California Withholds $55 Million Over Driver Data Sharing Fears

California's legislature has halted $55 million in funding for the state's Department of Motor Vehicles (DMV), citing concerns that a new database could inadvertently share driver information with federal immigration agencies. The dispute centers on a system designed to verify driver's licenses and prevent duplicates.

According to Cal Matters, the Assembly and Senate have agreed to withhold the funds, which were earmarked for a database intended to share driver information nationwide. Governor Gavin Newsom and the DMV support the data-sharing initiative through the State-to-State (S2S) platform and the SPEX system, operated by the American Association of Motor Vehicle Administrators (AAMVA).

Opponents of the plan argue that the system, which records the last five digits of Social Security Numbers (SSN) and uses a placeholder for those without one, could easily identify individuals lacking an SSN. This is particularly concerning for California's estimated one million undocumented immigrants, many of whom do not have SSNs. Advocates fear that releasing this information could make them vulnerable to deportation if it reaches agencies like ICE or CBP.

Cal Matters clarifies that California law, specifically AB-60 enacted in 2014, allows undocumented immigrants to obtain a standard driver's license regardless of their immigration status. However, the state government contends that data exchange is necessary to comply with the federal Real ID Act of 2005.

In June, the Senate's budget proposal omitted the $55 million for the DMV. The legislature has until June 30 to finalize budget details with Governor Newsom. While the funding delay does not entirely kill the DMV's plan, lawmakers could still reallocate the funds through a supplementary or separate bill. This could, however, prevent the DMV from receiving the funds before the July 1 target date for initiating data sharing.

Beyond funding, the DMV requires changes to state legislation, which currently prohibits sharing SSNs during the driver's license issuance process. Ed Hasbrouck of The Identity Project, a civil liberties advocacy group, supported the legislative delay. "Ultimately, the state will have to make a decision: either revoke the promises made in law AB-60, putting immigrants at risk, or comply with the Real ID Act," Hasbrouck told Cal Matters.