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California Drops Lawsuit Over Trump's High-Speed Rail Funding Cuts

12/27/2025

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Story summary
  • California dismissed its lawsuit against the U.S. President Donald Trump's administration over the withdrawal of $4 billion for the high-speed rail project.
  • The U.S. Transportation Department cut funding, citing a lack of a viable plan from the California High-Speed Rail Authority.
  • Governor Gavin Newsom called the decision a political stunt.
  • The authority will seek private investors.
  • It has secured $1 billion annually from California's cap-and-trade program.