure our family-owned businesses can create jobs, expand their operations, and thrive.”
In conjunction with the December report, NFIB also released a new episode of the “Small Business by the Numbers” podcast. This is the NFIB Research Center’s new podcast where co-hosts Holly Wade, the Executive Director of the NFIB Research Center, and Peter Hansen, Director of Research and Policy Analysis, discuss the data, stories, and economic conditions affecting small businesses nationwide. Listen to the latest episode here.
Key findings include:
Twenty percent of small business owners reported taxes as their single most important problem, up 6 points from November and ranking as the top problem. This is the highest reading since May 2021.
In December, both actual and planned prices fell from the previous month. The net percent of owners raising average selling prices fell 4 points from November to a net 30% (seasonally adjusted). A net 28% (seasonally adjusted) plan to increase prices in the next three months (down 2 points).
A net negative 3% of owners reported paying a higher interest rate on their most recent loan, down 5 points from November and the lowest reading since January 2021.
The net percent of owners expecting better business conditions rose 9 points from November to a net 24% (seasonally adjusted), contributing the most to the rise in the Optimism Index. This was the first increase since July.
When asked to evaluate the overall health of their business, 9% rated it excellent (down 2 points), 54% rated it good (up 1 point), 34% rated it fair (up 4 points), and 3% rated it poor (down 2 points).
The net percent of owners reporting inventory gains rose 6 points to a net negative 1% (seasonally adjusted), the highest reading of the year.
In December, 64% of small business owners reported that supply chain disruptions were affecting their business to some degree, unchanged from November. Beneath simple yes/no impact binary, there was a positive shift from those reporting a significant impact to those reporting a moderate or mild impact.
As reported in NFIB’s monthly jobs report, a seasonally adjusted 33% of all small business owners reported job openings they could not fill in December, unchanged from November. Unfilled job openings remain above the historical average of 24%. Of the 53% of owners hiring or trying to hire in December, 91% reported few or no qualified applicants for the positions they were trying to fill. A seasonally adjusted net 17% of owners plan to create new jobs in the next three months, down 2 points from November.
Fifty-six percent of small business owners reported capital outlays in the last six months, up 4 points from November. Of those making expenditures, 37% reported spending on new equipment (unchanged), 27% acquired vehicles (up 8 points), and 19% improved or expanded facilities (up 5 points). Thirteen percent spent money on new fixtures and furniture (up 3 points), and 7% acquired new buildings or land for expansion (up 2 points). Nineteen percent (seasonally adjusted) plan capital outlays in the next six months, down 1 point from November. Historically, this is a weak reading.
A net negative 8% of all owners (seasonally adjusted) reported higher nominal sales in the past three months, up 1 point from November. Actual sales remain below the historical average of a net 0%. The net percent of owners expecting higher real sales volumes over the next quarter fell 5 points from November to a net 10% (seasonally adjusted).
The net percent of owners reporting inventory gains rose 6 points to a net negative 1% (seasonally adjusted), the highest reading of the year. Not seasonally adjusted, 13% reported increases in stocks (up 1 point), and 15% reported reductions (down 3 points). A net negative 1% (seasonally adjusted) of owners viewed current inventory stocks as “too low” in December, unchanged from November. A net negative 1% (seasonally adjusted) of owners plan inventory investment in the coming months, unchanged from November.
In December, 64% of small business owners reported that supply chain disruptions were affecting their business to some degree, unchanged from November. Three percent reported a significant impact (down 4 points), 21% reported a moderate impact (up 2 points), 40% reported a mild impact (up 2 points), and 35% reported no impact (unchanged).
In December, both actual and planned prices fell from the previous month. The net percent of owners raising average selling prices fell 4 points from November to a net 30% (seasonally adjusted). Price increases remain well above the historical average of a net 13%, suggesting continued inflationary pressure. In addition, November recorded a substantial increase in this net percent, so despite the December decline, the level is well above the typical level for the last two years. Unadjusted, 34% reported higher average prices (down 5 points), and 8% reported lower average selling prices (unchanged). Looking forward to the next three months, a net 28% (seasonally adjusted) plan to increase prices, down 2 points from November. Twelve percent of owners reported that inflation was their single most important problem in operating their business (higher input costs), down 3 points from November.
