CFR > Title 49 - Transportation > SUBTITLE B—Other Regulations Relating to Transportation > CHAPTER III—FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION (Parts 300–399) > SUBCHAPTER B—FEDERAL MOTOR CARRIER SAFETY REGULATIONS (Parts 350–399) > PART 384—STATE COMPLIANCE WITH COMMERCIAL DRIVER'S LICENSE PROGRAM > SUBPART D—Consequences of State Noncompliance (§384.401 to §384.407) > 384.401—Withholding of funds based on noncompliance.

384.401—Withholding of funds based on noncompliance.

(a) Following the first year of noncompliance. An amount up to 5 percent of the Federal-aid highway funds required to be apportioned to any State under each of sections 104(b)(1), (b)(3), and (b)(4) of title 23 U.S.C. shall be withheld from a State on the first day of the fiscal year following such State's first year of noncompliance under this part.
(b) Following second and subsequent year(s) of noncompliance. An amount up to 10 percent of the Federal-aid highway funds required to be apportioned to any State under each of sections 104(b)(1), (b)(3), and (b)(4) of title 23 U.S.C. shall be withheld from a State on the first day of the fiscal year following such State's second or subsequent year(s) of noncompliance under this part.
[72 FR 36788, July 5, 2007]