California high-speed rail loses $4 billion after missing train-buy deadlines, officials say
Federal officials withdrew $4 billion from California’s high-speed rail because the authority failed to secure train contracts, and state leaders have not explained the delays.
In July 2025, the Trump administration withdrew $4 billion of federal support for California’s high-speed rail, pointing to the authority’s failure to meet train-procurement milestones required by the grant. The High-Speed Rail Authority missed the Dec 31 2024 deadline and a subsequent Dec 1 2025 court-ordered deadline, and has not provided an updated schedule for awarding a train contract. Governor Gavin Newsom denounced the funding cut as a politically motivated stunt, while Attorney General Rob Bonta sued the federal government before abruptly dismissing the case.
Internal sources blame CEO Ian Choudri’s decision to alter train specifications for the delays, and board members raised concerns but were barred from discussing procurement publicly. Despite claims of progress, only a logistics depot has been built; no true high-speed track exists. The project, originally voted on in 2008 to connect San Francisco and Los Angeles, now focuses on a 171-mile Central Valley segment with service still projected for 2033.
Why it matters
Loss of federal funds and missed train procurement milestones threaten the viability and timeline of California’s high-speed rail system.
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