Trump admin. pulls funding from Calif. high speed rail project

OAN Newsroom
UPDATED 6:58 AM PT — Friday, May 17, 2019

President Trump is following through on his promise to pull federal funds away from the stalled California high-speed rail project.

On Thursday, the Federal Railroad Administration announced it has terminated its $929 million agreement with California, and is asking for the return of $2.5 billion in stimulus funding.

The agency said California repeatedly failed to comply with the terms of the agreement, and has failed to make progress on the project.

FILE – In this Dec. 6, 2017, file photo, one of the elevated sections of the high-speed rail is under construction in Fresno, Calif. The Trump administration cancelled nearly $1 billion in federal money for California’s high-speed rail project Thursday, May 16, 2019, further throwing into question the future of the ambitious plan to connect Los Angeles and San Francisco. (AP Photo/Rich Pedroncelli, File)

The move comes after the state’s governor — Gavin Newsom — said he would alter the scope of the plan to avoid giving the money up to President Trump.

The high-speed rail project has been in the works for a decade, and has stalled due to cost over-runs.

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