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Trump Yanks $4 Billion from California’s High-Speed Rail, Newsom Sues and Vows to Fight — “This Is Political Retaliation”
In a stunning move that reignited the long-running feud between former President Donald Trump and California Governor Gavin Newsom, the Trump administration has officially canceled over $4 billion in federal funding earmarked for California’s controversial high-speed rail project.
The decision, announced by Transportation Secretary Sean Duffy, was based on a scathing federal compliance review. The review cited years of cost overruns, chronic delays, and “no demonstrable progress” on a project once billed as the future of American transit. Newsom, however, isn’t backing down—and has launched a lawsuit he insists will expose what he calls “a politically motivated stunt.”
🚄 California’s Dream Becomes Trump’s Punchline
The California High-Speed Rail project, which broke ground in 2015, was originally conceived to connect San Francisco to Los Angeles in under three hours. But since its inception, the plan has been riddled with lawsuits, land disputes, ballooning budgets, and shifting timelines.
Despite more than a decade of work, the Federal Railroad Administration’s June 2025 report concluded that no high-speed track has yet been laid, and construction deadlines have consistently been missed. The FRA also pointed to incomplete contracts, inflated ridership estimates, and a mounting price tag that could exceed $140 billion—far more than the original $33 billion estimate.
Secretary Duffy minced no words in his announcement:
“This is California’s fault. 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.”
Duffy referred to the stalled rail system as a “train to nowhere” and slammed it as a “boondoggle that’s bleeding taxpayers dry.”
💥 Trump Responds with Signature Firepower
Not to be outdone, former President Donald Trump took to Truth Social, where he celebrated the funding cut with trademark flair.
“I am thrilled to announce that I have officially freed you from funding California’s disastrously overpriced, ‘HIGH SPEED TRAIN TO NOWHERE,’” Trump wrote.
He called Governor Newsom “Newscum” and accused him of squandering “hundreds of billions of dollars” with nothing to show but bureaucratic failure and “cost overruns.”
“This boondoggle… has cost taxpayers HUNDREDS of BILLIONS of dollars, and we have received NOTHING in return,” Trump said. “The railroad we were promised still does not exist, and never will.”
Trump ended his post by thanking Sean Duffy for ensuring that “not a SINGLE penny in Federal Dollars will go towards this Newscum SCAM ever again.”
📝 Newsom Fires Back, Files Federal Lawsuit
Governor Gavin Newsom responded within hours, calling the funding termination a “heartless and illegal attack” on California’s working class—particularly residents in the Central Valley, where much of the construction has been concentrated.
“Trump’s termination of federal grants for California high-speed rail reeks of politics,” Newsom said. “It’s yet another political stunt to punish California.”
The lawsuit, filed in federal court, alleges that the Trump administration violated the terms of existing grant agreements and failed to follow proper administrative procedures. Newsom says the decision is part of a broader effort to undermine Democratic-led states.
“In reality, this is just a heartless attack on the Central Valley that will put real jobs and livelihoods on the line,” he said. “We’re suing to stop Trump from derailing America’s only high-speed rail actively under construction.”
📉 A Deep Dive into the FRA’s Scathing Report
The 300-page compliance review released in June paints a bleak picture of California’s ability to manage the project. Among its findings:
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No track has been laid for actual high-speed rail lines since the project’s start.
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Over $13 billion in state and federal funds have already been spent, with minimal progress.
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Key contractors have missed major deadlines.
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Trainset contracts remain unsigned, and the project still lacks operational guidance.
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Forecasts for ridership and revenue were deemed “unrealistically optimistic.”
The FRA concluded that the CHSRA had “no clear path” to complete the project as planned and would likely require tens of billions more in future funding to remain viable.
🚧 Where Does the Project Stand Now?
Governor Newsom insists that the track-laying phase is underway, and California remains far ahead of similar efforts in states like Texas and Nevada.
“We’re now in the track-laying phase and building America’s only high-speed rail,” Newsom wrote on X (formerly Twitter). “California is putting all options on the table to fight this illegal action.”
But with federal funding now withdrawn and court battles looming, the project’s future looks more uncertain than ever.
In a separate directive, Secretary Duffy ordered the FRA to review all existing grants, both obligated and unobligated, to determine whether any additional funds should be clawed back from the state.
🏛️ What Comes Next?
Legal experts predict California’s lawsuit could face an uphill battle. The Trump administration is likely to argue that the project failed to meet federally mandated benchmarks—giving them the legal right to withdraw funds.
Political analysts say this move is part of Trump’s broader 2025 strategy: taking aim at bloated federal spending, failing liberal policies, and coastal elitism.
Whether Newsom can rally enough public and judicial support to reverse the decision remains to be seen, but one thing is clear—the California high-speed rail fight is far from over.
