‘A Disaster’? CA Bullet Train Now Under New Federal Review

CALIFORNIA — A costly 400-mile high-speed rail project that promised to carry passengers between the Bay Area and Los Angeles has come under scrutiny and is being investigated by the Trump Administration, federal officials announced Thursday.

Officials aim to determine whether $4 billion in federal taxpayer dollars should remain committed to the project, which would carry passengers between cities in the Central Valley and in another segment, from downtown San Francisco to LA, according to U.S. Transportation Secretary Sean Duffy, who was in Los Angeles on Thursday morning to discuss the rail project.

"People were excited. They were thrilled to take people off the road, out of the air and put them on rail," Duffy said during a news conference at Union Station in downtown L.A. "Where are we today? Well, today, we are severely — no pun intended — off track."

While the SF to LA project was slated to be completed in 2020 and cost $33 billion, the latest estimate for that portion has ballooned to $106 billion, Duffy said. The plan's Merced-to-Bakersfield segment would also cost more than the original total.

A recent estimate by the California High Speed Rail Office of the Inspector General noted the Merced-to-Bakersfield segment has a funding gap of at least $6.5 billion, despite California being set to receive more than $4 billion from the Biden Administration.

Duffy has ordered the Federal Railroad Administration to investigate the California High-Speed Rail Authority to decide whether the funding is merited.

“For too long, taxpayers have subsidized the massively over-budget and delayed California High-Speed Rail project,” Duffy said in a release Thursday. "President Trump is right that this project is in dire need of an investigation."

Duffy says the audit will determine whether "CHSRA has followed through on the commitments it made to receive billions of dollars in federal funding."

The investigation could ultimately result in those funds being redirected to other infrastructure projects in the country, he said.

In a statement, CHSRA CEO Ian Choudri said that "We welcome this investigation and opportunity to work with our federal partners."

"With multiple independent federal and state audits completed, every dollar is accounted for, and we stand by the progress and impact of this project," Choudri continued.

He mentioned that 171 miles of rail are under active construction, with more than 50 major structures completed. The project has also created 14,600 jobs and engaged with more than 880 small businesses.

Addressing the public with Duffy on Thursday morning, Republican Rep. Kevin Kiley called the project a "disaster" and said it is "the worst public infrastructure failure in U.S. history."

His remarks were met with loud "boos" and protest from a crowd in attendance. Kiley raised his voice to be heard through the shouting and chanting.

Protesters chanted "We are taxpayers. Ask us what we want" and "Build the rail" loud enough to disrupt the secretary's remarks.

Kiley said he has introduced legislation to "cut off all federal funding" for high-speed rail in California going forward. "If we cut off federal funding — we kill the project."

Earlier this month, Trump reportedly said that he would like to investigate the California project.

"It's the worst managed project I think I've ever seen, and I've seen some of the worst," the president said, according to Fox News.

CHSRA officials refuted Trump's claims. In response, they noted that of the approximately $13 billion spent on the project, $10.5 billion comes from the state and those expenditures had more than $22 billion of "economic impact."

"Every dollar of the project is accounted for and has been thoroughly reviewed by the independent Office of the Inspector General, whose sole focus is improving oversight and accountability of the California High Speed Rail project.

Meanwhile, Duffy noted that another high speed rail project underway in California, managed by Brightline, was "impressive" and stood in contrast to the SF to LA project. Brightline West plans to begin service between Rancho Cucamonga and Las Vegas by 2028.

Despite uncertainty on the project's timeline and cost, a recent Emerson College poll revealed that a majority of Californians who responded were still in favor of the SF to LA bullet train.

City News Service contributed to this report.