Key Takeaways
- USCIS issued Policy Memorandum PM-602-0199 on May 21, 2026, reclassifying Adjustment of Status from a routine pathway into an “extraordinary” discretionary benefit, raising the bar for every Form I-485 approval.
- The new USCIS Adjustment of Status policy likely applies to already-pending applications, not only future filings, as discretion is assessed at the time of final adjudication rather than the time of filing.
- H-1B holders are lower risk than single-intent visa categories (F-1, B-2) but are not exempt from the heightened scrutiny under PM-602-0199.
- Do not withdraw a pending Form I-485, leave the United States, or pivot to consular processing without consulting an immigration attorney first.
- Maintaining valid nonimmigrant status and a clean immigration compliance record is now more important than ever when pursuing a green card.
What Is Immigration Adjustment of Status?
Immigration Adjustment of Status is the process that allows eligible foreign nationals to apply for lawful permanent resident status from within the United States. Rather than leaving the country to attend an immigrant visa interview at a U.S. consulate abroad, applicants file Form I-485 directly with USCIS and complete the process domestically.
For employment-based applicants, USCIS Adjustment of Status typically becomes available after an approved I-140 petition and a current priority date on the visa bulletin. Historically, meeting those criteria made green card approval a largely procedural matter.
The May 2026 Policy Change: What Happened?
In May 2026, USCIS issued Policy Memorandum PM-602-0199, officially titled “Adjustment of Status is a Matter of Discretion and Administrative Grace.” The following day, the agency announced publicly that immigration Adjustment of Status would be granted only in what it described as “extraordinary circumstances.”
What the New Standard Means in Practice
This marks a sharp departure from prior practice. Under PM-602-0199, consular processing at a U.S. embassy abroad is treated as the default route to permanent residence, and USCIS Adjustment of Status is repositioned as an exceptional alternative reserved for meritorious cases.
Importantly, this is a policy memorandum, not a new law passed by Congress. Form I-485 filings are still permitted, but the standard for approval has materially changed.
Who Does the I-485 Policy Change Affect?
H-1B and L-1 Visa Holders
H-1B and L-1 holders carry “dual intent,” meaning their visa type already acknowledges the possibility of immigrant intent. Under the new USCIS Adjustment of Status policy, this works in their favor: officers are more likely to view H-1B workers in valid status as eligible for a favorable discretionary outcome.
That said, dual-intent visa holders are not exempt from scrutiny. Maintaining valid status and a clean compliance record is now critical. Learn more about H-1B visa requirements and how Luo & Associates can help protect your case.
F-1 Students and OPT Applicants
F-1 students hold single-intent visas, meaning they are expected to depart the U.S. after completing their academic program. Under the new immigration Adjustment of Status standard, USCIS officers may question why an applicant chose to remain in the country rather than pursue consular processing abroad.
Students with a clean compliance record carry a stronger case, but the risk of denial is meaningfully elevated under PM-602-0199.
B-1/B-2 Visitors and Other Nonimmigrants
Short-stay visa holders face the highest scrutiny under the new USCIS Adjustment of Status policy. Officers will weigh factors such as overstays, lack of immigrant intent at the time of admission, and whether consular processing was a readily available option the applicant chose not to use.
Applicants With a Pending I-485
Policy Memo PM-602-0199 contains no grandfathering provision for cases already in process. Because USCIS evaluates discretion at the time of final adjudication rather than the time of filing, pending Adjustment of Status applications may be held to the new heightened standard. This is one of the most urgent concerns for applicants who are currently mid-process.
USCIS Adjustment of Status vs. Consular Processing: What’s Different Now?
Under PM-602-0199, USCIS no longer treats immigration Adjustment of Status and consular processing as equivalent alternatives. Consular processing is now the stated default, while domestic filing is the exception.
However, switching to consular processing carries real risks of its own. Applicants with any period of unlawful U.S. presence may trigger the three-year or ten-year re-entry bar upon departing the country. Additionally, U.S. consulates abroad have faced significant staffing reductions, creating the potential for years-long processing backlogs.
What Factors Does USCIS Now Weigh?
