Passenger High Speed California sues over FRA cancellation of high speed funding

California sues over FRA cancellation of high speed funding

By Trains Staff | July 18, 2025

| Last updated on August 2, 2025


Governor says termination of $4 billion is based on political retribution

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Man speaking at podium under banner marking California high speed rail construction
California Gov. Gavin Newsom speaks at a ceremony near Bakersfield, Calif., on Jan. 6, 2025, to mark the start of track laying for the California high speed rail project. Newsom announced Thursday, July 17, that the California High-Speed Rail Authority was suing over the cancellation of federal funds for the project. CHSRA

SACRAMENTO, Calif. — The California High Speed Rail Authority is suing the Trump administration over its termination of $4 billion in previously awarded federal funding for the state’s high speed project.

A press release from Gov. Gavin Newsom says the lawsuit alleges the Federal Railroad Administration’s termination of the funding is political retribution “motivated by President Trump’s personal animus toward California and the high-speed rail project, not by facts on the ground.” Newsom called it “another political stunt to punish California.”

The suit was filed Thursday in U.S. District Court in Los Angeles.

U.S. Transportation Secretary Sean Duffy announced the funds were being pulled in a July 16 Department of Transportation press release, saying in that release that Newsom and California Democrats were responsible for “enabling this waste,” and that the CHSRA’s “mismanagement and incompetence” showed the agency could not deliver the project [see “FRA kills funding …,” Trains News Wire, July 16, 2025]. The termination followed an FRA view that said the high speed project was in violation of the terms of its federal grants in nine key areas; the head of the CHSRA has disputed those findings.

Reuters reports that Duffy said earlier that he was confident the administration would defeat any legal challenge, and that a spokesman for Duffy said the suit was a plan to “waste even more taxpayer dollars.”

19 thoughts on “California sues over FRA cancellation of high speed funding

  1. If the “facts on the ground” included more “tracks on the ground” it is likely there wouldn’t be a funding pullback.

  2. I’m sure we’re all pro train on here but this seems like waste or people’s pockets being lined. Has the federal government asked for receipts on how the money has been spent, where it went. Maybe bring the Chinese over to build this. They seem to have built their high speed rail quicker and a lot more of it.

    1. “Maybe bring the Chinese over to build this. They seem to have built their high speed rail quicker and a lot more of it.”

      Not possible. A recent attempt by a Taiwan company to build a chip making facility in Arizona was frustrated by the following:

      – Americans are paid too much
      – Americans have too many permitting rules
      – Americans have too many unions
      – Americans have too many safety rules
      – Americans have building codes

      In an effort to “speed up” the building, the company (TSMC) attempted to import several hundred workers but were ineffective because they weren’t familiar with any of the rules and the building inspectors called them out.

      So any thought that a Chinese firm could do more, better, faster is a fallacy.

    2. “…this seems like waste or people’s pockets being lined.” In this case, both end up being true…

  3. I would sue; I get trains running instead this decade, can be done. The current state rail plan is for twelve San Joaquins by 2030 (helped be the civil works of the Valley Rail Program) with six to Oakland and six to Sacramento. Merge HSR into the existing Intercity Rail service, run from Madera to Shafter on new HSR tracks using dual-power electro-diesel high-speed trains (like in Spain). People don’t want the most amazing train ever decades from now, they want better trains this decade!

    1. This project was DOA from the get go. The minute it’s destiny was put in the hands of consultants, any hope of getting it built quickly went out the window. Newsom’s presser about the start of laying track was just an effort to put lipstick on a pig. This was a big idea but was not executed like a real project. The only people that came out ahead on this boondoggle were the consultants and a few contractors. Questions is: Will they ever get paid. WIth Pacific Palisades and Altadena lying in ruins, perhaps Gavin Newson should worry more about the people without homes that the few who might ride a train 40 years from now, if then… An epitaph of his legendary failures as a government leader…

  4. The pity is that if all these billions of dollars that have been wasted were spent instead to improve conventional higher speed rail we might have something useful by now. Like food service on the San Joaquin trains for a beginning.

    1. Typical liberal stuff: waist billions of $$; give millions of $$ (allegedly) to supposed “Union” workers; what a HOOT, watch out for BS “Southern California” territory of Spotted Owls; what carpe deim’

      Questions: How long has this boondoggle been ongoings?

      How many miles of ACTUAL trackage been laid?

      What poop

    2. Easy answer: ZERO. EVen the track at the Newsom presser brought in for that occasion was snap track, built off site.

    3. “Ven the track at the Newsom presser brought in for that occasion was snap track.”

      Does ATLAS get a cut then?? (snark?)(ME??)

  5. While agreeing with Mr. Landey, I would add retirbution, my foot. This has been a classic boondoggle since it’s inception, with a 1300% overrun and counting for negligble results. No surprise to Trains readers who, if I remember correctly, predicted the outcome if not every step back in ’08. In the words of comedienne Elayne Boosler “A fortune pissed away on this one.”

  6. One more lawsuit (it’s added up to a million by now) that puts the court into the legislative arena.

    California wants the court to decide whether or not the withholding of funds is good and just. That’s not what courts are for. That is not within the jurisdiction of the court. The only issue before the court ought to be whether or not the federal administration has the legal power to withhold the funds.

    1. So by your logic, if the court’s rule in favor of the Trump administration, the next president can unilaterally defund anything and everything the Trump administration funded? Helluva a way to fund much of anything.

    2. Lots of waste in Texas, they cut taxes, then don’t invest in flood control or warnings, I say we defund them! 😀

    3. MACK — Thanks for your reply. Actually I DID NOT say Trump can legally withhold the money. That’s for the court to decide. What I did say is that the court’s decision has to be on the basis of the law, not on whether or not the judges like the project.

    4. If they would remove the delays caused by too many regulations and streamline the permit procedures, the resulting cost savings could be enormous. Trump can do it with a sharpie.

    5. You forget…we are talking about a state whose government exists to regulate. That is why it will take forever for any homes destroyed by fire in Pacific Palisades or Altadena to get approval to rebuild. The current process takes two years minimum. And they thought they could easily build this HSR? NOT IN CALIFORNIA!

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