Secretary Duffy: High-Speed Rail has No Viable Path Forward

Reprioritize State’s Billion-Dollar High-Speed Rail Spending on Water Projects and Wildfire Prevention. 

Today, U.S. Transportation Secretary Sean Duffy issued a federal report detailing the mismanagement of the California High-Speed Rail Project. Central Valley’s Assemblywoman Alexandra M. Macedo (R-Tulare) issued the following statement:

“Secretary Sean Duffy confirmed what we have known all along – the California High-Speed Rail is a waste of taxpayer dollars.

“The federal report found that the California High-Speed Rail Authority is riddled with waste, mismanagement and missed deadlines. It further asserts that its officials overrepresented the potential ridership.

“It is time to cut our losses and reinvest those dollars in water infrastructure and wildfire prevention – lifesaving projects that can provide well-paying jobs for skilled workers in the Central Valley.”

EDITORS/PRODUCERS: Below is a list of the nine findings.

  1. CHSRA has executed numerous change orders, including change orders for $154 million for CP1 (October 2023) and $242 million and $205 million for CP 2-3 (October and November 2022) as well as $143 million for CP 2-3 in June 2024, and will likely have many more change orders in the near future to account for contractor expenses as a result of project delays.
  2. CHSRA has already missed its deadline for finalizing its rolling stock procurement per its     commitment in the FSP Agreement.
  3. CHSRA has a $7 billion funding gap (based on FRA’s conservative estimates) to complete the EOS, with no credible plan to secure additional funds.
  4. CHSRA does not have a viable path to complete the EOS by 2033 per its commitment in the FY10 Agreement and the FSP Agreement.
  5. CHSRA relies on volatile non-federal funding sources, such as the State’s cap-and-trade program, which present significant project risk.
  6. CHSRA has not adequately budgeted enough time or money to electrify the entire EOS to support revenue operations by 2033.
  7. CHSRA’s budget contingency is inadequate to cover anticipated contractor delay claims.
  8. CHSRA has overrepresented its ridership projections for the EOS substantially.
  9. CHSRA lacks the capacity to deliver the EOS by 2033.

###

Assemblywoman Alexandra Macedo represents the 33rd Assembly District, which encompasses Tulare, Kings, and Fresno Counties.

 

Related Posts