The Trump administration says it intends to cancel a $929 million federal grant for California's high-speed rail project. The administration also wants to reclaim another $2.5 billion in federal funds already spent by California on the project.
The Department of Transportation is accusing California officials of missing several deadlines tied to the $929 million appropriation for the state's high-speed rail line.
In a letter from the Federal Railroad Administration to the California High-Speed Rail Authority, the federal officials say they will terminate the grant effective March 5.
The FRA letter adds that the agency is concerned that California is changing its original plan to "connect San Francisco in the north and Los Angeles and Anaheim in the south."
In his state of the state address last week, Gov. Gavin Newsom, a Democrat, proposed to scale back the project and focus on completing a link in the Central Valley between Bakersfield and Merced.
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05.05.2025