Withholding of funds for providing identification cards to certain aliens

(a) In general Chapter 1 of title 23, United States Code, is amended by adding at the end the following: 180. Withholding of funds for providing identification cards to certain aliens (a) Definitions In this section: (1) Identification card The term identification card means a personal identification card (as defined in section 1028(d) of title 18). (2) Noncompliant State The term noncompliant State means a State that has in effect a law or policy that allows the State to provide a driver's license or other identification card to an alien who is unlawfully present in the United States. (b) Withholding On October 1, 2026, and each October 1 thereafter, the Secretary shall withhold from a noncompliant State 100 percent of the amount required to be apportioned to the State under each of paragraphs (1), (2), and (3) of section 104(b). (c) Release of funds Except as provided in subsection (e), if, before the last day of the fiscal year for which funds are withheld under subsection (b), the Secretary determines that the noncompliant State is no longer a noncompliant State, the Secretary shall, on the first day on which the Secretary makes that determination, apportion to the State the funds withheld under subsection (b) that remain available for apportionment to the State. (d) Redistribution of withheld funds On the first October 1 after a fiscal year for which amounts were withheld from a State under subsection (b), and were not released under subsection (c), the Secretary shall redistribute those amounts to States that are not noncompliant States so that each such State receives an amount equal to the proportion that— (1) the amount apportioned to the State under paragraphs (1), (2), and (3) of section 104(b); bears to (2) the total amount apportioned to all States that are not noncompliant States under paragraphs (1), (2), and (3) of section 104(b). (e) Withholding in future years If a State to which funds were released under subsection (c) subsequently becomes a noncompliant State after the date of that release of funds, the Secretary shall withhold the funds described in subsection (b) from that State for the fiscal year that begins after the State subsequently becomes a noncompliant State and for each fiscal year thereafter.. (b) Clerical amendment The analysis for chapter 1 of title 23, United States Code, is amended by adding at the end the following: 180. Withholding of funds for providing identification cards to certain aliens..