A recently approved transportation bill which has blocked CHSRA’s possibility of getting additional federal funding for the up-coming fiscal year is not the only money crisis facing the rail project.
The planned funding by the State for the high-speed rail has been tentatively approved for $250 million beginning in fiscal 2015. This massive sum, however, is a drop in the bucket when compared to CHSRA’s proposed budget of roughly $4 billion for the year.
Even though the plan is not yet final, it is clearly evident that the high speed rail will be facing a budget crisis soon.
Along with the funding restrictions, CHSRA is also facing numerous lawsuits further complicating the dispensing of already limited funds. The lawsuits do not seem to cease and if CHSRA loses, it will face serious funding issues. Another lawsuit was filed last week by a Central Valley resident seeking a restraining order against the authority alleging that CHSRA submitted an incomplete environmental impact statement back in May. However, the record of decision for the Fresno-Bakersfield track was issued last week. CHSRA hopes funding will now be available through private investments and private-sector funding.