As of September 9, 2026, employers with large H-1B and L-1 workforces face a new financial burden: the Department of Homeland Security's expanded 9/11 Response and Biometric Entry-Exit Fee now applies to routine extension petitions — a category previously exempt from the charge.
DHS is amending the regulations concerning the 9-11 Response and Biometric Entry-Exit Fee for certain H-1B and L-1 visas, correcting its interpretation of statutory language to require that covered employers submit the fee for all extension-of-status petitions, regardless of whether the related fraud prevention and detection fee applies.
The rule became effective on September 9, 2026.
What the Rule Changes
DHS has finalized a rule expanding the 9-11 Response and Biometric Entry-Exit Fee, commonly known as the "50-50 fee," to cover same-employer H-1B and L-1 extension petitions, a category previously exempt from the fee.
Employers with at least 50 U.S. employees, with more than half of whom holding H-1B, L-1A, or L-1B status, must pay the Biometric Fee — $4,000 for an H-1B petition or $4,500 for an L-1 petition — for all extension-of-status petitions.
However, the fee does not apply if the petitioner is filing an amended petition that does not seek to extend the alien's currently authorized H-1B or L-1 status.
The rule does not expand which employers are subject to the fee.
Rather, it expands the types of H-1B and L-1 filings for which employers already subject to the fee must pay it.
Until now, DHS generally collected the fee when a covered employer first sponsored a worker or filed a change-of-employer petition but not for an extension petition.
The agency said that approach improperly tied the biometric fee to a separate fraud-prevention fee.
Why DHS Acted
The 9-11 Biometric Fee was created by statute in 2015 to help fund DHS's biometric entry-exit system.
According to DHS, Congress signaled in the Consolidated Appropriations Act of 2016 that the biometric fee also applies to extensions of status.
DHS reported that only 27% of H-1B petitions filed by covered employers between fiscal years 2018 and 2025 were charged the fee
— a gap that the agency viewed as inconsistent with congressional intent.
DHS also said the added collections are needed to implement and maintain its biometric entry-exit system, which is designed to strengthen security and detect fraudulent travel documents.
The agency expects the rule to generate an additional $37.9 million in fiscal year 2026 and $40 million in fiscal year 2027.
Who Is Affected
The rule targets a specific category of employers.
A petitioner is a covered employer if it employs 50 or more individuals in the United States, and more than 50 percent of those employees are in H-1B or L-1A or L-1B nonimmigrant status.
Employers with large H-1B or L-1 dependent workforces, particularly in the IT services, staffing, and consulting sectors, should determine now whether this rule applies to them and, if so, plan accordingly.
Employers, particularly smaller businesses, raised cost concerns during the rulemaking process, and DHS received 146 public comments and estimated that, at most, about 16% of small businesses filing H-1B or L-1 petitions could be affected.
The agency acknowledged the added burden but added that the result reflects the best reading of the statute and Congress's intent.
The Financial Picture: Stacking Costs
This fee expansion arrives during a period of significant cost escalation for H-1B employers. For a covered employer filing a routine H-1B extension, the new $4,000 biometric fee is layered on top of the existing filing fees, which
typically fall between $2,500 and $9,000 or more before any visa stamping or travel costs, depending on employer size and the level of attorney involvement.
If an employer files 10 H-1B petitions in a fiscal year and meets the 50/50 threshold, the employer pays $4,000 on each petition — $40,000 total in surcharges alone, before base fees or ACWIA fees.
The $100,000 Proclamation Fee: Currently Blocked, Still Looming
Compounding employer uncertainty is the separate $100,000 supplemental H-1B fee.
On September 19, 2025, the Trump Administration issued a presidential proclamation introducing a "proclamation fee" of $100,000 for certain H-1B petitions.
The proclamation took effect at 12:01 a.m. Eastern Daylight Time on September 21, 2025, and is slated to remain in force for 12 months, until September 21, 2026, unless extended.
That fee has been the subject of intense litigation.
On June 8, 2026, the U.S. District Court for the District of Massachusetts granted summary judgment in favor of the states on all claims and vacated the policy implementing the fee in its entirety.
The court found that the $100,000 fee proclamation was not an immigration restriction, but rather a tax, which the president lacked authority to impose.
The government appealed.
On July 24, 2026, in State of California v. Noem, the U.S. Court of Appeals for the First Circuit denied the U.S. government's request for a stay, after the district court had vacated the controversial $100,000 H-1B proclamation fee.
As a result, the district court's ruling remains in effect, and the $100,000 H-1B fee cannot currently be enforced while the case continues through the courts.
However, the picture remains unsettled.
Two other federal lawsuits over the fee remain pending, and in one instance, the district court has determined that the fee did fall within the president's existing authority over non-citizen entry.
Further, the original Proclamation 10973 is set to expire on September 20, 2026, and the administration could act to extend or renew it.
A stay pending Supreme Court review, a favorable appellate ruling for the government, or a new proclamation could all reinstate it.
What Employers Should Do Now
The expanded biometric fee is no longer a proposal — it is effective law. Immigration practitioners are advising employers to take several immediate steps:
- Audit current workforce composition. Determine whether your company meets the "covered employer" threshold of 50 or more employees with more than 50% in H-1B or L-1 status.
- Review upcoming extension timelines.
- Reassess immigration budgets.
- Monitor the $100,000 fee litigation. With the proclamation set to expire on September 20, 2026, employers should watch for any extension or new proclamation by the administration, as well as further court developments.
The Bigger Picture
The expansion of the biometric fee, while narrowly targeted at H-1B-dependent employers, reflects a broader pattern of rising costs for sponsoring foreign workers in the United States. When combined with the existing filing fees, potential premium processing charges, attorney fees, and the continuing uncertainty around the $100,000 proclamation fee, the total cost of maintaining H-1B and L-1 workers has reached levels that may force some employers to reconsider their immigration strategies.
While the legal battle over the $100,000 fee continues, the broader lesson extends beyond the H-1B program: immigration planning calls for employers and foreign nationals to prepare for continued policy shifts, litigation-driven uncertainty, and changing compliance obligations.
Employers should consult with experienced immigration counsel to evaluate how these overlapping fee changes affect their specific workforce and filing timelines. For foreign workers, while these fees are borne by employers, rising sponsorship costs can indirectly affect hiring decisions and long-term career stability in the United States.
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This article is for informational purposes only and does not constitute legal advice. Consult a qualified immigration attorney for guidance specific to your situation.