California High-Speed Rail Grant Request Totals $395.8M

California high-speed rail federal funding is once again being sought by the state authority for Central Valley construction, despite the Trump administration’s withdrawal of $4 billion last year.

California high-speed rail federal funding request

The California High-Speed Rail Authority said Tuesday that it had applied for “approximately” $500 million through the Federal Railroad Administration. On Thursday, it clarified that the request is actually for ⁠$395.8 million in federal funding, with a $99 million state match.

The application follows last year’s rescission of $4 billion by the same federal agency under the direction of Transportation Secretary Sean Duffy, who was appointed by President Donald Trump. The authority has also acknowledged that another $242 million in remaining federal funding could be withdrawn.

At the authority’s June 24 board meeting, chief financial officer Jamey Matalka addressed the possibility of obtaining further federal assistance.

“There is definitely some opportunity left,”

The continued search for federal money reflects CEO Ian Choudri’s effort to secure funding wherever it may be available, whether from federal and state sources or the private sector. Choudri has warned that cash-flow constraints could keep the authority from meeting its Central Valley deadlines or quickly expanding beyond the region.

Federal funding has been a point of contention since Trump’s first presidential term. His administration withdrew $1 billion from the project, but the money was later restored under President Joe Biden. Trump has repeatedly criticized the railway over its delays, rising costs and focus on the Central Valley segment, which he has called a “train to nowhere.”

California has provided more than 80% of the $15 billion spent on the project so far. During a recent visit to Fresno, Choudri told The Bee that “we do want” a federal partnership. He noted that successful high-speed rail systems in other countries have received support from their national governments.

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Grant request covers the Madera–Merced extension

The authority is seeking funding through the Federal Railroad Administration’s ⁠Consolidated Rail Infrastructure and Safety Improvements Program, which has reserved $532 million for projects in rural areas.

Matalka told the board that the requested funding would help extend the system from Madera County to Merced. The authority has already begun ⁠looking for contractors to build the civil infrastructure for the 30-mile segment.

Construction is expected to begin late next year, and the project could cost $2.4 billion.

The authority also meets monthly with the Federal Railroad Administration to provide updates on its obligations connected with the federal money it still holds. Matalka acknowledged that another rescission remains possible, although he said federal officials had not “so far” commented that they intended to pursue one.

Duffy justified last year’s $4 billion withdrawal by arguing that the authority had violated the terms of two federal grant agreements. The money had been allocated to Central Valley projects, including the downtown Fresno station and the Merced extension.

The authority dropped its lawsuit against the federal government in December. However, it continues to describe last year’s $4 billion rescission as “illegal.”

Choudri calls for continued federal cooperation

In a mid-June interview, Choudri highlighted the progress already made on California’s high-speed railway in the Central Valley and invited federal representatives to inspect the work.

“I invite our federal partners to come and see, and then work with us, collaborate with us,”

He rejected the idea that the railway is “about politics,” describing it instead as a “public infrastructure project.” Referring to high-speed rail development in Europe and Japan, Choudri said it is “always the national government that commits.”

“The administrations change over time, but the programs keep moving,”

“Treat this as the American infrastructure project, and then we will provide you all the information you need.”