California Governor Gavin Newsom has announced that he is cancelling the state’s high-speed rail project. The project “as currently planned, would cost too much and take too long,” he argued, and he doesn’t see “a path to get from Sacramento to San Diego, let alone from San Francisco to L.A.” (a phrase he got backwards).
Originally projected to cost $20 billion, then $33 billion, then $68 billion, and most recently $77 billion (but it would undoubtedly be even more), the state has never found the resources to fully fund even the lowest, much less the latest, cost estimate.
Newsom said the state will complete the 164 miles it is building between Merced and Bakerfield, allowing Amtrak to run its trains a little faster in that corridor. Amtrak’s San Joaquin, which goes from San Francisco to Los Angeles on that route, carries about a million trips per year and runs two-thirds empty. Amtrak claims the train lost only $11 million last year, but it doesn’t count depreciation and it counts state subsidies to the train as “revenues,” so the real loss is much larger. Continue reading
