State argues right to sell high-speed rail bonds

Published May 23, 2014 9:59pm ET



SACRAMENTO, Calif. (AP) — Two lower court rulings that have complicated efforts to begin construction on California’s $68 billion high-speed rail system are premature and should be overturned, attorneys for the state argued before an appellate court panel Friday.

The arguments come after Sacramento County Superior Court Judge Michael Kenny ruled that the bullet train project no longer complies with the promises made to voters when they approved selling nearly $10 billion in bonds in 2008. Kenny’s rulings last November invalidated the sale of $8.6 billion in state bonds and required the state to write a new funding plan.

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