Transportation Secretary Sean Duffy has announced that California may lose its authority to issue Commercial Driver’s Licenses (CDLs) if it does not comply with federal regulations regarding non-domiciled CDLs. This situation escalates a confrontation between California and the federal government regarding the state's issuance of these licenses.
1. Federal Funding Withheld:
• Duffy stated that if California fails to address the non-domiciled CDL issue, the federal government might revoke the state's ability to issue all CDLs, not just the 17,000 in question. California has already lost approximately $160 million in federal funds due to its non-compliance.
2. Background of the Issue:
• The problem began before Duffy's appointment, with a significant percentage of non-domiciled CDLs improperly issued, as highlighted by federal audits. These licenses had expiration dates that extended beyond the legal presence documentation of drivers.
3. California’s Agreement and Extensions:
• California previously agreed to revoke the improperly issued CDLs by January 5, 2026. However, the California DMV announced a 60-day extension, which Duffy publicly contested, stating that the federal agency had not authorized this extension.
4. Potential Consequences of Decertification:
• If California's CDL issuance is decertified, it would be prohibited from issuing, renewing, or upgrading CDLs until federal deficiencies are addressed. This would affect over 700,000 CDL holders in the state and could ground many drivers from operating in interstate commerce.
5. Legal Actions and Clerical Errors:
• A class-action lawsuit claims that California's DMV errors caused the mismatches in CDL expiration dates. The lawsuit argues that affected drivers should be able to reapply for corrected licenses. However, this does not mitigate California's compliance issues with federal regulations.
6. Governor’s Statements vs. Federal Claims:
• California Governor Gavin Newsom reported that the DOT had agreed to the extension, which Duffy denied. Federal authorities insist that California's corrective plan must not leave non-compliant drivers on the road.
The situation highlights the significant impact of regulatory compliance on the trucking industry in California. If federal threats to revoke CDLs are realized, it could disrupt not only the workforce but also the overall operation of interstate commerce. The ongoing disputes and legal challenges indicate that this issue is far from resolved, and it places pressure on both California officials and the trucking community.
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