Here's a classic Washington move: when you want a state to change its policies, you threaten to take away its money. Transportation Secretary Sean Duffy just pulled this lever on New York, yanking $73 million in federal funding because the state has been issuing commercial driver's licenses to people who are in the country illegally.
Duffy took to social media on Thursday, sharing clips from a Fox News interview where he called out Governor Kathy Hochul. "The truth is that they actually gave commercial driver's licenses to people who were in the country illegally," Duffy said. He added that New York "completely rejected" the Department of Transportation's offer to cooperate on the matter.
The Transportation Secretary made it clear this wasn't just about the money. "American families deserve to be SAFE on the road," he wrote, adding that there could be more cuts in the future if New York doesn't change course.
When asked whether pulling federal funding actually works to get states to comply, Duffy had a simple answer: "Just ask Gavin Newsom." In a separate post, he shared that California had revoked over "17,000 licenses" issued to undocumented people after the DOT pulled over $160 million in federal funding from the state.
Of course, Newsom hasn't been quiet about this. The California governor earlier criticized Duffy, calling his allegations against the state and his administration a "sad and pathetic attempt" to spread false information.
Duffy isn't just picking on New York and California. He's also threatened funding cuts to Governor Tim Walz and Minnesota, saying the DOT will withdraw over $30 million in federal funding from the state for illegally issuing CDLs to undocumented drivers.
The whole controversy gained national attention last year after a tragic accident in Florida. An undocumented individual, Harjinder Singh, took an illegal U-turn on a Florida highway that resulted in the deaths of three people. Singh was reportedly issued his CDL in California, which put the spotlight on states that grant these licenses to undocumented drivers.
So what you have here is a classic federal-state standoff. The federal government controls the purse strings, and when states do things Washington doesn't like, the money can disappear. Duffy's making it clear he's willing to use that leverage, pointing to California's license revocations as proof the tactic works. Whether New York will follow California's lead or dig in its heels remains to be seen.











