Feds reveal plan to reuse billions it cut from Gavin Newsoms high-speed rail project

Billions of dollars pulled from California’s troubled high-speed rail project are being redirected to rail safety upgrades and passenger train improvements across the country, including more than $200 million for projects in California.Transportation Secretary Sean Duffy announced Friday that the Federal Railroad Administration is investing $5.3 billion in rail projects across 23 states, with roughly $2 billion coming from federal funds the Trump administration says it “saved” by canceling unspent funding for California’s high-speed rail project.The money will help close dangerous railroad crossings, upgrade aging infrastructure and purchase new Amtrak trainsets as the administration touts what it calls a “Golden Age of Rail.”“It’s simple: Boondoggles are OUT and safety is IN,” Duffy said.“Instead of wasting billions of dollars on Newsom’s failed high-speed rail boondoggle, we are fixing thousands of grade crossings – saving lives and improving communities across America.”“We’re also making an unprecedented investment in Amtrak because President Trump and I are committed to making passenger rail in America great again,” Duffy added.

“Gavin Newsom should take notes–this is how you properly invest hard-earned taxpayer dollars.”The announcement comes more than a year after Duffy pulled the plug on roughly $4 billion in unspent federal funding for California’s high-speed rail project.In July 2025, the Federal Railroad Administration terminated the funding after determining that the California High-Speed Rail Authority could not meet its obligations under its federal grant agreements.The federal government said the move would save taxpayers nearly $4 billion and pledged to explore other uses for the money.Now, approximately $2 billion of that funding is being put toward other passenger rail projects, according to the Transportation Department.The federal rail investment is spread across 23 states and includes:California is also r...