New York Gov. Kathy Hochul and New York Attorney General Letitia James have sued to have more than $73 million in federal highway funding for the state restored.
The move comes after the U.S. Department of Transportation announced it would withhold the funding after the state refused the department’s demands to revoke certain driver’s licenses, all of which were issued legally under state and federal regulations. Hochu and James are arguing that the funding action is illegal and puts New York residents at risk. They are asking the court to restore the full amount of funding to the state.
“Once again, New York is facing devastating federal cuts for nothing more than political payback. Here’s the truth: New York has always followed federal rules when issuing CDLs, something even the previous Trump Administration verified year after year,” Hochul said. “Ripping away money that goes towards critical safety upgrades on our roads is reckless and it is illegal. Standing with Attorney General James, we will fight — and win — in court to restore this funding and ensure that our roads are safe for millions of New Yorkers who rely on them.”
The DOT has pressured New York to revoke certain Commercial Driver’s Licenses (CDLs) held by non-citizen drivers. On April 16, the department announced it would block federal highway funding that has already been approved for the state, and threatened to withhold an additional $147 million in the future. New York issues CDLs in compliance with state and federal requirements, and revoking them would disrupt industries that rely on commercial drivers as well as lead to bus driver shortages, the leaders argued.
“New Yorkers depend on safe, reliable roads and bridges to get to work, take their kids to school, and keep our economy moving,” James said. “The administration cannot promise funding to our state and then abruptly yank it away. By cancelling this funding, the federal government is putting jobs and communities at risk. New Yorkers are counting on these investments, and we will not let the president jeopardize our communities’ safety. My office is taking this administration to court to ensure New York gets every dollar it is owed.”
James said the department’s action is unlawful and based on a new, unsupported interpretation of its own long-standing regulations. James contends that the sudden shift in DOT policy is arbitrary and capricious, and exceeds the agency’s authority. Additionally, James said the withholding of funds is an attempt to coerce the state into canceling thousands of validly issued licenses by threatening critical funding.
Additionally, she said, the state’s funding is allocated through federal programs established by Congress, and that losing the funding could delay or cancel critical transportation projects, increase costs and harm local economies across the state.