Seasonally adjusted, a net 31% reported raising compensation, up 5 points from November. A seasonally adjusted net 24% plan to raise compensation in the next three months, unchanged from November. The frequency of reports of positive profit trends rose 3 points from November to a net negative 20% (seasonally adjusted).
Among owners reporting lower profits, 41% blamed weaker sales, 13% cited the rise in the cost of materials, and 12% cited usual seasonal change. Nine percent reported price change for their product(s) or service(s), and 7% cited labor costs. Among owners reporting higher profits, 64% cited sales volume, 14% cited usual seasonal change, and 3% cited higher selling prices.
A net 5% reported their last loan was harder to get than in previous attempts, down 1 point from November. In December, a net negative 3% of owners reported paying a higher interest rate on their most recent loan, down 5 points from November and the lowest reading since January 2021. The average rate paid on short maturity loans was 8.4% in December, up 0.5 points from November’s lowest level since May 2023. Twenty-five percent of all owners reported borrowing regularly, up 2 points from November but still at a historically low level.
When asked to evaluate the overall health of their business, 9% rated it as excellent (down 2 points), 54% rated it as good (up 1 point), 34% rated it fair (up 4 points), and 3% rated it poor (down 2 points). The net percent of owners expecting better business conditions rose 9 points from November to a net 24% (seasonally adjusted), contributing the most to the rise in the Optimism Index. This was the first increase since July.
In December, 13% (seasonally adjusted) reported that it is a good time to expand their business, unchanged for the second consecutive month. Compared to readings during economic expansions, this is not a strong reading.
In December, 20% of small business owners reported taxes as their single most important problem, up 6 points from November and ranking as the top problem. This is the highest reading since May 2021. The percent of small business owners reporting labor quality as the single most important problem for their business fell 2 points from November to 19%. Labor costs reported as the single most important problem for business rose 1 point to 9%.
Twelve percent of owners reported that inflation was their single most important problem in operating their business, down 3 points from November. The percent of small business owners reporting government regulations and red tape as their single most important problem fell 3 points to 7%. The percent of small business owners reporting poor sales as their top business problem rose 1 point to 10%.
In December, 9% reported the cost or availability of insurance as their single most important problem, down 1 point from November. Three percent reported that financing and interest rates were their top business problem in December, unchanged from November. Six percent reported competition from large businesses as their single most important problem, up 3 points from November.
The NFIB Research Center has collected Small Business Economic Trends data with quarterly surveys since the fourth quarter of 1973 and monthly surveys since 1986. Survey respondents are randomly drawn from NFIB’s membership. The report is released on the second Tuesday of each month. This survey was conducted in December 2025.
Participants are invited to log 2,500 minutes of qualifying activities, including reading books or listening to audiobooks, attending library programs, volunteering, or visiting Texas state parks. Activities are self-reported, and reading logs are available at McAllen Public Library. Image for illustration purposes
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McAllen, Texas – The McAllen Public Library invites readers of all ages to participate in the Texas America250 Reading Challenge, a statewide initiative led by the Texas State Library & Archives Commission and the Texas Center for the Book. The challenge encourages Texans to explore history, learning, and service as part of the nation’s 250th anniversary.
Participants are invited to log 2,500 minutes of qualifying activities, including reading books or listening to audiobooks, attending library programs, volunteering, or visiting Texas state parks. Activities are self-reported, and reading logs are available at McAllen Public Library.
Those who complete the challenge are eligible to receive a commemorative certificate signed by Governor Greg Abbott. The Texas America250 Reading Challenge runs through December 31, offering a flexible way for individuals and families to participate at their own pace.
The Reading Challenge meets people where they are,” said Kate Horan, Library Director. “Whether it’s reading a book, attending a program, volunteering, or exploring Texas history, residents can take part in ways that fit their daily lives.”
