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US sees no viable path for California High-Speed Rail project, may rescind $4 billion

ReutersJun 4, 2025 1:23 PM

- The Trump administration said Wednesday there is no viable path forward for California's High-Speed Rail project and warned it may rescind $4 billion in government funding in the coming weeks.

The U.S. Transportation Department released a 315-page report from the Federal Railroad Administration that cited missed deadlines, budget shortfalls and questionable ridership projections. One key issue cited is that California has not identified $7 billion in additional funding needed to build an initial segment between Merced and Bakersfield, California.

USDOT gave California until mid-July to respond and then the administration could terminate the grants.

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