Photo: Andrew Harnik / Getty Images News / Getty Images
California has filed a lawsuit against the Trump administration following the cancellation of $4 billion in federal funding for the state's high-speed rail project. The lawsuit, filed on Thursday (July 17) in the U.S. District Court for the Eastern District of California by Attorney General Rob Bonta, seeks to challenge the legality of the funding termination.
The funding, initially intended for construction in the Central Valley, was pulled by the Federal Railroad Administration, prompting California Governor Gavin Newsom to accuse the administration of political retribution. Newsom stated, "Trump’s termination of federal grants for California high-speed rail reeks of politics. It’s yet another political stunt to punish California."
President Donald Trump announced the funding cut on Wednesday (July 16), citing the project's delays and budget overruns. He criticized the rail project on his social media platform, Truth Social, calling it "overpriced" and "overregulated." The project, originally estimated at $33 billion, now faces costs of up to $128 billion, according to Politico.
The lawsuit names U.S. Department of Transportation Secretary Sean Duffy and acting Administrator of the Federal Railroad Administration Drew Feeley as defendants. The California High-Speed Rail Authority argues that the decision was "arbitrary and capricious" and could severely impact the state's economy.
The legal battle could have significant implications for the future of the project, which aims to connect San Francisco and Los Angeles. California is exploring options to secure alternative funding and is seeking private investment to continue the project. Initial court hearings are anticipated in the coming months, as reported by Newsweek.