The Trump administration is threatening to revoke $4 billion in federal funds from California’s long-delayed high-speed rail project, citing broken promises and failure to meet grant conditions.
Key Facts:
- The original rail project was intended to span 800 miles from San Francisco to Los Angeles but was scaled down to 170 miles between Merced and Bakersfield.
- Transportation Secretary Sean Duffy said California’s project violated terms of its federal grants, totaling $4 billion.
- The Federal Railroad Administration listed nine major failures in a compliance report, including missed deadlines and budget gaps.
- California has 37 days to dispute the claims or risk losing funding.
- The scaled-back project is now projected to be completed by 2033 at a cost of $35 billion.
The Rest of The Story:
California’s high-speed rail effort, once a bold vision to revolutionize travel across the state, is now in jeopardy of losing critical federal support.
The Trump administration, through the Department of Transportation, has accused the California High-Speed Rail Authority (CHSRA) of failing to meet key obligations tied to its federal funding.
A recent compliance review revealed nine violations ranging from missed construction deadlines to lacking the necessary funds to complete the project.
Acting Federal Railroad Administrator Drew Feeley stated bluntly that CHSRA is misusing both state and federal resources.
The state has 37 days to challenge the findings, or the $4 billion in grant money may be redirected elsewhere.
In response, California officials said they “strongly disagree” with the accusations and remain committed to finishing the scaled-down 170-mile route.
But this is a far cry from the original 800-mile goal, and even the revised project has faced repeated delays and financial woes.
.@SecDuffy on his new report exposing the lack of any viable path forward for California’s High-Speed Rail:
"Not one high-speed track has been laid, and we're $16 billion in 17 years into the project. And again, this has all the markings of a boondoggle." pic.twitter.com/tRdvCConkL
— Conservative War Machine (@WarMachineRR) June 4, 2025
Commentary:
California’s high-speed rail has become a textbook example of how government mismanagement turns bold promises into expensive disasters.
When voters approved the idea in 2008, they were told it would connect Los Angeles to San Francisco in under three hours.
It was supposed to be done by 2020 for $33 billion.
What’s left today is a shell of that vision—a 170-mile segment between two low-traffic Central Valley towns that might not be ready until 2033.
The cost has ballooned to $35 billion, just for that small stretch.
That’s more than the original estimate for the entire 800-mile route.
The California High-Speed Rail Authority claims this project will serve 6.6 million passengers annually, but that’s wildly optimistic.
Merced and Bakersfield are not major travel hubs, and few people are clamoring for faster access between them.
Federal officials are finally drawing a line.
Secretary Duffy and Administrator Feeley are right to question how this project continues to receive funding when it repeatedly fails to meet basic milestones.
At some point, taxpayers deserve accountability.
This isn’t just a delay; it’s a multi-decade boondoggle that’s already burned through billions.
The argument that California deserves more time and money to “correct the record” is laughable.
The project is already 13 years past its original schedule and has become a financial black hole.
If California can’t build a 170-mile train line without tripling its cost and blowing past every deadline, what justification is left for federal support?
This isn’t just a California problem—it’s a warning for the rest of the country.
When states push massive infrastructure dreams without serious planning, oversight, or accountability, they shouldn’t expect a blank check from Washington.
If this project ever gets finished, it should be done entirely on California’s dime, not the nation’s.
The Bottom Line:
California’s high-speed rail project is teetering on the edge after years of cost overruns, missed deadlines, and a shrinking vision.
The Trump administration is demanding accountability and threatening to pull $4 billion in federal funding.
Given the project’s dismal track record, it’s time to question whether federal taxpayers should be forced to subsidize a train that may never leave the station.
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