Washington, DC, USA: The U.S. Justice Department has withdrawn its appeal of a court ruling that blocked a Trump administration policy tying federal transportation funding to state cooperation with immigration enforcement.

On January 13, the Justice Department asked a federal appeals court to dismiss its challenge to a lower court decision that prevented the administration of Donald Trump from requiring 20 Democratic-led states to assist immigration authorities in order to receive billions of dollars in transportation grants.

A federal judge in Rhode Island ruled in July that the U.S. Department of Transportation lacked the legal authority to impose cooperation with U.S. Immigration and Customs Enforcement as a condition for transportation funding, finding the policy violated the U.S. Constitution. The judge said there was no reasonable link between immigration enforcement and the purpose of federal transportation grants.

California Attorney General Rob Bonta, who led the lawsuit along with the District of Columbia, said the administration attempted to use critical infrastructure funding to advance political objectives. He welcomed the decision to drop the appeal and said California would continue defending transportation funds meant for public infrastructure.

The Transportation Department did not immediately comment on the decision. Earlier this month, it said it was withholding $160 million from California over commercial driver license disputes, a move state officials rejected. California has also filed separate legal challenges over other withheld funds, while maintaining it remains fully compliant with state and federal law.