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    Section 504 Rules Just Changed: What the Texas v. Kennedy Ruling Means for Disability Rights

    If you or someone you love relies on help to live at home instead of in an institution, there’s an important new court ruling you should know about.

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    On September 23, 2026, a federal court in Texas removed community-integration provisions from the Department of Health and Human Services’ 2024 Section 504 regulations. The ruling applies nationwide.

    This does not mean Section 504 disappeared. The Americans with Disabilities Act (ADA) and the Supreme Court’s Olmstead decision also remain in effect, and the ruling itself did not terminate anyone’s Medicaid home- and community-based services.

    But it did remove federal regulations that spelled out important community-integration requirements.

    Here’s what changed, what didn’t, and what people with disabilities and their families need to know.

    What Happened in Texas v. Kennedy?

    Texas v. Kennedy is a federal lawsuit that was originally filed in September 2024 as Texas v. Becerra.

    Seventeen states initially challenged HHS’s updated Section 504 regulations.

    In January 2026, nine states renewed the challenge: Alaska, Florida, Indiana, Kansas, Louisiana, Missouri, Montana, South Dakota, and Texas.

    That number continued to shrink. By the final stage of the case, five states remained: Alaska, Florida, Louisiana, Montana, and Texas.

    The case eventually narrowed to the regulations concerning community integration.

    Then something significant happened: the federal government changed its position.

    The Department of Justice, acting on behalf of HHS, joined the remaining states in asking the court to remove the community-integration provisions from the 2024 Section 504 regulations.

    On September 23, 2026, the judge granted that request and entered final judgment.

    The provisions were vacated nationwide, and the case was closed.

    What Is Community Integration?

    Community integration is the principle that people with disabilities should receive services in the most integrated setting appropriate to their needs rather than being unnecessarily segregated or institutionalized.

    Imagine someone who needs help bathing, dressing, preparing meals, or taking medication.

    That person may be able to live in their own home with appropriate support instead of moving into an institution.

    One of the most important legal decisions involving this issue is the Supreme Court’s 1999 ruling in Olmstead v. L.C.

    The Court held that unjustified segregation of people with disabilities can constitute discrimination under Title II of the ADA.

    Importantly, the September 2026 ruling did not overturn Olmstead.

    What Did the Court Remove?

    The court removed specific community-integration provisions from HHS’s 2024 Section 504 regulations.

    Those include:

    • The definition of “most integrated setting” in 45 C.F.R. § 84.10;
    • The integration requirement in § 84.68(d);
    • The community-integration provisions in § 84.76; and
    • Integration-related language in §§ 84.22(b), 84.43(d), and 84.93(b).

    These regulations had provided more detailed requirements explaining how HHS-funded programs should address unnecessary segregation and institutionalization.

    The court’s order applies across the country, not only in the states involved in the lawsuit.

    What Did NOT Change?

    This distinction is extremely important.

    The September 23 court order did not eliminate:

    • Section 504 of the Rehabilitation Act;
    • The Americans with Disabilities Act;
    • The Supreme Court’s Olmstead v. L.C. decision; or
    • Separate federal Medicaid home- and community-based services requirements.

    The order also did not itself terminate anyone’s Medicaid home- and community-based services.

    Instead, the court removed specific community-integration provisions from HHS’s 2024 Section 504 regulations.

    Disability-rights organizations have emphasized this distinction.

    The American Council of the Blind, for example, said the ruling did not abolish the integration mandate or invalidate Olmstead, although the organization described the removal of the regulations as a significant setback.

    Why Did the Federal Government Change Its Position?

    The September ruling followed another major development earlier this year.

    On June 18, 2026, the Department of Justice’s Office of Legal Counsel issued a legal opinion taking a narrower view of federal community-integration requirements.

    The opinion concluded that Section 504 of the Rehabilitation Act and Title II of the ADA did not themselves impose an integration mandate on states and that federal agencies did not have authority to create one through regulation.

