The U.S. Transportation Department says North Carolina’s commercial licensing failures are “egregious” and “dangerous.”
CHARLOTTE, N.C. โ More than half of North Carolina’s non-domiciled commercial driver’s licenses were issued in violation of federal regulations, according to an audit released Thursday by theย U.S. Department of Transportation.
The Federal Motor Carrier Safety Administration found that 54% of the non-domiciled CDLs it reviewed in North Carolina failed to comply with federal requirements. The agency threatened to withhold nearly $50 million in federal funding if the state does not revoke the illegally issued licenses and reform its licensing procedures.
Transportation Secretary Sean P. Duffy called the state’s failures “shameful” and “dangerous” in announcing the audit findings.
“I’m calling on state leadership to immediately remove these dangerous drivers from our roads and clean up their system,” Duffy said in a statement. “President Trump and I are committed to keeping you and your family safe on our roads.”
Non-domiciled CDLs are issued to drivers who have legal presence in the United States but are not permanent residents of the state issuing the license. They are typically used by foreign nationals working temporarily in the country.
According to the FMCSA audit, North Carolina issued non-domiciled CDLs to drivers whose licenses remained valid after their lawful U.S. presence expired, to drivers ineligible to hold such licenses, and to individuals without first verifying their legal presence in the country.
In a letter sent Thursday to Gov. Josh Stein and North Carolina Department of Public Safety Commissioner Paul Tine, federal officials outlined required corrective actions, including an immediate pause on issuing new non-domiciled CDLs and the revocation of all noncompliant licenses currently in circulation.
The state must also conduct a comprehensive internal audit to identify procedural errors, training deficiencies and policy failures that led to the improper issuances.
FMCSA Administrator Derek D. Barrs described North Carolina’s noncompliance as “egregious.”
“Under Secretary Duffy, we will not hesitate to hold states accountable and protect the American people,” Barrs said.
The audit is part of a nationwide review of state commercial licensing systems. Federal officials said North Carolina is one of several states found to be “recklessly issuing non-domiciled CDLs to inadequately vetted foreign drivers.”
The $50 million in threatened funding represents highway safety grants and other transportation dollars the state receives annually from the federal government.
North Carolina officials have not yet responded publicly to the audit findings or indicated whether they will comply with the federal demands.
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