California High-Speed Rail: $175M Funding Pulled

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Introduction

U.S. Transportation Secretary Sean Duffy announced yesterday that the Federal Railroad Administration (FRA) withdrew funding for four projects associated with California’s high-speed rail construction. This action eliminates an additional $175 million in federal funding. The FRA’s move follows its cancellation of $4 billion in federal funding previously awarded to the project.

Project Funding Cancellation

The Federal Railroad Administration (FRA) withdrew funding from four specific projects. These cancellations follow the FRA’s prior decision to cancel $4 billion in federal funding initially allocated to the project by President Joe Biden’s administration. Transportation Secretary Sean Duffy described the project as a “boondoggle.”

Transportation Secretary’s Statement

In a press release, Secretary Duffy stated, “In 20 years, California has not been able to lay a single track of high-speed rail.” He added, “The waste ends here. As of today, the American people are done investing in California’s failed experiment. Instead, my department will focus on making travel great again by investing in well-managed projects that can make projects like high-speed rail a reality.”

Affected Projects

The four projects that had their funding canceled are as follows:

• Le Grand overcrossing project on the Merced extension, with $89.6 million awarded to the California High-Speed Rail Authority.
• Southern San Jose grade separations on Monterey Road, with $7.5 million awarded to the city of San Jose.
• DTX final design for track and rail systems, with $24.7 million awarded to the Transbay Joint Powers Authority.
• Madera High-Speed Rail Station, with $54.5 million awarded to the California Department of Transportation.

Conclusion

The Federal Railroad Administration (FRA) has withdrawn funding from four California high-speed rail projects, totaling $175 million. This action comes after the cancellation of $4 billion in previously allocated federal funds. The U.S. Transportation Secretary stated the department would focus on alternative, well-managed projects.

Company Summary

Federal Railroad Administration (FRA): The FRA is a part of the U.S. Department of Transportation and oversees and regulates railroad safety.

California High-Speed Rail Authority: This entity is responsible for planning, designing, building, and operating the high-speed rail system in California.

City of San Jose: A city government in California.

Transbay Joint Powers Authority: The Transbay Joint Powers Authority is a public agency formed to design, construct, and operate the Salesforce Transit Center.

California Department of Transportation: The state agency responsible for the state’s transportation infrastructure.

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