    That represents the federal government’s current legal interpretation.

    Disability-rights organizations strongly disagree with that interpretation and point to Olmstead and longstanding disability-rights precedent supporting protections against unnecessary institutionalization.

    Then, on July 20, 2026, DOJ published another notice concerning its longstanding Olmstead guidance.

    The department said that guidance documents aren’t independently enforceable and announced that it would no longer rely on its previous Olmstead guidance when enforcing Title II of the ADA while it reevaluates that guidance.

    That marked a substantial change in the federal government’s enforcement position.

    A little more than two months later, the federal government joined the states in asking the Texas court to remove the integration provisions from HHS’s Section 504 regulations.

    What Could This Mean for People With Disabilities?

    There isn’t an immediate nationwide cancellation of home-care services because of this ruling.

    The more complicated question is what happens when someone believes a government program is unnecessarily pushing them toward institutional care instead of providing appropriate services in the community.

    The detailed community-integration provisions added to HHS’s Section 504 regulations in 2024 are no longer available.

    Disability-rights advocates warn that the combination of those regulations being removed and the federal government’s changed enforcement position could make it harder to rely on federal agencies to enforce community-integration protections in some circumstances.

    At the same time, Olmstead, the ADA, and Section 504 remain in effect, and courts will continue to interpret those laws and precedents.

    Exactly how these changes affect future cases is likely to depend on the facts of each case and how courts interpret the remaining protections.

    Why Did the States Challenge the Rules?

    The states challenging the regulations argued that HHS went beyond the authority Congress gave it when the agency imposed community-integration requirements through Section 504 regulations.

    The Justice Department’s Office of Legal Counsel has now adopted a similar legal interpretation, concluding that neither Section 504 nor Title II of the ADA authorizes federal agencies to impose the integration mandate reflected in those regulations.

    Disability-rights organizations dispute that interpretation.

    They argue that community integration has been a longstanding disability-rights protection and that Olmstead and subsequent cases support protections against unnecessary segregation and institutionalization.

    The September 23 order resolves the challenge to these particular HHS regulations, but the broader legal debate over community-integration rights and enforcement continues.

    Want to Contact Your Lawmakers?

    If this issue affects you or your family, you can contact your elected representatives and share your own experience or ask where they stand on community-based disability services and federal disability protections.

    You may want to tell them:

    • Which home- or community-based services you or your family use;
    • How those services affect your ability to live independently;
    • What would happen if those services became unavailable;
    • Whether you’ve experienced difficulty getting community-based care; and
    • What their position is on protecting access to community-based disability services following the Texas v. Kennedy ruling.

    You can find your U.S. Representative through the official House of Representatives website.

    You can find your U.S. Senators through the official Senate website.

    You can also contact your state lawmakers, governor, or attorney general if you want to ask how your state plans to approach community-based disability services following the ruling.

    What Should You Do If You Receive Home-Care Services?

    If you currently receive Medicaid home- and community-based services, don’t assume this ruling means your services have ended.

    Keep copies of important paperwork and continue attending required assessments or service-planning meetings.

    If your services are reduced, denied, or terminated, ask for the decision and the reason in writing.

    Your notice should provide information about your appeal rights if the decision can be appealed.

    You may also want to contact a legal aid organization or your state’s Protection and Advocacy organization for help understanding your rights and options.

    Relief Recap

    On September 23, 2026, a federal court removed community-integration provisions from HHS’s 2024 Section 504 regulations nationwide.

    That’s significant, but it did not erase Section 504, repeal the ADA, overturn the Supreme Court’s Olmstead decision, or automatically end Medicaid home- and community-based services.

    What has changed is the regulatory and federal enforcement landscape surrounding community integration.

    Because the federal government’s interpretation has also shifted this year, disability-rights organizations are watching closely to see how these changes affect people who rely on community-based services.

    Want to know how Medicaid may allow certain family members to be paid for providing care at home? Read our guide to the Medicaid caregiver program next.

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