California Dismisses Lawsuit Regarding $4 Billion High-Speed Rail Funding Withdrawal
Unleash Prosperity senior fellow Wendell Cox discusses the Trump administration pulling $4 billion in federal funds for California’s high-speed rail project on ‘The Bottom Line.’
In a significant turn of events, California has officially dropped its lawsuit against the Trump administration, following the withdrawal of approximately $4 billion in federal funding for the state’s high-speed rail initiative. This decision marks a pivotal moment in the ongoing saga of California’s ambitious rail project.
On December 23, court records revealed that California Attorney General Rob Bonta’s office filed a notice to voluntarily dismiss the lawsuit without prejudice. This legal action was initiated by the California High-Speed Rail Authority (CHSRA), which had been striving to have the federal funding reinstated.
According to a spokesperson for the authority, “This action reflects the State’s assessment that the federal government is not a reliable, constructive, or trustworthy partner in advancing high-speed rail in California.” The spokesperson further noted that the Federal Railroad Administration indicated that all work performed by the Authority remains “at risk” and may not receive funding.
HIGH-SPEED RAIL ISN’T CALIFORNIA’S ONLY EXPENSIVE BOONDOGGLE
Work continues on the California High-Speed Rail Hanford Viaduct in Hanford, Calif., on Tuesday, Jan. 29, 2024. (Robert Gauthier/Los Angeles Times via Getty Images / Getty Images)
In July, Transportation Secretary Sean Duffy announced the termination of the long-delayed project, labeling it a “boondoggle.” He stated, “This is California’s fault. Governor Newsom and the complicit Democrats have enabled this waste for years. Federal dollars are not a blank check – they come with a promise to deliver results. After over a decade of failures, CHSRA’s mismanagement and incompetence has proven it cannot build its train to nowhere on time or on budget,” Duffy remarked.
President Donald Trump echoed these sentiments, referring to the project as a “high-speed train to nowhere.” In a letter to the CHSRA, the Federal Railroad Administration confirmed the withdrawal of federal funding, citing the project’s inability to meet its commitments.
IT’S TIME FOR NEWSOM TO PULL THE BRAKE ON CALIFORNIA’S $128 BILLION GHOST TRAIN
Work continues on the California High-Speed Rail Hanford Viaduct in Hanford, Calif., on Tuesday, Jan. 29, 2024. (Robert Gauthier/Los Angeles Times via Getty Images / Getty Images)
The Federal Railroad Administration cited ongoing delays and escalating costs as reasons for the funding withdrawal. Despite substantial federal funds already expended, the authority failed to meet critical project milestones.
In response to these challenges, CHSRA initiated a formal process on December 19 to attract private investors and developers by summer 2026. This initiative aims to expedite the high-speed rail project in a more efficient and economically viable manner.
Ian Choudri, CEO of the CHSRA, expressed optimism, stating, “Interest from the private sector in investing in California’s high-speed rail project is strong and continues to grow.” He emphasized that today’s procurement formalizes efforts to partner with private investors and developers, aiming to deliver California’s transformational program more effectively.
FOX Business correspondent Max Gorden discusses California leaders’ efforts to construct a high-speed rail system on ‘Varney & Co.’
CLICK HERE TO DOWNLOAD THE FOX NEWS APP
Choudri concluded, “By leveraging private sector innovation and best practices against strong, stable state funding, we can maximize the value of California’s investment and accelerate delivery of high-speed infrastructure throughout the state.” The CHSRA reported that 171 miles of the project are currently under design and construction between Merced and Bakersfield, with nearly 80 miles of guideway already completed.
Unleash Prosperity senior fellow Wendell Cox discusses the Trump administration pulling $4 billion in federal funds for California’s high-speed rail project on ‘The Bottom Line.’
In a significant turn of events, California has officially dropped its lawsuit against the Trump administration, following the withdrawal of approximately $4 billion in federal funding for the state’s high-speed rail initiative. This decision marks a pivotal moment in the ongoing saga of California’s ambitious rail project.
On December 23, court records revealed that California Attorney General Rob Bonta’s office filed a notice to voluntarily dismiss the lawsuit without prejudice. This legal action was initiated by the California High-Speed Rail Authority (CHSRA), which had been striving to have the federal funding reinstated.
According to a spokesperson for the authority, “This action reflects the State’s assessment that the federal government is not a reliable, constructive, or trustworthy partner in advancing high-speed rail in California.” The spokesperson further noted that the Federal Railroad Administration indicated that all work performed by the Authority remains “at risk” and may not receive funding.
HIGH-SPEED RAIL ISN’T CALIFORNIA’S ONLY EXPENSIVE BOONDOGGLE
Work continues on the California High-Speed Rail Hanford Viaduct in Hanford, Calif., on Tuesday, Jan. 29, 2024. (Robert Gauthier/Los Angeles Times via Getty Images / Getty Images)
In July, Transportation Secretary Sean Duffy announced the termination of the long-delayed project, labeling it a “boondoggle.” He stated, “This is California’s fault. Governor Newsom and the complicit Democrats have enabled this waste for years. Federal dollars are not a blank check – they come with a promise to deliver results. After over a decade of failures, CHSRA’s mismanagement and incompetence has proven it cannot build its train to nowhere on time or on budget,” Duffy remarked.
President Donald Trump echoed these sentiments, referring to the project as a “high-speed train to nowhere.” In a letter to the CHSRA, the Federal Railroad Administration confirmed the withdrawal of federal funding, citing the project’s inability to meet its commitments.
IT’S TIME FOR NEWSOM TO PULL THE BRAKE ON CALIFORNIA’S $128 BILLION GHOST TRAIN
Work continues on the California High-Speed Rail Hanford Viaduct in Hanford, Calif., on Tuesday, Jan. 29, 2024. (Robert Gauthier/Los Angeles Times via Getty Images / Getty Images)
The Federal Railroad Administration cited ongoing delays and escalating costs as reasons for the funding withdrawal. Despite substantial federal funds already expended, the authority failed to meet critical project milestones.
In response to these challenges, CHSRA initiated a formal process on December 19 to attract private investors and developers by summer 2026. This initiative aims to expedite the high-speed rail project in a more efficient and economically viable manner.
Ian Choudri, CEO of the CHSRA, expressed optimism, stating, “Interest from the private sector in investing in California’s high-speed rail project is strong and continues to grow.” He emphasized that today’s procurement formalizes efforts to partner with private investors and developers, aiming to deliver California’s transformational program more effectively.
FOX Business correspondent Max Gorden discusses California leaders’ efforts to construct a high-speed rail system on ‘Varney & Co.’
CLICK HERE TO DOWNLOAD THE FOX NEWS APP
Choudri concluded, “By leveraging private sector innovation and best practices against strong, stable state funding, we can maximize the value of California’s investment and accelerate delivery of high-speed infrastructure throughout the state.” The CHSRA reported that 171 miles of the project are currently under design and construction between Merced and Bakersfield, with nearly 80 miles of guideway already completed.
