California dropped a lawsuit this week over the Trump administration‘s funding cuts for its high-speed rail project.
The state sued the administration in July after the Transportation Department cut $4 billion in funding for the project. Gov. Gavin Newsom (D-CA) called the cuts “a political stunt to punish California.”
The California High-Speed Rail Authority says it will now look elsewhere for funding. The project is estimated to cost more than $100 billion.
“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,” an authority spokesperson said in a statement.
Transportation Secretary Sean Duffy previously said the federal funding was canceled because of the administration’s lack of confidence that it would be done timely or efficiently.
“Federal dollars are not a blank check – they come with a promise to deliver results. After over a decade of failures, CHSRA’s mismanagement and incompetence has proven it cannot build its train to nowhere on time or on budget,” Duffy said.
President Donald Trump reflected Duffy’s sentiment, saying the bullet train “never will” exist.
“The Railroad we were promised still does not exist, and never will,” Trump posted on Truth Social in July. “This project was Severely Overpriced, Overregulated, and NEVER DELIVERED.”
The authority will seek funding from private investors and recently secured $1 billion in annual funding from the state’s cap-and-trade program through 2045.
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The rail authority says the shift away from federal funding constituted a “new opportunity.”
“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,” a spokesperson said in a statement.
