It will take Elon, Vivek and President Trump to save California from wasting $200 billion and from bankruptcy. California has a massive deficit, that in two years will go over $30 billion. This year the real deficit was $80 billion. Think the people of California will pay more? It looks like Washington will cut off this scandal plagued boondoggle.
“Originally estimated to cost $33 billion in 2008, costs of the high speed rail system have ballooned to well over $100 billion, whittled down to $98 billion, then cut to $68 billion, and back up to $113 billion, to $128 billion, and up again to $135 billion. Completion dates have also been continuously delayed, with the original goal of the system traveling from San Francisco to Los Angeles by 2028, to well into the 2030’s for a partial completion. Despite numerous setbacks, and more Californians calling the plans into question, construction on the Bakersfield to Merced leg have continued on for the last several years, with overall support for the program still just above 50% in the state and the federal government pouring billions into the project as well.
At the beginning of this year, construction estimates were at $128 billion to $135 billion, with estimated partial completion still being in the 2030’s. However, California High Speed Rail Authority (CHRSA) CEO Brian Kelly told lawmakers in March that more is needed. In the short term, the $28 billion allocated to connect Bakersfield with Merced as part of phase one would be falling short of what is needed. The cost is now set between $32 Billion and $35 Billion for an estimated opening between the years 2030 and 2033. Kelly also asked the Governor to prioritize the project and asked lawmakers to send some rainy day funds towards the project to help finish the first leg. Longer-term, Kelly shocked both Republicans and Democrats by saying that, according to the latest updated draft plan, at least another $100 billion in total would be needed to complete the total linkup between San Francisco and Los Angeles.”
Upcoming Department Of Government Efficiency to Take Aim at California High Speed Rail
DOGE & Trump will likely cause an even more inflated budget, longer delays for California High Speed Rail
By Evan Symon, California Globe, 12/6/24 https://californiaglobe.com/fr/upcoming-department-of-government-efficiency-to-take-aim-at-california-high-speed-rail/
Expected Department of Government Efficiency (DOGE) Co-Commissioner Vivek Ramaswamy confirmed on Thursday that DOGE will be looking at removing all-funding from the California High Speed rail project, with Ramaswamy particularly concerned about the project still looking for $100 billion to be completed.
Originally estimated to cost $33 billion in 2008, costs of the high speed rail system have ballooned to well over $100 billion, whittled down to $98 billion, then cut to $68 billion, and back up to $113 billion, to $128 billion, and up again to $135 billion. Completion dates have also been continuously delayed, with the original goal of the system traveling from San Francisco to Los Angeles by 2028, to well into the 2030’s for a partial completion. Despite numerous setbacks, and more Californians calling the plans into question, construction on the Bakersfield to Merced leg have continued on for the last several years, with overall support for the program still just above 50% in the state and the federal government pouring billions into the project as well.
At the beginning of this year, construction estimates were at $128 billion to $135 billion, with estimated partial completion still being in the 2030’s. However, California High Speed Rail Authority (CHRSA) CEO Brian Kelly told lawmakers in March that more is needed. In the short term, the $28 billion allocated to connect Bakersfield with Merced as part of phase one would be falling short of what is needed. The cost is now set between $32 Billion and $35 Billion for an estimated opening between the years 2030 and 2033. Kelly also asked the Governor to prioritize the project and asked lawmakers to send some rainy day funds towards the project to help finish the first leg. Longer-term, Kelly shocked both Republicans and Democrats by saying that, according to the latest updated draft plan, at least another $100 billion in total would be needed to complete the total linkup between San Francisco and Los Angeles.
Since March, the “$100 billion behind” number has remained largely unchanged. But the grand scale of the project has only invited more criticism. Following Donald Trump’s victory last month and his proposal of forming DOGE, the cost of the High Speed Rail project has once again fallen under federal crosshairs. Previously, Trump had cancelled around $1 billion in funding for the project when he was still in his first term, only for President Joe Biden to bring it back, along with an extra $300,000. But now, all federal funding was being proposed for the chopping block.
Late last month Ramaswamy pointed out on X that “This is a wasteful vanity project, burning billions in taxpayer cash, with little prospect for completion in the next decade. President Trump correctly rescinded ~$1BN in federal funds for this boondoggle in 2019, but Biden reversed that & doubled down. Time to end the waste.”
This led to Thursday when proposed DOGE co-Commissioners Ramaswamy and Elon Musk were in Washington talking to GOP leadership about the proposed DOGE. Potential targets were discussed, with California High Speed rail being one of them, along with Medicare, Social Security and electric vehicle subsidies.
While California lawmakers have yet to publicly respond to a possible cut of all federal funds for the high speed rail project as of Friday afternoon, critics of the high speed rail plan have said that federal cuts of that magnitude would put the project in a real bind, perhaps even delaying opening of it further into the 2030s.
“If DOGE does become reality and they deliver on their promise on getting rid of all federal funding for the project, then the state will have to deal with that shortfall,” transportation industry accountant Derrick Clark told the Globe Friday. “Right now, the project is trying to get $4.7 billion in federal grants to stay at their current spending levels. Biden is likely to get them $200 million of that before leaving office, leaving it up to Trump to approve the other $4.5 billion in grants. And that he is likely not going to do, especially if DOGE highlights that.
“And that adds up each year. Last year at this time, the federal government gave $3.1 billion in grants to high speed rail. If we’re talking billions each year, that means that, under Trump, we’re talking billions and billions more being blocked. And covering those shortfalls falls right back on the state. And that means an even more inflated budget and more opening delays.”
Potential DOGE officials and Trump have yet to confirm if they won’t approve the needed $4.7-$4.5 billion in funding, although it is likely that they will.
