USCIS 2026 Green Card Alert: New Discretionary Rules Tighten Adjustment of Status Review

On May 21, 2026, USCIS issued Policy Memorandum PM-602-0199 directing adjudicating officers to more rigorously apply discretionary judgment when reviewing Adjustment of Status (AOS) applications under INA Section 245. Although early coverage framed this as a major policy reversal, a USCIS spokesperson clarified on May 29, 2026, that the memo is a reminder to officers—not a freeze or fundamental change to eligibility requirements. Under the updated framework, officers must evaluate the 'totality of circumstances,' weighing both positive factors (strong family ties, consistent employment, long-term U.S. residence, good moral character) and negative factors (fraud, status violations, unauthorized employment, failure to comply with parole conditions). Critically, the absence of negative factors alone is no longer considered sufficient to approve an AOS application. For EB-3 sponsored workers on dual-intent visas such as H-1B or L-1, the memo explicitly confirms that filing for AOS remains consistent with maintaining those statuses. However, it notes that dual-intent classification does not automatically shield applicants from discretionary review. Applicants on non-dual-intent visas (F-1, J-1, O-1, TN, E) may face heightened scrutiny regarding original immigrant intent. Employers sponsoring EB-3 workers should maintain thorough compliance documentation, including proof of authorized employment and lawful status throughout the process. Immigration counsel should be consulted to assess whether AOS or consular processing is the stronger path for individual cases, particularly for applicants with any past status issues. Overall, the practical impact for most EB-3 applicants with clean immigration histories is expected to be minimal. The key change is that USCIS officers now have explicit written direction to document and justify their discretionary findings, which may slow processing for complex cases or those with prior violations.