Roadblocks Ahead: Final Rule Tightens Nondomiciled CDL Criteria
The Federal Motor Carrier Safety Administration (FMCSA) on February 13, 2026, published a final rule significantly restricting eligibility for nondomiciled commercial driver's licenses (CDLs) and commercial learner's permits (CLPs). Beginning March 16, 2026, only foreign nationals maintaining lawful non-immigrant status in the H-2A (temporary agricultural worker), H-2B (temporary nonagricultural worker) or E-2 (treaty investor) visa classifications will be eligible to obtain or renew a nondomiciled CDL.
This rule represents a dramatic narrowing of the prior regulatory framework, which permitted a broader range of work-authorized noncitizens, including asylum seekers, refugees, Temporary Protected Status holders, Deferred Action for Childhood Arrivals recipients, humanitarian parolees and Employment Authorization Document holders, to obtain nondomiciled CDLs.
The practical effect of this rule is substantial. FMCSA estimates that approximately 194,000 current nondomiciled CDL holders will lose eligibility to renew their licenses as they expire over the next five years. Going forward, the agency anticipates issuing only approximately 6,000 nondomiciled CDLs annually, which is a sharp reduction from the current population of roughly 200,000 holders.
Moreover, applicants under the new framework must present an unexpired foreign passport and unexpired Form I-94 or I-94A reflecting an H-2A, H-2B or E-2 classification, and employment authorization documents will no longer be accepted as proof of eligibility. Additionally, nondomiciled CDLs may not be issued for terms exceeding one year, and all renewals must be conducted in person.
Employers in the transportation and logistics sectors should assess their workforce composition and hiring pipelines in light of these changes. Drivers currently holding valid nondomiciled CDLs may continue operating until their licenses expire but will be unable to renew unless they hold qualifying H-2A, H-2B or E-2 status at the time of renewal. Companies relying on drivers with other forms of work authorization should anticipate workforce attrition as these individuals become ineligible for CDL renewal.
However, employers should note that ongoing litigation challenging the final rule, along with any resulting court orders, could alter the scope, timing or enforcement of these requirements. Further, some states have already paused issuance of nondomiciled CDLs as part of corrective action plans following FMCSA compliance audits, creating immediate obstacles for employers seeking to onboard new nondomiciled drivers even before the final rule takes effect.
Considerations
Employers who wish to continue hiring foreign national drivers should consider utilizing the H-2A and H-2B visa programs, which remain viable pathways under the new rule. These programs require employer sponsorship and involve labor certification and enhanced consular vetting processes, which FMCSA cites as the basis for limiting eligibility to these categories. Companies should consult with immigration counsel to evaluate sponsorship options and develop compliance strategies that account for the rule's effective date and phased attrition of their existing nondomiciled CDL workforce.
For questions about how FMCSA's final rule on nondomiciled CDLs may affect your driver workforce or visa sponsorship strategies, please contact the author.
Information contained in this alert is for the general education and knowledge of our readers. It is not designed to be, and should not be used as, the sole source of information when analyzing and resolving a legal problem, and it should not be substituted for legal advice, which relies on a specific factual analysis. Moreover, the laws of each jurisdiction are different and are constantly changing. This information is not intended to create, and receipt of it does not constitute, an attorney-client relationship. If you have specific questions regarding a particular fact situation, we urge you to consult the authors of this publication, your Holland & Knight representative or other competent legal counsel.