Trump administration to review California high-speed rail project

The Trump administration announced Thursday that it will launch a review of the multi-billion-dollar California high speed rail project, which federal authorities have said is over budget and has been mismanaged.

So far, more than $13 billion in state and federal funding has been spent on the planned railway. The review would focus on $4 billion in unspent federal funds, much of which was granted for the project during the last presidential administration.

U.S. Transportation Secretary Sean Duffy said at a news conference in Los Angeles that the federal government wants to assess whether the project is worthy of the investment.

“We can’t just say we’re going to give money and not hold states accountable to how they spend that money,” Duffy said.

State authorities defended the project, saying every dollar spent on the project is accounted for.

“We stand by the progress and impact of this project,” said Ian Choudri, chief executive of the California High-Speed Rail Authority, in a statement.

How the project is progressing

California voters approved a bond measure in 2008, the goal of which is to connect Southern California to the San Francisco Bay Area through the Central Valley via electrified high-speed rail.

More than three-fourths of the funding comes from the state.

A total of $13.7 billion had been spent as of November, mostly on construction. Choudri said the project had created more than 14,000 jobs and opportunities for several hundred small businesses.

“This investment has already generated $22 billion in economic impact, primarily benefiting the Central Valley,” Choudri said.

Construction on the central segment of the train, which will span some 170 miles in the Central Valley, is ongoing.

Gov. Gavin Newsom has expressed confidence in the project.

Speaking on Capitol Hill two weeks ago, Newsom said he would welcome a review of the project. He made the statement after meeting with President Donald Trump, with whom he’s had a contentious relationship.

“With so many audits on this, happy to have another one,” Newsom said. “We'll do an audit of all the audits.”

Rail supporters turn out

About 50 demonstrators assembled outside the Thursday news conference, which was held in Union Station in downtown L.A. It was closed to the public, except for members of the media.

They chanted “build the rail” and “high speed rail is union jobs” in unison.

Andrew Graves, a member of Californians for Electric Rail, was one of the demonstrators. Speaking to LAist, he acknowledged that the cost of the project has increased but said he felt compelled to send a message to Duffy and the federal government that the rail project is better than other travel alternatives.

“California high-speed rail specifically is more cost effective than expanding airports and highways to accommodate the demand our state is going to be expecting,” Graves said.

The stretch of the high-speed rail now under construction is slated to be operational in the early 2030s. A report published in early February by the inspector general for the project cast doubt on that timeline, saying it is unlikely to be operational until at least 2034.

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