Husband is being a dick about whos family

Long story short my brother has 3 kids, the oldest who’s 17 isn’t biologically his but he’s been there since her mom (his wife) was pregnant with her and finally after YEARS of getting her bio fathers right taken away cuz he was a horrible person they were stripped and cuz our state says you have to be married for a year before being able to adopt her 4 years ago he finally was able too. For some reason my husband had been making little comment to me about she not really me niece or our kids cousins and saying it in front of our kids who are 16 yrs old and 8 yrs old, it’s mainly started from when I said we have my nieces graduation coming up and he said “ do we really have to go since she really isn’t your family” I looked at home like WTF do you mean my brothers her dad and he keeps saying not really they don’t share blood, and I have told him to stop saying that shit In front of our kids especially out 8 yr old cuz he don’t know and he don’t need to know, my oldest knows cuz my nieces last name was different until 2 years ago when finally they got it changed. He’s telling me I need it just realize family is blood nothing else.