USCIS officers are now directed to evaluate the totality of circumstances before approving an Adjustment of Status application. Key positive and negative factors include:
- Immigration compliance history, including overstays, status violations, and unauthorized employment
- Any history of fraud or misrepresentation in immigration filings
- Conduct and behavior after admission to the United States
- Family ties and length of U.S. residency
- Moral character
- Whether consular processing was a readily available option the applicant chose not to use
A discretionary denial must now explain, in writing, the positive and negative factors considered during the review.
What Should You Do Now?
If You Have a Pending I-485
Do not impulsively withdraw your application. A pending Form I-485 often carries valuable benefits, including an Employment Authorization Document (EAD) and Advance Parole for international travel. Focus on gathering documentation that demonstrates full compliance with your nonimmigrant status requirements.
If You Were About to File
Pause before submitting a new USCIS Adjustment of Status application. Consult an attorney to evaluate the strength of your discretionary case and whether the new standard is likely to work in your favor before you file.
If You Are Considering Leaving the United States
Do not depart without first speaking with an immigration attorney. Leaving may trigger unlawful presence bars that could prevent your re-entry, particularly if your nonimmigrant status has lapsed at any point during your stay.
Open Questions to Watch
Several critical issues remain unresolved as the immigration community responds to PM-602-0199:
- Will federal courts issue an injunction against the policy under the Administrative Procedure Act?
- How will USCIS define “extraordinary circumstances” for Adjustment of Status cases in practice?
- What happens to EADs already issued if an immigration Adjustment of Status application is denied under the new standard?
- Will USCIS issue additional guidance clarifying how pending cases will be treated?
Luo & Associates is monitoring this situation closely and will update this page as new guidance becomes available.
How Luo & Associates Can Help
Luo & Associates is a New York-based immigration law firm with over 10 years of experience and more than 3,000 cases handled successfully. For clients navigating the USCIS Adjustment of Status process through an EB-2 or EB-3 green card pathway, or those holding H-1B status during this rapidly evolving policy shift, expert legal strategy is now essential.
Luo & Associates will review your immigration history, assess your discretionary factors under PM-602-0199, and recommend the path most likely to result in a favorable outcome. The firm offers a free initial consultation for new clients.
Contact Luo & Associates today to discuss your options under the new USCIS Adjustment of Status policy.
Frequently Asked Questions About the USCIS I-485 Policy Change
What is Adjustment of Status?
Immigration Adjustment of Status is the process of applying for a green card from within the United States using Form I-485, rather than attending an immigrant visa interview at a U.S. consulate abroad.
Can I still file Form I-485 under the new policy?
Yes. USCIS Adjustment of Status filings remain open. However, officers will now apply a heightened discretionary standard when reviewing each application, meaning approval is no longer a procedural certainty even when basic eligibility requirements are met.
Does the new policy apply to my pending I-485?
Most likely yes. PM-602-0199 does not include a grandfathering provision, meaning every pending Adjustment of Status application is subject to USCIS discretion at the time of final adjudication. Consult an immigration attorney to assess your specific situation.
Should I switch to consular processing?
Not necessarily, and not without legal advice. Switching to consular processing may seem like the logical path under the new policy, but departing the U.S. carries serious risks for applicants with any unlawful presence history, including potential re-entry bars.
Is the new USCIS policy being challenged in court?
Legal challenges are expected. Several immigration advocacy groups have indicated they are reviewing PM-602-0199 for potential action under the Administrative Procedure Act. A court injunction could pause the policy’s implementation while litigation proceeds, but timing and outcome are uncertain.
Ready to protect your case? Schedule a free consultation with Luo & Associates to understand your options under the new USCIS Adjustment of Status policy and get a strategy built around your specific immigration history.
About Author
Wen Luo, JD, is a highly accomplished Managing Attorney at Luo & Associates Law Group, P.C., with extensive experience in U.S. immigration law. As an active member of the American Immigration Lawyers Association, Wen focuses on protecting client rights and ensuring compliance with laws and regulations.
Her expertise spans a broad range of immigrant and non-immigrant visa applications, naturalization, and I-485 permanent resident applications. Wen also possesses significant experience with L-1 and EB-1C benefits for listed and international companies. Recognized for her achievements, she has been honored as a "Best Attorney of America" and is a Lifetime Charter Member.