The Trump administration announced this week their plans to cancel a $1 billion grant to California and “take back” $2.5 billion after Governor Gavin Newsom officially abandoned a state-wide high-speed rail project.
“The Trump administration’s decision to cancel a $929-million grant to California’s troubled high-speed rail project and claw back $2.5 billion in funds already spent has thrust the federal government into uncharted legal territory and poses an existential threat to the state’s largest investment ever,” writes the Los Angeles Times.
“I have never seen anything this large,” said one San Francisco consultant. “I have never seen anything where they said we are going to cancel a grant because of issues in the administrative or bureaucratic process.”
The project -which used $3.5 billion of federal money- was abandoned by Newsom just day ago; sparking fierce criticism from the Trump administration and taxpayers nationwide.
Read the full report here.