FRA report derails federal support for California High-Speed Rail

The U.S. Department of Transportation has unveiled a report for a compliance review on a long-anticipated high-speed rail (HSR) project in California.

The compliance review report, conducted by the DOT’s Federal Railroad Administration (FRA), proposes the termination of contract agreements with the potential to rescind previous grants worth nearly $4 billion. 

This report follows the FRA’s review of the California High-Speed Rail Authority’s (CHSRA) HSR project, which seeks to connect major and small communities throughout the state with fast, reliable and sustainable public transit service. While the project was originally estimated to cost approximately $33 billion, the project’s price has nearly tripled since its inception and completion dates have been delayed.

In a letter to the authority, CHSRA will have until the beginning of July to respond to the FRA’s report.

The final report on the project notes DOT and FRA funds total $6.9 billion for the project. Of which, $3.48 billion was intended for preliminary engineering and environmental review for the San Francisco-to-Los Angeles line and final design and construction on the 119-mile Madera-to-Bakersfield line.

However, the FRA’s compliance review only includes two grants that were previously distributed to CHSRA through the Federal-State Partnership for Intercity Passenger Rail program and the High-Speed Rail Corridors and Intercity Passenger Rail Service – Capital Assistance Grants program.

The FRA’s investigation identifies shortcomings in the infrastructure project, including chronic delays, unstable funding strategies and unrealistic and delayed projections. The review cites growing concerns about cost overruns, mismanagement and the project’s inability to meet timelines and budget expectations.

FRA’s report also estimates that CHSRA’s HSR corridor would not be viable, electrified or funded by the project’s completion date in 2033, while overestimating ridership projections for future service years.

Concluding the review, DOT officials are emphasizing a commitment to ensuring public funds are allocated to projects and spent responsibility. CHSRA will have 30 days from the date of receipt to respond to the FRA’s June 4 letter.

Photo Courtesy
Fresno Station Rendering
California High-Speed Rail Authority via Wikimedia Commons