California is seeking to refute a preliminary finding by the Federal Motor Carrier Safety Administration that said the state severely lapsed in vetting the immigration status for those seeking commercial driver licenses and renewals.
State Department of Motor Vehicles Director Steve Gordon argued in an Oct. 26 letter that the state is in compliance with existing federal rules and would comply with tougher standards that began Sept. 29. Withholding money would be improper, Gordon said, in part because new rules were not even in effect.
At issue involves how authorized immigration status expiration dates line up with CDLs and commercial learner’s permits. But California further suggested its standards have been tougher than what the federal government has sought.
“California is in compliance with these regulations and will remain in compliance with federal law,” California DMV spokesperson Eva Spiegel told Trucking Dive in an email Sunday, emphasizing the DOT "has no legitimate basis to withhold certain federal highway funds from the state.”
The federal government alleged significant deficiencies in how the state was carrying out federal regulations regarding non-domiciled CDLs and commercial learner’s permits. That non-domiciled status refers to states’ obligations to verify authorized immigration statuses when issuing and renewing those driving credentials.
Following a review of the state’s practices, FMCSA said for the Oct. 1, 2026 fiscal year, California could lose up to $158 million and also $316 million in subsequent years. The state’s entire CDL program could also be decertified, further freezing the state’s commercial driver population.
As instructed by the federal government, California paused the issuing of non-domiciled CDLs in late September. It also conducted an audit as required and said it will revoke any improperly issued licenses.
The state’s response now returns the matter back to the federal government, which will issue a final determination. But the state could appeal that in court. California also said it’s continuing to address the matter.
The issue comes after a tractor-trailer crashed into multiple vehicles on Interstate 10 near Los Angeles, killing three people. The driver had a non-domiciled CDL, the U.S. Department of Transportation said, and has pleaded not guilty to the Oct. 21 crash.
“If California had complied with the Secretary’s emergency rule and prevented the upgrade of this individual’s driving privileges earlier this month, he would have never been able to get behind his big rig,” the U.S. DOT said.