California drops lawsuit seeking to reinstate federal funding for the
state's bullet train
[December 27, 2025]
By SOPHIE AUSTIN
OAKLAND,
Calif. (AP) — California this week dropped a lawsuit officials filed
against the Trump administration over the federal government's
withdrawing of $4 billion for the state's long-delayed high-speed rail
project. |
The Cedar Viaduct, designed to take high-speed trains over Cedar and
North avenues and State Route 99, is shown in an aerial view, Tuesday,
April 15, 2025, in Fresno, Calif. (AP Photo/Godofredo A. Vásquez, File) |
|
The U.S. Transportation Department slashed funds for the bullet
train aimed at connecting San Francisco to Los Angeles in July.
The Trump administration has said the California High-Speed Rail
Authority had “ no viable plan ” to complete a large segment of
the project in the farm-rich Central Valley.
The authority quickly filed a lawsuit, with Democratic Gov.
Gavin Newsom calling the federal government's decision “a
political stunt to punish California.”
The authority said this week that it would focus on other
funding sources to complete the project, which 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.
The Transportation Department did not respond to a request for
comment. President Donald Trump and Transportation Secretary
Sean Duffy have both previously criticized the project as a
“train to nowhere.”
“The Railroad we were promised still does not exist, and never
will,” Trump said on his social media platform Truth Social in
July. “This project was Severely Overpriced, Overregulated, and
NEVER DELIVERED.”
The authority's decision to drop the lawsuit comes as the group
seeks private investors to support the bullet train. The project
recently secured $1 billion in annual funding from the state's
cap-and-trade program through 2045.
The program sets a declining limit on total planet-warming
emissions in the state from major polluters. Companies must
reduce their emissions, buy allowances from the state or other
businesses, or fund projects aimed at offsetting their
emissions. Money the state receives from the sales funds
climate-change mitigation, affordable housing and transportation
projects, as well as utility bill credits for Californians.
The rail authority said its shift in focus away from federal
funding offers “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.
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