US Transport Chief Threatens $160m Cut in California Licence Row
US Threatens $160m Cut in California Licence Feud

A bitter political feud has erupted between US federal officials and the state of California over the delayed revocation of thousands of commercial driving licences issued to illegal migrants, with $160 million in federal funding now at stake.

Deadline Dispute and Accusations of Deceit

Transportation Secretary Sean Duffy has publicly accused California's liberal Governor, Gavin Newsom, of 'lying' about an extension to cancel 17,000 commercial licences. The dispute, simmering for months, intensified after a series of violent incidents allegedly involving undocumented drivers, including an October crash that claimed three lives.

Following a threat from Duffy to withhold the substantial federal sum, Newsom initially appeared to relent, setting a revocation deadline for Monday, January 5. However, the California Department of Motor Vehicles (DMV) this week announced an extension to March 6, citing a need to collaborate with the Federal Motor Carrier Safety Administration.

The state argued the delay 'allows the parties to find a solution that permits drivers to remain working to serve our communities.' This move coincided with a reported class action lawsuit filed by legal groups on behalf of five affected drivers.

Federal Ultimatum and a Fatal Catalyst

Secretary Duffy vehemently denied any agreed extension. 'Gavin Newsom is lying. The deadline to revoke illegally issued, unvetted foreign trucker licenses is still January 5,' he stated on social media. He warned that missing the deadline would trigger action from the US Department of Transportation, including cutting the nearly $160 million.

The confrontation escalated after a tragic October incident where a licensed illegal immigrant, 21-year-old Jashanpreet Singh, allegedly killed three people by slamming his truck into stopped traffic. Singh, an undocumented immigrant from India released at the border in 2022, was arrested for vehicular manslaughter and drug influence.

Duffy connected this tragedy directly to the licensing issue, accusing Newsom of having 'thumbed his nose' at federal rules requiring a review of all such licences. Newsom's team previously shifted blame, arguing the federal government had approved the driver's work authorisation.

Broader Compliance Failures and National Scrutiny

The controversy extends beyond individual cases. A federal audit found 'significant compliance failures' in California's process, with one in four sampled 'non-domiciled' CDLs – for drivers living outside the US – issued improperly.

Further scrutiny arose from separate incidents, like a truck causing property damage during a reckless turn on a residential street. White House officials have noted a 'disturbing pattern' of illegal aliens being issued commercial licences, vowing a federal crackdown.

With the January 5 deadline passed and California asserting its March extension, the standoff enters a critical phase. The outcome will impact state funding, transportation policy, and the working status of thousands, setting a precedent for federal-state clashes over immigration and safety enforcement.