The Fifth Circuit Court of Appeals heard arguments about a Texas town’s immigration policy in en banc rehearing on Wednesday.

In March, a three-judge panel ruled that the sole purpose of the ordinance was to exclude undocumented aliens from the city, which is an impermissible regulation of immigration. In April, Farmer’s Branch asked the Fifth Circuit to review that decision. The appellate court granted the request in July.

Federal preemption seemed to be a sticking point with the court. Judge Jennifer Elrod, the lone dissenter on the panel that previously heard the case, noted that the ordinance requires the town to verify an occupancy license applicant’s immigration status with federal authorities, rather than making its own determination regarding legal status.

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