Legal Insurrection readers with really long memories may recall that President Trump audited California’s high-speed rail project back in 2018, during his first term.

At that point, the project had blasted through its budget and now may cost close to $100 billion. The subsequent inspector general report uncovered much that was..problematic.

•  The Federal Railroad Administration (FRA) did not adequately oversee the $2.5-billion grant, increasing the risk of the California High-Speed Rail Authority not achieving the purpose of the agreements.
• The audit found deficiencies in 18 out of 30 random requests for reimbursement from the grant, including one request that lacked documentation for $8.28 million out of $8.32 million.
•  The California High-Speed Rail Authority consistently failed to meet grant requirements, but the FRA did not take decisive actions, such as withholding funds, prior to May 2019.
• The audit asserted that the state had matched only $476 million of the $2.5-billion grant, while the rail authority claimed to have submitted $1.3 billion.

Still, the state politicians persisted. At this point, active construction is underway on a 119-mile stretch in California’s Central Valley. The Fargo Avenue overcrossing in Kings County was just completed, and initial track work is estimated to begin by Spring 2025.