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Federal Funds Pulled from California Over Noncitizen Truck Licenses

Transportation Secretary Sean Duffy has confirmed the withdrawal of $160 million in federal funds from California due to the state's issuance of commercial driver's licenses to noncitizens, following a nationwide audit.

Overview

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  • Transportation Secretary Sean Duffy will pull $160 million in federal funds from California, confirming earlier intentions regarding the state's licensing practices.
  • The withdrawal stems from California's issuance of commercial driver's licenses to noncitizens, which federal authorities deem non-compliant with regulations.
  • This federal action follows a nationwide audit of commercial driver's licenses, initiated after a fatal crash involving a driver with an illegally issued license.
  • The Transportation Department alleges California unlawfully issued tens of thousands of licenses, with a significant percentage of reviewed cases found to be improper.
  • California Governor Gavin Newsom's administration has consistently defended its practices, maintaining that the state's licensing procedures are appropriate despite federal concerns.
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Analysis

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Center-leaning sources cover this story neutrally, presenting both sides of the dispute between the U.S. Transportation Secretary and California. They attribute all strong claims directly to the officials making them, avoiding editorial endorsement. The coverage provides necessary background on the federal policy changes and the incidents that prompted them, allowing readers to understand the context without bias.

"Duffy said Sunday that California has unlawfully issued tens of thousands of these licenses to noncitizens."

ABC NewsABC News
·8d
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"Duffy said Sunday that California has unlawfully issued tens of thousands of these licenses to noncitizens."

Associated PressAssociated Press
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FAQ

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California failed to comply with new federal rules that prohibit state DMVs from issuing or renewing limited-term (non-domiciled) commercial driver's licenses to noncitizens unless they possess an employment-based visa and pass a mandatory federal immigration status check using the SAVE system. The state allegedly continued to issue CDLs to noncitizens without meeting these stricter requirements, leading to federal enforcement action[2].

California Governor Gavin Newsom's administration has consistently argued that its CDL issuance practices are appropriate and that the state's commercial drivers have a significantly lower crash rate than both the national average and Texas, the only state with more licensed commercial drivers. The state disputes federal claims of widespread impropriety and maintains that its procedures uphold safety standards[4].

Noncitizens who already hold valid, unexpired non-domiciled CDLs in California are generally not required to take immediate action. However, as of September 29, 2025, California can no longer issue or renew such licenses for noncitizens, and those without an existing valid license must apply for a noncommercial driver's license instead if eligible[1]. New applications from noncitizens for commercial licenses are now denied, even for those with legal work visas[6].

The nationwide audit and regulatory overhaul were prompted by a series of fatal crashes involving drivers with illegally issued commercial licenses, as well as findings that some states—notably California—had issued a significant number of improperly issued CDLs to ineligible individuals due to weak oversight and insufficient documentation checks[2].

Yes, U.S. Transportation Secretary Sean Duffy has explicitly threatened that, in addition to withdrawing $160 million in federal funds, the Department of Transportation could revoke California's authority to issue any commercial driver's licenses if the state continues to defy federal regulations.

History

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  • 8d
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    3 articles