Trump and Newsom have a bitter rivalry. It’s now reaching a boiling point.
As President Trump hits Gavin Newsom where it hurts with this latest ruling.
Trump Administration Axes Federal Funding for California’s High-Speed Rail Debacle
In a decisive move, President Trump and Transportation Secretary Sean Duffy announced on Wednesday the termination of roughly $4 billion in federal funding for California’s beleaguered high-speed rail project, a venture plagued by delays and skyrocketing costs. The decision signals a firm rejection of what the administration views as a wasteful endeavor, redirecting taxpayer dollars away from a project that has yet to deliver on its lofty promises.
“To the Law abiding, Tax paying, Hardworking Citizens of the United States of America, I am thrilled to announce that I have officially freed you from funding California’s disastrously overpriced, ‘HIGH SPEED TRAIN TO NOWHERE,’” Trump proclaimed on Truth Social.
“This boondoggle, led by the incompetent Governor of California, Gavin Newscum, has cost Taxpayers Hundreds of Billions of Dollars, and we have received NOTHING in return except Cost Overruns. The Railroad we were promised still does not exist, and never will.”
Conceived in 2008 through a voter-approved initiative, the project aimed to create an 800-mile rail network linking San Francisco to Los Angeles, with extensions to Sacramento and San Diego, all within a $33 billion budget and a 2020 completion date.
Those ambitions unraveled as costs ballooned to $77.3 billion by 2019, forcing Governor Gavin Newsom to scale back plans to a 171-mile stretch between Merced and Bakersfield. That segment has since been further reduced to just 119 miles, with estimated costs now soaring to $135 billion.
The Department of Transportation reports that the California High-Speed Rail Authority (CHSRA) has burned through nearly $7 billion in taxpayer funds over 15 years without laying a single foot of track. In a letter sent Wednesday, Federal Railroad Administration (FRA) acting administrator Drew Feeley notified CHSRA CEO Ian Choudri that federal funds were being “de-obligated” partly due to the authority’s failure to honor a 2010 funding agreement.
Feeley pointed to California’s inability to meet a revised December 31, 2033, deadline, noting the project “does not adequately serve the purpose of the statute under which the FY10 Agreement was authorized and funded.”
Transportation Secretary Sean Duffy, who oversees the FRA, has also instructed the agency to collaborate with the Department of Justice to explore recovering disbursed federal funds. “This is California’s fault,” Duffy declared.
“Governor Newsom and the complicit Democrats have enabled this waste for years. Federal dollars are not a blank check – they come with a promise to deliver results. After over a decade of failures, CHSRA’s mismanagement and incompetence has proven it cannot build its train to nowhere on time or on budget.”
Duffy added, “It’s time for this boondoggle to die. President Trump and I will always fight to ensure your tax dollars only go to projects that accomplish great, big, beautiful things.”
The decision stems from a February review launched by Duffy after CHSRA admitted it could not meet future deadlines. A June FRA compliance review further exposed the project’s default on federal grant terms, citing missed deadlines, budget overruns, and inflated ridership projections.
Unimpressed by CHSRA’s response, the Trump administration officially pulled all future federal funding on Tuesday.
“This project was Severely Overpriced, Overregulated, and NEVER DELIVERED,” Trump stated. “Thanks to Transportation Secretary Sean Duffy, not a SINGLE penny in Federal Dollars will go towards this Newscum SCAM ever again. This was an ill-conceived and unnecessary project, and a total waste of Taxpayer money — But no more!”
Governor Newsom, however, vowed to fight back, suggesting a potential legal challenge. “Round of applause for [Trump] and [Duffy] on handing China the future and abandoning the Central Valley — again!” Newsom said on X.
“But sorry to disappoint: We’re not letting that happen. [California High Speed Rail Authority] is entering the track-laying phase and actively building across 171 miles — with 50 major railway structures and 60 miles of guideway already completed. We will be exploring all options to fight this illegal action.”
As tensions escalate, the Trump administration’s move to defund the high-speed rail project emphasizes a commitment to fiscal accountability, while California desperately tries to salvage its vision for high-speed rail.
Stay tuned to The Federalist Wire.
