SACRAMENTO, Calif. (AP) — A long-term initiative connecting San Francisco and Los Angeles aims to provide non-stop rail service within three hours, potentially securing the essential private funding if California agrees to compensate investors.
Ian Choudri, appointed CEO of California’s High Speed Railroad Bureau in August, is charged with reviving the country’s most extensive infrastructure project. Rising costs and concerns over the Trump administration could reduce $4 billion in federal funding.
“We launched this project, but we haven’t yet succeeded,” Choudri explained, reflecting on his transition from a European highway system. “This is why I decided to step in, to turn it around and bring it back to where it should be. Once we solve the issues, stabilize the funding, and commit to proceeding, we’ll demonstrate to the world that we can achieve this.”
Ironworkers from the California High Speed Railroad Bureau work on the Hanford Viaduct on Tuesday, April 15, 2025 in Kings County, California (AP Photo/Godofredo A.Vásquez)
Voters approved $100 billion in bonds in 2008, covering about a third of the estimated costs with the promise of trains running by 2020. However, no tracks exist past that deadline.
Funding Challenges
The current price of the project exceeds $100 billion, significantly higher than original estimates. It is mainly funded through state-backed bonds and proceeds from the state’s cap-and-trade program, with less than 25% coming from the federal government.
Approximately $13 billion has already been spent, and state authorities need to develop a funding strategy for the Central Valley segment by mid-2026, according to the office of the inspector overseeing the project, as well as funding from bonds.
Gars Fernandez, Central Valley Regional Director of the California High Speed Railroad Bureau, discusses the Cedar Viaduct in Fresno, California on Tuesday, April 15th, 2025 (AP Photo/Godofredo A.Vásquez)
“Project managers never had adequate funding, let alone the expectation of instability,” stated Luthumpson, who led the peer review group evaluating the state’s high-speed rail plans.
Loss of federal funds “demands a serious reconsideration of our strategy for the next four years,” he mentioned.
Railway leaders are in discussions with Gavin Newsom’s administration and state legislators about securing private investments. Choudri added that without private sector funding, the state might need to resort to federal loans or issue new bonds. At a January industry forum, private investors expressed interest in the project but indicated a need for some form of assurance.
Choudri advocates for a plan that would ultimately commit the state to repay private investors with interest, allowing the state more time to cover expenses.
Some Democrats are hopeful about the future of the project, although no proposal for additional funding has been disclosed in Congress this year.
State Legislature Democrat Rebecca Bauer Kahan mentioned at a budget hearing Wednesday that her colleagues “overwhelmingly believe in it.”
Choudri intends to present lawmakers with updated timelines and costs this summer.
An Ambitious Vision
Choudri’s goal is to realize the original vision of building a pioneering system, already common in Europe and Asia. It seeks to stimulate economic growth, decrease emissions from cars and planes, and save drivers travel time.
The system aims for speeds up to 220 mph (354 km), making it the quickest ground travel option available.
Amtrak’s Acela train offers speeds up to 150 mph (241 km) to major cities including New York, Boston, and Philadelphia. Another rail line in Florida serves up to 125 mph (201 km) from Orlando to Miami.
The Hanford Viaduct Construction Site is visible in an aerial view of Kings County, California on Tuesday, April 15th, 2025 (AP Photo/Godofredo A.Vásquez)
Construction is progressing on high-speed systems, chiefly funded by private investment, to transport riders from Las Vegas to Southern California.
The construction in California is still incomplete, with only 22 out of 119 miles (192 kilometers) in Central Valley prepared for the track laying phase, which is not scheduled to start until next year.
Completing this section is merely a preliminary step. The rail must then extend north towards the San Francisco Bay Area and south to Los Angeles. Choudri envisions finishing it in Gilroy, roughly 70 miles (113 km) southeast of San Francisco. Current public transport necessitates at least one train trip and an additional entry to the city.
To the south, a stop in Palmdale is envisioned, 37 miles (60 km) northeast of Los Angeles, which requires over an hour’s drive along existing rail lines to reach the city.
“In an ideal world, you’d construct it all at once in a warehouse and drop it in place to everyone’s satisfaction,” Choudri remarked. “However, the program unfolds in stages, and that’s precisely what we are executing now.”
Future Concerns
Critics assert that the project may never reach completion, potentially leaving behind extensive, unusable structures across the state’s agricultural heartland. Over 50 constructions, including underpasses, viaducts, and bridges, are already in place.
The Cedar Viaduct, designed for high-speed trains on Cedar Avenue and North Avenue, as well as State Route 99, provides aerial views in Fresno, California on Tuesday, April 15th, 2025 (AP Photo/Godofredo A.Vásquez)
“We’re currently spending billions with minimal progress,” stated Republican state Sen. Tony Strickland, vice-chair of the Senate Transport Committee.
Kings County Board of Supervisors Chairman Doug Barboon has legally contested the High Speed Railroad Bureau over the loss of farmland caused by the project but noted that the most frustrated individuals are long-time supporters.
“It seems like the state government is not in a rush to complete this,” he remarked.
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Austin is a member of the Associated Press/Report’s American State University News Initiative. American Report is a non-profit, national service program putting journalists in local newsrooms to address crucial issues. Follow Austin on X: @sophiedanna
Source: apnews.com