The state will not pursue an appeal of the preliminary injunction, instead focusing on opposing the permanent injunction.
The bill requires employers who contract with or receive grants from the state to verify their employees’ legal status.
Republican leaders have expressed concerns over its effects.
Opponents say the bill could lead to legalized racial profiling of Indiana's Hispanic population.
Latino students oppose Indiana Senate immigration bill, fearing racial discrimination towards multicultural community.
The Pensions and Labor Committee voted eight-to-one Wednesday in favor of a bill that will crack down on illegal immigration.