California sues Trump admin over decision to cancel $929M in funding for bullet train project

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California is suing the Trump administration over its decision to cancel the previously awarded $929 million in funding for the state’s bullet train project.

Last week, Federal Railroad Administration (FRA) terminated its cooperative agreement with the California High-Speed Rail Authority (CHSRA). The cancelled agreement included the $929 million in funding for the bullet train project.

The FRA explained that the reason for the cancellation was the CHRSA’s repeated failure to comply with the terms of the agreement and to make reasonable progress on the project. The agency also stated that it is considering “all options” to seek the reimbursement of $2.5 billion in federal funds already given to California for the bullet train project.

California Bullet Train Project
Conceptual rendering of the California High-Speed Rail project.

California argues FRA’s action was politically motivated

In response, Gov. Gavin Newson criticized the FRA’s action as “illegal and a direct assault on California.” He also emphasized that Congress appropriated that money for California and his administration will “vigorously defend it in court.”