Key Takeaways
• New York and 19 states sued DOT on May 13, 2025, over tying transport funds to immigration enforcement.
• Billions in federal transportation funding for New York may be lost if the new federal policy is enforced.
• States argue DOT’s conditions violate the constitutional separation of powers and disrupt vital infrastructure projects.
On May 13, 2025, New York Attorney General Letitia James, joined by attorneys general from 19 other states, filed a lawsuit against the U.S. Department of Transportation (DOT). The suit challenges a new policy that would tie federal transportation funding to whether states are helping federal immigration enforcement. This comes after Secretary of Transportation Sean Duffy, representing the Trump administration, announced in late April that states could lose billions of dollars in transportation money if they don’t work with the government on immigration.
The case brings up important questions about who gets to decide how federal funds are used and whether the government can use this money to push states to act in certain ways on immigration. This issue matters not just for politicians but for everyday people—especially those living in New York and other states affected by the transportation funds and changes to immigration enforcement.

Why New York and Other States Are Taking Action
The main argument from New York and its partner states is about fairness and the proper way to use government power. They say that Congress—meaning the elected officials who write and pass laws—already decided how these transportation funds should be used and did not require states to help with immigration enforcement as a condition for getting this money. By adding new demands, the lawsuit claims, the Department of Transportation is trying to take power away from Congress and hold states “hostage” by threatening to take away much-needed funds for highways, trains, airports, and public transit.
In official statements, the attorneys general put it simply: the administration’s push gives the states an “impossible choice.” Either they must give up billions in federal money meant for building and fixing roads, subways, and airports—or they must use local police and resources for federal immigration enforcement, which they believe could harm their communities.
According to the legal action, the administration’s move “violates the constitutional separation of powers.” The main points made by the states include:
– Congress gave this money for transportation, not immigration enforcement.
– Taking away or threatening to take away funding for not enforcing immigration rules is wrong and undermines states’ choices.
– Forcing states into a corner like this hurts immigrant communities, weakens local government control, and endangers key public works projects.
As reported by VisaVerge.com, the lawsuit is not just about the money but also about the ability of states, like New York, to decide how to run their public safety and transportation programs without federal interference.
What Programs and Funds Are At Risk?
Billions of dollars could be lost for New York alone if the administration follows through on its plan. The programs at risk include:
– The Federal-Aid Highway Program, which supports highway maintenance, bridge repairs, and road safety would be affected most. This program is worth over $100 billion each year across the United States, supporting repairs and upgrades that millions rely on.
– Grants from the Federal Transit Administration, which go to city bus systems, subway lines, and other transit services.
– The Federal Railroad Administration’s Rail Crossing Elimination Grant Program, which helps make rail crossings safer.
– The Federal Aviation Administration’s Airport Improvement Program, which pays for safer runways, better airport facilities, and expansions.
Looking at the numbers just for New York:
– Over $2.8 billion goes each year to highways and road repairs
– About $2.3 billion in public transportation support
– $215 million for rail improvements
– $18.8 million for highway safety efforts
– $8.7 million for airport improvements
For many families, workers, and travelers in New York, the risk is not just about future projects but also about keeping current roads and transit systems safe and up to date. Local governments, construction workers, and public transit employees would all feel the pinch if the federal money disappears.
The Administration’s Side
The Trump administration, through Transportation Secretary Sean Duffy, is standing by the new policy. Duffy and others argue that federal money should come with requirements, and that following immigration law is a basic duty of states and cities that get help from Washington, D.C.
Secretary Duffy said that the states filing lawsuits “want to continue breaking federal law and putting the needs of illegal aliens above their own citizens.” In his statement on April 24, Duffy was clear: “If you receive government grants, you must follow federal laws. Enforce our immigration rules, end discriminatory DEI policies, and protect free speech.” By DEI, Duffy referred to diversity, equity, and inclusion programs, which the administration claims are unfair.
Adding to the response, Department of Homeland Security Assistant Secretary Tricia McLaughlin said that “Cities and states who break the law and prevent us from arresting criminal illegal aliens should not receive federal funding. The President has been clear on that.” The message is straightforward—no help from the government unless the states help with immigration enforcement.
Historical Context and Recent Trends
This lawsuit did not come out of nowhere. In fact, it is one of two major legal moves by this group of states on the very same day. The second lawsuit, not detailed here, also challenges the federal government’s threat to withhold money, but that funding is meant for emergency preparedness. New York and the other states argue that these types of “strings attached” to funding disrupt important state and local services.
The backdrop is a wider immigration crackdown. Since President Trump took office, the administration has focused on reducing illegal immigration, reporting a drop in border apprehensions by 93% and deporting over 130,000 undocumented immigrants. These actions show how serious the White House is about strict immigration enforcement and the lengths it will go to make states follow along—even if it means affecting other areas like the Department of Transportation’s grants or public safety programs.
