By Los Angeles Times (TNS) reporter Colleen Shalby
With a Trump administration makeover imminent, California’s long-held goal of connecting Los Angeles and San Francisco by high-speed rail is once again in jeopardy.
The current rail project is projected at almost $100 billion higher than the $33-billion budget the authority anticipated in 2008, and his chosen Cabinet officials and a congressman from California have pledged to withdraw government financing from it.
The project, which has failed to identify tens of billions of needed cash and has no clear timeframe for completion, would face yet another setback if federal financing were to be lost.
The Senate Transportation Committee head, Sen. Dave Cortese (D-San Jose), stated that the project’s longevity depends on a mix of private developer contributions and cap-and-trade.
“We will die under our own weight and never have an opportunity to blame the federal government for much of anything if we can’t come up with a formula like that, that adds up and gets us close to a full substantial budget for the project,” he said.
In the midst of debates over the duration of California’s cap-and-trade program, which has contributed to the project’s funding and is scheduled to expire in 2030, Cortese stated that private sector investment will be further examined.
Elon Musk and Vivek Ramaswamy, the project’s leaders, are searching for ways to save expenditure at Trump’s proposed Department of Government Efficiency. The project has already gotten $6.8 billion in federal money, and the authority has requested an extra $8 billion, according to the article. Earlier this year, Musk claimed that high-speed rail had been funded with billions of dollars for essentially nothing.
Additionally, the House Transportation and Infrastructure Committee’s member, U.S. Representative Kevin Kiley (R-Rocklin), revealed plans to file legislation that would reduce government funding for the project.
According to Kiley, high-speed rail is a startling waste of public resources that won’t be able to satisfy the transportation demands of the present or the future. The project is on life support because of that federal funding.
Trump rescinded a $929 million grant from the Obama administration in 2019 after complaining earlier this year that the United States lacks high-speed rail. That funding was reinstated by the Biden administration, which also committed to giving California an additional $3.1 billion last year. According to the authority, even though those money were approved, they haven’t been used yet. Trump’s Republican-led Congress may attempt to change direction once more.
In a statement, U.S. Senator Alex Padilla, who assisted in obtaining federal financing last year, stated that he is ready to take all necessary steps to safeguard existing funding and stop federal high speed rail investments from being rescinded.
The necessity for environmentally friendly transportation choices in the state has been cited by supporters as a key justification for continuing the project.
Over 25 nations, the majority of which are smaller than California, have long had quick, safe, and clean high-speed rail systems. According to Andy Kunz, president and CEO of the U.S. High Speed Rail Association, we should be setting the standard for the rest of the world, not following it.
Progress has been made. A 119-mile section of the rail project is now under construction in the Central Valley, with ambitions to expand into Merced and Bakersfield. More than 14,000 employment have been supported by the project, which has been essential to local communities’ aspirations to revitalize and grow business districts. According to the authority, its primary responsibility is to put this section of the line into service between 2030 and 2033.
Following the board’s certification of the final evaluation of a critical Palmdale-to-Burbank portion that had encountered opposition, the whole route from Los Angeles to San Francisco was environmentally cleared for construction earlier this year.
Annie Parker, the deputy director of communications for the authority, said in a statement that more than $11 billion has been invested in the project, resulting in a total economic benefit of $18 billion in underprivileged Central Valley towns and throughout the state. The Authority is aggressively seeking further money and is steadfast in its commitment to advancing this historic project.
The project still faces uncertainty in spite of these actions. As corporate travel across state lines has declined in the era of remote work, so too have ridership forecasts. Some of the project’s original backers are no longer interested. Additionally, a common complaint at board meetings is that, despite federal assistance, significantly more funding has not yet been allocated for the rail system than is currently available.
Board members, advisors, and former CEO Brian Kelly have all acknowledged the need for answers on numerous occasions.
In order to finish some parts of the project, officials have been frequently advised by the state-appointed high-speed rail peer review panel that advises the authority to close the widening financial gap and think about altering the original proposal’s plans.
Lou Thompson, the veteran board chair who recently retired, stated that there are off-ramps here if someone insists on being taken.
According to the peer group, the project has not only tripled in cost from its initial proposal, but it will also take a lot longer to complete, fail to fulfill journey times, and transport fewer passengers—all of which are in violation of the promises made to voters.
The group has suggested that the authority review its rationale for extending project funding and take scope changes into consideration.
One option, according to Marc Joffe, a visiting fellow at the California Policy Center, would be to finish the first 119 miles of the track, from Madera to Shafter, and then link it to the current Amtrak service.
It seems pointless to me to finish the line without connecting it. Will anyone be able to make it to the train? He said that using the 119-mile right-of-way as a route for cyclists, e-bikers, and scooter riders would be an additional choice.
According to Joffe, the project is not the same as the one that Californians voted on more than 15 years ago, regardless of whether it sticks to its current designs or is changed in light of its funding instability.
The possible funding loss will only make the train problem worse, according to William Ibbs, a civil engineering specialist and the peer group’s incoming chair.
“I do anticipate that there will be some belt-tightening and some rerouting of funding and priorities given the new administration and given our overall fiscal situation at the government level,” Ibbs stated. As it was, they lacked a consistent source of funding. This will just make things more difficult.
The state has been crucial to the project’s success, according to Ethan Elkind, a rail specialist and director of the climate program at UC Berkeley Law’s Center for Law, Energy, and the Environment.
Compared to roadways, there is a bias against federal investment for rail. According to Elkind, California is essentially handling it alone. He also mentioned that state and local governments handle project permitting, preventing federal intervention.
“It just comes down to getting the money to get it done,” he remarked.
According to Thompson, there has always been an issue with that lack of financial stability, and even those in positions of authority have concurred.
First and foremost, make sure you have thoroughly examined your dream. Before you begin, be sure you have the funds. “Because once you start, you’re in trouble right away if you don’t have the money,” he remarked.
And that’s precisely what took place.
Los Angeles Times, 2024. Click here: atlatimes.com. Tribune Content Agency, LLC is the distributor.
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