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DOT Threatens to Withhold $73 Million From New York Over Commercial Licenses for Noncitizens

Federal auditors say New York issued multi‑year commercial licenses that outlasted immigrants’ work authorization, prompting a 30‑day deadline with highway funds at risk.

Overview

  • Transportation Secretary Sean Duffy announced the funding threat after a federal review found more than half of a 200‑license sample in New York was issued improperly, with many valid for eight years regardless of work authorization.
  • Walter McClure of the New York DMV rejected the findings and accused Duffy of lying, insisting the state follows federal licensing rules and verifies legal status.
  • New York has 30 days to address the audit findings or face the potential loss of $73 million in federal highway money, according to DOT statements.
  • National audits of nonresident commercial licenses are underway; California, facing similar pressure, revoked about 17,000 commercial licenses previously issued to immigrants.
  • The enforcement push follows a fatal Florida truck crash involving an unauthorized driver, and proposed federal restrictions on which noncitizens can obtain commercial licenses remain suspended by a court.