California Ends Lawsuit Aiming to Restore Federal Funding for Bullet Train Project
California Drops Lawsuit over Federal High-Speed Rail Funding
California has officially withdrawn its lawsuit against the Trump administration regarding the withdrawal of $4 billion in federal funding for the state’s high-speed rail project, which has faced significant delays.
In July, the U.S. Transportation Department cut financing for the bullet train envisioned to link San Francisco and Los Angeles. The former administration criticized the California High-Speed Rail Authority, stating it had “no viable plan” to complete a major segment of the project in the Central Valley, an agriculturally rich area.
Following the funding cut, California officials swiftly initiated legal action. Governor Gavin Newsom denounced the decision, labeling it “a political stunt to punish California.”
This week, the California High-Speed Rail Authority announced it would pivot its focus to alternative funding sources to advance the project, which is projected to exceed $100 billion in total cost. “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,” said an authority spokesperson.
The Transportation Department did not immediately respond to requests for comments on the situation. Both President Trump and Transportation Secretary Sean Duffy have previously expressed skepticism about the project’s viability, with Trump stating in July on his social media platform, Truth Social, that “The Railroad we were promised still does not exist, and never will.”
As the authority moves forward, it seeks private investors to support the bullet train initiative. Recently, it secured $1 billion in annual funding from the state’s cap-and-trade program through 2045. This program aims to reduce planet-warming emissions by setting limits for major polluters, requiring companies to either decrease their emissions or buy allowances to offset their environmental impact. Funds generated support various initiatives, including climate change mitigation, affordable housing, and transportation projects.
The rail authority views its decision to step away from federal funding as “a new opportunity.” A spokesperson stated, “Moving forward without the Trump administration’s involvement allows the Authority to pursue proven global best practices used successfully by modern high-speed rail systems around the world.”