“America250 is being recognized across Texas, and this challenge gives McAllen residents a way to be part of that shared experience,” said Mayor Javier Villalobos. “It’s an opportunity to reflect on our history while staying connected as a community.”
“As the nation approaches its 250th anniversary, communities across Texas are finding meaningful ways to educate, engage, and inspire residents,” said City Manager Isaac J. Tawil. “Initiatives like this help connect history to everyday life and remind us that civic awareness and community involvement are essential to a strong future.”
As part of Texas America250, the McAllen Public Library is hosting a traveling exhibit at the Main Library which features historically significant Texas Treasures from the State Archives that highlights further exploration of Texas history.
The Texas America250 exhibit is free and open during regular library hours. For more information, email referencelibrarian@mcallen.net or call 956.681.3060. Challenge details are available at ww.tsl.texas.gov/america250/challenge.
Two Pharr-San Juan-Alamo Independent School District (PSJA ISD) campuses, PSJA T. Jefferson T-STEM Early College High School and PSJA Collegiate School of Health Professions, have earned the College Board AP School Honor Roll Gold Level Recognition for the 2024-2025 school year. Image for illustration purposes
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PHARR, Texas – Two Pharr-San Juan-Alamo Independent School District (PSJA ISD) campuses, PSJA T. Jefferson T-STEM Early College High School and PSJA Collegiate School of Health Professions, have earned the College Board AP School Honor Roll Gold Level Recognition for the 2024-2025 school year.
This achievement marks a historic milestone for the district, as this is the first time PSJA ISD has had two campuses recognized in the same year, with both earning the Gold Level distinction, one of the highest honors awarded by the College Board.
The AP School Honor Roll recognizes schools whose Advanced Placement programs successfully expand access to AP coursework while ensuring students are supported to achieve strong outcomes. Schools are evaluated based on their ability to build a college-going culture, increase participation in AP courses, and help students earn college credit while preparing for postsecondary success.
“This recognition reflects the intentional, schoolwide efforts taking place across our campuses to ensure students are challenged academically and supported every step of the way,” said PSJA Superintendent of Schools Dr. Alejandro Elias. “Having two campuses earn Gold Level recognition in the same year speaks volumes about the dedication of our administrators, counselors, teachers, and most importantly our students, who continue to rise to high expectations.”
The AP School Honor Roll offers four levels of distinction: Bronze, Silver, Gold, and Platinum, with Gold Level recognition highlighting schools that demonstrate commitment to both access and student achievement.
“We are extremely proud of our students and staff at PSJA Thomas Jefferson T-STEM ECHS for earning College Board AP School Honor Roll Gold Level recognition. This achievement reflects our campuswide commitment to high expectations, access to rigorous coursework, and strong student support systems,” said PSJA T. Jefferson T-STEM ECHS Principal Dr. Sandra Garza.
“Until Mexico properly complies with the Water Treaty and delivers the water it owes the United States, there is no reason American taxpayers should be rewarding their bad behavior,” Cornyn said. Image for illustration purposes
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Senator John Cornyn
U.S. Senator John Cornyn announced in Brownsville that a provision he requested has been included in the Fiscal Year 2026 National Security, Department of State, and Related Programs Appropriations bill that would block U.S. funding from being sent to Mexico until the U.S. Secretary of State certifies that Mexico is delivering the water it owes the United States under the 1944 Water Treaty.
“Until Mexico properly complies with the Water Treaty and delivers the water it owes the United States, there is no reason American taxpayers should be rewarding their bad behavior,” Cornyn said. “This provision to prevent funding from going to Mexico is yet another tool at our disposal to push for compliance and the long-overdue water deliveries our farmers and ranchers need.”
Cornyn has made water supply issues in South Texas a central focus of his work in Congress, particularly the impact of delayed water deliveries on farmers and ranchers in the Rio Grande Valley. His office said he has helped secure more than $280 million in emergency assistance for farmers and producers affected by water shortages tied to reduced flows in the Rio Grande.
