California Lawmakers Approve $20 Billion High-Speed Rail Funding

California lawmakers, led by Governor Gavin Newsom, have approved a $20 billion funding package for the state's high-speed rail project, allocating $1 billion annually over the next 20 years via the state's Cap-and-Trade program. This significant funding commitment aims to complete the initial 171-mile segment from Merced to Bakersfield by 2033 and to facilitate future expansion connecting major cities like San Francisco and Los Angeles. The project, originally approved by voters in 2008 with an estimated cost of $33 billion and a 2020 completion date, now faces a revised budget between $128 billion and $135 billion and a delayed timeline. The Trump administration's withdrawal of $4 billion in federal funding sparked California to sue to recover the funds, highlighting ongoing tensions over the project's viability. Project CEO Ian Choudri emphasized that the funding deal addresses all current financing gaps and will open opportunities for public-private partnerships and new revenue-generating initiatives, such as developing tech infrastructure on rail authority land. Despite criticism over cost overruns and delays, supporters argue the rail system is vital to California's economy, environmental goals, and innovation in transit.