Trump Wants A Probe Into California's High-Speed Rail—Says The Budget Overruns Could Have Bought 'Finest Limousine Service' For Everyone

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President Donald Trump is once again targeting California’s high-speed rail project, calling it the “worst-managed project” he’s ever seen and demanding an investigation into its massive cost overruns. According to Trump, the project’s budget has spiraled so far out of control that it would have been cheaper to provide limousine service for every potential passenger instead.

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A Long-Delayed Project With Growing Costs

The high-speed rail was approved by California voters in 2008 with a vision to connect Los Angeles and San Francisco in under three hours. Initially budgeted at $33 billion, the project's estimated cost has now surged past $100 billion. Far from the major cities it was intended to connect, only 119 miles are presently being built, mostly in the Central Valley. Supporters say the project is producing jobs, connecting cities and improving the economy, while detractors argue it has become a financial nightmare. Of course, both things can and likely are true at the same time. 

Trump’s Renewed Criticism

Speaking from the Oval Office on Feb. 4, Trump didn’t hold back. “Billions and billions, hundreds of billions of dollars over budget,” he said. “I read where you could take every single person that was going to go on the train and get the finest limousine service in the world and take them back and forth with limousines, and you’d have hundreds of billions of dollars left over.” He also slammed the project's scaled-down scope, saying it no longer truly connects Los Angeles and San Francisco. “They made it much shorter. So now it’s at little places way away from San Francisco and way away from Los Angeles.”

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Republican Lawmakers Push for More Oversight

Trump's remarks align with growing frustration among Republican lawmakers in California. State Assemblymember David Tangipa has introduced a bill demanding a detailed financial plan for the Merced-to-Bakersfield segment by 2026. “It looks like they started building the basement before they even finished the plans for the 35th floor on a 100-foot skyscraper. That doesn't make any sense,” Tangipa said.

Ramaswamy and Musk Weigh in

Businessman and politician Vivek Ramaswamy has also called for an end to federal funding, labeling the project a “wasteful vanity project.” While he was still a Department of Government Efficiency hopeful, he pointed out that Trump previously revoked $1 billion in funding in 2019, only for President Joe Biden to restore and expand it. Billionaire Elon Musk, a longtime critic of high-speed rail, supported Ramaswamy's stance with a simple “Yes” reply on social media. Musk has previously pitched the Hyperloop as a futuristic alternative, though that idea has stalled.

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Supporters Say it's Still Worth it

Despite the criticism, many officials argue the project is still valuable. The California High-Speed Rail Authority points to job creation, with over 92,000 job-years of employment and $18 billion in total economic activity. Fresno Mayor Jerry Dyer, while acknowledging delays and cost issues, believes stopping construction now would be a mistake. “We all want those questions answered. But the real question is, do we stop the project? And I think that would be a mistake.”

What's Next?

With Trump now back in office, his administration has the power to reassess federal funding for the rail. If he follows through on his push for an investigation, the project could face even more scrutiny and possible funding cuts. The Biden administration previously reversed Trump's 2019 decision to revoke federal funding, but with a new administration, the fate of California's high-speed rail once again remains uncertain.

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