Saturday

07-19-2025 Vol 2026

Trump Administration’s Review Jeopardizes California High-Speed Rail Project

The California high-speed rail project is facing a critical blow as the Trump administration announced it found “no viable path” to completion after a lengthy investigation spanning nearly four months.

This review by the Department of Transportation, spanning 310 pages, highlighted significant issues including budget shortfalls, missed deadlines, and a misleading projected ridership that undermined plans for a fast rail connection between San Francisco and Los Angeles.

The focus of concern centers on federal grants aimed at construction in the Central Valley, with $4 billion in federal funding now at risk of being withdrawn unless the California High-Speed Rail Authority (CHSRA) can adequately respond to the review’s findings within the next 37 days.

Acting Federal Railroad Administration Administrator Drew Feeley was critical of the CHSRA’s management, labeling their reliance on continued federal funding as a “false hope,” and stated, “In essence, CHSRA has conned the taxpayer out of its $4 billion investment, with no viable plan to deliver even that partial segment on time.”

In contrast, high-speed rail authority officials rebuffed these comments, deeming the review “misguided” and an incomplete portrayal of the project’s status. A spokesperson asserted, “The Authority will fully address and correct the record in our formal response,” reasserting their commitment to seeing the state’s high-speed rail system become a reality.

This review comes at a time when the CHSRA is actively pursuing new contracts to ensure construction and design continue in the Central Valley. Additionally, the project’s CEO Ian Choudri emphasized the importance of public-private partnerships as a future funding mechanism, a sentiment echoed by a state-appointed advisory committee.

California’s proposed budget also reflects a commitment to the high-speed rail initiative, allocating at least $1 billion annually over the next 20 years. Despite this ongoing investment, the high-speed rail project has already consumed approximately $14 billion, with state contributions amounting to 82% and federal support making up the remaining 18%.

Interestingly, the federal grant review does not call for the repayment of previously disbursed federal funds, thereby providing some relief as CHSRA navigates this new turbulence.

Lou Thompson, a former member of the authority’s peer review group for 15 years, remarked on the persistent issues surrounding budget management and timelines that have bedeviled the project throughout various administrations. “It’s obvious that there are serious problems with the project — that has been clear,” he noted.

The Trump administration, as articulated by Department of Transportation Secretary Sean Duffy, began this review following calls from Republican lawmakers to scrutinize California’s high-speed rail efforts. “We can’t just say we’re going to give money and then not hold states accountable to how they spend that money,” Duffy commented, stressing the need for accountability in federal funding.

The contentious nature of the project has been exacerbated by its original budget estimation, which has ballooned from $33 billion in 2008 to approximately $100 billion above that figure, with funding sources for tens of billions still unaccounted for. While construction has been confined mostly to a 171-mile segment in the Central Valley, challenges have mounted since environmental clearance for the entire San Francisco to Los Angeles route was granted last year.

Criticism has also been aimed at the strategic decision to route the rail along the east side of the San Joaquin Valley, rather than a more cost-effective path along Interstate 5. Governor Gavin Newsom, while acknowledging past decisions cannot be reversed, has urged a focus on moving forward, linking the high-speed rail’s viability to other projects, such as the Brightline West high-speed rail, which aims to connect Las Vegas and Southern California.

As the political landscape evolves, California’s transit advocates remain vocal about their views on the high-speed rail project. A recent poll indicated that 67% of over 1,000 registered voters supported the initiative, which has created over 15,000 jobs in the Central Valley alone. According to Andy Kunz, president and chief executive of the U.S. High Speed Rail Association, this project is essential as Californians are increasingly frustrated with traffic congestion and airport delays.

Rick Harnish, executive director for the High-Speed Rail Alliance, expressed his discontent with the federal review, asserting it creates unnecessary obstacles for what he considers a pivotal project for California’s future. He emphasized that the benefits extend beyond just the Bay Area to the broader context of statewide transportation efficiency.

On the political front, reactions have been mixed. Some Democratic lawmakers criticized the Trump administration’s announcement, arguing that it signals a rejection of California’s commitment to progressive infrastructure and job creation. Speaker Emerita Nancy Pelosi stated, “This announcement is a rejection of the future,” while claiming that the Secretary has misrepresented facts concerning the project’s benefits.

As stakeholders and officials prepare for the forthcoming critical responses and potential reallocation of funding, the immediate future of California’s high-speed rail project hangs in the balance as support for improved transit systems remains strong among voters. Transitioning from contentious investigations to collaborative determination will be key as state leaders navigate the complex road ahead.

image source from:https://www.latimes.com/california/story/2025-06-04/trump-administration-sees-no-viable-path-forward-to-finish-high-speed-rail-project-moves-to-pull-federal-funding

Benjamin Clarke