California punts on high-speed rail plan as furor grows over new $231B price tag

The state’s High-Speed Rail Authority board punted a vote Wednesday on its long-awaited business plan — after it was revealed that the project’s cost had ballooned to a staggering $231 billion.

Lawmakers and budget hawks have ripped the Los Angeles-to-San Francisco train project as incomplete, opaque and possibly illegal, with the authority moving to delay a vote until next month.

This rendering of high-speed rail in California has been called a fantasy compared to where the project currently sits. AP

Two days earlier at a tense Senate Transportation Committee, government watchdogs in the Legislative Analyst’s Office warned that the plan doesn’t meet basic legal requirements after new station locations were proposed.

Ian Choudri, CEO of the High-Speed Rail Authority, promised to provide more details to lawmakers to get the project back on track. But that deadline passed Wednesday without enough new information provided — or critical feedback from the public — and board Chairman Tom Richards shelved the vote until next month.

Ian Choudri, CEO of the High-Speed Rail Authority, has created a new plan that may not be legal without waiving laws. hsr.ca.gov

Critics have said that the entire project needs to be scrapped.

“I’ve been saying this for years now, but this is the most wasteful government project in probably world history,” Republican state Sen. Tony Strickland told The Post. “It goes from a $33 billion projected estimate to the voters to go from LA to San Francisco. Now it’s $231 billion and climbing.”

The High-Speed Rail Authority estimates the train’s initial Central Valley segment will cost roughly $34.8 billion, while the broader “Phase 1” system will cost $126 billion after major modifications.

A few members of the authority’s board expressed exasperation over the project being delayed and contracts receiving such close scrutiny amid years of delays.

Gov. Gavin Newsom has been bullish on high-speed rail after dismissing the project when first taking office. Governor Gavin Newsom's Office

In a vote over two bids to install concrete troughs for electrical work — one costing nearly $57 million and another over $103 million — board director Anthony Williams suggested that Choudri’s hands were being tied by micromanagement.

Williams, an appointee of Gov. Gavin Newsom, said the CEO should not only be able to unilaterally approve change orders of up to $100 million, but also be able to sign contracts up to the same limit. Choudri is currently allowed to sign contracts up to $25 million, officials said in the meeting.

The idea floated by Williams comes as Newsom has supported legislation that would shield the cost of the train.

Board Director Henry Perea, of Fresno, immediately pushed back by acknowledging years of wasteful spending and delays under past leadership.

“I have complete confidence in our CEO and the vision that he’s laid out for this program, but have also been involved in this program from day one — absolutely day one,” Perea said.

“I can tell you, because of the lack of oversight by this board, years back, we had significant financial issues that should not have occurred dealing with change orders and other things because of the lack of oversight with this board.”

Newsom’s office did not respond to requests for comment about the plan, while High-Speed Rail Authority officials defended its revisions.

“Through this innovative plan, California is advancing practical solutions to deliver major infrastructure more efficiently and move projects into service sooner, even as federal actions have introduced uncertainty, obstruction, and a lack of good-faith engagement,” officials said in an email to The Post.

A discussion on giving more spending powers to the CEO could be part of the broader discussion on the project plan in May.