Trump Pulls Funding Plug on California's High-Speed Rail

The U.S. Transportation Department, under President Trump, is rescinding $4 billion in funding for California's High-Speed Rail project, citing no viable path forward. Issues include missed deadlines and budget shortfalls, while California contends significant progress has been made and vows to continue the project.

In a major blow to California's ambitious infrastructure plans, President Donald Trump announced the rescission of $4 billion in federal funding meant for the state's High-Speed Rail project. Citing challenges such as missed deadlines and budget shortfalls, the Transportation Department finds no feasible path forward.

The Federal Railroad Administration's recent report highlights key issues, including California's failure to secure an additional $7 billion for initial construction between Merced and Bakersfield. California, however, maintains it has made considerable strides, pointing to ongoing construction efforts and Governor Gavin Newsom's long-term funding plans.

Originally approved by voters in 2008, the project has faced escalating costs, now estimated up to $128 billion from an initial $33 billion. Despite this federal funding setback, the state intends to push forward, affirming its commitment to delivering high-speed rail along the west coast.

(With inputs from agencies.)