Texas v. Becerra is a federal lawsuit originally filed by 17 states, including Indiana, challenging the Section 504 rule issued by the U.S. Department of Health and Human Services (HHS) in May 2024. While the lawsuit initially focused on the rule’s mention of gender dysphoria, the original complaint went much further, seeking to invalidate the Final Rule in its entirety and even asking the Court to declare Section 504 of the Rehabilitation Act unconstitutional. That sweeping request raised serious alarm among The Arc of Indiana and other disability advocates, as Section 504 has been a cornerstone civil rights protection for people with disabilities for over 50 years.
Nine of the seventeen original state plaintiffs, including Indiana, have filed an Amended Complaint in that lawsuit. This marks a significant shift in the case and brings both welcome news and continued concern.
The welcome news: the plaintiffs have formally removed their request for the Court to declare Section 504 of the Rehabilitation Act unconstitutional. This eliminates one of the most alarming aspects of the original complaint and reflects the advocacy efforts of many disability organizations across the country.
The ongoing concern: the amended complaint still seeks to strike down key provisions of the new Section 504 rule, particularly those reinforcing protections related to community-based services and the right of people with disabilities to receive services in the “most integrated setting appropriate” to their needs. These protections are rooted in the landmark Olmstead v. L.C. U.S. Supreme Court decision, which has allowed thousands of Hoosiers to avoid unnecessary institutionalization and live in their communities with dignity, independence, and self-determination.
The amended complaint specifically asks the Court to block enforcement of the Final Rule’s Olmstead-related language, including language protecting individuals who are at serious risk of institutionalization and clarifying that discrimination can occur even without a person being formally institutionalized.
While the constitutional threat to Section 504 has been removed, the stakes remain high. The Arc of Indiana continues to strongly support the Final Rule and its community integration protections, and we are once again contacting Attorney General Todd Rokita to formally request that Indiana withdraw from the lawsuit, joining the eight states that have already done so.
Should the Court ultimately invalidate the Final Rule, it’s important to note that the foundational protections established by Olmstead v. L.C. and decades of subsequent case law will still remain in effect. However, codifying these protections in federal regulation is critically important. Doing so helps ensure consistent, enforceable standards across states and agencies, prevents backsliding, and strengthens the framework through which people with disabilities access services in the most integrated setting appropriate to their needs.
We will continue to monitor this case closely and advocate for the full implementation of Section 504’s promise of equality, dignity, and opportunity for people with disabilities.
