California High-Speed Rail Project to Undergo Audit, According to US Transportation Chief

“President [Donald] Trump has given consideration to this project,” Duffy stated on February 20 during a press briefing at the historic Union Station in Los Angeles. “He was quite gracious in pointing out that this project has been poorly managed, and I concur.”

Duffy mentioned he would direct the FRA to examine the $4 billion allocated by the Biden administration for two construction initiatives in this section.

The review will assess how federal funds have been utilized and whether the state complies with federal terms, which will be integral in deciding if billions in taxpayer money should continue to be allocated, Duffy remarked.

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“We aim to ensure that the California taxpayer is aware that despite their enthusiasm for this project, [it’s] unlikely to come to fruition,” Duffy expressed. “There is no established timeline for a high-speed rail link between L.A. and San Francisco.”

Should California wish to persist with funding the rail project, Duffy stated that it is their prerogative. “However, we in the Trump administration will scrutinize whether this project warrants ongoing investment.”

A small group of protestors interrupted elected officials during the conference.

“The California High-Speed Rail is a long-term venture that should not fall victim to oligarchs focused solely on short-term profits,” asserted Jeff Zhang, 24, while speaking to The Epoch Times, arguing that delays are merely “part of the expense” associated with the experimental nature of the first major bullet train initiative in the country.

“This investigation is nothing but a facade,” remarked Eli Lipmann, executive director of the transit advocacy group Move LA, in a discussion with The Epoch Times. “Indeed, the project is behind schedule,” he conceded, “but it has generated jobs and is poised to play a crucial role in future infrastructure development.”

He added that halting funding for high-speed rail could jeopardize other infrastructure initiatives.

“L.A. County has approximately $1.2 billion in grants agreed upon that are essential for improvements ranging from enhanced bus connectivity to reduced traffic congestion to rail projects like the Purple Line, which I utilized to arrive here today.”

Citing a recent poll by Emmerson indicating that 55 percent of Californians still favor the project, Lipmann asserted that the federal government should be expediting, rather than stalling, the development of quality transportation solutions.

“What actions will be taken during this investigation? They won’t be granting California funds; instead, they will impose a pause. Then they will claim the project exceeds its budget,” Lipmann stated.

Rep. Doug LaMalfa (R-Richvale), however, offered a different perspective. He suggested that the soaring expenses of the rail project would be better allocated to agriculture, water infrastructure, and other essential needs.

LaMalfa described the federal contribution of $4 billion as insufficient to cover the estimated $110 billion required to reach completion.

“It was a well-meaning idea,” he commented. “However, it has failed.”

Rep. Kevin Kiley (R-Rocklin) expressed that the project represents the “decline of modern California” under the current administration.

Kiley informed The Epoch Times that his primary objective is to eliminate the chance of a subsequent administration taking over the project. “Once we halt federal funding, we can effectively dismantle the project and redirect efforts toward initiatives that will genuinely enhance people’s lives.”

Republican leaders are also scrutinizing the state budget, aiming to reallocate the $1 billion California invests each year in the rail project towards wildfire prevention and water resource management.

Former state lawmaker and current Rep. Vince Fong (R-Bakersfield) initiated such a proposal, now championed by California Assemblywoman Alexandra Macedo (R-Tulare).

“Eight business plans have been created, and the inspector general has highlighted significant mismanagement issues,” Fong stated in a conversation with The Epoch Times. “We have ample evidence. The question is whether the governor and the state legislature—the majority party—have the political resolve to terminate this project and invest in other priorities.”

While announcing the investigation, Duffy also suggested that potential fraud and waste fall under California’s purview, proposing that an inquiry should be spearheaded by Governor Gavin Newsom.

“I don’t have the authority to make decisions for California, but we must account for the federal tax dollars being spent,” he explained.

The bullet train has been among several focal points of criticism from Trump, who, upon taking office last month, pledged via social media that an investigation would commence.

Duffy referenced high-speed rail initiatives with “effective timelines” and “reasonable budgets” currently proposed to the Federal Rail Administration that he claimed have a viable chance for completion—such as the privately financed Brightline West, designed to connect Los Angeles and Las Vegas and anticipated to be operational in a few years.

“That appears to be a project deserving of investment,” he noted.

Numerous protesters voiced that California is lagging behind other developed countries when it comes to public transportation and infrastructure.

“That’s a dilemma,” one protester commented regarding the delays and rising expenses. “And I truly feel this project needs completion. We’ve already invested so much … It’s not solely for California; it benefits the entire nation.”

Former Rep. Michelle Steel dismissed comparisons to successful bullet train projects in countries like Spain, France, China, and Japan.

“Having been raised in Japan, I can attest it works there because public transportation connects seamlessly with highways. For this project, costing $128 to $140 billion with no clear endpoint, we cannot afford this misuse of taxpayer funds.”

Marc Joffe, a California Policy Center fellow and longtime critic of the state’s high-speed rail, discussed the challenges presented by California’s business environment.

“Many high-speed rail systems in other nations were established decades ago. Yes, China has constructed a vast network recently, but they lack the property rights and labor regulations that we uphold here.

“Nobody wants to adopt Chinese standards related to property acquisition or labor,” he added.

State Sen. Shannon Grove (R-Bakersfield) noted the project has received extensive preferential treatment, including exemption from California Environmental Quality Act (CEQA) scrutiny.

“It’s well-documented that the Central Valley is experiencing subsidence, and they are constructing this massive project atop it, laden with weight from concrete and rail structures,” she remarked to The Epoch Times.

Regarding a particular segment of the Central Valley, Grove expressed:

“You could traverse this in ten minutes, yet they have expended $13 billion on it. It’s absurd.”

“CA High-Speed Rail has been audited more than 100 times; every dollar is accounted for, with real progress—50 structures completed, 14,600 jobs generated, and 171 miles in active construction.”