USCIS Tightening Green Card Applications May 2026: I-485 Adjustment of Status Faces Stricter Scrutiny

On May 21, 2026, USCIS released Policy Memorandum PM-602-0199, formally reaffirming that Adjustment of Status (AOS) under INA Section 245 is a discretionary form of relief — not an automatic right. The memo instructs USCIS officers to evaluate AOS applications in the totality of circumstances, with particular attention to whether the applicant could instead obtain permanent residency through consular processing at a U.S. embassy or consulate abroad. The memorandum outlines specific negative factors officers must weigh when exercising discretion, including false testimony to government agencies, violations during admission or parole, and conduct inconsistent with the purpose of an applicant's nonimmigrant status. Positive factors such as long-term U.S. residence, family ties, and moral character remain relevant and must be weighed against adverse considerations. If discretion is exercised unfavorably, officers are required to issue a detailed denial notice explaining their reasoning. For EB-3 employer-sponsored applicants, this policy shift is significant. While the memo does not prohibit AOS filing — and explicitly notes that dual-intent visa holders (H-1B, L-1) are not inherently inconsistent in applying — it signals that consular processing is now USCIS's preferred pathway for those who do not present strong equities. Applicants already in the AOS pipeline face uncertainty, as the memo provides no guidance on pending cases or which AOS pathways may be restricted going forward. Employers sponsoring workers through EB-3 should consult legal counsel to assess whether their employees' AOS applications may face heightened scrutiny under this new standard. Individuals with clean immigration histories, strong family ties, and long U.S. residence retain meaningful positive factors. However, those with prior status violations, inconsistent nonimmigrant conduct, or other adverse history should carefully evaluate the risk of AOS denial and consider consular processing as an alternative. Several critical questions remain unanswered by PM-602-0199: whether and when in-country AOS filing will be curtailed, how pending applications will be handled, and which specific AOS pathways — including those for TPS holders and parolees — may be affected. Additional USCIS guidance is expected, and stakeholders are advised to monitor future agency announcements closely.