Newsom announces next step for high-speed rail project

Feds pull $4B from California high-speed rail project

Trump called the project the "High Speed Train to Nowhere."

LOS ANGELES - California Governor Gavin Newsom has initiated a lawsuit against the Trump administration following the cancellation of over $4 billion in federal funding allocated for the state's high-speed rail project. 

What they're saying:

In a statement announcing the lawsuit on Thursday, Newsom condemned the federal decision, stating "Trump’s termination of federal grants for California high-speed rail reeks of politics. It’s yet another political stunt to punish California." 

PREVIOUS COVERAGE: Trump administration pulls $4 billion in federal funding for California's high-speed rail project

He continued, "in reality, this is just a heartless attack on the Central Valley that will put real jobs and livelihoods on the line. We’re suing to stop Trump from derailing america’s only high-speed rail actively under construction." 

Newsom also pushed back on Trump’s criticism, arguing that his administration illegally terminated federal grant agreements and that California’s project was ahead of others. 

He wrote, "trump wants to hand china the future and abandon the central valley. We won’t let him. With projects like the texas high-speed rail failing to take off, we are miles ahead of others. We’re now in the track-laying phase and building america’s only high-speed rail. California is putting all options on the table to fight this illegal action."

The other side:

Newsom defends high-speed rail project

Gov. Gavin Newsom responded to President Trump's attack on California's high-speed rail project.

Transportation Secretary Sean Duffy, however, justified the termination by citing "16 years of failure, no completed high-speed track, and escalating costs." He called the project a "train to nowhere" and a "boondoggle," stating, "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."

President Donald Trump echoed Duffy's sentiment on Truth Social, referring to the project as a "boondoggle" and stating, "to the law abiding, tax paying, hardworking citizens of the united states of america, i am thrilled to announce that i have officially freed you from funding california’s disastrously overpriced, 'high speed train to nowhere.'" 

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He added, "this boondoggle, led by the incompetent governor of california, gavin newscum, has cost taxpayers hundreds of billions of dollars, and we have received nothing in return except cost overruns. The railroad we were promised still does not exist, and never will." Trump concluded, "this project was severely overpriced, overregulated, and never delivered. Thanks to transportation secretary sean duffy, not a single penny in federal dollars will go towards this newscum scam ever again. This was an ill-conceived and unnecessary project, and a total waste of taxpayer money — but no more!"

The backstory:

The Federal Railroad Administration's decision to terminate $4 billion in unspent federal funding followed months of scrutiny and a comprehensive compliance review of the California High-Speed Rail project. 

A 300-page report, released in June, examined the project and found numerous deficiencies, including delays, missed deadlines, mismanagement, waste, skyrocketing costs, budget shortfalls, and an over-representation of projected ridership. 

PREVIOUS COVERAGE: California high-speed rail: $15.7B already invested in 'failed' project as Republicans criticize Newsom

Key findings also revealed ongoing contractor cost overruns due to delays and the California High-Speed Rail Authority's (CHSRA) failure to finalize contracts for its high-speed trainsets on time. 

The review highlighted that zero miles of high-speed track have been laid since ground was broken 10 years ago, despite ballooning costs.

Audience gets rowdy during CA high-speed rail update

Audience members lashed out as California Rep. Kevin Kiley called the project a failure. "California's high speed rail disaster is the worst public infrastructure failure in US history," he said.

What's next:

In addition to canceling the $4 billion in unspent federal funds, Duffy has directed the Federal Railroad Administration to review other obligated and unobligated grants related to the CHSRA project. 

California has stated it is "putting all options on the table" to fight the federal action, indicating further legal challenges are possible.