As part of those efforts, Cornyn previously asked U.S. Secretary of State Marco Rubio to renew diplomatic pressure on Mexico to meet its treaty obligations. According to Cornyn’s office, Rubio committed to holding Mexico accountable for continued delays in water deliveries.
Cornyn has also urged action through multiple channels. He sent a letter to the North American Development Bank (NADBank) calling for the restoration of its Water Infrastructure Fund. He raised concerns after a Rio Grande Valley sugarcane mill closed due to severe water shortages, cosponsored a resolution supporting diplomatic engagement, and sent a letter to then–Secretary of State Antony Blinken urging the department to address what he described as Mexico’s violation of the treaty’s intent.
In addition, Cornyn led a letter to leaders of the House and Senate Appropriations Subcommittees on State and Foreign Operations urging them to withhold certain funds from Mexico until an agreement is reached to address the water delivery deficit. His office said that language was later included in a House Appropriations Committee funding bill. Cornyn also introduced legislation last year aimed at holding the Mexican government accountable for failing to meet its water delivery requirements.
Under the 1944 Treaty Relating to the Utilization of Waters of the Colorado and Tijuana Rivers and of the Rio Grande, Mexico is required to deliver an average of 350,000 acre-feet of water each year to the United States over a five-year cycle as part of the Rio Grande’s water supply. Cornyn’s office said Mexico has routinely postponed those deliveries until late in the cycle, making it difficult for South Texas farmers to plant crops and for ranchers to ensure adequate water for livestock.
The Department of Justice and the Consumer Financial Protection Bureau announced that they have withdrawn a joint statement issued in October 2023 that addressed how lenders may consider an applicant’s immigration or citizenship status when making credit decisions. Image for illustration purposes
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Texas Border Business
The Department of Justice and the Consumer Financial Protection Bureau announced that they have withdrawn a joint statement issued in October 2023 that addressed how lenders may consider an applicant’s immigration or citizenship status when making credit decisions. The agencies said the withdrawal is intended to avoid confusion and to better align with the existing language of federal law.
The original joint statement warned that lender policies involving immigration or citizenship status could, in some situations, violate the Equal Credit Opportunity Act and its implementing rule, known as Regulation B. Those laws prohibit discrimination in lending based on protected characteristics such as race and national origin. At the time, the agencies cautioned that certain practices could raise legal concerns.
In their announcement, the agencies said they are now reversing that position because the statement could be read as conflicting with the law itself. According to the agencies, the Equal Credit Opportunity Act and Regulation B have long allowed lenders to consider immigration or citizenship status when it is relevant to creditworthiness or necessary to protect the lender’s legal rights.
“The federal government is committed to avoiding statements that could confuse the law or imply compliance standards for civil rights laws that lack any statutory or regulatory basis,” said Assistant Attorney General Harmeet K. Dhillon of the Justice Department’s Civil Rights Division. She added, “This administration is restoring alignment with established federal civil rights law rather than continuing the prior administration’s ideologically-driven departures.”
Officials emphasized that the withdrawal does not change the underlying law, but rather clarifies how it should be understood. The agencies stated that lenders may legitimately consider immigration status in several circumstances, including when it is needed to manage financial risk or to comply with other legal requirements.
“For decades, ECOA regulations have permitted lenders to consider a borrower’s lawful residence status and other information necessary to protect their rights and remedies with respect to repayment,” said Russell Vought, Acting Director of the Consumer Financial Protection Bureau. “We are correcting the last administration’s attempt to ignore these well-accepted and common-sense principles of our nation’s fair lending laws.”
The agencies also said the withdrawal was meant to address concerns that the 2023 statement could be misinterpreted as expanding legal liability under another civil rights statute, 42 U.S.C. § 1981, beyond what courts have recognized. In addition, they cited a desire to avoid placing unnecessary or increased compliance burdens on lenders.
In their closing explanation, the agencies said the decision reflects their view that clear and accurate guidance is essential. They emphasized that lenders must still follow fair lending laws, but should not be left uncertain about practices that the law has historically permitted.
