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New York, FMCSA Set for September Appeals Court Showdown Over CDL Licensing

New York and the Federal Motor Carrier Safety Administration will present oral arguments September 28 before the Second Circuit Court of Appeals in Manhattan over a $73 million federal funding dispute. The clash centers on non-domiciled commercial driver's licenses issued by New York to foreign nationals. FMCSA flagged 101 licenses with expiration dates exceeding the validity period of drivers' lawful presence documents in a December 2025 compliance review. The agency contends New York failed to align CDL validity with immigration status documentation. New York argues FMCSA is enforcing requirements that do not exist in federal statute and challenges the funding cutoff as overreach. Both sides have filed briefs ahead of the September arguments. The outcome will likely influence how all states manage non-domiciled CDL issuance.