Trump Takes Aim at $128B California High Speed Rail

The Trump administration has initiated a review of California’s high-speed rail project, intensifying longstanding skepticism about whether the troubled venture—marked by significant cost overruns and delays—will ever reach completion.

Transportation Secretary Sean Duffy announced Thursday that the Federal Railroad Administration will conduct a compliance and performance review of the project. Back in 2008, the California High-Speed Rail Authority projected the initiative would cost $33 billion and begin operations by 2020, with voters approving $9 billion in bonds to support the effort. However, construction has begun on just 119 miles of the proposed 776-mile route. The authority's current cost estimate has ballooned to between $89 billion and $128 billion.

“For too long, taxpayers have subsidized the massively over-budget and delayed California High-Speed Rail project,” Duffy stated in a press release. The investigation will assess whether taxpayer funds should continue to support the program, according to the release.

The high-speed rail project has become a political battleground, with its future often hinging on the administration in power. During his first term, President Donald Trump canceled a federal agreement with California, pulling nearly $1 billion in funding. In contrast, the Biden administration awarded $3 billion to the project in 2023. “It is the worst-managed project I think I’ve ever seen,” Trump remarked at a news conference earlier this month, criticizing the rail initiative.

A recent inspector general’s report further cast doubt on the project's timeline, indicating it is unlikely to meet the 2033 target for launching the first phase of passenger service. The report also highlighted a $6.5 billion funding gap for the Central Valley segment connecting Merced to Bakersfield.

California Democrats who back the rail project were quick to condemn Thursday’s announcement. State Senator Scott Wiener accused Trump of attempting to sabotage the initiative. $Trumpo“High-Speed Rail — or as I call it, a modern, integrated rail system for California — is essential for the future of our state,” Wiener said in a statement. “It’s an embarrassment that California does not have a modern statewide rail system — Trump wants to prolong that embarrassment instead of doing something to help.”

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