The Push and Pull Between State and Federal Power
One key issue at the heart of this lawsuit is the separation of powers. In the United States 🇺🇸, the federal government and state governments each have their own areas of responsibility. Congress controls the nation’s budget and decides how money gets spent. The executive branch, including the Department of Transportation, is supposed to carry out those spending decisions—not change them or add extra rules after the fact.
The attorneys general claim the administration is overstepping its authority. In their words, the administration is “seizing Congress’ power of the purse at the expense of immigrant communities and vital infrastructure projects.” In simple terms, this means the White House is trying to use money meant for roads, trains, and airports as leverage to force states to adopt tougher approaches toward immigration enforcement.
Critics argue that if the government can add any condition it likes to federal funds, the balance between federal and state power could be upset. Supporters say it’s reasonable for the government to demand cooperation on important federal laws, especially when taxpayer dollars are involved.
For many state and local leaders, including those in New York, the case is as much about standing up for state rights as it is about defending money for public works. They view the lawsuit as essential to protect their ability to set local policies and focus on community needs rather than being forced to prioritize federal immigration enforcement.
Direct Impact on New York and Its Residents
If the federal government withholds funds, New York stands to lose more than $5 billion each year. This could slow or stop key projects like:
– Repairing busy highways that millions of commuters drive every day
– Updating old subway lines and bus routes that millions rely on to get to work and school
– Making train crossings safer, reducing accidents
– Expanding and improving airports to handle more travelers safely
Without this money, New York’s Department of Transportation would have to look for new ways to cover the gaps. That might mean cutting jobs, slowing down needed repairs, or delaying big improvement projects. Local construction companies, transit workers, and even travelers could feel the impact within months if things are not resolved.
More than that, the lawsuit points out the effect on immigrant communities. New York and the other states say that forcing local police to take on immigration enforcement duties would strain their resources and could damage trust between those communities and law enforcement. People might be afraid to report crimes or talk to local officials if they fear getting swept up in immigration enforcement.
Looking Forward: What Happens Next?
The legal challenge is still in its early stages. Courts will have to weigh whether the DOT has the authority to make these demands or if the administration is stepping over the line by tying transportation money to immigration enforcement. A quick ruling is not likely, and both sides could appeal up to the Supreme Court if they lose.
In the meantime, state and city leaders across the country—especially in large, diverse places like New York—are preparing for both possible outcomes. If the court blocks the new rules, it would send a strong message that there are limits on how federal funds can be used to push states on other policy questions. If the administration wins, states may have to choose between giving up vital Department of Transportation funds or changing their cooperation with federal immigration enforcement.
This legal dispute is just one piece of a larger national debate about immigration, public safety, use of government funds, and the proper relationship between the federal government and the states. How the case ends could shape not only New York’s roads, transit, and airports, but also the direction of immigration enforcement and state policy for years to come.
The Broader Conversation
Many groups—ranging from immigrant rights organizations to trade unions and transportation planners—are watching this lawsuit closely. Some worry that using funding as a stick could hurt everyone, not just people involved in immigration enforcement. Others believe that tough moves are needed to fix what they see as a broken immigration system.
No matter where you stand, it is clear that the connection between the Department of Transportation’s funding and immigration enforcement is causing major debates—and not just in New York, but nationwide.
To learn more about how federal transportation money is administered and affected by different policies, you can visit the official Federal Highway Administration website.
Ultimately, the courts will decide whether tying funding to immigration enforcement stands or falls. Until then, communities in New York and beyond will likely keep pushing for solutions that serve both public safety and fairness for all residents. Whether you’re a commuter in New York, a construction worker, or a local official, these decisions will impact everyday life in clear ways over the coming months and years.
Learn Today
Federal-Aid Highway Program → A U.S. program distributing over $100 billion yearly for highway maintenance, bridge repairs, and safety improvements nationwide.
Separation of powers → A constitutional principle dividing government authority among legislative, executive, and judicial branches to prevent abuse.
Immigration enforcement → The process by which federal or local authorities implement laws controlling entry, stay, or removal of noncitizens.
Sanctuary jurisdictions → States or localities limiting cooperation with federal immigration authorities to protect undocumented immigrants.
Grants → Monetary awards given by the government to states or organizations for specific purposes, such as transportation infrastructure.
This Article in a Nutshell
A new federal policy threatens billions in transportation funds for New York if it refuses to participate in immigration enforcement. Twenty states have filed suit, arguing the Department of Transportation is overreaching, potentially affecting vital roads, transit, and airports. The legal outcome will shape state-federal relations ahead.
— By VisaVerge.com
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