The 2nd U.S. Circuit Court of Appeals ruled on 13 November that the Department of Transportation acted “arbitrarily and capriciously” when it withheld nearly USD 74 million in highway funds from New York State. The penalty was imposed after an audit concluded that state officials had failed to cancel some 33,000 commercial driver’s licences (CDLs) issued to foreign nationals whose lawful status had lapsed. Writing for a unanimous three-judge panel, Judge Richard Wesley said federal regulators could not punish New York retroactively for licenses that were legally issued under rules in effect at the time. The decision immediately frees up money earmarked for critical bridge and road repairs around the New York metropolitan area. From a mobility perspective, the case spotlights the tension between federal immigration enforcement and state initiatives to integrate undocumented or temporarily documented residents into the workforce. Roughly 20 percent of U.S. truck drivers are immigrants; supply-chain groups had warned that canceling the licenses could sideline thousands of haulers, worsening driver shortages and pushing up freight costs. Transportation employers hiring CDL holders should track visa-status validation more closely, as DOT signaled it will propose new nationwide guidelines early next year. Meanwhile, other states—such as California and Illinois—that grant long-term CDLs to non-citizens are evaluating whether to pre-empt similar audits.
Source: Associated Press
