OAKLAND, Calif. — The California High-Speed Rail Authority has dropped its lawsuit against the Trump administration concerning the loss of $4 billion designated for the state's beleaguered high-speed rail project.
In July, the U.S. Department of Transportation halted funding for the ambitious bullet train aimed at connecting San Francisco to Los Angeles, claiming the California High-Speed Rail Authority lacked a viable plan for completing a critical segment in the agricultural-central Central Valley. Following this, the Authority filed legal action against the federal government, which Governor Gavin Newsom termed a political tactic intended to punish California.
In a recent statement, the rail authority stated that it would now pursue other funding avenues necessary to fulfill the project's extensive budget, which exceeds $100 billion.
This move reflects our assessment that the federal government is not a reliable, constructive or trustworthy partner in advancing high-speed rail in California, said a spokesperson for the Authority.
Trump's administration had criticized the project, labeling it as a train to nowhere and stating that it was overpriced and overregulated. The Railroad we were promised still does not exist, and never will, he expressed on social media.
The California High-Speed Rail Authority is shifting its focus to private investments to sustain the project amid the withdrawal of federal support. Recently, they secured $1 billion each year through a state cap-and-trade program until 2045 to help fund transportation and climate-change mitigation projects.
According to officials, the Authority's newfound independence allows exploration of international best practices implemented by successful high-speed rail systems globally.
