Skip to main content
New Year’s Sale — Build a balanced news diet with 40% off Vantage
Published loading...Updated

California Drops Lawsuit over Trump Pulling High-Speed Rail Funding

California commits $1 billion yearly through 2045 and seeks private investment to advance a 171-mile high-speed rail segment after dropping federal funding lawsuit.

  • California withdrew its legal challenge and the State of California will advance the California High-Speed Rail Authority project relying on state funding and private investment rather than federal grants.
  • After a federal review found serious compliance problems, USDOT and FRA terminated the $4 billion federal grant program, citing missed deadlines, budget shortfalls, and no viable path forward.
  • Legislators backed a $1 billion annual funding guarantee through 2045 via cap-and-invest, and HSRA says the Bakersfield–Merced 171-mile first operating segment will begin work by mid-2026 with service possible by 2032.
  • HSRA has solicited private partners and opened a solicitation earlier this month aiming to finalize partnerships by next summer, attracting dozens of private and international investors including six or seven large financiers with selection expected by May or June.
  • Political reaction split between seeing surrender and a path forward, as critics say `Governor Gavin Newsom` conceded defeat while supporters argue ending the suit could attract private funding, despite funding gaps and a $1.8 billion revenue shortfall from the cap-and-invest program.
Insights by Ground AI

13 Articles

Lean Right

California withdrew a lawsuit against the Trump administration for suspending US$4 billion in federal grants for high-speed rail design that moved passengers between San Francisco and Los Angeles. Authorities confirmed that they would focus on other sources of funding to complete the project.The reasons behind the withdrawal of the lawsuit against the Trump administrationAccording to AP, California authorities plan to continue the project withou…

·Buenos Aires, Argentina
Read Full Article
Think freely.Subscribe and get full access to Ground NewsSubscriptions start at $9.99/yearSubscribe

Bias Distribution

  • 43% of the sources are Center, 43% of the sources lean Right
43% Right

Factuality Info Icon

To view factuality data please Upgrade to Premium

Ownership

Info Icon

To view ownership data please Upgrade to Vantage

Politico broke the news in on Monday, December 29, 2025.
Too Big Arrow Icon
Sources are mostly out of (0)

Similar News Topics

News
Feed Dots Icon
For You
Search Icon
Search
Blindspot LogoBlindspotLocal