A confrontation between federal transportation authorities and California escalated dramatically Wednesday when Transportation Secretary Sean Duffy announced his department would withhold roughly $160 million in safety program funding from the state, according to Freight Waves.
The penalty stems from California’s refusal to comply with a January 5 deadline demanding cancellation of more than 17,000 commercial truck driver permits that federal officials maintain were improperly granted to foreign truckers.
California’s Department of Motor Vehicles declared in late December it would postpone the license revocations until March 6, but the Federal Motor Carrier Safety Administration rejected this timeline extension.
“It’s reckoning day for [Governor] Gavin Newsom and California,” Duffy stated in a press release announcing a final determination letter that was sent to Newsom and the DMV.
“Our demands were simple: follow the rules, revoke the unlawfully-issued licenses to dangerous foreign drivers, and fix the system so this never happens again. Gavin Newsom has failed to do so – putting the needs of illegal immigrants over the safety of the American people.
“While Gavin may not care about protecting you and your family on our roads, the Trump Administration does. We’re pulling this funding to ensure federal tax dollars don’t fund this charade.”
A nationwide examination conducted by FMCSA during the summer months reviewed non-domiciled commercial driver licenses, which permit individuals lacking American citizenship or permanent residency status to acquire commercial driving credentials. The investigation revealed what government representatives characterized as a systemic breakdown in California, where permits were allegedly distributed with expiration dates extending far beyond a driver’s legal authorization to remain in the United States.
FMCSA Administrator Derek Barrs stressed that his agency would maintain firm requirements regarding the elimination of these operators from American highways.
“Federal regulations are clear: states must correct safety deficiencies on a schedule mutually agreed upon by the agency, and California failed to meet its commitment,” Barrs stated. “We will not accept a corrective plan that knowingly leaves thousands of drivers holding noncompliant licenses behind the wheel of 80,000-pound trucks in open defiance of federal safety regulations.”
The $160 million financial sanction represents only the initial year of possible enforcement measures. According to federal statutes, California’s continued resistance to FMCSA’s Final Determination could result in penalties doubling during a second year.
“We strongly disagree with the federal government’s decision to withhold vital transportation funding from California – their action jeopardizes public safety because these funds are critical for maintaining and improving the roadways we all rely on every day,” California DMV Public Affairs Deputy Director Eva Spiegel told FreightWaves in an email statement.
“The DMV is fully compliant with state and federal regulations and had engaged in positive conversations with FMCSA and DMV about extending the January 5 cancellation date to allow additional time for FMCSA to review the department’s commercial driver’s license program.”
Transportation industry analysts anticipate the enforcement campaign will intensify existing challenges in West Coast freight markets already experiencing regulatory turbulence. FreightWaves has documented the likelihood of capacity shortages as thousands of operators, many serving crucial roles in spot market logistics, face removal from service.
Todd Spencer, president of the Owner Operator Independent Drivers Association, said the crackdown on non-domiciled CDLs is overdue. “The days of exploiting cheap labor on the basis of false ‘driver shortage’ claims are over,” Spencer said in a press statement in response to DOT’s latest announcement.
“For too long, loopholes in this program have allowed unqualified drivers onto our highways, putting professional truckers and the motoring public at risk.”
Protecting American roads requires both strict enforcement of federal transportation safety standards and holding accountable state officials who deliberately undermine immigration law through reckless licensing schemes that endanger citizens.
