No Licenses for Illegal Drivers or Truckers Act of 2026

This bill requires states to verify that applicants for driver's licenses, commercial licenses, and state ID cards have lawful presence in the United States before issuing them. To enforce this, the legislation mandates that states use approved methods to electronically validate biometric data, conduct background checks, and cross-reference tax and social security records with federal agencies. If a state fails to implement and enforce these verification procedures by October 1, 2026, the federal government will withhold 10% of the state's transportation funding until compliance is achieved. Any withheld funds are then redistributed proportionally to states that have met the new requirements. The bill does not alter existing REAL ID standards but adds a specific layer of immigration status verification to the licensing process.