The Federal Motor Carrier Safety Administration (FMCSA) has compelled the California Department of Motor Vehicles (DMV) to revoke approximately 17,000 non-domiciled commercial driver’s licenses (CDLs) following a federal audit that uncovered serious violations of national standards.

U.S. Department of Transportation (DOT) Secretary Sean P. Duffy announced the action on November 12, stating that California’s “systemic policy, procedural, and programming errors” allowed thousands of non-domiciled CDLs to be issued improperly to foreign drivers.

Key Audit Findings

A nationwide FMCSA review of non-domiciled CDL programs sampled records from California and found that more than one in four (about 26%) failed to comply with federal regulations. Issues included:

  • CDLs remaining valid after the driver’s authorized U.S. stay expired (sometimes by months or years)
  • Failure to properly verify lawful presence through required systems
  • Licenses issued without aligning expiration dates to immigration documents

California has around 62,000 active non-domiciled CDLs/CLPs, making it one of the largest issuers in the country.

Immediate Actions Required

  • The California DMV has begun sending notices to the affected ~17,000 drivers → their non-domiciled CDLs will expire in 60 days and no longer meet federal standards.
  • Drivers must reapply with verified documentation if they wish to regain a compliant license.
  • California must submit a full audit of all non-domiciled CDLs to FMCSA for verification that every non-compliant license has been revoked and systemic fixes are in place.
  • The state is currently paused from issuing new or renewing non-domiciled CDLs until FMCSA approves the corrections.

Financial Stakes for California

Failure to fully comply could result in the withholding of up to $160 million in federal highway funds — on top of the $40+ million already withheld earlier this year over English Language Proficiency (ELP) enforcement issues.

Broader Context and National Crackdown

This revocation stems from heightened FMCSA scrutiny that began with a September 29, 2025, emergency interim final rule tightening non-domiciled CDL eligibility (currently under a temporary court stay, but pre-rule violations are still being enforced).

Other states, including Colorado, Texas, Washington, and South Dakota, have also received warning letters for similar problems.

What This Means for Fleets and Drivers

  • Motor carriers: Immediately audit your California-issued non-domiciled CDL holders. Dispatching a driver with an invalid CDL can trigger out-of-service orders, CSA points, and major liability exposure.
  • Affected drivers: Expect a 60-day clock starting from your notice. Begin gathering updated lawful-presence documents now — processing delays are likely.
  • Industry-wide impact: Supply-chain disruptions are possible in California-heavy lanes (ports, agriculture, cross-border). Many carriers may need to sidelined drivers temporarily or shift operations.

Z Transportation will continue monitoring developments, including California’s audit submission and any appeals or court rulings on the broader non-domiciled rule.

Stay compliant, stay safe — and double-check those driver files today.