Read the original article at railwayage.com

Written by Marybeth Luczak, Executive Editor

This is the largest guaranteed infusion of funding for the California high-speed rail program to date, according to CHSRA.

“I am grateful to Gov. [Gavin] Newsom, our legislative leaders, and allies across the State and the Nation—including those in the labor community—whose partnership and resolve helped make this possible,” CHSRA CEO Ian Choudri said. “Today’s [Sept. 10] agreement has made a big, bold statement about California’s future—one that will create jobs, cut pollution, and connect and transform communities across the State.

“This funding agreement resolves all identified funding gaps for the [the 171-mile] Early Operating Segment [between Merced and Bakersfield] in the Central Valley [see map below] and opens the door for meaningful public-private engagement with the program. As we move forward, I am greatly encouraged by commitments to continue productive discussions with the Administration and the Legislature to put in place statutory and regulatory enhancements that accelerate construction and give greater certainty on time and schedule for segment delivery. And we must also work toward securing the long-term funding—beyond today’s commitment—that can bring high-speed rail to California’s population centers, where ridership and revenue growth will in turn support future expansions.”

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“Work continues daily on the high-speed rail project, with 171 miles currently under design and construction from Merced to Bakersfield,” CHSRA reported Sept. 10. “Nearly 70 miles of guideway are complete, along with 58 fully completed structures; an additional 29 more structures are underway across Madera, Fresno, Kings and Tulare counties. The project continues to advance statewide, with 463 miles of the 494-mile San Francisco to Los Angeles/Anaheim system fully environmentally cleared and construction ready.” (Image Courtesy of CHSRA)

CHSRA last month issued a supplemental project update report, outlining what it called “a clear path forward to connect the high-speed rail system to Northern and Southern California via the Central Valley by 2039.” It estimated that the early operating segment would cost $36.75 billion.

In that 112-page update report, the Authority said it has “$28.16 billion in capital funding, which includes an estimated $5.5 billion from Cap-and-Invest through 2030 and retention of [$4 billion in] federally awarded funds [currently the subject of litigation].” It noted that Gov. Newsom’s Fiscal Year 2025 to 2026 budget proposal “includes extending the Cap-and-Invest program through 2045 with at least $1.0 billion in annual funding for the Authority.” This would provide “at least $15 billion in additional funding for the program, bringing the Authority’s total capital funding to $43.16 billion.”

The Federal Railroad Administration in July announced that it would pull back its funding. The FRA’s decision followed the release of its Compliance Review Report, which found the CHSRA project to be “in default” of the terms of two federal grants. CHSRA is now suing the POTUS 47 Administration.