Funding Threats Over License Dispute Intensify Transportation Tensions

The U.S. Transportation Department has threatened to withhold $73 million in funding from New York State due to improperly issued commercial driver licenses to non-U.S. citizens. This move follows a series of actions against Democratic-led states. The New York DMV refutes the claims, labeling them as political maneuvers.


Devdiscourse News Desk | Updated: 13-12-2025 08:49 IST | Created: 13-12-2025 08:49 IST
Funding Threats Over License Dispute Intensify Transportation Tensions
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The U.S. Transportation Department has issued a stern warning to New York State, threatening to withdraw $73 million in federal funding over the alleged improper issuance of commercial driver licenses to non-U.S. citizens. This development marks the latest in a sequence of threats from the Trump administration aimed at states run by Democrats.

In response to a fatal crash in Florida and a federal audit, the agency implemented an emergency regulation restricting commercial driver licenses for immigrants. Transportation Secretary Sean Duffy emphasized the necessity for well-trained drivers to ensure safety on the roads. Meanwhile, New York vehemently denies any wrongdoing and accuses Duffy's move as another political ploy.

Similar funding threats have been directed at California, Minnesota, and major cities like Chicago, prompting legal and political pushback. California has already taken legal action against these federal decisions, claiming them as unjust. This tension underscores ongoing frictions between federal directives and state compliance, particularly in Democrat-controlled regions.

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